Significance of Operational Strategy and Marketing Management in Informational Technology - Term Paper Example

? Strategic IT Management Table of Contents Introduction 3 Identification of Key Ares 4 M-Commerce 4 Location Based Services 5 Types of Several Services 6 Mobile Commerce Services 6 Location Based Services 7 Background Theory 7 Critical Evaluation 8 Evidence 9 References 12 Introduction Leading organizations around the globe are trying to capitalize on the potential opportunities that are developed due to globalization and implementation of advanced technology. After Second World War, several leading organizations tried to increase their global operation activities in order to meet customers demand. The leading global organizations started to implement advanced technology in their business operation in order to enhance their business performance. Introduction of several differentiated products and expected technology revolution increased the needs of customers. Since then, the organizations are always trying to develop several effective business and operational strategies in order to survive in the competitive global business market. E-commerce is the example of modern technological revolution. Several global, glocal and local organizations are providing the facility of online goods and services to their customers through this e-commerce concept. Mobile commerce or M-commerce is an important evolving area of e-commerce. The mobile commerce helps their users to interact with several service providers through a wireless network and mobile. Moreover, in mobile commerce process, mobile devices are being used for transaction processing and information retrieval. Location based service is an important mobile application that is introduced by the mobile industry in order to fulfil the demand of the customers. However, the study will analyze and evaluate several aspects of mobile application and location based services. In order to support the evaluation, several background theories have been applied in this study. This evaluation will help the readers to understand the significance of mobile commerce and location-based services. Identification of Key Ares The complications of modern life are dramatically changing due to change in purchasing or consumption process of the customers. It is difficult for the people to consume time for traditional shopping processes and activities due to their daily busy work schedule. Mobile commerce is a significant and important aspect of e-commerce. People generally place their orders through several mobile commerce applications. It helps the customers to consume purchasing time. Moreover, people can choose the products through online. Lastly, online transaction process can help the customers to consume transaction time period. However, this part will describe and evaluate several types of services that may be offered as the part of Location Based Services and mobile commerce. M-Commerce The term M-Commerce or mobile commerce was developed in the year 1997. The meaning of M-Commerce is to deliver the capabilities of electronic commerce directly into the hand of customers through wireless networks. The services of mobile commerce were first delivered in the year 1997 in Finland and Helsinki area. This service was first installed by Coca Cola Company as mobile enabled vending machine. Now-a-days, the big-box retail and brick and mortal business owners are implementing several services of this mobile commerce as significant business operational tool. This mobile commerce concept has enhanced the e-shopping concept. Recently, people are utilizing these services in order to minimize their shopping efforts. M-Commerce provides several key advantages to their customers comparing to the traditional shopping activities. This tool is very much attractive to the people and very easy to implement it. Mobile commerce applications are very much flexible regarding to several product lines which can be supported. It is one of the profitable tools for each and every involved individual, such as employee and customer. This mobile commerce application maintains the autonomy and full privacy of the involved individuals. Changing behaviour, attitude and tastes and preferences of customers increased the acceptance of mobile commerce. Location Based Services Location based services are considered as the common set of computer programme-level services. This location based services are used to embrace time data and location control as control features in several computer programmes. Location based service is basically an information service. It has numerous uses in the social networking field as key entertainment services. These location based services can be accessed with the particular mobile devices through several mobile networks. It uses facts and information on the appropriate and specific geographical position of those mobile devices. These location based services become more important with the expansion of tablet and smart phone markets. Location based services are generally used in several areas, such as indoor object search, health, work, entertainment and personal life. Location based services include several key services to identify the location or current position of an object or an individual, such as identifying nearest ATM machine. Moreover, these services include vehicle tracking and parcel tracking services. Most importantly, location based services can include the mobile commerce while gathering the coupon forms or advertising locations based on the location of target customers. It includes several location based games and personalized weather services. Types of Several Services There are several types of mobile commerce and location based services. Mobile money transfer, mobile