Marketplaces driven out of business by 'price cut' focus

Many of the business-to-business trading exchanges that have failed in the past year have done so because they destroyed supply chain relationships by focusing only on driving down prices, according to the executive chairman of Deutsche Telekom UK.

The failed exchanges did nothing to foster long-term relationships based on "old-fashioned values such as serving the customer, creating value, co-operating, partnerships, commitment and logistics", said Jim Norton.

He told the audience at the fourth annual lecture by the non-profit-making Partnership Sourcing (PSL) organisation that he is now a believer in...

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