The Development Path and Pricing Mechanism of B2B Cross-border ECommerce Platform
Journal: Advanced Management Science (AMS)
Author: Jing Zhang*, Jianguo Zheng
This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited
B2B cross-border e-commerce platform replaces the traditional role of trade broker in international trade to some extent, and functions as a trade intermediary platform. However, unlike the general trade broker, it does not aim at earning trade spread, but achieves its benefits by charging lower compensatory costs and higher value-added costs. Although cross-border e-commerce platform can reduce the cost of information collection between buyers and sellers, it can increase the cost of information screening and increase the quality risk of buyers and sellers. Therefore, its future development path needs to be oriented to reduce the cost of information screening between buyers and sellers, and take a more professional development path. The degree of specialization depends on the trade-off between the costs of information screening. To achieve this path, cross-border e-commerce platforms should have different pricing strategies for users with different needs, with a higher fixed cost and higher marginal cost for those with lower demand.