Market Entry the Introduction of Term Paper
- Length: 27 pages
- Subject: Business
- Type: Term Paper
- Paper: #40661812
Excerpt from Term Paper :
com. In case of several companies, enhancing customer relationships is among the most capable features of e-commerce. However, whereas the Internet has presented the consent of a novel method to draw and communicate with the customer, hardly few enterprises have discovered a method to efficiently manage interactions with their customers on the Internet. (David, 2000)
The real skill is involved in making the device suitable to accomplishment of the business strategy and also makes profit persistently. (Howard, 1999) This makes McGrath and Heiens to describe the failures of Internet startups as a moot testimony that "the Internet is a tool, not a panacea" and that a "sound business strategy is always a prerequisite for success" Therefore, even though many successes have appeared to day on the Web in the online industry and in the digital forms in general still more are to be explored for accomplishing long-term goals of the business strategies. It is quite necessary to understand the appropriate procedures in initiating a successful Web-based business. (O'Brien, 1995) Successful e-business strategy calls for an enterprise which gives customer value that is of better quality compared to that what is offered by its rival. In order to give better-valued products, marketing must openly affect core business processes as well as product development management - PDM and supply chain management - SCM. (Greco; Ragins, 2003) hypothetical examination of planning at the personal level and action plan employed by proprietors / managers differentiates five separate strategic methodologies: Total planning, Critical Point, Opportunistic, Reactive, and Routine/Habit. (Ombach, 2000) the companies move through four stages in developing e-business i.e. channel enhancement, value chain integration, industry transformation and convergence. The ultimate two phases are observed to become fascinating while the e-business thrives to transform rather than projecting a linear growth. (Evans, 1999) Hence, what is the way in which an e-business can be able to evade these dangers?
These are 10 easy guidelines we present before our customers while associating with themselves on the building up of an e-business strategy: The process with acquiring the e-business environment. Guaranteeing security measures is a crucial issue while operating an e-business. These features comprise protecting the identity of the buyer, validation of the procurer and the vendor, veracity of the message sent and non-disclaimer, putting up firewalls, and catching hold of trespassing. Next comes facilitating the placing of orders and making the procedure of payment of the goods and services simple. The product list and the detailing regarding the specifications must be brief but comprehensive.
In order to make the web site profitable, buyers must have the facility to order their products in a secured environment and strike a deal as regards the mode of payment. Therefore, the enterprises are required to implement systems, which will be able to tackle front-end operations and back office operations. Third is the capability to ensure that both hard as well as soft products are shipped to the consumer in good condition. A profitable e-business should be able to tackle the shipment of a purchase made by a client if it is a soft item. Through process automation to the extent possible from the order taking stage to the final shipment of the product in the hands of the customer, companies can be able to remarkable lower the cost of shipment and make urgent shipment of the products. The fourth is to make superior customer care by making the whole transaction procedure transparent so that the customer has knowledge of the complete deal, so that their queries are lesser, disagreements can be solved in the online process and the products ordered through the Internet can be needed with ease. (Bhatti, 2000)
The Fifth step is to develop concrete customer relationships. Comment forms, exclusive offers, program for gifting customers doing repeat purchases and additional strategies which an organization may be using in a conventional brick and mortar shop to create a relationship and brand loyalty with customers are required for Internet shops also. The sixth point is to unify the present business systems into the e-business setting. E-commerce must be assimilated into the systems that are running including models and processes. Whereas it is feasible to deal with the low frequency of orders that keep coming at present, in the absence of a robust computerization or into a legacy system, total unification is vital to the profitability of the companies in the years ahead with the rising of the frequency of business dealings in the Internet. The seventh point is building an infrastructure which can be scalable with the increase of the business. This aspect is the toughest, however is extremely important component.
While choosing a development perspective and design, companies must select segments, which will develop in consonance with their functioning. In the absence of scalability, growth in the forthcoming years and thus profitability will be a matter of doubt at the maximum. The eighth is to build open systems and business processes. Systems and processes ought to be flexible to novel routes of performing business, as the Internet is forceful. A lot of new partnerships and scope are likely when there is room in the system to be able to be expanded or can hold added items and be capable of being extended effortlessly. Adhering to the tested industry norms contributes remarkably. The Ninth one is to ensure that the web site is available for the use of customers during the holiday buying spell. It is pertinent that the marketing plans must be done with caution and put off to schedule website inauguration at the time of the holiday spell. Devote enough time period in planning straightaway and be conventional nevertheless strategic, with making investments. (Bhatti, 2000)
It is pertinent to verify the hosting and site security prior to the deployment of the site. It has to be ensured that the website is capable of catering to thrice the amount of users that the site is expected to get. Besides, testing the volume of business it can be able to handle and detect the position of security must be done to guarantee the integrity of the site. Whereas the sphere of e-commerce is speedily transforming the manner in which we perform business and run our companies, the functioning models of the old economy companies before the Internet era began, like the devising of strategies continue to hold good. Fundamentally, a business enterprise requires thinking a while before taking action, in the absence of which it might be fall into the whirlpool of dot-com bust. It is not sufficient to merely build a persuasive product, service or technology and taking for granted that sales will not at all be difficult. In contemporary markets, no product sells without any effort, but rather the crux lays in the strategy that makes and satisfies the sales proposal. (Bhatti, 2000)
In the current cut-throat economic setting, managers are posing intricate inquiry regarding the value proposition, efficacy, and Returns on Investments - ROI obtained from their e-business ventures. Currently, all similar projects have to be substantiated with a concrete business contingency that consists of value-constructed actions on the strategic and planned stages. The rush for an apparent economic reason hinders from the actuality that although some businesses have been successful, a considerable number of e-commerce ventures have failed to earn profits with their e-commerce plans. Dearth of a good value proposition to the consumers, sub-standard interaction between value models, business processes and e-commerce technology are stated to be the main causes. This brings up the issue regarding why this interaction is so indefinable in a lot of e-business projects. (Hegde; Radovilsky, 2003)
E-marketing transcends from being mere irksome advertisements upsetting the Internet experience of the user- strategies exist which are comparatively less invasive and produce better outcomes. (Curry, 2002) in E-business projects, a broad array of multifunctional contributors is required and as a result entails numerous opinions and necessities. Distinctive types of contributors comprise specialists having business mentality such as managers, analysts and developers; people who contribute to the building of products and business processes like operations managers, workers, contractors and clients; and experts who are it specialists like software designers, software engineers and it departmental employees. Investigation of e-commerce projects implies a lot of aspects for various contributors and various niceties are attended to. For instance, a business manager may regard as strategic part of growth of e-commerce as extremely vital. Simultaneously, for an it manager his contribution will be deployment of e-business software. But the genuine creation of value in e-commerce projects requires the integration of strategic, corporate, operational, and technical views/necessities in a single thread as regards building up e-commerce projects. (Hegde; Radovilsky, 2003)
While there prevails no clear-cut guidelines for online success, the financial managers will have enough potentility to solve the problems by answering certain pointed querries. Is the strategy effective in demonstrating the market reality? All succeeding e-commerce business paradigms are revolving around…