What do b2b and b2c models mean?

The b2b model refers to the business model of goods, services, and information transactions between merchants and enterprises, and between enterprises; its characteristics are: focus on professionalism, high reliability, and long cycle. The b2c model refers to a model of e-commerce and a retail model that sells products and services directly to consumers.

The operating environment of this tutorial: Windows 7 system, Dell G3 computer.

What does the b2b model mean

The full English name of B2B is BusinesstoBusiness, which is very easy to understand from the literal meaning. It is the goods and services between merchants and merchants and enterprises. The business model of service and information transactions, such as the well-known Alibaba and Huicong, is the B2B business model.

Characteristics of the B2B model:

• Focus on professionalism, whether it is negotiation skills or purchasing capabilities, it is a test of the professionalism of employees;

• Reliability, because B2B represents an enterprise, it will be more rational, reliable, and the process is relatively standardized;

• The cycle is longer, because the relationship between merchants and enterprises Negotiations between enterprises take time, so the transaction cycle will be longer, but it will also be relatively stable;

Advantages:

The implementation of e-commerce between enterprises will drive the cost of enterprises decline while expanding corporate revenue sources. The following will analyze the four aspects of procurement cost, inventory cost, turnover time and market expansion opportunities.

• Reduce procurement costs

  By establishing inter-enterprise e-commerce with suppliers, enterprises can realize online automatic procurement, which can reduce the human, material and financial resources invested by both parties in transactions. . In addition, the purchasing company can integrate the company's internal procurement system and purchase from suppliers in a unified manner to obtain discounts for bulk purchases. For example, Wal-Mart connects more than 3,000 supermarkets in the United States through the Internet, conducts unified purchasing and distribution, and saves a lot of purchasing costs through bulk purchasing.

• Reduce inventory costs

  Enterprises establish inter-enterprise e-commerce systems with upstream suppliers and downstream customers to achieve customized production based on sales and customized supply based on production. Achieve efficient operation and unification of logistics and maximize inventory control. For example, by allowing customers to order online, the company's business processes can be efficiently run and inventory costs can be greatly reduced.

• Save turnaround time

  Enterprises can also establish a unified e-commerce system with suppliers and customers to achieve direct communication and transactions between their suppliers and their customers. , Reduce the turnover link. For example, Boeing purchases its spare parts from suppliers, and a large part of these spare parts are used by its customers when airlines repair aircraft. In order to reduce the intermediate turnover link, Boeing established an e-commerce website to achieve direct communication between Boeing's suppliers and customers, greatly reducing the turnover time of spare parts.

What does the b2c model mean?

B2C in English is Business to Consumer, which refers to a model of e-commerce and is also a direct sales to consumers Retail model of product and service business.

The simple explanation is the business model of transactions between merchants and consumers. Taobao and Dangdang are relatively well-known B2C model platforms.

What is the difference between b2b and b2c?

The difference between B2B and B2C mainly has three aspects: the group, sales, and pricing are different

B2B is a transaction between merchants and enterprises, and B2C is a transaction between merchants or companies Transactions with users and consumers;

B2B sales are mainly channel-based and pay more attention to professionalism, while the main purpose of B2C is to promote the brand and enhance visibility;

B2B pricing is generally negotiated The space is relatively large, B2C has clearly marked prices, and the room for negotiation is relatively small.

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