B2B – Businesses-to-Business

What does B2B (Businesses-to-Business) signify and how does it relate to commerce?

A term that describes transactions or interactions that take place between two businesses, rather than a business selling directly to individual consumers. In a B2B model, one company provides goods or services to another company. In the context of the sneaker industry, B2B might refer to transactions between sneaker manufacturers and large retailers, or between a sneaker distributor and a sneaker store. For instance, a brand that produces sneakers might sell them in bulk to a retailer, which is a B2B transaction. The retailer then sells those sneakers to individual customers, which is a business-to-consumer (B2C) transaction. Sneaker resellers might also engage in B2B transactions if they're sourcing sneakers from a distributor or selling in bulk to another reseller or business. Understanding the difference between B2B and B2C is vital for sneaker resellers, as the strategies, pricing, and relationships differ between the two. In B2B, decisions are often based on long-term relationships, volume discounts, and contractual agreements. The purchasing process might be more formalized, with negotiations, purchase orders, and longer sales cycles compared to the more immediate and often emotion-driven purchases found in B2C transactions.