B2B
Business-to-business (B2B) is
the exchange of products, services, or
information between businesses rather than
between businesses and consumers (B2C).
History
Electronic commerce as such
exists already for over 20 years. In sectors
such as retail and automotive,
Electronic Date Interchange (EDI) for
application-to-application interaction has been
used. For defence and manufacturing,
Computer Aided Logistics Support (CALS) has
been developed to integrate information across
larger parts of the value chain. These forms of
electronic commerce have however been fairly
limited in their diffusion and take up.
With the advent of the
Internet, B2B electronic commerce has taken an
explosive development. B2B e-commerce is
accounting for the main share of electronic
commerce. According to CAGR, the money volume of
B2B exceeds that of B2C by about 10 to 1, with
149.1 bn Euro in 2001 for B2B in Western Europe
compared with 22.5 bn Euro for B2C.
Trends
Despite the dot.com crisis,
B2B is expected to grow considerably in the
coming years. In its July 2002 report
The Future Of Europe's Online B2B Trade,
Forrester research estimates B2B revenue
worldwide to be $2.2 trillion Euro in 2006, and
net trade to surge from 2% of total business
trade in 2002 to 10% in 2004.
Companies have many options
to buy and sell over the Internet. Besides EDI,
which is still widely used, they can buy on a
supplier’s website or sell over their own
Internet portal. An option widely used are also
B2B electronic marketplaces.
Benefits for companies
The main benefits companies
undertaking B2B have are
-
Cost savings due to savings
in electronic purchasing and sales, effective
supply chain management, collaboration,
increased market transparency, increased
global sourcing possibilities and the
expansion of existing and new markets.
-
Innovation orientation for
new products and services, due to the
possibility for close interaction and
cooperation with customers and suppliers
through technology partnership and
collaborative commerce.
-
Increased time to market.
According to a Goldman Sachs
study, B2B estimated cost savings by sector
range from 5 % in the health care sector up to
29-39 % in the electronic component sector. For
more information and case studies on cost
savings achieved see the report
Impact of E-Commerce on the Economy .
Legal and regulatory issues
The most important legal
documents for B2B e-commerce to consider are:
-
E-commerce Directive - establishes the
country of origin principle to ensure the free
movement of Information Society services
within the EU and provides the basis for the
legal validity of electronic contracts. It
also defines transparency obligations for
service operators, such as information
requirements on the identity of the service
provider, information requirements on prices
and information requirements on the terms and
conditions of the contract.
-
E -signatures Directive - creates a
harmonised framework for the use and the legal
validity of e-signatures.
-
Brussels Regulation - gives the option for
the parties to agree upon the competent court
for B2B cross border disputes.
-
Rome Convention - stipulates free choice
of law for B2B cross border transactions.
Glossary: the most
important definitions from the world of B2B
Agent technologies
Application service provider (ASP)
Auctions
Catalog aggregators
Customer Relation Management (CRM)
Electronic Date Interchange
Enterprise Resource Planning (ERP)
E-outsourcing
E-Procurement
ebXML/
ebXML initiative
Exchanges
Infomediary (business)
Interoperability
Maintenance, repair, and operating equipment (MRO)
Net Market:
Request for Proposals (RFP)
Request for Quotation (RFQ)
Reverse auction
Standards
Supply Chain Management
Virtual private marketplace
Hungry minds
Papers, reports, studies
The following papers, reports
and studies on B2B marketplaces are available on
the web and are generally free, or contain
interesting free samples and/or summaries.
The Future Of Europe's Online B2B Trade,
Forrester Research report, July 2002
Einsatz von Open-Source Software in Unternehmen
und oeffentlichen Unternehmen: Ergebnisse aus
Deutschland, Schweden und Großbritannien,
Berlecon Research, July 2002
E-Business-Integration und Web Services: Chancen
und Perspektiven im deutschen Markt,
Berlecon Research, April 2002
Virtual marketplaces in the chemicals sector:
B2B turnover expanding strongly, Deutsche
Bank Research, January 2002
Virtual marketplaces: Big is beautiful,
Deutsche Bank Research, October 2001
A performance index for B2B marketplaces,
Joint McKinsey & Stanford University Business
School’s Center for Electronic Business and
Commerce research McKinsey Quarterly, 2001
Number 2 Web exclusive. .
B2B e-Commerce for European Hi-Tech,
NetmarketsEurope, April 2001
Electronic Marketplaces for Companies - Myth or
Reality?. Jonas Bygdeson, Louise Gunnarsson,
eMarket Services - Swedish Trade Council,
February 2001. This report describes how to
categorize electronic marketplaces, their
functionality and their value adding activities.
