E-Commerce
The B2B transactions are generally conducted between suppliers and manufactures and then within manufactures and distributors and between manufactures and retailers directly.
The buyer and sellers have authorized access to each other’s information system and orders are placed of services, which are provided either via internet or through a private source.
The physical transaction is conducted between the two parties directly while the financial aspect of the transaction is conducted within the two parties and these financial aspects of the transaction are facilitated by an intermediary, which in most cases may be a bank.
Business organizations and even governments are switching towards electronic commerce to generate higher profits, cut costs and build intangible assets such as customer loyalty, brand equity and public convenience. Some of the most successful adopters of electronic commerce are achieving all the benefits. Electronic commerce generates revenues through advertising, subscription and scale of product and services, which heavily depends on contents and technology.
In the age of E-commerce most firms and governments are on the websites. Web based databases and directories are becoming exceedingly popular and useful. The leading web-based directory service providers are becoming popular and useful enormously. It should be kept in mind that customers on the web have greater access to choose moving from one shop to another which may be a matter of minutes or hours but on the net offer level is of lower prices than the traditional market outlets, customers buy from websites which render better services. From the customer side the rejection of web shopping sites induced reasons of poor customer service followed by no credit card acceptance, non-acceptance of payment through bank accounts, inadequate goods return policy and so on.
Thus to be successful in sphere of e-commerce, every company has to be very competitive in terms of costs as well as in provisions of customized services.
By Hina Nisar(288/10)
