Business Development Assignment Help Study writing Report analysis review: E-Commerce implementation – Its advantages & challenges

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Write an assignment on E-commerce implementation and its advanatges and challenges??

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Introduction

Use of technology remains extremely important in the case of any organisation. Fashion land whose major customer base is males between the age of 25 and 50 will have immense amount of advantages on going online for them.  This is a report that proposes the advantages of making use of a new business model and suggests the requirements and challenges that are bound to happen on implementing sales through the medium of web technology.

Business model

A business model that is used by the firm is a sum total of their hypothesis of what is required by the customer, how they require their produces and what is done by the entrepreneur to fulfil their requirements and suggestions. The major advantage of an efficient model is that an owner can meet the requirements of the customers as it is suggested by the customers on the basis of the needs and make a profit through doing that (Teece, 2010). The situation is the same in the case of Fashion land. The advent of the power of technology cannot be underestimated.

Current business model

The current business model requires strong relationships between the management of of Fashion land and the management of the internal customers. The internal customers mentioned here are the shop owners, suppliers and the various employees. The real feel of the customers are experienced through shops at 25 different locations. This model requires multiple numbers of stores to have direct access to the customers and equal level of advertisement for popularising the brand, in case they are going to expand. Each expansion measure will prove it very costly to the management due to the requirement of the additional stores, employees, advertisement, and other challenges to attract the customers.

New Business Model

The new business model makes the national presence of the firm possible along with fulfilling the requirements of the customers. This will require the medium of a website and maximum utilisation of the modern communication technologies to keep in touch with the customers. The front office and consultation requirements should be aligned to fashion land. The back office operation is what plays a major role in the case of a making an efficient online commerce site for fashion land.

Requirements of technology infrastructure

Source: (Oracle, 2009)

Here is a list of the comprehensive infrastructure requirements for an IT environment. This is a model that is also suitable for the implementation an e-commerce site for Fashion Land. Telecommunication- There should be a model for the telecommunication infrastructure requirements and that should entail the bandwidth and security. The bandwidth is higher in this as it is a BSC (Business to customer model) and the number of users will make bandwidth requirements very high. The security requirements are also very important as the payments are to be made online and will require a firewall and encryption.

Hardware Requirements- the requirement of hardware will also depend on the speed of utilisation of the website. The number of transaction, users and hits will be at a medium level initially and they will increase of the basis of the number of hits. Since Fashion land has grown faster, it would mean that the number of hits and the usage will be very high and so it required a Pentium 11/111 based servers. In case it is not used clustering up can be taken as an option. In this case the backup servers will take over the operation in case the primary server fails to take up the operations.

Software Requirements: The number of software that are available online for building up ecommerce but will not match up to the requirements on an online ecommerce site that will have more assessors in the future. IBM software Webshere commerce can be adequately fulfils the requirements of Fashion land in developing an e-commerce site (IBM, 2012).

Technical requirements- The administrator of the system should have a good basic knowledge about the hardware and the software that is used for making the optimal performance of the technology that is inherited. This will require up gradation of the server s required according to the people who are working. The team should be equally proficient in programming skills.

Challenges on Marketing and promotion Strategy

E-business is not devoid of challenges when it comes to marketing. some of the major challenges that are faces are in relation with the safety and security of the online payments, protecting the privacy of the online customer, prevention of the scams and frauds, improving the site design and customer service, reducing potential channel conflicts and also dealing with the copyright disputes (Boone & Kurtz, 2012).

Employee and Management Requirements- Though majority of management will be taken care by technologies that are taken, it would also require employees to support to reason and advertise site through efficiency and giving 24*7 online support. Planning with suppliers and carriers for on time delivery is extremely important for the success of the e-commerce site that is used for the benefit for the management and the employees.

Customers Lack of Trust and Privacy

It takes time for customers to trust in the safety and the security of an online site. In most of the cases the customers tend to take this site for a fraud. This is one of the challenges to be overcome as there are many websites that tend to fraud the customers. Other competitors are eagerly waiting to get a grab of the details of the customers who are working for the same products and customer’s privacy is a major concern. Most of the customers initial requirements are privacy and it is hard to fulfil (Boone & Kurtz, 2012).

Safety and online Payment

The payment procedures should be designed in a way that the payments are done on time for fulfilling. It is also highly dependent on the banking infrastructure requirements where the location of selling and the customer’s location are concerned. This will also play a pivotal role in the banking infrastructure and the role that can be undertaken by the company in this issue of very less. The safety is always under question and it makes most of the users really reluctant to make online payments (Boone & Kurtz, 2012).

Copyright Issue, online Communities and SEOs

When it comes to marketing online the issue of copyrights are to be taken seriously as an effortful creation of a person is always copyrighted by the other. Search engine optimisation is highly required to come in the top where a search engine is used for checking on the sites. A bad word of mouth on social site tends to have an adverse impact on the image of the whole company and this has to be avoided at any cost (Boone & Kurtz, 2012).

