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CIS8100 Project Prototype and Digital Enterprises Assignment
E-commerce is emerging business concept that is encouraging the business of organization and developing opportunities to expand the operation in large geographical areas. By using the internet tools like website and smart phone application, organizations are offering products and services in customized manners to the consumers (Rayport and Jaworski, 2002). Project Prototype and Digital Entreprises will analyse the concept and scope of e-commerce business by discussing benefits and disadvantage with respect to business functions. This term is attractive as people are also showing interest in using the functions and services of e-commerce websites and applications that provide better buying and delivery options. Moreover, project prototype and digital entreprises the payment options and process to place order and get the full benefits by using services of online sites of organization and e-commerce.
1. Conduct Environmental Analysis of Some Ecommerce Solution along with Potential for Global E-business and focus on Value Prepositions, Core Competencies and Market and Trend Analysis
E-commerce refers to development of business by using internet sources that give the opportunity to directly engage with the customers and vendors. By using the internet operations customer can perform the cashless trading by using the net banking, Debit and Credit card and cash on delivery options. The business owner can website prototype according to business functions such as retail, auction, real estate and etc. That offer detail information about the products and services with comparison to other alternative products of different brands (Rayport and Jaworski, 2002). This is future of business in which customer have power to select products and services from different organizations.
SWOT Analysis of Ecommerce Website: SWOT analysis refers to evaluation of strength, weakness, opportunities and threat that would influence and affect the business possibilities. The management of organization can consider the following major outcome of e-commerce SWOT.
From the analysis it is being carried out that changes in business environment, technology, and privacy as well payment regulations are the major threats for e-commerce business. In addition to this, fake websites and less interaction with the customers and supplier are also creating issues for venders. E-commerce is fast and effective, financial transactions can be made from anywhere in the world (Qin, 2010). This has provided easy options for buyers to select the product buy and transfer the funds for products and services. This approach is user-friendly and consumes less time to choose the products and payment mode according to needs. In addition to this, development of mobile applications is also encouraging the economics for business that is easy to process. In addition to this advertising is inexpensive in online mode as compared to local sellers.
Some general advantages of ecommerce:
- Ecommerce is useful for the organizations to develop their business to target market with minimum investment of capitals. An organization could simply find more consumers, proper suppliers and appropriate business partners for their business.
- Ecommerce facilitates the customers to exchange products and services for 24 hours and 7 days of week without any barriers howsoever of distance and time. One precondition of using a website of ecommerce is to have internet connectivity and a tool like mobile or computer from which the website could be accessed.
- Another main advantage of an ecommerce application is that the business could opt for options of faster delivery like two-day delivery, next day deliver and typical delivery (4-6 days).
- Ecommerce develops the brand image of the organization and reduce the paper work a lot.
- The user has the choice to select from a large range of products. The user could select and choose from different sizes, colors, fabric, flavors and shapes all at one place.
- The user could purchase different products, pay it from credit and debit card and also by net banking options. In case the customer does not want to pay online then he/she could choose the option for paying after receive the product.
- The customer also have the facility to try the product before purchasing it and to return the product if he /she does not like it.
- Ecommerce helps the organization to offer better customer services by providing attractive coupons, price cuts and discounts which are not always available in a retail store (Qin, 2010)
- The customer could purchase various products that are available in categories like kids, women, men and babies. Websites also provide the facility of filters according to size, age, best sellers, cost range etc (Qin, 2010)
- The customer could track its order through the website of the organization.
- The customer should also chat with the executives of customer care in case the customer has any doubt about particular product its quality, delivery or website.
- The customer could obtain to earn liability cash with various websites.
Some disadvantages of ecommerce:
- It might occur sometimes that the bundle of product being ordered may get delayed or lost in the way and could not be tracked.
