This paper presents a tentative framework for understanding a particular environment of electronic commerce activities - the local electronic marketplace. This type of marketplace is Internet-based and dedicated to consumer-oriented commerce. The framework consists of two main components: marketplace functions and marketplace practice. Viewing an electronic marketplace in this way means adopting a "theory of practice" to assist in identifying and relating various actors and functions. Besides presenting this analytical tool there is a brief discussion of its application. The framework has evolved continuously throughout a qualitative study conducted in an exploratory phase and during two preceding case studies.