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Choosing eCommerce Initiatives: B2B or B2C - Essay Example

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This involves exchange of data among parties in this case businesses that do business and trust each other and go ahead to make arrangements for a one to one connection. A…
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Choosing eCommerce Initiatives: B2B or B2C
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Choosing eCommerce Initiatives: B2B or B2C

Download file to see previous pages... Trading partners are parties which exchange EDI transmissions.
In Business to Business e-communication the main use of EDI is in Supply Chain Management. The supply chain management is the movement of commodities from one business to another in this case. This movement of goods and services is very important in stock management and accuracy in production process scheduling and successful delivery of products to the market. Traditional businesses, have used and relied on their sales, and purchasing departments, in development and maintenance of supplier and customer relationship. This interconnectivity improves customer service and hence being able to attract new suppliers and customers. This is brought about by the efficiency in handling the current customers. This makes them to be able to come back for a repeat purchase and also bringing others along. It would be easier for the business to improve services and goods through customer feedback and thus increase sales revenue.
B2B is an e Commerce platform where there businesses conduct transactions electronically over the computer networks. (Turban, et al. 2012). This is transactions between businesses such as between a manufacturer and a distributor. Here they use technology in their business transactions. The volume of transaction is much higher than that of between a customer and business. This is because it involves a lot material in the transactions such as buying of raw material. The transaction involving between a business and a customer involves a few finished products. (Information Resources Management Association, & Khosrowpour, 2001: 85)
The introduction and growth of internet has introduced significant opportunities to the consumers and businesses alike. This means that a business can remain for a whole day in a big market without incurring further expenses like was the norm before the web or when operating a traditional retail shop. Firms have now ability to buy and sell products in a ...Download file to see next pagesRead More
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