ATM, mobile ticketing, content purchases and delivery, mobile, coupons, vouchers and loyalty cards are several mobile commerce services, mobile banking, mobile browsing, auctions and mobile brokerage are several types of mobile commerce services (Wu and Wang, 2005, p.12). Location based services are also considered as the mobile commerce service. Mobile Commerce Services In several countries, money transfer process is generally executed through the mobile money transfer process. It requires minimal transfer time period. Moreover, this process reduces significant amount of operational cost. Mobile ATM is an important mobile commerce services. People can check their bank account details through their mobile with the help of several mobile applications. This process has achieved huge acceptance in global market place. Through mobile ticketing facility people can get air or rail ticket within a quick period of time. Online order placing and purchasing activity has reduced the consumption time of the buyers. Now-a-days, several mobile phone companies are providing inbuilt online purchase and delivery software to make the life easy of the mobile phone users (Okazaki, 2005, pp.12-14). People can complete their purchasing process with the help of their mobile phone and pocket internet packages. People can learn about several financial records, necessary stock codes through mobile information services. Implementation of advanced technology helped the mobile phone producers and application or software developers to fulfil current market needs and huge customer demands. Location Based Services Exact location of the mobile phone customer in an essential part of information utilized during the mobile commerce transaction process. Identification of the location of the customers allows for several locations based services. These are local whether, local discount offers, and tracking and controlling people. There are three major location tracking applications that are being significantly used. These applications are Find My Friends, Google Latitude and WNM Live. These applications for mobile devices support Android, BlackBerry, Windows Mobile and iOS. Moreover, these applications enhance mobile messaging activities. Background Theory Day-by-day, the needs for advanced and improved mobile applications is effectively increasing. Therefore, the leading mobile manufacturing organizations are trying to fulfil the requirements of mobile phone users. Mobile commerce includes characteristics and features different from the e-commerce. Ubiquity, flexibility, localization and personalization are important mobile commerce features. According to Ubiquity, mobile users need to have the ability to collect information and perform transactions (Siau and Shen, 2003, p.5). Mobile commerce can be located in several places or any single location simultaneously. Considering flexibility, the mobile devices users should try to involve in all the activities, such as receiving facts, information and executing transactions quite easily. In localization, the mobile phone users should be able to access the local services and information. It can be achieved by having appropriate mobile service providers. On the other hand, in personalization process important services, information and applications provided on the internet. These mobile commerce and location based services have several limitations. Issues regarding information privacy are one of the major challenges for these services. These services have several potential advantages but due to risk of theft of data and personal information, several individuals are avoiding these services (Zhang, Yuan and Archer, 2002, p.9). The mobile phone manufacturer and application developers are trying to focus on the information security aspects of the people. Now-days, people can access several social networking sites through their mobile phones with the help of mobile commerce services. It has several time and cost effective benefits. This process shaves the cost of several wireless data services. People can access several internet websites through their mobile applications. Moreover, superior information quality is forcing the global buyers to use the mobile phone supported with several mobile commerce and location based services. Critical Evaluation There are several critical success factors and limitations of these mobile commerce and location based services. These mobile applications are helping people in several ways. People can conduct their online purchasing activities through e-shopping mobile application. This strategy helps people to consume valuable cost and time. Moreover, a specific user can refer this option to his or her friends and relatives due to the effectiveness of these applications. It is true that, people of several countries are tracking their bank accounts through mobile banking and mobile ATM. Online transaction has become quite easy due to the introduction of these mobile applications. On the other hand, several employers are using these applications or mobile commerce tools in order to increase their business efficiency. Location based services are considered as the important mobile commerce applications. These services are utilized in several small and medium business entities. It is an important logistics tool that is conducted by several global organizations (Varshney and Vetter, 2002, p.15). Nokia, Samsung, BlackBerry, Apple, HTC and other leading mobile phone manufacturers are providing inbuilt location based service tools to their customers. Including Navigation system, GPS system and PDA service increase logistics performance of several small and local business firms. These applications can track the detailed location of the customers. It helps the logistics executives to provide