China’s B2B cross-border commerce efforts are on the rise, largely thanks to the work of eCommerce giant Alibaba and other firms looking to highlight the nation’s large manufacturing and supplier markets. In an effort to strengthen its own position in the market, technology giant IBM revealed a new partnership that could launch the corporation in direct competition with other eCommerce behemoths.
According to Wednesday (June 3) reports, IBM is now teaming up with China B2B eCommerce exchange platform OKorder.com as the demand for manufacturers to strike deals across border increases. OKorder.com, owned by Beijing-based China National Building Materials Group Corporation, will reportedly work with IBM Commerce to add Big Data analytics to its operations. In doing so, the companies said, OKorder.com will be able to more quickly and easily detect business risks including shipment delays or supplier failure to fulfill contractual agreements.
The partnership will also allow OKorder.com to integrate its warehouses across the globe with its logistics operations to better manage orders. IBM Commerce’s Emptoris Contract Management will be implemented by the Chinese platform, reports said, which is already using IBM Cloud for its operations.
According to the firms, the partnership provides improvements in supply chain management, supplier intelligence, and reduced risk in overall global operations.
“Global commerce and trade is at an inflection point where boundaries are no longer a factor to truly scale and have a global presence,” said OKorder.com President and CNBM International Board Chairman and General Manager Zhang Jinsong. “But with that comes the responsibility to deliver a seamless experience for clients. With this collaboration with IBM, CNBM International can better position themselves in this evolving market to not only manage risk across the supply chain but deliver the experience customers now expect regardless of borders.”
IBM’s decision to team up with a Chinese eCommerce firm comes as the nation’s B2B digital marketplace expands at alarming rates. Through both B2B and B2C eCommerce, manufacturers are headed to operate in a $540 billion industry, according to research. According to CNBM, OKorder.com facilitated more than $1.9 billion worth of transactions alone in 2014 to connect overseas buyers with the manufacturers and suppliers operating through the service.
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