Evaluate how eBusiness helps achieve maximum performance.
The Business industry is one of the fastest growing industries in the world as the whole market is going through the terms of business only and not only of one type but various kinds of markets is going on globally. Companies involved in this industry do not have monopoly in the market that is for a single good there are so many companies working to get maximum profit.
The basic and major goal of any business is to earn maximum profit among others present in the market worldwide. In this run, the industry has to grow with the environmental need and to the needs of customers too.
Today’s era of marketing is going global that means to do trading or say commerce which means business in terms of Internet which is a huge library of information and has a great influence on our society, government and commerce and that is word we call it as ecommerce or eBusiness.
When the term commerce comes, it refers to buying and selling of a product. We can see this business all around us in various forms.
There are three factors say people are included in this the process of eBusiness and they are producers, sellers, and buyers.
- Producers are the part where different kinds of products or items and services are produced.
- Sellers are the ones who sell goods and provide service to people.
- Buyers are the people involved in purchasing those goods and services produced and sold on upper levels.
We can take an example of Amul products as to describe the role of producer, seller and buyer-
- Producer- Amul produces Amul Chocolates
- Seller- Shopkeeper in the neighborhood sells it
- Buyer- people around who purchase those chocolates.
Hence we can say that eBusiness refers to buying and selling any good using the Internet technology. Many companies have made up their websites to give customers a platform to interact with their products, like them and can shop them from their homes in highly easy manner with various advantages which are as follows-
- No need of going to showrooms or shops with your bags.
- No need to carry cash from home having a fear of losing them if you have a large amount in your hands.
- No need of taking the help of a sales person to search the item manually into the store.
- No time barrier along with the barrier of geographical conditions of various locations. We can buy product from anywhere in world just sitting home.
- Small industries can also be available global.
- A lot of time, money and effort can be saved.
Now the question comes in mind that how would these transactions take place from the company website to the home of customer without having any physical platform between them.
The answer is the functioning of eBusiness system.
EDI which means Electronic Data Interchange is a term providing the base of eBusiness for the exchange of information between systems without errors enabling the common language between the systems of both the sides included in the transaction. Internationally, the standard format of electronic documents is acceptable for the electronic messages for giving the facility of communication between any buyer, supplier or customer globally all over in the world.
All organizations included in eBusiness do not get success or failure as a guarantee. It depends on their strategy they have applied to to get their eBusiness system run and earn maximum profit. For the conclusions, we can take the case studies of various industries like-
LG Electronics (used oracle as ebusiness tool), Kalahari, OBS i.e., online business system and Amazon.
LG Electronics in Seoul, Korea uses a high technology and has a strength of employees over eighty thousand. It has improved in database management systems with the help of oracle in its every field of products and services oracle financials, oracle manufacturing, oracle customer relationship management etc.
According to the chief Human resource Officer of LG Electronics, a proper management of human resources in the company can only lead to success.
It has installed oracle eBusiness suite in the head quarter among thirty nine countries and now successfully stepping forward to migrate worldwide having same oracle managed systems soon.
In 2002, when the company started working on human resources, it used oracle modules of human resources to get replaced with simple HR applications which were in use in its subsidiaries.
Later on, the efficiency of the company got standardized by lowered costs after the introduction of self service HR functionality and the facility for the employees and customers to learn more through online mode.
Also boosted up the satisfaction of the employees and their satisfaction for using self service options and online training was yet not accepted by the staff hence they provide the facility of easy learning through online systems to great familiar with the new system. As the time passed with the ease of employees, their satisfaction also got increased with the time with boosted knowledge and online trainings done periodically.
As a result, LG Electronics is a long term user of Oracle products and services for the efficient eBusiness done through it.
South African eBusiness organization got successful in the environment of e-marketing even after many complexities. Various high failures reports of eBusiness has been noticed in this decade because of the development of .com websites for the online business along with the misconceptions about the ease of marketing through online that could be done.
South Africa did not know much about the concept of ecommerce and many initiatives proven to be very disappointing in this field like Woza, a successful online company got suddenly shut down.
Kalahari sells CDs, DVDs, videos, health goods etc. They started working on ecommerce strategy as it was on a great hike that time and as it was a famous store of books, graduation students started reading books online as an open book but the failure was occurred and large amount of potential loss happened to that company.
Then the head of book club started observing the real means of ebusiness and then relaunched its online website working with a more experienced and skillful team and noted a marked growth in the history and became a biggest store dealing with over two laces customers.
It was observed that ecommerce is a direct business of marketing and development was done accordingly.
OBS refers to Online Business Systems is a company having seven offices in the area of North America. When online facility was not available it used the spreadsheet and databases to manage billing and information for delivering the projects.
This manual process of filing sheets and managing the data was very time consuming and made people bored doing such jobs and leads to decrement in its position in the market. Hence OBS stated looking for a way that could simplify all its needs and can make a better solution to improve the relationships with customers.
Later on, after trial of various software OBS selected replicon’s web timesheet as the solution for their ebusiness caused a huge time reduced in doing large amount of operations, productivity was also increased with better accuracy and also the expenses got reduced up to some extent.
Amazon is one of the largest retail online stores well known globally and it has more than forty kinds of goods to be sold starting from books, grocery to accessories and health products.
The success rate of Amazon was not achieved in a day or two; it faced a lot of success as well as failures. There are various salient features of this online marketing store as an attractive interface for the customers, fast and easily available goods, easy return and cash back policy etc. It made them reliable among the customers.
Amazon was started in 1994 and aimed to market share not earning profits till 2001. According to the studies it was shown that Amazon faced many lawsuits and auction suites which were proved to be unsuccessful in their path.
In 2007 when Amazon MP3 was launched, an organic growth was not made yet I terms digital rights management. Many book reviews and authors did not supported the marketplace of Amazon as their services to be sold online but kindle, an eBook reader of Amazon made them a success story who inspired others to take part in the online marketing strategy and call others customers towards this ebusiness process of Amazon.
Moving towards the conclusion after having the knowledge of case studies of these companies that their basic focus was on skillful employees, customer relationship management and optimum use of resources available to earn maximum profit with the flexible environment of changing their business online from a simple manual shopping store and how they became a renowned ebusiness holders in spite of up and down graph of their success and failure but finally came into existence as a successful ebusiness organizations.
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