B2B stands for business to business. Some businesses only provide products or services to other businesses. B2B is frequently used as to describe different types of transactions and services between two businesses. Selling B2B selling applications allow a business to sell to other businesses through an electronic transaction. Some companies choose to sell through a private website while others may use an electronic selling service, or e-commerce site, run by another business. Buying B2B buying applications involve a business purchasing goods and services from another company via an electronic transaction.
This can also be done via an e-commerce site. E-commerce E-commerce is the way shopping and selling is done on Internet. Credit cards can be used to purchase services and products in virtual stores. Marketing Businesses can also use electronic means to market their services and goods to other businesses.
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3. Table of Contents
Introduction
Chapter 1
Chapter 2
B2B E-Commerce: Supply Chain Management and
Collaborative Commerce
What is the strategy involved in
running a e-commerce company?
Chapter 3 Solutions to Supply Chain Problems
Chapter 4 B2B E-Commerce and Supply Chain Management
9. Chapter 1
B2B E-Commerce: Supply Chain
Management and Collaborative
Commerce
XLL Deal Learning Objectives:
Define the term supply chain and describe its components Describe supply chain management and
its goals Identify various problems that can occur along supply chains Describe the evolution of
solutions used to improve supply chain management Define B2B commerce and understand its scope
and history Identify the main types of B2B e-commerce: Net marketplaces and private industrial
networksIdentify the major trends in the development of the four types of Net marketplacesIdentify the
role of private industrial networks in transforming the supply chain
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10.
11. Chapter 1
B2B E-Commerce: Supply Chain
Management and Collaborative Commerce
XLL Deal Learning Objectives:
Define the term supply chain and describe its components Describe supply chain management and
its goals Identify various problems that can occur along supply chains Describe the evolution of
solutions used to improve supply chain management Define B2B commerce and understand its scope
and history Identify the main types of B2B e-commerce: Net marketplaces and private industrial
networksIdentify the major trends in the development of the four types of Net marketplacesIdentify the
role of private industrial networks in transforming the supply chain
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12. What is the strategy involved in running a e-commerce company?
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First of all you need to create a website with detailed informationabout your
business. It is important to use their quality ux and ui design. Your site should be
willing to visit again or recommend toanother. Further it is necessary to be
engaged in promotion of asite. Currently, the most popular is the promotion
through social networks, such as Instagram, Facebook, Linkedin and others.
This isa fairly important segment, because the network data directly has alive
customers of your product. The question remains in how you will sell it. you can
promote the site yourself. this takes asufficient amount of time. You can contact
various professional agencies. This will save your time for the development of
your own business. I had a need to promote my own business in Instagram. I
wanted to save money and started promoting myself. I did not have time to do
my sales.
13.
14. Chapter 4
B2B E-Commerce and Supply Chain Management
A problem with the B2B trade is that it is complex and requires significant human intervention which
consumes resources that could be better utilized
B2B E-Commerce and Supply Chain Management
It is estimated that the average cost of each corporate purchase order involves $100 in
administrative overhead Administrative overhead includes processing paper, approving purchase
decisions, spending time using the telephone and fax to search for products, arranging for shipping,
and receiving the goods If even just a portion of inter-firm trade could be automated, then literally
trillions of dollars might be released for more productive uses
The Evolution of B2B E-Commerce
B2B commerce has evolved over a 35-year period through several technology-driven stages These
stages include: Automated order entry systems Electronic data interchange Digital storefronts Net
marketplaces Private industrial networks
Potential Benefits of B2B E-Commerce
Lower administrative costs Lower search costs for buyers Reduce inventory costs Lower transaction
costs Increase production flexibility Improve the quality of products by increasing cooperation
among buyers and sellersDecrease product cycle timeIncrease opportunities for collaborating with
suppliers and distributors Create greater price transparency
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15.
16.
17.
18. Types of ProcurementTwo distinctions are important for understanding how B2B e-commerce can improve
the procurement processFirst, firms make a purchase of two kinds of goods from suppliers: Direct goods
Indirect goodsSecond, firms use two different methods for purchasing goods: Contract purchasing Spot
purchasing
The Role of Existing Legacy Computer Systems and Enterprise Systems
Complicating any efforts to coordinate the many firms in a supply chain is the fact that each firm has its
own set of legacy computer systems that cannot easily pass information to other systems Legacy systems
generally are older mainframe systems used to manage key processes within a firm Two examples of
internal legacy systems are:Materials requirements planning (MRP) systems Enterprise resource planning
(ERP) systems
Trends in Supply Chain Management and Collaborative Commerce
Just-in-time and lean production Eliminate excess inventory to a bare minimumSupply chain simplification
Work more closely with a smaller group of strategic supplier firms Supply chain black swans: adaptive
supply chainsSustainable supply chains: lean, mean and greenElectronic data interchange (EDI)Supports
direct commercial transactions among strategically related firmsSupply chain management
systemsContinuously link partner information systems Collaborative commerce Use of digital technologies
to collaboratively design, develop, build, and manage products across their life cycle
Main Types of Internet-Based B2B Commerce
There are two generic types of Internet-based B2B commerce systems: Net marketplaces Private
industrial networks (PINs)Net marketplaces bring together potentially thousands of sellers and buyers into
a single digital marketplace operated over the Internet Private industrial networks bring together a small
number of strategic business partner firms that collaborate to develop highly efficient supply chains
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19.
20.
Net Marketplaces One of the most compelling visions of B2B e-commerce is that of an electronic
marketplace on the Internet that would bring thousands of fragmented suppliers into contact with hundreds
of major purchasers of industrial goods In pursuit of this vision, well over 1500 Net marketplaces sprang up
in the early days of e-commerce Many failed, but about 200 still survive
Private Industrial Networks
Private industrial networks (PINs) today form the largest part of B2B e-commerce Industry analysts estimate
that in 2010, over 50% of B2B expenditures by large firms were for the development of private industrial
networks PINs are direct descendants of existing EDI networks, and they are closely tied to existing ERP
systems used by large firms A PIN is a Web-enabled network for the coordination of trans-organizational
business processes (sometimes also called collaborative commerce)
Characteristics of PINs
The specific objectives of a PIN include: Developing efficient purchasing and selling processes Developing
industry-wide resource planning Increasing supply chain visibility Achieving closer buyer-seller relationships
Operating on a global scale Reducing industry risk by preventing imbalances of supply and demand
Private Industrial Network Organization
PINs usually focus on a single sponsoring company that “owns” the network, sets the rules, establishes
governance, and invites firms to participate at its sole discretion Under what circumstances is it best to
participate in a PIN ? Under what circumstances are Net marketplaces a better alternative?
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