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Business To Business Exchange Essay

441 words - 2 pages

Business to Business (b2b) Exchanges1. The reason that a company would want to participate in a b2b exchange is that the b2b exchange is an online marketplace that quickly connects buyers and sellers. On a b2b exchange supply chain, transactions for entire industries can take place under one virtual roof. Business also takes place faster and more efficiently via the common platform of the internet.2. The have been several reasons that Business to Business exchanges have been slow to take off. The first reason that b2b was slow to take off was because of the different ...view middle of the document...

3. There are many positive and negative ways that b2b exchanges can impact the supply chain. First, b2b exchanges can't improve every element of the supply chain because an improved information flow is what they really have to offer. The major impact that b2b exchanges will have is the ability to speed up the flow of information and make it available more widely. Then, it can produce gains large enough to justify the big investments that b2b believers continue to make. The positive impacts are b2b exchanges will accelerate the flow of goods, information, and capital in both directions. B2b can also monitor the flow on the supply chain and promise a genuine impact. The negative impacts that b2b exchanges hold is sometimes there is no impact and flow of physical goods and this sets companies back. The second reason for failure in the supply chain is b2b exchanges don't function as promised this is because they have failed to recognize the supply chain's segment in different industries. The last negative impact on b2b supply chain is problems in streamline tasks, which lie closer to the heart of the supply chain management. For example, production planning, inventory control, and scheduling have all impacted b2b exchanges.

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