Business Skills for e-Commerce - Assignment Example

Business Skills For E-Commerce of the of the of the College Table of Contents INTRODUCTION 4 ASSIGNMENT TASK 5 TASK 1 5 Aims 5 Structure 6 Stakeholders 6 Functions 7 IMPLEMENTATION OF E-COMMERCE 7 TASK 2 11 IMPACT OF E-COMMERCE ON THE CUSTOMERS 11 IMPACT OF E-COMMERCE ON THE BUSINESS 12 SUMMARY 15 TASK 3 15 Objectives 16 Market research 16 Target markets 17 Market potential 17 DESIGNING E-COMMERCE SOLUTIONS 18 TASK 4 18 Existing competitors 18 Technology 19 Payment systems 19 Security & Legislations 20 CONCLUSION 21 Reference List 23 BUSINESS SKILLS FOR E-COMMERCE INTRODUCTION The business practices are changing and are moving towards modernization. Applying advancement methods for improving the existing system has become essential for the businesses. Old and traditional methods of commerce are being reformed through implementing e-commerce practices. Using the internet for managing the operations and catering the needs of the customers effectively has become a basic need for businesses. In this competitive business environment, the organizations assure using these practices so that sustainability can be assured. The application and implementation of e-commerce is a trending scope which reduces the barriers and enhances connectivity between the business and its customers. Reforming the business structure and converting an organization from traditional methods to modern methods requires that the challenges must be dealt appropriately. Organizations and its management apply techniques constantly so that structure and aims can be appropriately understood. Modern managers apply and study the benefits which have been acquired from e-commerce. All the effects are monitored, and impacts are noticed so that the effectiveness of the implementation, risk associated and financial factors can be evaluated. For implementation of the methods, the businesses must possess the ability for designing e-commerce solutions. The managers take measures for enhancing the performance of the organization through innovation and technological advancements so that competitive advantage can be acquired. All these factors and their implementation will be discussed in this report in the light of the scenario provided. The consultancy will provide solutions and suggest implementation of the business systems after analyzing the existing business situation. Applying new practices improves connectivity and reduces communication barriers. These methods include developing the information systems using which the needs of the customers can be addressed effectively. These actions improve customer satisfactions and improve the future sales prospects. ASSIGNMENT TASK In this segment, the four assignment tasks will be addressed in which the implementation of modern e-commerce practices within an organization will be discussed. The advancement with time and the technological changes that are beneficial for the company will be investigated on the wider scope to study the impact of the industry. TASK 1 The top grub company deals in the frozen food industry. The products are distributed to the retailers on the basis of the request which is made. The operating system of the company is not highly effective (Francis, 2013). The connectivity with clients is also less and this requires registering the orders by visiting the place in person. The company plans on enhancing the sales by developing the information based systems. Aims The aim of the client is to expand the business and develop information based system. With the use of this, a database of the clients will be managed, and automated systems will enhance the business. Operational efficiency will be acquired, and new methods can be assessed for the development of the business. The aims must be maximizing the sales so that the volume of sales can be increased along with the product life cycles. The product line in which the business is currently engaged requires that the company switches to a different product. This will contribute in increasing the market share of the organization. The organization must focus on increasing the return on capital which is employed. All this maximizes the returns on the investments which are made on the investment. Structure The structure of the business can be classified as a Franchise. In this category classification of the business can be done either as a sole trader or a private limited company. A sole trader business is run and managed under the leadership of an individual who takes the sole responsibility for the liabilities of the organization. A private limited company is a small company and the all the liabilities are taken by the partners of the business (Andal-Ancion, Cartwright, & Yip, 2012). Stakeholders Different business structures have different stakeholders. In a sole trader, the stake is held with the owner of the business. Similarly, in the case of partnership all the partners are liable for the business losses with respect to the stake which they hold in the organization. The business success and failures depend on the strategies which the business managers develop. These strategies are integral for the business (Andal-Ancion, Cartwright, & Yip, 2012). The application of technology in the business model has become a necessity for the business expansion. Functions The business must develop strategies for improving its market position. This requires that the operational function of the business is improved. Improving the market share, maximizing the sales and focusing on the return on capital that is employed are the main functions which the business must address. This industry requires that there is a constant collaboration with customers. The specific order needs to be assessed, and through this a new development in the business scope can take place. IMPLEMENTATION OF E-COMMERCE Applying the modern techniques and implementing them on the business are the basics for the development of the business. The change in the industry is formed through the application of the automated systems (Andal-Ancion, Cartwright, & Yip, 2012). This will connect the business with the customers so that online orders can be placed. The redundant processes which were used previously