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Consumer to Business E-commerce

Consumer-to-business or C2B is a business model in which consumers or specifically individuals create value, which the businesses consume. Like when a consumer gives reviews or a useful idea for new product development then that consumer is creating value for the business if the business adopts the input. Accepted concepts are crowd sourcing and co-creation.

The C2B model, also known as a reverse auction or a demand collection model, enables buyers to name or demand their own price, which is often binding, for a specific good or service. The website then collects the demand bids which then offer the bids to participating sellers.

C2B also has the electronic commerce business model in which consumers can offer products and services to companies, and then these companies pay the consumers. This business model is a complete reversal of the traditional business model in which companies offer goods and services to consumers. We can see the C2B model at work in blogs or internet forums in which the author offers a link back to an online business thereby facilitating the purchase of a product, for which the author might receive affiliate revenues from a successful sale.

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