B2B Commerce enthusiasm is big – even despite the recent e-marketplace shake-out.
Internet Technology and its technical details involved in creating an e-marketplace is complex, important, and interesting, so that it was easy for many dot-coms to get lost in them. But when it comes to its base, e-business is not about bytes, but still about pure business, as the recent market development has shown.
Obviously, the market will now look more cautiously at the business model content and demands sustainable e-marketplace business model, which has been a basic reason for me to create a practical framework for the design of B2B e-marketplace models.
Breeding ground for my own e-business enthusiasm was certainly my internship at IBM Unternehmensberatung GmbH and further works within the IBM Consulting Group, where I had the chance to gain deeper insight in the creation of e-marketplaces.
During the creation of this report, I have truly been experiencing a lot of cooperative support, interesting discussions, as well as many helpful suggestions, and I would like to acknowledge the contributions of all who participated.
Especially, I wish to express my deep thanks to Martin Koppenborg, Vice President Strategic Accounts at emaro.com, an e-marketplace start-up, Frank Schmidt, Market Analyst at IBM’s e-business services, and to Dr. Alexander Hirschbold, Consultant at Mercer Management Consulting, who each played a critical role in the building process.
Table of Contents
1. Introduction
2. Basic Definitions of the New e-conomy
3. 10 Strategic Design Considerations for the Creation of a Business Model
3.1. Market and Stakeholder Analysis
3.1.1. Market Environment
3.1.2. Key Players
3.2. e-Marketplace Models
3.2.1. The eMP Cube Model
3.2.2. e-Marketplace Development
3.2.3 The different Roles of an e-Marketplace
3.2.4 Comment
3.3. Value Proposition
3.3.1. The Buyer
3.3.2. The Supplier
3.3.3. The Exchange/ The Investor
3.4. Key Parameters for an e-Marketplace and Value-Added Services
3.4.1. Information
3.4.2. Content Management
3.4.3. Supplier Sourcing
3.4.4. Commerce Facilitation
3.4.5. Transaction Management
3.4.6. Fulfillment
3.4.7. Settlement
3.4.8. Infrastructure & Integration
3.4.9. Collaboration
3.4.10 Value-Added Services
3.5. e-Marketplace Functional Architecture Model
3.5.1. Platform Layer
3.5.2. Application Layer
3.5.3. Customization Layer
3.6. Pricing Mechanisms
3.7. Revenue Model
3.7.1 The Different Revenue Streams
3.7.2 Comment on Revenue Model
3.8. Equity Structure
3.9. eMP Strategic Roadmap
3.10 Business Plan
4. Challenges in the B2B e-conomy
5. Industry-Specific Requirements for e-Marketplaces
5.1. Attractive Industry Attributes for an Exchange
5.2. The "Multiple Vertical" Strategy
5.3. Industry-Specific Requirements for e-Marketplaces
5.4. Dealing With the Nature of Industry Opportunities:
NTE (Case Study)
6. The "e2open.com" Business Model Design
A Reconstruction based on the 10 Strategic Design Considerations
7. Key Success Factors of Winning Business Models
8. Business Model Checklist
9. Conclusion and Outlook
Research Objectives and Themes
The primary objective of this report is to provide a practical, strategic framework for firms—including market makers, buyers, sellers, and service providers—that are looking to participate in or create a B2B e-marketplace. The research focuses on identifying critical business strategy components that must be addressed before technical implementation to ensure long-term viability in an evolving digital market.
- Methodological framework for designing B2B e-marketplace business models
- Critical analysis of strategic success factors and potential challenges
- Evaluation of e-marketplace architectural layers and functional requirements
- Detailed reconstruction of a real-world B2B business model (e2open.com)
- Assessment of industry-specific requirements for market adoption
Excerpt from the Book
3.2.1 The eMP Cube Model
The different forms of e-marketplaces emerge in terms of the fragmentation grade on either buy- or sell-side as well as of the product or process complexity.
The following model shall help the reader to position the different forms of Online Trading above all in terms of ownership, connectivity, and impact on B2B, since the dividing lines may not always be clear.
Distinct e-marketplace models have been emerging. The on-line trading segmentation is across three dimensions: (The development of the model is based on source: AMR Research)
Fragmentation Sell-Side is measured by the number of sellers within the industry. A highly fragmented sell-side will have a large number of suppliers.
