Business to Business Commerce

1184 Words5 Pages
Business to Business Commerce In their article Richard Wise and David Morrison stressed the upcoming importance of fast development of B2B-business-to-business commerce, especially in relation to the financial services industry. Recently we can observe serious steps being made in the functioning of the financial markets, and the role they play in the business-to-business commerce cannot be overestimated. Basically, looking at the picture of contemporary business models it's easy to see that internet plays indispensable role in the commercial progress, which brings numerous and serious benefits to the companies. Business-to-business transactions were (and still are for some companies) based on a complex network of inter-connections, with every connection being different for each supplier or buyer. Errors of transactions, such as stock quantity and type, were commonplace. However, the Internet has provided a means, compared to EDI (Electronic Data Interchange), in making transactions flawless, easier and more profitable. The problem has arisen due to companies rushing to start e-marketplaces without any clear strategy. The companies fail to create any ideas on how they affect the industry value chain, sales and distribution and the supply chain. Professionals expect the e-marketplaces to have no "significant" impact on the Internet commerce until 2003. However, e-marketplaces are establishing profitable contacts all over the Internet. B2B Centrum is a company, which creates and operates e-marketplaces and implements and leases them for specific clients. Their m... ... middle of paper ... ...any to be a valid member of B2B environment, or make any transactions with other companies, it is essential for it to have at is disposal profound knowledge of the emerging structures and landscapes, including the different business models that will constitute that landscapes. The management of the companies in the B2B environment must be able to respond quickly to the market changes with radical changes in the companies. The ability to understand and capitalize on the market dynamics becomes often more important than marketing or product development in the company. In order to make a change in a company, a risk should be made, which is sometimes difficult to do. Nevertheless, as an experience of the successful companies shows, the success was reached only due to the radical and risky changes in the way company worked.
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