E-Commerce - B2B Model
A website following the B2B business model sells its products to an intermediate buyer who then sells the products to the final customer. As an example, a wholesaler places an order from a company's website and after receiving the consignment, it sells the endproduct to the final customer who comes to buy the product at the wholesaler's retail outlet.
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B2B identifies both the seller as well as the buyer as business entities. B2B covers a large number of applications, which enables business to form relationships with their distributors, re-sellers, suppliers, etc. Following are the leading items in B2B eCommerce.
- Electronics
- Shipping and Warehousing
- Motor Vehicles
- Petrochemicals
- Paper
- Office products
- Food
- Agriculture
Key Technologies
Following are the key technologies used in B2B e-commerce −
- Electronic Data Interchange (EDI) − EDI is an inter-organizational exchange of business documents in a structured and machine processable format.
- Internet − Internet represents the World Wide Web or the network of networks connecting computers across the world.
- Intranet − Intranet represents a dedicated network of computers within a single organization.
- Extranet − Extranet represents a network where the outside business partners, suppliers, or customers can have a limited access to a portion of enterprise intranet/network.
- Back-End Information System Integration − Back-end information systems are database management systems used to manage the business data.
Architectural Models
Following are the architectural models in B2B e-commerce −
- Supplier Oriented marketplace − In this type of model, a common marketplace provided by supplier is used by both individual customers as well as business users. A supplier offers an e-stores for sales promotion.
- Buyer Oriented marketplace − In this type of model, buyer has his/her own market place or e-market. He invites suppliers to bid on product's catalog. A Buyer company opens a bidding site.
- Intermediary Oriented marketplace − In this type of model, an intermediary company runs a market place where business buyers and sellers can transact with each other.
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