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We have strategic partnerships with industries at global level to facilitate and develop trade in B2B and B2C market segments for diversified categories of products.
B2B Business-to-business e-commerce between companies, deals with relationships between and among businesses.
B2C Business-to-consumer e-commerce between companies and consumers, involves customers gathering information; purchasing physical goods or information goods and, for information goods, receiving products over an electronic network.
About 80% of e-commerce is of B2B type, and most experts predict that B2B e-commerce will continue to grow faster than the B2C segment.
The impact of B2B markets on the economy of developing countries is evident in the following:
Transaction costs: In B2B markets, buyers and sellers are gathered together into a single online trading community, reducing search costs and time. B2B also decreases the costs of processing transactions (e.g. invoices, purchase orders and payment schemes), as B2B allows for the automation of transaction processes and therefore, the quick implementation of the same. Efficiency in trading processes and transactions is also enhanced through the B2B e-market’s ability to process sales through online auctions. Finally, online processing improves inventory management and logistics.
Disintermediation: Through B2B e-markets, suppliers are able to interact and transact directly with buyers, thereby eliminating intermediaries and distributors.
Transparency in pricing.Among the more evident benefits of e-markets is the increase in price transparency. The gathering of a large number of buyers and sellers in a single e-market reveals market price information and transaction processing to participants. In the e-marketplace, the requirements of both buyers and sellers are thus aggregated to reach competitive prices, which are lower than those resulting from individual actions.
Economies of scale and network effects. The rapid growth of B2B e-markets creates traditional supply-side cost-based economies of scale. Furthermore, the bringing together of a significant number of buyers and sellers provides the demand-side economies of scale or network effects.