Supplier Competition in Electronic Marketplaces
نویسندگان
چکیده
Abstract. The advent of e-business heralds new opportunities and challenges for buyers and sellers in business-to-business commerce. The electronic trading reduces transaction and search costs and reduces other market inefficiencies. The electronic trading also shortens supply chains and lowers inventory carrying costs. On the other hand e-business increases supplier competition, reduces prices, and lowers the profit margins. Our study shows the potential benefits that accrue for the suppliers can offset the shrinkage of profit margins.
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