Fragmentation Buy-Side is measured by the number of buyers within the industry. In case of an industry with little buy-side fragmentation, as for example the automobile industry, a handful of companies controls a majority of market shares.
Product/process complexity comprises several components: highly specific user needs, time-sensitive product, and efficiency or inefficiency of channel and manufacturing processes. All of the attributes can greatly impact the relationship between channel partners and the value chain.
Summary of Chapters
1. Introduction: This chapter provides an overview of the B2B e-commerce landscape, explaining the shift from internal IT automation to internet-based global platforms and the critical need for robust business strategies.
2. Basic Definitions of the New e-conomy: Defines foundational terminology such as e-commerce, e-business, e-marketplace, and e-trading networks to ensure a clear understanding of the digital trade ecosystem.
3. 10 Strategic Design Considerations for the Creation of a Business Model: This core chapter outlines a 10-step practical framework for designers to build a sustainable e-marketplace, covering everything from stakeholder analysis to the final business plan.
4. Challenges in the B2B e-conomy: Examines tactical obstacles in the real-world B2B environment, including market barriers, fulfillment logistics, and the complexities of migrating spending volume online.
5. Industry-Specific Requirements for e-Marketplaces: Focuses on the unique needs of vertical markets, highlighting the critical nature of domain expertise and deep content integration for successful industry-led exchanges.
6. The "e2open.com" Business Model Design: A detailed reconstruction and practical application of the 10 strategic design considerations, using the e2open.com electronics exchange as a case study.
7. Key Success Factors of Winning Business Models: Identifies essential factors for e-marketplace sustainability, such as liquidity, scalability, and the strategic importance of collaborative value-add services.
8. Business Model Checklist: Provides a structured checklist for designers to evaluate the strategic strength and potential improvement areas of their proposed business models.
9. Conclusion and Outlook: Summarizes the necessity of moving beyond simple order matching toward integrated collaborative communities, emphasizing that successful e-marketplaces must act as strategic partners in the value chain.
Keywords
B2B, e-Marketplace, Business Model, Strategy, e-Trading, Supply Chain, Value Proposition, Liquidity, Integration, Infrastructure, Procurement, Fulfillment, Stakeholder Analysis, Sustainability, Vertical Exchange
Frequently Asked Questions
What is the primary focus of this report?
This report provides a strategic, practical framework for designing and building sustainable B2B e-marketplace business models, moving beyond simple transaction platforms to integrated collaborative ecosystems.
What are the core thematic areas covered in the document?
The main themes include stakeholder and market analysis, e-marketplace functional architecture, revenue models, pricing mechanisms, equity structures, and industry-specific requirements.
What is the primary research question or objective?
The goal is to help businesses navigate the complexities of B2B e-marketplace initiatives by rationalizing critical business strategy issues before initiating technical implementation.
Which methodology is employed in this research?
The author uses a 10-step strategic design guideline synthesized from over 70 e-business sources, expert interviews, and case study analysis, such as the e2open.com reconstruction.
What topics are addressed in the main body of the report?
The report details market environmental factors, the evolution of e-marketplace models (from EDI to e-Trading Communities), functional layer architecture, and challenges like fulfillment, payment systems, and risk management.
Which keywords best characterize this work?
Key concepts include B2B, e-Marketplace, Business Model, Value Proposition, Supply Chain Management, and Strategic Roadmap.
How does the author analyze the "e2open.com" case study?
The author reconstructs the e2open.com business model by applying the proposed 10-step strategic design framework, analyzing its equity structure, technology partnerships, and value proposition.
Why is the "eMP Cube Model" significant for a designer?
It provides a three-dimensional visual framework—fragmentation (buy/sell-side) and product complexity—to help designers position their specific e-marketplace within the broader competitive landscape.
What distinction does the author make between "private" and "public" marketplaces?
The author differentiates them based on open access versus restricted membership and suggests that many "private marketplaces" are simply enhanced corporate extranets rather than true, neutral e-marketplaces.
- Citation du texte
- Birgit Hartmann (Auteur), 2001, Strategic Design of B2B e-Marketplace Business Models, Munich, GRIN Verlag, https://www.grin.com/document/185580
