How Does B2B Work

In the B2B business model, one business sells a set of products or services to another business.

In the B2B business model, one business sells a set of products or services to another business.

There is usually a group or department in that particular company that uses the products and services. It could be a single user on the buyer side making a transaction in support of the business goals of the company.

Some B2B transactions also involve the company using the products, such as computers, merchandise products, furniture, and productivity software.

For more complex or larger service or product purchases, the selection process of B2B product or service is handled by a buying committee, including:

• a technical decision-maker or someone who assesses the capabilities of the prospective products or services

• a business decision-maker, such as those responsible for the finances and budgeting

• influencers, such as those individuals who present inputs on the decision.

Often, large purchases involve a request for proposal, in which the buyer invites possible vendors to submit proposals detailing their products or services, terms, and pricing.