require that change can be assessed. These systems will save time and the business managers can form new strategies for exploring the potential market (Ramcharran, 2013). All these effect on the distribution channel of the business. This improves the existing structure of the organizations The managers need to assess the structures and aims of the business. The strategies formed must be aligned with the organizational goals. Technology is essential for the business, and managers must associate the business with the relevant application of the technology. The e-commerce business depends heavily on the connectivity and satisfaction of the customers (Ramcharran, 2013). This requires that the modern processes are applied so that the consumer dependence can be shifted towards ease of use. The processes which are used in the modern e-commerce business world include 1. Shift to the use of mobile so that the accessibility of the customers can be supported using the mobile applications in this business world. This connects instantly and refraining to the desktop PC’s is also avoided. 2. Pre-eminence of minimalist design through which the navigation can be assured relies heavily in replacing the designs as per the use. 3. Connect with the social media so that the marketing and offering of new methods can be applied. These enable connectivity with customers, and there direct feedback can be acquired for testing the speed. 4. Application of the personalized methods can be used for analyzing the past sales of the customers. Through these new suggestions can be given to the existing customers so that the buying trends of the customers can be secured. The business must develop production efficiency. This can be done through quality control, meeting the demand, design, product manufacturing, layout and stock control. This will enhance the operations and secure the efficiency of the business. At the same time, the business must apply research and development. This benefits the business by designing new products, developing new products, ensuring the safety and legal requirements, researching new areas of interest and improving the existence systems. Within the business setup, the utilization of the available data flow and information flows need to be assessed. The MIS processes, user processes and decisions also need to be managed. The most commonly applied information management systems require that the transaction processing systems, management reporting systems, decision support systems and office information systems are relatively managed. Information handling and developing a database of the customers assists in proposing and setting the new business processes. Making decisions for the planning controlling and operating need to be implemented in all the practices of the business. The managers must work collaboratively so that the objectives of the business can be achieved. The orderly and the selected data enable effective decision making so that excellence in the business scope can be acquired. All these methods organizations use are essential for understanding the structure and aims of the processes. This supports the distribution channels and structure of the organization using which the potential markets can be explored. TASK 2 The ways in which the business operates relies heavily on satisfying the consumers. Other than this, the business risk and the financial implications relating to employing the business practices determine the scope of the business. For the development and progress of the business, the changing industry and possible future problems need to be assessed. IMPACT OF E-COMMERCE ON THE CUSTOMERS The global and local businesses are using the e-commerce practices so that the business can excel and acquire the relative market. Within the industry, the need for satisfying the customers and collaborating with then to assess the business needs is extremely important. If the customers are given the authority and freedom of choice then the sustainability of the business can also enhance automatically. Enabling the customers so that they can connect and use the services online for assessing the products which the business is offering relates to stability and retention of the customers (Colla, & Lapoule, 2012). The purchase decision of the customers is related with the need recognition. This includes the informative search, evaluation alternative, intent of the customers to purchase and the post purchase behavior of the customers. Managing a database of the customers the managers can use the information in the future to assists the customers based on the previous decisions. This individual attention will retain customers and stabilize the business. Developing the e-commerce through online sales creates comfort for customers in analyzing better options for marketing the business. This is also related to the direct communication which can take place between the organization and the customers. Assessment of all this increases the choices for the customers and lowers the cost of display for the business. Through the application of this process, the customers confirm that the product is available. The local and the global businesses require that they can easily connect with the customers 24/7. With the application of this, better services and connectivity can be offered to the customers. New business models and application of the marketing model acknowledges that effective sales practices are formed (Weill, & Vitale, 2013). IMPACT OF E-COMMERCE ON THE BUSINESS The impact of e-commerce on business can be assessed through the growth prospects acquired by the business through the application of e-commerce methods on the existing systems. In the changing business culture where the global barriers are reducing, the marketers develop the model using which the distant consumers can also avail the services of the business. Through this application, the business scope can be developed, and local and international business agents can avail the business. There are several security related issues which the business needs to face. Communication with customers and offering online payment facilities to the customers require that the connection of the clients is managed through