B2B E-Marketplace in the Procurement Supply Chain of Airlines: a Strategic Direction for the Future?

Abstract

With the airline industry experiencing a global economic downturn, B2B e-Business isbecoming more and more the focus of airlines’ strategies. More recently, airlines have studiedintensively the potential of joint-procurement possibilities and have taken measures in creatingconsortia-led B2B e-Marketplaces as mediators for aggregating demand and to facilitate transactions.In academic literature, limited academic research has been undertaken in exploring the value creation of B2B e-Marketplace models in the aviation industry. The aim is to conduct a theoretical analysis to explore whether or not e-Marketplaces have the potential to add value to procurement in the aviation industry. The research focuses on the potential of B2B e-Marketplaces in terms of improving an airline’s competitiveness in its procurement value chain. The theoretical framework adopted supports the identification of barriers to success and critical success factors

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