B2B
What Is Business-to-Business (B2B)?
Business-to-business (B2B), also called B-to-B, is a form of transaction between businesses, such as one involving a manufacturer and wholesaler, or a wholesaler and a retailer. Business-to-business refers to business that is conducted between companies, rather than between a company and individual consumer. Business-to-business stands in contrast to business-to-consumer (B2C) and business-to-government (B2G) transactions.
KEY TAKEAWAYS
Business-to-business (B2B) is a transaction or business conducted between one business and another, such as a wholesaler and retailer.
B2B transactions tend to happen in the supply chain, where one company will purchase raw materials from another to be used in the manufacturing process.
B2B transactions are also commonplace for auto industry companies, as well as property management, housekeeping, and industrial cleanup companies.
Meanwhile, business-to-consumer transactions (B2C) are those made between a company and individual consumers.