Method and apparatus for providing an electronic commerce environment for leveraging orders from a plurality of customers

• US 20020107773A1
• Filed: 12/11/2000
• Published: 08/08/2002
• Est. Priority Date: 03/24/2000
• Status: Abandoned Application

• Current Assignee: Hamed M. Abdou
• Original Assignee: Hamed M. Abdou
• Inventors: Abdou, Hamed M
• Application Number:
  US09/734,150
• Publication Number:
  US 20020107773A1
• Time in Patent Office: Days
• US Class Current: 705/37
• CPC Class Codes: G06Q 30/06 Buying, selling or leasing transactions
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange

Abstract

Method and apparatus for providing an electronic commerce environment for leveraging orders from a plurality of customers. Specifically, the apparatus and method is designed to provide an electronic commerce environment for aggregating orders from a plurality of customers, where the savings associated with the winning bid for such large aggregate order are, in turn, awarded to the customers in accordance with the size of their respective orders.

Claims

1. A method for providing a transaction environment, said method comprising the steps of:

a) receiving a first order from a first customer for a product or service at a first volume;

b) receiving a second order from a second customer for said product or service at a second volume;

c) offering said first order and said second order as an aggregate order for bidding to at least one vendor;

d) selecting a winning bid from said at least one vendor; and

e) allocating said winning bid in accordance with said first and second volume.

2. The method of claim 1, wherein said winning bid is separated in a first portion and a second portion, wherein said winning bid is allocated differently between said first and second portions.

3. The method of claim 2, wherein said winning bid is allocated uniformly for said first and second customers in said first portion and wherein said winning bid is allocated non-uniformly for said first and second customers in said second portion.

4. The method of claim 2, wherein said first portion comprises approximately ninety-five percent to one hundred percent of said winning bid, and said second portion comprises approximately zero percent to five percent of said winning bid.

5. The method of claim 2, wherein said allocating step (e) allocates in accordance with:

CLP=LV/TV*Portion A*TC CSP=SV/TV*Portion A*TC

where CLP is a calculated price for said first customer having a large volume, where CSP is a calculated price for said second customer having a small volume, where LV is said large volume, where SV is said small volume, where TV is a total volume, where portion A is said first portion and where TC is said winning bid.

6. The method of claim 5, wherein said CLP and said CSP are adjusted in accordance with:

If LV>

AV, then no adjustment to CLP;

else CLP′

=CLP+LV/TVB*Portion B*TC;

If SV>

AV, then no adjustment to CSP;

else CSP′

=CSP+SV/TVB*Portion B*TC;

where said AV is an average volume, where said portion B is said second portion, and where TVB is a sum of all of said order volumes that are less than said AV.

7. The method of claim 1, further comprising the step of:

(d′

) verifying said winning bid from said at least one vendor with a savings threshold, where if said savings threshold is satisfied, then allocating step (e) is performed.

8. The method of claim 1, wherein said method for providing a transaction environment is applied to a pharmaceutical industry.

9. The method of claim 1, wherein said method for providing a transaction environment is applied to a chemical industry.

10. The method of claim 1, further comprising the step of:

(f) awarding a commission to an operator of said transaction environment in accordance with said winning bid.

11. The method of claim 1, wherein said transaction environment is deployed over a global network of computer networks.

13. The computer-readable medium of claim 12, wherein said winning bid is separated in a first portion and a second portion, wherein said winning bid is allocated differently between said first and second portions.

14. The computer-readable medium of claim 13, wherein said winning bid is allocated uniformly for said first and second customers in said first portion and wherein said winning bid is allocated non-uniformly for said first and second customers in said second portion.

15. The computer-readable medium of claim 13, wherein said first portion comprises approximately ninety-five percent to one hundred percent of said winning bid, and said second portion comprises approximately zero percent to five percent of said winning bid.

16. The computer-readable medium of claim 13, wherein said allocating step (e) allocates in accordance with:

CLP=LV/TV*Portion A*TC CSP=SV/TV*Portion A*TC

where CLP is a calculated price for said first customer having a large volume, where CSP is a calculated price for said second customer having a small volume, where LV is said large volume, where SV is said small volume, where TV is a total volume, where portion A is said first portion and where TC is said winning bid.

17. The computer-readable medium of claim 16, wherein said CLP and said CSP are adjusted in accordance with:

If LV>

AV, then no adjustment to CLP;

else CLP′

=CLP+LV/TVB*Portion B*TC;

If SV>

AV, then no adjustment to CSP;

else CSP′

=CSP+SV/TVB*Portion B*TC;

where said AV is an average volume, where said portion B is said second portion, and where TVB is a sum of all of said order volumes that are less than said AV.

18. The computer-readable medium of claim 12, further comprising the step of:

(d′

) verifying said winning bid from said at least one vendor with a savings threshold, where if said savings threshold is satisfied, then allocating step (e) is performed.

19. The computer-readable medium of claim 12, further comprising the step of:

(f) awarding a commission to an operator of said transaction environment in accordance with said winning bid.

12. A computer-readable medium having stored thereon a plurality of instructions, the plurality of instructions including instructions which, when executed by a processor, cause the processor to perform the steps comprising of:

a) receiving a first order from a first customer for a product or service at a first volume;

b) receiving a second order from a second customer for said product or service at a second volume;

c) offering said first order and said second order as an aggregate order for bidding to at least one vendor;

d) selecting a winning bid from said at least one vendor; and

e) allocating said winning bid in accordance with said first and second volume.

20. An apparatus for providing a transaction environment, said apparatus comprising:

means for receiving a first order from a first customer for a product or service at a first volume and for receiving a second order from a second customer for said product or service at a second volume;

means for offering said first order and said second order as an aggregate order for bidding to at least one vendor;

means for selecting a winning bid from said at least one vendor; and

means for allocating said winning bid in accordance with said first and second volume.

21. The apparatus of claim 20, wherein said winning bid is separated in a first portion and a second portion, wherein said winning bid is allocated differently between said first and second portions.

22. The apparatus of claim 21, wherein said winning bid is allocated uniformly for said first and second customers in said first portion and wherein said winning bid is allocated non-uniformly for said first and second customers in said second portion.

23. The apparatus of claim 21, wherein said first portion comprises approximately ninety-five percent to one hundred percent of said winning bid, and said second portion comprises approximately zero percent to five percent of said winning bid.

24. The apparatus of claim 21, wherein said allocating means allocates in accordance with:

CLP=LV/TV*Portion A*TC CSP=SV/TV*Portion A*TC

where CLP is a calculated price for said first customer having a large volume, where CSP is a calculated price for said second customer having a small volume, where LV is said large volume, where SV is said small volume, where TV is a total volume, where portion A is said first portion and where TC is said winning bid.

25. The apparatus of claim 24, wherein said CLP and said CSP are adjusted in accordance with:

If LV>

AV, then no adjustment to CLP;

else CLP′

=CLP+LV/TVB*Portion B*TC;

If SV>

AV, then no adjustment to CSP;

else CSP′

=CSP+SV/TVB*Portion B*TC;

where said AV is an average volume, where said portion B is said second portion, and where TVB is a sum of all of said order volumes that are less than said AV.

26. The apparatus of claim 20, further comprising means for verifying said winning bid from said at least one vendor with a savings threshold, where if said savings threshold is satisfied, then said winning bid is allocated.

27. The apparatus of claim 20, further comprising means for awarding a commission to an operator of said transaction environment in accordance with said winning bid.

28. The apparatus of claim 20, wherein said apparatus comprises a web site for interacting with a global network of computer networks.