the web server. The customers need to deal with each other online. This will create a new distribution channel using which the need of the customers can be appropriately addressed. Based on all this, the competition managed is greater. The businesses require that the buying side and the selling side threats of the businesses are resolved. Through this, the organizations require dealing with the supplier threat and the intermediary threat. The competitive business threats new digital products, new entrants and new business models are acknowledged. The business professionals need to apply the Porter’s model so that the industry rivalry can be managed. The potential entrants, buyers, sellers and substitutes are all involved in the business. This is essential for mobility and determines the power which the buyers and the sellers possess. The collaborative decision making which the business uses must be applied after assessing the benefits to the customers and sellers. Operating in a competitive business environment, the managers must train the staff to meet with the competitive and challenging environment of the business. It is required that the staff is retrained for using e-marketing, development, operating and retaining the existing workforce of the organization. The reform in the operations requires that the supply chain management is done. Through this, the distribution channel is improved so that all the relating actions associated with the efficiency of the business can be managed accordingly. SUMMARY With the application of the processes, the managers of the business assess the potential risk and costs which are associated with the business. In the markets, the managers associate the risk. Using this consumer needs and the business development are monitored. With this, the business scope is enhanced so that the development can take place. Different financial and risk related factors of the business are needed. Through the application of e-commerce new arena for the development of the business can be explored using which the needs of the customers can be fulfilled. The application of the processes analyzes the benefits which are applied on the business through introducing the e-commerce practices. TASK 3 The designing of the e-commerce solutions must be based on the assessment of the business. In the application of these methods, the objectives, market research, target markets and market potential needs to be assessed. This will enable the formation of a model which is accurately suitable for the business. Objectives The objectives of the businesses are analyzed from its goals. This forces the organizations in developing different strategies for addressing the conflicts in the business. This is essential for the e-commerce solutions which the business addresses. Using these methods, the unique selling propositions need to be developed. The managers design the SMART goals and objectives through which consideration is given. In an e-commerce business all the goals align with connecting the customers of the business. Market research The market research process is highly programmed and structured. Through this, the problem to be solved is discussed. This is associated with collecting the relevant information. The managers evaluate the business and propose alternative decisions which can be taken for enhancing the business. With the market research, the change in the markets, sociological elements, economic factors, regulatory factors and other technological changes which pursue in the environment need to be assessed. Other sources through which the market analysis can be done includes assessing the publications, people, events and other relevant source material which can be gathered for assessing the industry (Ahamed, 2012). Primary and secondary data can also be used for assessing the responses. From the markets online and offline competition challenges need to be assessed. All these help in finding the target market. Target markets Using the data gathered for the assessment the target customers can be identified. The marketing plan needs to be implemented so that the market audit can take place. Using different tools such as analyzing the SWOT, objectives, strategies and programs the action plan needs to be developed. Based on all this, the controls and budgets are assessed. With the assessment of the four P model the products can be differentiated and the relevant competitive elements within the industry can be assessed. Market potential The market segmentation is done within the industry dividing the industry on the basis of demographics, psychographics, usage, benefits and geographic analysis on the basis of which the target audience can be classified (Traver, & Laudon, 2012). Within the industry, different e-commerce solutions are assessed based on the markets which the business needs to cater. On the basis of this, a market analysis needs to be done. This process relies on the market size, market structure and market share within the industry. Different market characteristics factors within the industry such as cultural, economic, regulatory and technological factors are assessed in the markets. DESIGNING E-COMMERCE SOLUTIONS On the basis of this model, the e-commerce solutions need to be assessed. The objectives, market research, target markets and the market potential within the industry need to be assessed so that the model developed can be structured as per the need while proposing the solutions to the business. TASK 4 The business must form an e-commerce solution using which all the aims and objectives of the business can be appropriately assessed. This requires that all the key areas of the business are developed. Using this, managers develop a model which operates in a entirely different manner. The availability of a computer, an appropriate website, adequate level of initial investment, willingness to work and develop a sound business idea are the basic needs to cater all the business assessment. Existing competitors The design must be competitive, and the assessment of the model prepared must be comparable with those similar to the business. The competitors of the Top Grub Company do not exist. This is because it is offering a unique food product