Buyers Power Limited, but increasing. Most companies realize that they need to head in the direction of Internet procurement for various reasons. As more and more companies are ready to make the shift, there will be more and more competitors offering services in this area. As this happens, buyers will become increasingly more powerful as they have more and more options. It is imperative to keep ahead of the competition in terms of technology and services offered, have strong partnerships, and develop customer loyalty while this industry is relatively young.
Suppliers have even less power with companies that are using a competitor s solution.
However, once a company has invested in a supplier s Internet procurement services, that supplier then becomes relatively powerful. The customer then relies on the supplier for one of it s most mission critical areas, obtaining supplies. Oracle Proven technology, customized solution for middle market, high level of integration with existing systems 2. Ariba Offers not only internet procurement services, but a complete system 3. Commerce One Automates both internal processes and external supplier interactions.