In today’s modern world we have so many new things and often
they have long names. To make our language easier we use abbreviations like LOL
(laughing out loud), especially when we write or sms. As a consumer it is
important to understand the types of relations between suppliers and buyers and
thus the terms we use such as Business-to-Business and Business-to-Consumer
because we need to understand the regulations in each of these markets and how
we are protected – or not.
In the diagram, it shows that the end user of a product or
service can either be a consumer, a business or government. (C, B or G). In the
same way, the supplier of a product can either be a consumer, a business or
government. (C, B or G).
Thus if the supplier is a business (B) and the purchaser is
a consumer (C) we refer to this type of transaction as B2C. If a person (C)
sells their car in a private sale to another consumer (C) it is a C2C
transaction.
Thus we have the following abbreviations
o
Government to Government (G2G) – For example, transactions that take place
between central government and the decentralised functions at local and
regional level, or purchasing of electricity by government departments from
town councils.
o
Government to Business (G2B) – Services provided by Government to the private
sector, for example the rental of industrial buildings by the Offshore
Development Company.
o
Government to Consumer (G2C) – The provision of education or registering
births and deaths is an example of services provided by Government. Some of
these service are stipulated as a right and should be provided free of charge,
while others are provided on a cost recovery basis.
o
Business to Business (B2B) – These include all services and products
supplied to the businesses as part of their production process or for own
usage. For example supply of copy machines or factories supplying goods to
retailers.
o
Business to Consumer (B2C) – The consumer is the end user of a product or service, for
example a retail store.
o
Business to Government (B2G) – These refer to transactions where government
is the end user of a product or service. Most of these are done on a contract
through a tendering process.
o
Consumer to Consumer (C2C) – These normally refer to transactions of sale between consumers
and can also include legally enforced financial transactions such as child
maintenance
o
Consumer to Business (C2B) – This normally refers to where consumers are paid a fee or
commission for promoting a product or service on behalf of a company.
o
Consumer
to Government (C2G) – These are transactions where fees are paid via online
payments for services such as licence fees or taxes
In Namibia we have been discussing the electronic transactions
legal framework, but, as in the case of the consumer protection laws, nothing
has yet been tabled in Parliament. As we become part of the global village, and
the accompanying international trade environment, it is important that we get
the legal framework in place to protect us as consumers.