to the retailers. There are similar e-commerce sites, and hence the interface must be developed such which differentiates both. Based on these elements, the site is made interactive to address the needs of customers in the most appropriate manner. Technology The application must be assessed using the hardware, software, security, maintenance, back end systems, supply sources and distribution channels which are implemented within the systems. The hardware requires the adequate products using which the entire CPU operates. This includes utilizing processor, rams etc. Software developed using the online tools which assist with the operations. The development also requires security tools such as the privacy, integrity, authentication and non-repudiation within the system (Kamoun, & Halaweh, 2012). All these systems are associated with the constant review and maintenance of the websites. Based on this, back end systems are developed which includes managing the orders, inventories and the supply processes. Different order based tools such as CRM, order management and the pricing decisions need to be catered which making the purchase decisions. Payment systems The benefits must be offered to the visitors be offering the relevant discounts which enhance and improve the business functions. Based on this payment gateways and systems are required to be managed. Electronic data interchange and the electronic fund transfer processes are required for availing the process. Payment methods inwards and outwards also need to be managed. Based on the customer service elements the choice, convenience, credit concession and competitive edge require to be developed. Electronic bill and check are other banking tools for maintaining the payment systems. PayPal, NoChex, NetBank and credit and debit cards are also used for understanding the financial systems. The use of the mobile commerce process is also used for managing the systems. Based on this usage of web and the start-up-capital system is used. The working capital used within the system depends on the processes of the business which are developed through the bank loan, venture capital, and the angel investors explains the emphasis of the professional with managing the business. Security & Legislations The system developed is based on the prevention from the usage of the fraudulent devices. The association of this is related with computer hacking, viruses and identity theft. The proposed system must have solutions for dealing with all such problems so that the processes can be applied for improving the business. The protection of the web needs to be assured so that the all sorts of performance related issues are addressed and the efficiency of the workforce can be catered appropriately. The process of a secured web is shown below. The digital HTTPS and digital certificates are used as legislation for the existence of the webpages. Strong passwords of the systems need to be developed on the basis of which the alternative authentication methods can be assured. The legislative acts proposed by the government for the security and protection of the users are the following. The Computer Misuse Act (1990) The Data Protection Act (1998) Regulation and investigatory powers act (2000) Freedom and Information Act (2000) All these legislation are applied on the system so that the right of users can be protected. The copyright and intellectual property rights are also imposed on the system so that the relevant and authoritative systems can take place (Singh, 2012). The ability of the design formed must include the application of all the processes. This makes the design effective and proposes reforms using which the system can be assessed. CONCLUSION On the concluding note, the e-commerce design developed must be made applied on the basis of the discussed factors of this report. The consulting company must use all the evaluated data for structuring a model for the development. Based on this model the objectives of the company must be assessed so that the development can be done. In this globalizing world, the businesses need to stay equipped and meet with the existing operations. On the basis of this,this a model needs to be applied using which the entire business practices can be managed. The scenario of the frozen food group requires implementing the new business processes so that new markets can be discovered. The aim of the business is to enhance the customer base and develop the application of the business model by introducing new business processes. With this report, the three main objectives have been assessed. These goals understand the structure and aims of the business, understanding the benefits and impact of e-commerce and designing the e-commerce solutions which support the business with its goals and objectives. On the basis of this, the entire model has been developed based on which the entire business scope can be enhanced. Reference List Ahamed, R. (2012). Learn Ecommerce in Easy Way: Comprehensive Guide. LAP Lambert Academic Publishing. Andal-Ancion, A., Cartwright, P. A., & Yip, G. S. (2012). The digital transformation of traditional business. Image. Colla, E., & Lapoule, P. (2012). E-commerce: exploring the critical success factors. International Journal of Retail & Distribution Management, vol. 40, no. 11, pp. 842-864. Francis, C. (2013). 5 Current E-Commerce Design Trends. Deep end design, Available from http://thedeependdesign.com/current-e-commerce-design-trends/ [Accessed 11 February, 2014] Kamoun, F., & Halaweh, M. (2012). User Interface Design and E-Commerce Security Perception: An Empirical Study. International Journal of E-Business Research (IJEBR), vol. 8, no. 2, pp. 15-32. Ramcharran, H. (2013). E-Commerce Growth and the Changing Structure of the Retail Sales Industry. International Journal of E-Business Research (IJEBR), vol. 9, no. 2, pp. 46-60. Singh, A. (2012). Trust and Trust Management Models for Ecommerce & Sensor Network. International Journal of Engineering Research and Applications (IJERA). Traver, C. G., & Laudon, K. C. (2012). E-commerce: business, technology, society. Pearson Higher Ed. Weill, P., & Vitale, M. (2013). Place to space: Migrating to eBusiness Models. Harvard Business Press. Read More