This will also ensure attendant benefits for the economy. The main impediment to the takeoff of B2B in the today's world is inadequate information and communications technology (ICT) infrastructure, as well as shortcomings in physical infrastructure, logistics and trade facilitation. A rapid growth in both e-commerce and Internet use is expected to continue. This applies especially in context to the developing world with low penetration rates. Internet use recorded a growth of 30% in 2001. It should be noted here that one third of all new users belong to the developing world. E-commerce is increasing in these countries at a very slow rate especially in the case of B2B comprising around 95% of all e-commerce.
Source: PRESS RELEASE, 18 November 2002. TAD/INF/PR65. GOOD PROSPECTS FOR IT INDUSTRY IN 2003, PREDICTS UNCTAD; Developing world looks to e-business for growth. Asia Pacific Network Information Centre. Official website.
Disintermediation is defined as the removal of intermediaries in a supply chain in terms of economics: "cutting out the middleman". companies may now deal with every customer directly like through the Internet instead of using traditional distribution channels having some type of intermediate like a distributor, wholesaler, broker, or agent. Drop in the cost of servicing customers directly is the most important feature. Disintermediation is the result of high market transparency where the buyers are aware of supply prices direct from the manufacturer. Buyers bypass all the middlemen like the wholesalers and retailers in order to buy directly from the manufacturer and thereby paying less money. Buyers can also select to purchase from wholesalers. A B2C intermediary functions as the bridge between buyer and manufacturer. A typical B2C supply chain is composed of four or five entities (in order):
Source: wikipedia. Disintermediation.
Review on an article on backend EC integration
All enterprises are lining up into virtual alliances in order to remain competitive in the globalizing markets. Virtual enterprises constitute location-independent association of financial institutions, industrialist and many more aimed towards a shared goal. These networked organizations do integrate their value chain to enhance the customer-perceived added-value while sharing their resources in a more efficient way then ever. The paper by Ralf Reussner is entitled as Enhanced Component Interfaces to Support Dynamic Adaption and Extension. A new interface model for software components is presented in this paper that not only specifies static information but also semantic applicability information in order to ensure non-conflicting run-time behavior and to facilitate component adaptation. The paper by Niels Christian Jul compares two E-Commerce servers, IBM's NetCommerce and Microsoft's Site Server Commerce based on a B2B case study. It emphasizes on the integration of the servers