Business-to-consumer
Business-to-consumer (B2C, sometimes also called Business-to-Customer) describes activities of businesses serving end consumers with products and/or services.
An example of a B2C transaction would be a person buying a pair of shoes from a retailer. The transactions that led to the shoes being available for purchase, that is the purchase of the leather, laces, rubber, etc. as well as the sale of the shoe from the shoemaker to the retailer would be considered (B2B) transactions.
Business-to-business
Business-to-business (B2B) describes commerce transactions between businesses, such as between a manufacturer and a wholesaler, or between a wholesaler and a retailer.
The volume of B2B transactions is much higher than the volume of B2C transactions. The primary reason for this is that in a typical supply chain there will be many B2B transactions involving subcomponent or raw materials, and only one B2C transaction, specifically sale of the finished product to the end customer. For example, an automobile manufacturer makes several B2B transactions such as buying tires, glass for windshields, and rubber hoses for its vehicles. The final transaction, a finished vehicle sold to the consumer, is a single (B2C) transaction.
Etymology
The term "business-to-business" was originally coined to describe the electronic communications between businesses or enterprises in order to distinguish it from the communications between businesses and consumers (B2C). It eventually came to be used in marketing as well, initially describing only industrial or capital goods marketing. Today it is widely used to describe all products and services used by enterprises. Many professional institutions and the trade publications focus much more on B2C than B2B. This is a strange development as most sales and marketing people work in B2B.
Consumer-to-consumer
Consumer-to-consumer (C2C) (or citizen-to-citizen) electronic commerce involves the electronically-facilitated transactions between consumers through some third party. A common example is the online auction, in which a consumer posts an item for sale and other consumers bid to purchase it; the third party generally charges a flat fee or commission. The sites are only intermediaries, just there to match consumers. They do not have to check quality of the products being offered.
Examples of C2C
This type of e-commerce is expected to increase in the future because it cuts out the costs of using another company. An example on how it could change in the future from Management Information Systems, if you are driving around in a car, someone having a garage sale can transmit to your GPS advertising their garage sale. This will reach a larger population than just signs.
- No quality control
- No payment guarantee
- Hard to pay for using cheques, ATM cards, etc. but in the future this is likely to change.
Universities
C2C are becoming more popular amongst students in universities because these are large communities in the same geographical region that are low on money. So they are looking for deals very often and these kinds of websites offer this. Universities themselves set up places for students to sell textbooks and other stuff to other students, you can even advertise that you are subletting your apartment. An example of this from above is Tiger books and Dalhousie University Classifieds, both of these are put together by the school itself for the students
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