XTRA - Case Study Example

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XTRA is a small organization which was established in 1960’s by four movie enthusiasts and deals in Hollywood memorabilia items such as movie scripts & posters, signed celebrity photos, action figures. The company was extremely successful and made huge profits until the…
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Download file to see previous pages The company owners are anticipating the launch of e-business as a probable solution to regain their lost business and sales. The e-business is a manifestation of the turnaround strategy that is planned by the business owners. The new platform will lend a global existence and wider consumer base reach for increasing sales.
The e-business will support XTRA to restore the company’s business and the market share. The launch of e-business is expected to generate more business for XTRA by offering a reengineering strategy. Also the data collected by the information systems can be used to serve the customers personally.
The staff members at are apprehensive of the new technology and fear the change in roles and responsibilities that will be accompanied with the new approach. Also, since the staff has not been using the computer systems extensively at work, they are not very well acquainted with the information systems and how to use it for the business processes. So the decision is a strategic one and the various critical factors and their impact must be evaluated.
The basic problem that can be identified for the current situation at XTRA is its limited consumer base and narrow exposure. Also, company serves product line that caters to a narrow consumer segment with fans of Hollywood actors who are interested to buy a memoir of the favorite movie or actor. XTRA has been operating through a centralized outlet at the city centre. The declining sales can be contributed to the limited market exposure and constrained reach in the world of global and transnational businesses. The past success describes that local demand for the related goods has been well satisfied and saturated. The unique range of products needs to reach a newer customer base which cannot be provided by local market. E-business will help XTRA to reach global customers and to ...Download file to see next pagesRead More
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