B2B e-commerce refers to business transactions conducted electronically over the Internet. It allows businesses to buy, sell, partner and trade with other businesses more efficiently. B2B service providers help businesses improve operations like supply chain management and logistics through e-commerce solutions. While many B2B e-commerce companies failed during the dot-com bubble of the late 1990s, those that survived have seen soaring revenues as B2B e-commerce has grown at an annual rate of 16% and become the fastest growing form of retail trade.

1. Presented By:
Sonali Srivastava

2.  Define as Buying, selling, partnering,
bartering or trading conducted between two
or more business
 E commerce is business that takes place
electronically, generally over the Internet.
 It refers to the use of the Internet and the
Web to transact business between and
among organizations and individuals

3.  B2B service providers make the B2B
transactions easier.
 These e-Businesses help other businesses
improve their policies, procedures, services
and general operations.
 Solutions include supply chain
management, logistics, procurement.

4.  Began in 1995 and grew at an annual rate
of 16 %
 Rapid growth led to market bubble
 While many companies failed, many
survived with soaring revenues
 E-commerce is the fastest growing form
of retail trade in U.S., Europe, Asia

5.  Before Internet:
 B2B transactions called trade or procurement process
 Total inter-firm trade:
 Total flow of value among firms
 B2B commerce:
 All types of computer-enabled inter-firm trade
 B2B e-commerce:
 The portion of B2B commerce enabled by the Internet

7.  Lower administrative costs
 Lower search costs for buyers
 Reduced inventory costs
 Increasing competition among suppliers
 Reducing inventory carried
 Lower transaction costs:
 Automation, eliminating paperwork
 Increased production flexibility by ensuring
just-in-time parts delivery

8.  Improved quality of products by increasing
cooperation among buyers and sellers
 Decreased product cycle time by sharing of
designs and production schedules
 Increased opportunities for collaborating with
suppliers and distributors
 Greater price transparency
 However, some risk is posed by increased
globalization and consolidation

9. Buyers
 Reduce procurement
process costs
 Reduce inventory costs
 More choices and better
pricing
 Efficient logistic
 Lower cycle times
Supplier
 Lower sales and marketing
cost
 Reaching new customers:
generating new revenue
 Reduce the process costs
of order management
 Better customer support
Overall
Increased market efficiency
Greater Market Intelligence

10.  Procurement process:
 The way firms purchase materials they need to make
products
 Supply chain:
 Firms that purchase goods, their suppliers, and their
suppliers’ suppliers, relationships and processes
involved
 Steps in procurement process
 Deciding who to buy from and what to pay
 Completing transaction

12.  Business customers…
 Make large purchases
 Will not pay with credit card or financial
cybermediary
 Use financial EDI
 Pay for many purchases at once (perhaps the
end of the month

13.  Electronic data interchange (EDI) – direct
computer-to-computer transfer of
transaction information in standard
business documents, such as invoices and
purchase orders, in a standard format
 How businesses communicate with each other
 Used in e-marketplaces and VANs

14. Thank You