B2B Marketplaces: Build In-House or Spin Out?
2025-04-13
Companies building B2B marketplaces to streamline transactions need to carefully consider ownership structure. New research shows that outright ownership offers greater control and supplier access but can also create regulatory hurdles and channel conflicts. Depending on objectives, a spinoff or independent startup can be effective. The article examines three common models: pure startups, internal units, and corporate spinoffs, weighing their pros and cons – internal markets offer security and resources, while external ones prioritize flexibility and innovation. The optimal choice depends on market fragmentation, the costs and benefits of independence, and the value of external partners or investors.