Business to Business Electronic Commerce: Challenges and by Merrill Warkentin

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  • April 2, 2017
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By Merrill Warkentin

Within the mid Nineteen Nineties, the common adoption of the net browser resulted in a quick commercialization of the net. furthermore, preliminary luck tales have been said from businesses that discovered the best way to create an efficient direct advertising channel – promoting tangible items to shoppers at once with the realm large net. via the top of the Nineties, the subsequent revolution all started – known as business-to-business digital trade. company to enterprise digital trade will supply researchers and practitioners alike with a resource of information on the topic of this rising region of industrial.

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Extra resources for Business to Business Electronic Commerce: Challenges and Solutions

Sample text

As most organizations already have a fair amount invested in existing applications, integration with these legacy systems is also crucial, with serious technical and business process implications. The fact that issues of security and confidentiality tend to play a more critical role in an interorganizational setting than internally adds to the complexity (Gebauer & B2B Applications to Support Business Transactions 41 Schad, 1999). To meet these needs, significant customization might be required.

In these cases, suppliers may also want to control the information that is provided in the online market. For example, a supplier may want to emphasize descriptive information of products and services over price, making it difficult for buyers to purchase on the basis of price alone. Information provided through the online market can help to differentiate among products and services, even those normally regarded as commodities. In this context, it is important to note that among the most distinguishing factors in inter-organizational systems is the fact that there is typically no centralized layer of management decisions, but rather that each of the participants decides independently on its level of participation and commitment.

As a result, the question of how to sign on enough participants plays an important role. Assuming rational behavior of the actors, participation should yield a positive net benefit from the perspective of the individual organization. For a buy side solution, for example, the sign up costs for a supplier might include all investments necessary to prepare and upload catalog data, integrate with backend systems, train staff and adjust business processes. In sum, these efforts should not outweigh the benefits of participation (Gebauer & Buxmann, 2000).

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