delivery to their customers within specific deadline. Moreover, PDA service can be utilized in the inventory management system. It can help to track the number of goods in a single warehouse, so that the employees can find specific goods or products within a quick time period. Normal or traditional procedure is time consuming (Siau, Lim and Shen, 2001, p.7). People are trying to make their life more comfortable by limiting stress and hard work. Therefore, technological advancement and needs of advanced technology are increasing simultaneously. However, several individuals are trying to avoid mobile transaction or online transaction process due to risk of theft of personal information and data. It is true that several bank accounts and personal information have theft or hacked by the cyber thieves due to lack of effective online account security. It is necessary for the organizations to strengthen their transaction security system in order to achieve the trust of customers. Evidence Mobile commerce and location based services are becoming huge popular in recent years. These services started in the early 2000s. It is true that majority of the people tries to avoid keeping cash with them due to significant expansion of cash ATM machines. People always try to find nearest ATM machines to withdraw or submit cash or cheque. Several organizations that manufacture smart phones and tablets are now trying to provide several inbuilt mobile commerce tools in order to meet the current market and customer demand (Barnes, 2002, p.23). Tesco is one of the leading global retail chains. The organization implemented PDA service and Navigation system in their logistics process. These services help the logistics executives to find appropriate location of the target customers. This process increased the pace of online product delivery process. Mobile mapping is an important mobile commerce application for both the customers and organizations. People can easily identify the appropriate location of outlets and cash ATM machines through the utilization of mobile applications and location based services (Bill and Davide, 2002, p.11). It is difficult of the mobile manufacturing and application developing organizations to win the trusty of the customers due to several negative aspects. Several organizations implemented mobile vendor in their operation process in order to win the trust of the customers. Coca Cola is an effective example of it. The organization has achieved huge success through this mobile vendor application. Coca Cola tried to provide feasibility of the technology to their customers. It helped to win trust of the customers at the initial stage in mobile technology. Low-resolution displays, small screens, limited memory, weak band-width, unsecure wireless connection, instable wireless connection, tiny multifunction keypads and inadequate battery life and several technological roadblocks are the major potential advantages and promising benefits of these mobile commerce services. Coca Cola understood the benefits and effectiveness of these services. Therefore, they achieved huge success through this strategy. It is quite difficult for the organizations to gain trust of the customers, without effective improvement in the designs of mobile devices and wireless networks (Yuan and Zhang, 2003, p.21). Organizations can follow several ways for their mobile vendors to enhance the familiarity of their target customer. Effective mobile vendors and appropriate location based services have several advantages like providing high quality information, creating supreme vendor reputation, eliciting third part identification and certification and offering several attractive rewards like gift cards and free trials. Privacy is the major concern of these services. Several researchers have argued that each and every technological innovation generally comes through at information privacy cost. It is the morale right of the human beings that their personal information or data cannot be violated without their prior permission or notification. This morale right of every individual needs to be taken care of by the organizations (Scharl, Dickinger and Murphy, 2005, p.12). However, Mobile money transfer, mobile ATM, mobile ticketing, content purchases and delivery, mobile, coupons, vouchers and loyalty cards are several mobile commerce services, mobile banking, PDA services and navigation system needs to be practiced by the organizations and individuals. Moreover, it is important for the organizations to secure their service facilities in order to win the trust of customers. References Barnes, S., 2002. The Mobile Commerce Value Chain. International Journal of Information Management, 14(5), p.23. Bill, A., and Davide, D., 2002. Value Creation in Mobile Commerce. Journal of Information Technology, 32(7), p.11. Okazaki, S., 2005. Mobile Advertising adoption by Multinationals. Journal of Internet Marketing, 8(3), pp.12-14. Scharl, A., Dickinger, A., and Murphy, J., 2005. Diffusion and Success Factors of Mobile Marketing. Mobile Commerce Research and Application, 9(4), p.12. Siau, K., and Shen, Z., 2003. Building Customer Trust in Mobile Commerce. Communications of the ACM, 4(2), p.5. Siau, K., Lim, E., and Shen, Z., 2001. Mobile Commerce. Journal of Database Management, 2(2), p.7. Varshney, U., and Vetter, R., 2002. Mobile Commerce. Mobile Networks and Applications, 7(2), p.15. Wu, J., and Wang, S., 2005. What Drives Mobile Commerce. Journal of Information and Management, 12(2), p.12. Yuan, Y., and Zhang, J., 2003. Towards an appropriate business model for m-commerce. International Journal of Mobile Communications, 5(3), p.21. Zhang, J., Yuan, Y., and Archer, N., 2002. Driving Forces for M-Commerce Success. Journal of Internet Commerce, 5(2), p.9. Read More