B2B e commerce

Syed Naseh 11208 Kanwar Yousuf 11796

E-Commerce Definition

Electronic Commerce (EC) is where business transactions take place via telecommunications networks, especially the Internet. Electronic commerce describes the buying and selling of products, services, and information via computer networks including the Internet.

E-Commerce Subdivisions

B2B (Business-to-Business) B2C (Business-to-Consumer) C2C (Consumer-to-Consumer) B2E (Business-to-Employee)

B2B Definition

Companies buying from and selling to each other online While B2B exists both online and offline B2B has evolved to encompass supply chain management as many companies outsource parts of their supply chain to their trading partners

B2B Requirements

Negotiation Buyer and seller must negotiate price, delivery, and product specifications. Integration A companys system must be able to communicate with the system of their customer without human interaction.

B2B Exchange

A website where many companies can buy and sell to each other using a common technology platform. Many exchanges also offer additional services such as payment or logistics to help members complete a transaction

Collaborative B2B

A business and its trading partners give each other real time access to Enterprise resource planning (ERP) systems, product design, inventory, and other systems

Benefits of B2B E-commerce

Manage inventory more efficiently Adjust more quickly to customer demand Get products to market faster Cut the cost of paperwork Obtain lower prices on some supplies

B2B Growth

B2B market is expected to experience significant growth B2B E-commerce is expected to reach $207 trillion in 2004, up from $406.2 billion in 2000. (Forrester Research, Inc.)

Difference between B2B and B2C

The customer (business vs. individual) B2B transactions are more complex B2C does not require:

Negotiation for price, delivery, and product specifications Integration with other systems