From B2B Survivor to SAP's Swallow: SAP Ariba's Success

Abstract

Ariba Inc. and Commerce One Inc. (C1), two bellwethers with e-entrepreneurship in the e-commerce field, provided business-to-business (B2B) spend management and supply chain services. After having been wiped out by the devaluation of the stock market that followed the dot-com era, C1 is extinct today. Having faced the same market condition and serious competition, innovative Ariba had a different path and was acquired by SAP in 2012. Nowadays, SAP Ariba (formerly known as Ariba) is the largest digital B2B network on the planet. Why did Ariba survive whereas C1 collapsed? The authors explore the external (hidden costs, high-priced software, hurtful investigation, harmful publicity) and internal (adaptations to environment, acquire to advance, add consulting services, aim customer support) factors that would draw lessons for other companies to learn.