Abstract
The emergence of B2B electronic markets has greatly changed the relative bargaining power of buyers and sellers. We study the equilibrium market structure in a buyer’s market. We find that buyer-controlled B2B markets and neutral B2B markets have different equilibrium structures, and the emergence of B2B markets will increase social welfare, but its effect on buyers and sellers will be different: B2B markets increase the consumer surplus of the end market, but their effects on buyer and seller profits are moderated by the relative bargaining power of buyers and sellers. The profits of the side with much weaker bargaining power will decrease due to the introduction of B2B markets.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callMore From: Journal of Systems Science and Systems Engineering
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
