E Commerce Exchanges Conducted Through Marketplaces

Vermont Teddy Bears is a private company that specializes in the manufacture of novelty items based on an e-commerce business model. Company management aims to generate new revenue streams through modifications to the retail system and the

This can be done at a fraction of what it would cost the businesses to build their own systems and infrastructure. This system provides businesses with a network of distribution centers, warehouses, inventory management, and customer call centers so they can take orders on their web sites.

A lot of attention has been paid to what will happen to bib business. Smaller businesses also will be significantly impacted and must start preparing now.”

FSC offers a list of services for business owners to choose from, depending on their particular business needs.

Li & Fung is a long-standing Hong Kong based company that that has evolved from an export trading company to a coordinator of value-added services across the entire supply chain in a global, open manufacturing environment. They assess the clients’ product and delivery needs and orchestrate supply, manufacture and delivery in a very tailored and specialized way (Claremont Conversation Online, 2008). In the prevailing business environment, it has not been cost effective to trade with SMEs since production orders were below the factory minimums. Through the implementation of an internet portal, they have secured their position with the SME market while maintaining economies of scale.

- Providing consultation services to business purchasers as well as showcasing products specifically designed for business applications.

“Smart-Toys-Smart Kids” is a toy manufacturing company. They are providing toys to retail stores in the region. The company has 500 employees. The CEO of the company Fred is looking for alternatives to streamline B2B transactions between his employees and the retail stores. Fred's information systems department has presented him with two alternatives for developing the new tools for better customer service with the retail stores.

By grafting its system of custom direct sales onto the Internet infrastructure, Dell has transformed these activities, creating an innovative and efficient procurement, production, and distribution network. The innovative advance made by Dell in deploying Internet communication as the foundation of its production network, is a process innovation. Although to some extent, the Internet has enabled Dell to create a new product -- a PC custom-configured through Internet communication -- it is the process of organizing flows of materials and information within its network, from customer order to procurement, production and delivery, by means of Internet communication, that defines the innovation at the Firm. The case supports this notion by stating “While most other PCs were sold preconfigured and pre-assembled in retail stores, Dell offered superior customer choice in system configuration at a deeply discounted price, due to the cost-savings associated with cutting out the retail middleman. Additionally, an important side-benefit of the Internet-based direct sales model was that it generated a wealth of market data the company used to efficiently forecast demand trends and carry out effective segmentation strategies. This data drove the company’s product development efforts and allowed Dell to profit from information on the value drivers in each of its key customer

BusinessObjects is the most widely used and powerful tool the sales team has at its disposable. This data warehouse provides us with significant volumes of information that can be used to support business decisions both internally and externally. We can answer customer questions in a short time span and document our service to them over the last five years. The service and pricing data is most widely called for and every representative has used their own queries to answer these questions. While the individual initiative to respond to these inquiries is positive, they are inconsistent because of the use of custom queries.

This large “make to order” manufacturer, offers numerous custom solutions that required myriad parts. With an outdated operations solution and no existing Bill of Materials (BOM) to efficiently plan for parts, many of which were exclusive to each manufacturing

By the company reaching out to customers and working with them on how to repay the item purchase it generates a professional environment while still maintaining essentials of running a business.

Grainger will drive the future of material requirement for operations (MRO) purchases through strategic operations by focusing on growing current customers and embracing new technologies that will strengthen the company’s current capabilities. Over the last three years Grainger has made significant investments into emerging technologies that allow for more efficient workflow and faster turnaround times on sourcing quotes for those hard to find items or “one-offs”.

The office supplies industry in 1985 is highly fragmented and the market scope is broad. On the manufacturer level, there are various groups of companies that provide different categories of office supplies. On the wholesaler level, wholesalers, who are mostly large in size while few smaller ones exist, are the main distributors to big business clients and small retailers who buy in bulks either through direct channel or a network of dealers. Dealers, who vary in size, also sell directly to businesses while some dealers have retail presence. On

W. W. Grainger, Inc. is a leading supplier of maintenance, repair, and operating (MRO) products to businesses and institutions in the United States, Canada, and Mexico with an expanding presence in Japan, India, China and Panama. The company works with more than 3,000 suppliers and runs an extensive Website (http://www.grainger.com) where Grainger offers nearly 900,000 products. The products range from industrial adhesives used in manufacturing, to hand tools, janitorial supplies, lighting equipment, and power tools. When something is needed by one of their 1.8 million customers it is often needed quickly, so quick service and product

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