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Open A New Food Delivery Business

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In this era of globalization there has been a sudden influx of e-commerce players in the market. With the use of Information Technology, organizations have found a way to reach directly to consumers. This has reduced the dependency on middleman. It has resulted to create a win-win situation among various stakeholders. For customers, the main benefit is the price advantage. It is expected that there would be further expansion in online space. The objective of this paper is to conduct the literature review for an online space where allow food sellers and food buyers can communicate with each other without physical place. This online space can be considered as a combination of Uber and Facebook (Sandhu, 2014). Food providers can be anyone from restaurants to individuals, who want to sell their food without opening real restaurant or save their money from marketing. Buyers can choose the way to receive their food as door-to-door or pick-up, etc. There will be no geographic boundary between sellers and buyers as buyers can order their food within their own city or from other cities. Sellers can sell pre-cooked food or get pre-order and cook later, it is up to them. There will be evaluate system of sellers so buyers can know which sellers get higher rating. The business system will be based on Uber system but advertising mostly on Facebook. 


Gonzalez & Charles (2015) argued that it would be correct to say that Information Technology has emerged as a key pillar of e-commerce delivery. With information technology, the objective is to obtain balance between the efficiency and responsiveness. Information Technology as applied in e-commerce generally implies the methods that are used to collect, scrutinize and safe guard data and useful information. The Information Technology also helps to optimize the e-commerce delivery and this eventually helps to reduce the cost in long term. It is important that the quality of products is maintained in the online food business. Aggarwal (2016) highlighted that with the emergence of online business customers has number of options to choose from. Therefore, it is important that organizations must provide high quality food.

Horvitz & Kimchi (2014) discussed various advantages and disadvantages of e-commerce business and online food delivery business. The biggest advantage of online food business is that it does not need and major investment. People can start the business without any permanent set up. With this business model, people can prepare the food at home and list the food items on the marketplace. Another advantage of online food business is the flexibility that it provides. With the online model of business people can work from as per their time. There is no pressure on people to give extra time. In long term, the online business model can be more profitable than the offline business model. The profit margins are more in the online business model and this profits can be shared with customers. Therefore, it is expected that customers would also prefer the online business model over the offline business model.


Wang & Wang (2013) discussed the problems with the online e-commerce business. One of the common problem observed in the e-commerce business is that the organizations lack dashboard and reporting mechanism. There are cases when organizations would want to have adequate dashboard and reporting mechanism so that they can keep stakeholders informed. There are cases when stakeholders would want the real-time information about the progress of the project and the condition of the organization (Wixom & Ariyachandra, 2014). However, without the use of Information Technology it may not be possible to develop a real-time information-sharing dashboard. Authors also discussed the IT solutions to overcome these problems for players in the online business. The problems discussed in the above section are generic in nature that could be solved with effective business intelligence system in place. The major benefits if BI system in place is that it BI can help the organizations to analyze the data. With the use of Business Intelligence, organizations would be able to use the data that is collected from consumers. In the operational sense, the benefits with the use of BI include improve in the data quality. In the management sense, the benefit of BI includes better decision-making, effective reporting, improved employee satisfaction and better customer satisfaction (Turban & Sharda, 2011). It would also be correct to say that the effective and intelligent use of BI can also help the organizations to gain competitive edge over its competitors.

Ling & Guo (2014) discussed various tools and technologies that should be used to manage the e-commerce and online business space. There are various tools and technologies pertaining to Business Intelligence and Social Networks that should be used to improve organizational effectiveness. It is suggested that the organizations should focus to have an integrated ERP system in place that would help organizations to take end-to-end benefits of Business Intelligence. There are various software under ERP system like Customer Relationship Management software, internal human resource portal, etc. It is important that organizations should have a vision in place so that the management can use IT and BI system effectively. The need of the organizations is to focus on IT as a core function within the organization. Gone are the days when IT was considered as a support function in the organization (Chang, 2014). Today, most of the organizational functions revolve around Information Technology. Therefore, it makes sense for organizations to integrate IT and BI together. The complete benefits in online market place can be realized only when Information Technology is used to full extent. Therefore, it is recommended that Information Technology should be the driving force of Business Intelligence and Data mining. It is also important that different stakeholders of the organizations should understand the ways and processes to extract the data from the system in an effective manner. It would ensure that time is not wasted and this would be the first step to develop and establish an efficient system.

