A business transaction involves buying, selling and marketing. It begins with attracting consumers, then structuring the terms of purchase, and ends with the tendering of payment. The process varies depending on the type of payment and product purchased.
A business transaction is a type of business that has elements of buying, selling and marketing. The overall process involves presenting a product purchase opportunity, identifying the terms related to that purchase, and then going through the checkout process to complete the transaction. Such a business serves as an engine for all types of commerce, allowing buyers and sellers to meet and attend events ideally beneficial to both parties.
The process of a commercial transaction actually begins with the efforts of the producer of a good or service to attract the attention of consumers. During this stage, the emphasis is on informing potential customers of the benefits associated with the product in question. Assuming this marketing effort is successful, consumers’ attention is captured and at least a percentage of the target consumer market will express interest in acquiring the good or service being offered.
After attracting the attention of consumers, the commercial transaction moves on to the process of structuring the terms of purchase. During this stage, the buyer and seller come to an agreement on the cost of the product and how payment will be offered. Depending on the exact nature of the transaction, this may involve some degree of negotiation between the two parties, eventually arriving at a price that is acceptable to all involved. At the same time, options for providing payment to the seller are discussed, with the buyer settling on the mode of payment he deems most appropriate for the type of transaction in progress.
A final component in any business transaction is the actual tendering of the payment. This involves both parties in order to complete the process successfully. Buyers must initiate the form of payment, using one of the methods accepted by the seller. Sellers in turn acknowledge receipt of payment, then proceed to release the good or service to the buyer. The duration of this phase will vary, depending on the type of payment made and the nature of the product purchased. For example, an online commercial transaction involving the purchase of a software product and payment by credit card will often result in the buyer’s immediate ability to download the purchased product. Conversely, a payment in the form of a check can take several days to clear the seller’s account, with the seller not releasing the purchased product until the payment is verified.
Protect your devices with Threat Protection by NordVPN