- The websites sometimes could be fake also as there is no physical appearances and might result to loss of money (Palvia, 2009). For example, during a transaction cash gets debited from your account but might not show as payments to the sellers and gets lost around. This happens mostly in case when internet connection is not secured (Qin, 2010)
- Estimation of your e-commerce presence in terms of Porter’s competitive forces model
- Porter’s five forces could be used for analysing the market realities for the business
- Threat of new entrant’s means: This refers to the easiness with which competitors can come in marketing management . E-commerce development has become easy and website can be easily developed as a result threat of new entrants is very high
- Substitution / Substitutes: There are many e-commerce websites selling the movies; hence the threat from substitutes is high
- Supplier Power: High quality movies are easily available as a result supplier power is low
- Buyer Power- There is lot of option available for the customers as a result the buyer power is high.
- Rivalry: Level of competition in market is high that which shaping the business of organization and encouraging to switch into e-commerce market
What our proposed system does?
The e-commerce website sells and rents movies to the customers. The website allows the consumers to search the movie library by different criteria like actors, years etc. There are two options available for the users. The customers can either rent a movie or buy a movie from the site. In case of buying the movies the customer could request for a CD/DVD of the movie to his address or can download a movie. Customers can also
1. Illustrate the implementation of strategic Goals and Objectives in your organization
The main goal of the organization is to provide the customers with different entertainment products like movies, videos etc over the e-commerce website. The objective of the organisation is to provide with quality videos. The selling process is accurate as the consumers can search the videos over the website. The customers could preview the video so as to assess the video quality and be sure of the product before buying. The website also has an easy return policy which has helped in building the customer confidence. The payment gateway is implemented using a secure layer as a result of which there are no chances of any fraud. The website allows the consumers to rent a movie which allows them to view the movie on the site within the defined rented period. This strategy allows the organisation to meet the needs of people with limited budget. Rather than buying the movie they can rent a movie within the limited budget.
2.Discuss the expectations of customers from this website and how well this merges with the aims and goals of the website and organization.
For an e-commerce website to be successful it is important that the website should be easy to understand in terms of the functionality, navigation (Wang, 2008). The website should be responsive and should engage the customers. Some of the functions of the website are:
- Website allows searching the movies on the basis of criteria’s like actors, release year of movies.
- The customers can also rent a movie where the users can see the movie within the rented period on the website.
- The website captures the customer details and helps in generating the useful management information which helps in generating reports.
- Customers can preview the picture quality of the movies so that they are satisfied of the quality of the movie.
- The customers can easily do the payment by using the different payment modes available on the website.
- The website is accessible to the users from any part of the country and also provides delivery to any part of the country. This is a web application and no application is available for desktop.
3. Describe the ecommerce Business Model that you have used in building this solution
- E-commerce business can be classified into seven models. These models are as follows:
- Business to Business (B2B): In a B2B model, commercial transaction is made between two businesses.
- Business to Consumer (B2C): In a B2C model, a business and consumer is involved in a commercial transaction.
- Consumer to Consumer (C2C): Consumers are involved in this mode of e-commerce
- Consumer to Business (C2B): In this type of commerce, a consumer provides services to a business (Doganova and Eyquem-Renault, 2009)
- Business to Government (B2G): It is a type of B2B business where a business transacts with the government. Public sector transaction follow B2G model
- Government to Business (G2B): It is a type of model where a government provides service to business. These services may be provided to facilitate the business.
- Government to Citizen (G2C): Under this model, the government provides services to its citizens.
In the website developed for selling of movies, B2C model has been used. B2C model helps organisations to connect with the large number of consumers and suppliers on the daily basis. Getting all the activities done online helps the business at a large extent and supports with the competitive advantage over the conventional transactional methods. The websites would implement strategies for shopping online in order to maintain the customer traffics towards it. There must be certain special discounts, attractive offers, gift vouchers, coupons, etc. which would pull a large customer base towards it (Crespo and del Bosque, 2008). The competitors must also be kept in mind as they are the major factor that helps in bringing innovations and certain changes. Effective measures must be adopted on regular basis to bring more improvements with respect to the changing trends, fashion, choices of the customers and technologies to be concerned during the decision making process.
