Changes of Characteristics of B to B Transactions in the Information Age: Opening Competition Destined for Continuous Cooperation

Abstract

Transactions can be characterized by three dimensions: (1) number of suppliers or buyers, (2) concentration ratio of inter-corporate transactions, and (3) degree of continuousness. In this survey, we investigate how transaction characteristics have changed in the information age. Our survey results clearly show that spot transactions produce negative effects on performance variables. Other results imply that opening competition destined for continuous cooperation saves transaction costs, decreases feedback time, and increases bargaining power.