OPPapers.com

B2B Vs B2C

Many companies are web-enabling their organizations to develop customer satisfaction, reduce overhead costs, enhance position in the open market, and leverage the global marketplace. The internet plays a key role in supply chain integration. However, there are differences between the two methods used by supply chain for business to business (B2B) and business to consumer (B2C) sites. B2B
Business to Business sites utilize the web for many reasons. Gathering information, collaborating, providing vendor support and communications, researching competitors, communicating internally, proving customer service and support, publishing information, purchasing products and services, and selling products and/or services are the main channels that B2B sites address. Fraudulence occurs less on B2B sites due to traditional payment practices in place. Some of the traditional practices discussed are mailing the customer the invoice via USPS. The customer will then mail payment to vendor in the form of a check or cashiers check via mail. The B2B sites also ship via COD, which is ‘cash on delivery’. This means that the product is delivered to the location and the end user pays for the product at that time with cash, check or money order. Also, ‘problems experienced by online merchants are also diminished. Three in 10 Web business executives in ActivMedia's study reported that the level of problem orders has declined in the past year, and one in four find falling levels of fraud as well. This may be related to the higher level of automated processing and real-time online security checking that is increasingly in use’. (The ClickZnetwork, retrieved 7-25-08.) Many B2B partners and associates are known to each other before purchasing product versus B2C sites. This point alone reduces fraud because traceability is a deterrent. If a person will be found out, they likely will not steal product that can easily be traced back to them. Identity theft is a fear many consumers consider which...