In the website developed for selling of movies, B2C model has been used as the business is directly selling the products to the consumers and no third party is involved in the selling process. Customers have the facility where they can directly view the products and order and pay on the website (Crespo and del Bosque, 2008)
In the proposed solution, the customer can pay online to buy movies. The payment is processed through a payment gateway. The payment can be done by the consumer by modes like online transfer, payment through, cards, paytm wallet, PayPal etc.
1.Discuss Potential Risks in development of this solution
E-commerce has several advantages; however there are several risks associated with e-commerce. The important information of customer could be revealed and be cheated as some of the websites does not implement any of the security to the payment modes and no privacy issues are undertaken. The websites of ecommerce totally depends on the internet connectivity and are useless without it (Wang, 2008). It even gets affected with the speed or network issues, system faults, etc. It is very important for the e-commerce websites maintain a backup of the data online so that it could be recovered in future if needed. The licenses must be kept updated as to avoid any of the legal conflicts (Palvia, 2009). There might be some issues in the policy of returning the products as it is not always necessary that the expectation of the customer meets the actual received products. It might occur that the seller denies accepting the returns and providing the customer money back. It is very much essential to eliminate these types of offenses for the sellers who desire to attain success in the online market and make the customer segment satisfied and delighted who will promote the products and services around their surroundings.
In the case of our e-commerce website, information security measures have been implemented in payment gateways. Use of secured layer has been done which has allowed preventing any kind of fraud and has allowed in direct communication between the customer and the business as there is no third party is involved. Following shows the payment gateway integration in the website:
- 1. Use the assigned URL supplied to you by your Course Leader to commence the first steps in familiarising yourself with Joomla as a content management system and to develop a preliminary prototype of your proposed e-commerce website. (State the URL in the first part of the report)
- 2. Joomla is among the most common tools used for developing and maintaining the websites. Joomla has several advantages like it provides the management of content as it has several components like blogs, content writing. Joomla follows MVC architecture. The website developed will help in selling movies over internet. For development of the website a template named Moviestore has been used. This template is compatible with Joomla 3.x. A logo has been designed and 4 banner has been selected for template.
- 3. Using Components
- J2 Store V3 Core is one of the best shopping cart solution available for Joomla website. It is installed on the website from Joomla extension.
- AcyMailing Starter : 5.1.0 – This component will be used to send newsletter or mailer to all our registered customer. In research it is found that mailer is one of the best way for an Ecommerce Company to promote their offer.
- Community Builder: Ecommerce platform always needed social platform support and Community builder is installed for that purpose. It is an easily usable and flexible social networking solution.
- A forum for discussion is required over ecommerce website where customer can discuss about products and services. These forum reduce the load over backend team because many time customers find solution of their problems over discussion forum. We will use freely available Kunena forum over website.
- For contact us page website needs a forms and which will be build by using breezing forms component.
- Polling component will be used over website to take customer satisfaction feedback
- Login module will be used in right siderbar of theme for user login / registration.
- Right sidrbar J2 store cart will be placed
- AcyMailing Starter module will be used over website for user subscription.
- Related product module of J2 store will be placed at bottom of each product.
- 4. For the development of the website, I have taken help from several e-resources like online tutorials, blogs and you tube videos. I have found a video in youtube which was very useful in understanding the basics of Joomla. For learning about the different available modules and components, Joomla extension has been used.
In the present times, it has become a necessity to adopt the technological aspects in carrying out the business activities. In order to sustain in the market and attain growth through globalisation it is very important to have technological association in the business activities. It had become the major demand for the development of business activities in the market. Digital transformation are been adopted by most of the organisation to compete with the other industries for longer period of time. Ecommerce had provided the businesses with a new base to establish them among the customers. Ecommerce had not only supported in the development of the business operations but had also helped out in promoting the goods and services effectively.
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