What Is Collaborative B2B E-Commerce

Collaborative B2B e-commerce or c-commerce as it isautomated systems to ensure an error free
more popularly known refers to the process ofenvironment ensuring users access to data by
companies sharing their intellectual capital as well aschecking if they are authorized to access that data
their core competencies using the Internet and B2Bwithout wasting much time. Businesses should have
exchanges. Businesses are linked to their partnerswell defined corporate policies regarding compliance
using extensive, complicated and expensiveto all the rules and regulations that govern the
infrastructure that enables them to interact with eachexchange of information as well as procedures to
other, sharing data and working together to in aensure their implementation. Delegate authority to
reliable and secure B2B exchange. B2B exchanges candecide on the level of access to data any employee
be public or private; businesses prefer privatecan get and opt for systems that maintain user logs
exchanges, as they are considered more secure,and audit trails for security purposes. It is better to
reliable and where they can control the infrastructure.have experienced personnel to help implement the
Public exchanges are relatively cheaper; offer theplans.
chance of recruiting new customers but theseChallenges Faced By Businesses Opting To Use
exchanges have not been very successful.Collaborative B2b E-Commerce:
When businesses collaborate and participate in B2BCollaborative B2B e-commerce is still untested
e-commerce, they save time and labor, reduceterritory for many businesses as they are daunted
inventories, can easily find new customers and workby the numerous challenges it faces.
with them in a common platform, have excellent1. Investing in the infrastructure needed to integrate
control over their supply chain integration and get ainternal, as well as external processes can be a very
competitive edge. Transactions are more transparentcostly venture few companies are able to afford.
and business processes are more streamlined. With2. Getting business partners to agree to use
efficient B2B integration, B2B partners can collaboratecollaborative B2B e-commerce can be another
more effectively helping growth and boosting sales.challenge.
Collaborative B2B e-commerce requires the exchange3. Security of data shared is another aspect to be
of data and business processes between multipleconsidered.
business partners such as suppliers, traders, buyers4. The more the number of business partners, the
and distributors necessitating a large complexharder it is to get to design an infrastructure that can
infrastructure that may cost between $30,000 to adeal with the different needs of the different
few million dollars!partners of the collaboration.
Certain basic factors influence successful collaborativeThere are firms that offer services as well as
B2B e-commerce such as being able to shareproducts that help run businesses successfully.
resources to cooperate better, having state of art