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gains and risks in b2b exchanges ((For buyers (Potential gains), One-stop…
gains and risks in b2b exchanges
For sellers
New sales channel
No physical store is needed
Reduced ordering errors
Sell 24/7
Community participation
Reach new customers spending only little cost Promote the business via the exchange
An outlet for surplus inventory
Can go global more easily
Efficient inventory management
Better partner relationship management
Loss of direct CRM and PRM
More price wars
Competition for value-added services
Must pay transaction fees possible loss of customers to competitors
For buyers
Potential gains
One-stop shopping, huge
Search and comparison shopping Volume discounts
24/7 ordering from any location
Make one order from several suppliers Huge, detailed information
Access to new suppliers
Status review and easy reordering Community participation
Fast delivery
Less maverick buying
Better partner relationship management
Loss of customer service quality (inability to compare all services)
Unknown vendors; may not be reliable
RISKS
for sellers
major functions of b2b exchanges
Matching buyers and sellers. The matching of
buyers and sellers includes such activities as:
• Presentation of product offering (e.g., the
company’s catalogs)
• Aggregating and posting different products
for sale – to meet buyers’ need
• Providing price comparisons
• Organizing bids (bartering) and (auctions)
• Providing sellers’ profiles and product
information