Lecture Electronic commerce - Chapter 6: B2B Exchanges, Directories and Other Support Services learning objectives: Define exchanges and describe their major types. Describe the various ownership and revenue models of exchanges. Describe B2B portals. Describe third-party exchanges. Distinguish between purchasing (procurement) and selling consortia. | Chapter 6 B2B Exchanges Directories and Other Support Services 2008 Pearson Prentice Hall Electronic Commerce 2008 Efraim Turban et al. Learning Objectives 1. Define exchanges and describe their major types. 2. Describe the various ownership and revenue models of exchanges. 3. Describe B2B portals. 4. Describe third-party exchanges. 5. Distinguish between purchasing procurement and selling consortia. 6-2 Learning Objectives 6. Define dynamic trading and describe B2B auctions. 7. Describe partner relationship management PRM . 8. Discuss integration issues of e-marketplaces and exchanges. 9. Discuss B2B networks. 10. Discuss issues in managing exchanges including the critical success factors of exchanges. 6-3 B2B Electronic Exchanges An Overview public e-marketplace public exchange A many-to-many e-marketplace. Trading venues open to all interested parties sellers and buyers usually run by third parties. Some are also known as trading exchanges market maker The third party that operates an exchange and in many cases also owns the exchange 6-4 B2B Electronic Exchanges An Overview 6-5 B2B Electronic Exchanges An Overview 6-6 B2B Electronic Exchanges An Overview vertical exchange An exchange whose members are in one industry or industry segment. It trades only in materials services unique for that industry horizontal exchange An exchange that handles materials used by companies in different industries 6-7 B2B Electronic Exchanges An Overview dynamic pricing A rapid movement of prices over time and possibly across customers as a result of supply and demand matching 6-8 B2B Electronic Exchanges An Overview The typical process that results in dynamic pricing in most exchanges 1. A company posts a bid to buy a product or an offer to sell one 2. An auction forward or reverse is activated 3. Buyers and sellers can see the bids and offers that usually remain anonymous 4. Buyers and sellers interact with bids and offers in real time Sometimes group purchasing is used to obtain
