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Submitted by Rutrbl2 on February 2, 2007
Category: Business
Words: 785 | Pages: 4
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Businesses that exist primarily on the internet are known as e-businesses, electronic businesses. e-Businesses can all be classified under one general heading, marketplaces. Though e-businesses vary in scope and methods, they can be categorized basically as business-to-consumer (B2C) or a business-to-business (B2B). A business-to-business model involves transactions between one business and another business. A business-to-consumer model involves transactions between a business and individual consumers.
Business-to-business is all about product and materials procurement. The supply chain is the vehicle through which business-to-business and all ecommerce is ultimately achieved. The Internet and electronic business are changing the history of supply chains, and altering how consumers learn about, select, purchase, and use products and services. The result has been the surfacing of new business-to-business supply chains that are consumer-focused rather than product-focused. The business buyer is advanced, and will understand your product or service. They need to buy products or services to help their company stay profitable, competitive, and successful. In the traditional supply chain the material suppliers are at one end of the supply chain. They are connected to manufacturers and distributors, which are in turn connected to a retailer and the end customer. The order and promotion process, which involves customers, retailers, distributors and manufacturers, occurs through much time-consuming paperwork. By the time the customers needs are sent through all the members of the supply chain, the production cycle ends up serving suppliers every bit as much as customers.
Business-to-consumer is when companies try to create a direct relationship with consumers without the involvement of intermediaries such as distributors, wholesalers and dealers. Business-to-consumer specifically caters to a group or target consumer in order to expose, sell, market goods...
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