Elman & Blue (2014) argued that the organizations in the online business model must have a strong social presence. For the organizations in the online food business, it is important to have a responsive Facebook page and efficient twitter handle. The end customers should be able to connect to the organization with a single click. It would ensure that the time is utilized and customers are able to get maximum satisfaction. The focus on Facebook should be the part of the investment strategy. In the current time, organizations and individuals have the option to run various campaigns on Facebook. The good thing with Facebook is that the small players can also set up their page and launch the marketing campaign. The best thing about Facebook marketing is that it is a platform with which the organizations and individuals can reach to thousands of consumers with a single post. It is important that Facebook should also be used as a mechanism to take feedback from consumers (Isik & Jones, 2013). At the same time, the feedback should be collected on regular basis. It is also important that the management should act on the feedback collected through FB. There are a lot of organizations that have been able to take the benefits or advantages of online market place. For example, UBER does not have any car of its own, still it is a largest cab player in the world. UBER has a simple business model to bring sellers and buyers together. The same business model can be replicated across other businesses like online food businesses. Therefore, it can be said that the small and mid-size organizations have a lot to learn from the case study of large organizations like UBER.


The above literature review discusses various aspects of online and e-commerce business. With the above discussion, it can be said that Facebook is definitely a medium for marketing for small businesses. With the above discussion, it can be said that organizations must have specific plans and strategies in place for Business Intelligence on online marketplace. It would also be correct to say that the implementation of BI software is only a one part of the problem. In addition to the implementation, organizations have to ensure that the business can get the real value from BI implementation. It can happen when Information Technology is not considered as the support function in the organization. It can also be said that the early focus on Information Technology and Business Intelligence would also help the organizations to overcome the problems and challenges that could occur in the implementation of BI. The tools like ERP, CRM would help the organization to get the maximum value from Business Intelligence. In the long term, organizations should also target the cloud based implementation of Business Intelligence system.



Aggarwal, S., 2016. Methods and systems of providing health scores in an online marketplace. U.S. Patent Application 15/292,111.

 Chang, V. (2014). The business intelligence as a service in the cloud. Future Generation Computer Systems, 37, 512-534.

Elman, J., Blue, A., Work, J.D. and Ly, E., Linkedin Corporation, 2014. Method and system for leveraging the power of one's social-network in an online marketplace. U.S. Patent 8,713,000.

Gonzalez, M., Charles, F.K.I., Trevino, A. and Galvan, R., 2015. Multi-functional and integrated online marketplace for sellers and buyers having a real-time high bidder display window. U.S. Patent Application 14/878,785.

Horvitz, E., Kimchi, G., Cheng, L., Burger, D., Paparizos, S. and Davis, M., Microsoft Corporation, 2014. Online marketplace with shipping incentives. U.S. Patent Application 14/209,246.

Isik, Ö., Jones, M. C., & Sidorova, A. (2013). Business intelligence success: The roles of BI capabilities and decision environments. Information & Management, 50(1), 13-23.

Ling, L., Guo, X. and Yang, C., 2014. Opening the online marketplace: An examination of hotel pricing and travel agency on-line distribution of rooms. Tourism management, 45, pp.234-243.

Sandhu, H.S., 2014. Online marketplace for services. U.S. Patent Application 14/459,114.

Turban, E., Sharda, R., & Delen, D. (2011). Decision support and business intelligence systems. Pearson Education India.

Wang, Y., Wang, S., Fang, Y. and Chau, P.Y., 2013. Store survival in online marketplace: An empirical investigation. Decision Support Systems, 56, pp.482-493.

Wixom, B., Ariyachandra, T., Douglas, D. E., Goul, M., Gupta, B., Iyer, L. S., ... & Turetken, O. (2014). The current state of business intelligence in academia: The arrival of big data. CAIS, 34, 1.


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