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E-commerce - Essay Example

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INTRODUCTION Businesses today are moving in the river of technology and business innovation that is transforming the global business landscape because of increasing globalisation (Beck, 2000). An entirely new internet business culture is emerging which has profound implications on the methods of doing a business…
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Download file to see previous pages... (Chaffey, 2004) This internet culture has resulted in the germination of certain expectations amongst customers. Customers’, due to the evolution of internet technology have come to expect online services for purchasing goods and services, connecting with colleagues and even maintain business relationship with vendors, customers, and employees. This new internet culture is global and is even connecting business partners which are situated across the globe (Chaffey and Smith, 2008). This age of information is propelled by the information technology. Information technology refers to all of the computer-based information systems used by an organisation, along with their underlying technologies. These information technologies and systems are slowly but gradually revolutionising the operations of the firms, industries and markets. In order for a business to keep pace with this information age, it needs to understand the transformation process and identify the opportunities which this process is creating (Darby, Jones, and AL Madani, 2003). Since the emergence of this information age, information technology has become the largest component of capital investment for many firms. In many industries survival and existence without extensive use of information systems has become totally impossible. ...
Experts believe that in this information age, there is a growing interdependence between a firm’s ability to use information technology and its ability to implement corporate strategies and achieve corporate goals. Corporate objectives are heavily dependent upon the depth of their systems. In order for a business to increase its market share, become a high quality or low-cost producer, developing new products and increasing employee productivity is now heavily dependent upon the variety and performance capabilities of the information systems of the organisation (Souder and Sherman, 1994). The more the firm understands this relationship the more valuable it will be in its industry. This information age has also created the utility for the information systems to cope with governmental regulations or other environmental changes (Deitel, Deitel, and Steinbuhler, 2001). A substantial and growing body of research is supporting the fact that information technology is playing a vital role in increasing organisational productivity and providing a fertile ground for cultivating an innovative environment. If a firm needs to take advantage of an opportunity in its marketplace, create new product, and come up with new services, than it needs to commit itself to make a substantial investment in information technology (Stair and Reynolds, 2009). Also, if a firm needs to differentiate itself from its competitors’ in the domain of business practices and management than it needs to employ information systems which enable it to indentify these minute opportunities (Fillis, Johannson, and Wagner, 2004). Having realised the importance of ...Download file to see next pagesRead More
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