A
Standards-based, P2P Approach to Marketplaces
and Exchanges. Doug Ross, Chief Technology
Officer, BadBlue.com, February 5, 2001. A
commercial white paper but a good overview of
the issues involved in melding P2P and B2B
The Insider's ’ Guide to B2B Integration,
NetmarketsEurope, Chris Bridges, February 2001
The Challenge of Online Trust in B2B,
NetmarketsEurope, Julian Bond, January 2001
E-real estate – The Real Estate Sector in the
Internet Age, Deutsche Bank Research,
5.01.2001
Business uses of Peer to Peer (P2P) Technologies,
Netmarkets Europe, January 2001
P2P in B2B, Workshop, Netmarkets Europe,
December 2000
The B2B Internet Report- Collaborative Commerce,
Chuck Phillips and Mary Meeker, June 2000
B2B Darwinism - How e-Marketplaces Survive (and
Succeed), John Ferreira, John Christensen,
Deloitte Consulting, 2000. A study by Deloitte
Consulting outlining the critical success
factors for e-marketplaces in a period of
consolidation.
eB2B in the financial services industry,
Arthur Anderson, Summer 2000
B2B industry overview, Jon Ekoniak and
Timothy Klein, US Banccorp Piper Jaffray, May
2000
B2B Marketplaces in Germany, Berlecon
Research
Netrana - The Death of the Fat Butterfly,
Rusty Braziel and Andrew McAfee, White paper on
how P2P technologies can be used in B2B markets.
Books
Online Dispute
Resolution for Business: B2B, Ecommerce,
Consumer, Employment, Insurance, and Other
Commercial Conflicts
by Colin Rule, Jossey-Bass; ISBN: 0787957313;
September 2002
Net Markets: Driving
Success in the B2B Networked Economy
Tom Dagenais,David A. Gautschi / Hardcover /
McGraw-Hill Companies, August 2002
B2B Integration: A
Practical Guilde to Collaborative E-Commerce
Gunjan Samtani / Paperback / World Scientific
Pub Co, ISBN: 1860943268, August 2002
Ebxml Simplified: A
Guide to the New Stadard for Global E-Commerce
Eric Chiu / Paperback / Wiley, John & Sons,
Incorporated, ISBN: 0471204757, June 2002
B2B: How to Build a
Profitable E-Commerce Strategy
Michael J. Cunningham / Paperback / Perseus
Publishing, May 2002
The Interactive
Marketplace: Business-to-Business Strategies for
Delivering Just-in-Time, Mass Customized
Products, Keith T. Brown / MS Reader
eBook / McGraw-Hill Companies, ISBN; 0071374434,
April 2002
The
eMarketplace:
Strategies for Success in B2B eCommerce
Warren Raisch / MS Reader eBook / McGraw-Hill
Companies, ISBN: 0071380124, April 2002
Ebxml: The Technical
Specification
Aaron E. Walsh / Paperback / Prentice Hall
Professional Technical Reference, January 2002
The B2B E-Commerce
Handbook
Matt Haig / Hardcover / Kogan Page, Limited,
January 2002
Making the e-Business
Transformation/
trad. e-Business en la pratica
Peter Gloor, Ediciones Mundi Prensa/ Springer
Verlag London, 2002
Global Digital
Business: A Perspective for Creating B2B Value
Tim Wroblewski / Adobe Acrobat eBook /
McGraw-Hill Companies, January 2002
B2B Marketing: A
Radically Different Approach for
Business-to-Business Marketers
Steve Minett / Financial Times-Prentice Hall
Books (FT-PH), ISBN: 027365425X, January 2002
Beyond the Exchange:
The Future of B2B
Richard Wise, David Morrison, Harvard Business
School Press; ISBN: B00005RZAR; January 2002
Implementing B2B
Commerce with .Net
Lyn Robison, Paperback, Addison Wesley, December
2001
Professional ebXML
Foundations
D.A. Chappell, V. Chopra, J.J. Dubray, C. Evans,
B. Harvey, T. McGrath, D. Nickull, M. Noordzij,
B. Peat, P. van der Eijk, J. Vegt, Wrox Press,
2001.
E-Commerce: Business,
Technology, Society
Kenneth C. Laudon, Carol G. Traver / Hardcover /
Addison Wesley, November 2001
B2B
and Beyond: New Business Models Built on Trust
Harry B. Demaio, Hardcover, Wiley, John & Sons,
Incorporated, September 2001
One to One B2B:
Customer Development Strategies for the
Business-To-Business World
Don Peppers, Martha Rogers, Doubleday; ISBN:
0385494092; May 2001
Understanding B2B
Matthew Friedman,Marlene Blanshay / Hardcover /
Dearborn Financial Publishing, Inc., ISBN:
0793144892, April 2001
Building B2B
Applications with XML: A Resource Guide
Michael Fitzgerald, John Wiley &
Sons; ISBN: 0471404012; 1 edition March 2001
Learning XML
Erik T. Ray,Christopher R. Maden / Paperback /
O'Reilly & Associates, Incorporated, January
2001
B2B Application
Integration: e-Business-Enable Your Enterprise
David S. Linthicum, Addison-Wesley Pub Co; ISBN:
0201709368; 1st edition, January, 2001 |