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Business To Business Transactions
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Business To Business Transactions

whatafy August 22, 2018

Business to business transactions are pretty much as the title describes, they are essentially one business selling either a product or service to anther business. These are not retail sales, which transpire when a business sells a product or service to a consumer.

Businesses to business transactions make up a great deal of all counties economies. Think about this for a minute, when a firm makes a product of some kind they usually either have to acquire the parts or raw materials for that item from another company. To make the product itself, more than likely they will require machinery of some sort, which of course they previously obtained from some kind of other company.

To get the parts or raw materials to the factory, they had to use a transportation company. Then after they have completed the product, they also require another firm that specializes in transportation to get it to the buyer of the product, which in most cases is normally another company of some kind. All of these businesses to business transactions have to take place before the product are in a retail outlet where the consumer can finally buy it.

It is easy to see, that when it comes to businesses to business transactions, that quite a few of them have to take place before the final user of that product is able to purchase it.

That does not even take into account the many other businesses to business transactions that had to happen that had nothing to do with the actual manufacturing of the product, such as, financing, banking, or health insurance for the employees of all of the companies involved in this process. As you can see, this is a significant part of all countries economies, and it employees a tremendous amount of people that make it all happen for the consumer.

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