Hardware and Software Requirements

Software Perspective

There are two basic components that are required for allowing the users to securely manage and perform different transactions online. They are they are digital certificates for web servers and secure e-payment system and management of the same. These certificates can be issued from the mediators or rather certified authorities and will authenticate the seller to the buyer and the buyer to the seller (Alsmadi, 2009). Using this in the case of Fashion land will authenticate privacy ad integrity of data to the the users through encryption. E-payment system and its management will allow the various e-commerce sites to automate the acceptance, management and process of online payments. These two will ensure the three elements that are performance, reliability and security for the commerce site (Alsmadi, 2009).

Hardware Perspective

There are many requirements for a website and one of the pivotal ones is the existence of a hardware infrastructure to support it. Some of the major elements that are required in this case are routers, wireless communication channels or fibre-optics and firewalls. This is a perspective that will consider any of the essential requirements that are necessary for fulfilling the external requirements of the website (Alsmadi, 2012).  The major hardware requirements will require a server with considerable bandwidth to ensure that the speed of the website is high even when there are multiple customers accessing them at the same time.   The server should be a Pentium 11/111. And there is also an additional option of keeping back up servers in case a server fails to perform on time. The server should be highly secured and should not be corrupted at any cost. The requirement of a database to store the details of the customer, their requirements and their satisfaction rte are very high.

Legal and ethical requirements

Legal policies should be adhered to the location so as to ensure maximum protection to the customers who are purchasing the products and the people who are selling it. Online trade is extremely influenced by the national risk and the political policies that are framed at the time. The process of the website development, the status of the internet service provider, website usage and privacy policy and sales and terms conditions should also be adhered to. (Alsmadi et.al, 2009)

Data Storage and Protection Australia and laws  

Terms and conditions of use this will ensure protection in the form of general conditions for usage. The terms and conditions will be made adaptable to the terms in the favour of Fashion land as in occurrence of any case, it will he dealt in the home country of the firm, Confirmations on the sales and usage policy, no return policy and many other policies that are be designed in accordance of the requirements of the firm (Philipson, 2002).

An example for this is the Electronic Transactions Act of Australia 1999 as it ensures protection of data on computers.  The provisions that are related to them are related to the production of requirements, documents, electronic cards etc. these laws cannot be breached and is criminal in nature if offended (Philipson, 2002).

Contract Law- This is a law that enables Electronic transactions online. This is a law that will bring the customers and the organisation together (Philipson, 2002).

Privacy- There is no right to privacy law as such in Australia. The Privacy Act of 1998 should be adhered to and it imposes obligation to those people who are collecting and handling personal information of people through NPP (National privacy principles) (Philipson, 2002).

Trade Practices Act 1974- The advertisements or any of the actions that are taken in the site should not breach this Act (Philipson, 2002).

IP Infringement- there are intellectual property rights and none of this should be forewarned this should also avoid misleading and deceiving the customers who suffer from unfair and unlawful advantages. This is in relation to the logos and the ad lines that are taken by fashion land (Philipson, 2002).

Advantages and Challenges

The major advantages are increased pace of information flows and feedback from the customers. Establishment of virtual stores nationwide or worldwide with a better implementation of strategies is possible through this.  It will increase access to the customers. Direct and undistorted information from the customer helps to keep the trend in motion. It is an easier way to get customer loyalty and ensure customer satisfaction.  The profit that can be generated through this model is also very high. With the help of a capable supplier chain model, the materials that are kept in stock can be reduced and it would make it easier for the company to deliver the products to customers at optimal prices. The number of employees in the offices can be reduced along with saving the expenditure on producing new stores (Bushry, 2005).

The challenges lies in creating a trust worthy site that will ensure that the client is captured in to the website and will return into the same site for further purchases depending on the quality of the site. There are challenges of marketing and promotion. On time delivery across the nation and partnering with a suitable carrier is also another challenge. Ensuring privacy and security while the fear of being hacked hangs all the time is insecurity. There are chances to lose customers who do not favour online shopping. Clothes require trial before purchasing and that is one of the major challenges. There are chances that the whole effort will go astray as people realise that the clothes look different on screen and for real (Bushry, 2005).

Recommendations and conclusions

customer service and support-though online the website will still require customer support and one of the reasons the customers wish to purchase on line is time saving along with the comfort of purchasing at any time. Customer service is the quality that will make a difference

Technology should not be compromised initially as speed is one of the most important criteria, on terms of web access, payments and repayments and speed of delivery.

Social media should be made use of at the optimal levels to ensure a high level of marketing.

To conclude, it can be said that, when properly marketed the technology can really capture the minds of the customers and there will be boost in sales and profit. It also allows making the customer feel that a high level of attention is provided for them. Technology should be embraced now as it will pave way for fashion land to become and international brand.

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