1 Investigate Market Potential for an E-Commerce Opportunity
E-commerce in general motors’ has great market potential and this is evident from the many motor companies available worldwide. The availability of many shipping companies ensures indicates that the potential of e commerce in motor industry is achievable. E commerce does not involve face-to-face transaction where clients and dealers transact business on a one on one basis. Many motor industries such as Ford, GM, and DaimlerChrysler jointly form the world’s largest e commerce motor market. Despite strict competition from the analogue motor industry, market Ecommerce in motor market still has a significant potential in the current market trends. Despite the fact that the corporation has gained reputation over a number of years, it is not an
exception when it comes to struggle resulting from increased universal competition. This competition emanates from other manufacturers using the analogue form of transacting business (Plunkett, 2009).
The availability of market for companies investing in motor industry using e commerce for transaction is evident from the many motor vehicles shipped on the daily basis. The shipping companies booming business is another indication of the rich potential of e commerce in motor industry. The current standings and reports show that over the past years transactions in motor industries using je commerce are on the rise. The rise in transaction shows the potential of e commerce and its acceptance by the market movers. This shows a great deal in depicting the success of e commerce in the motor industry. Countries such as Germany, china, United States of America, Japan, and England among other investors in the motor industry have all embraced e commerce in their motor assembling and manufacturing industries (Plunkett, 2009).
From the market investigation and research, it is evident that e commerce has significant potential in the future of motor vehicle industries. The many countries that invest in motor vehicle industry such as Germany, United States of America, china, and Japan among others have all embraced the use of e commerce in their companies. This shows a rich potential in the use of e commerce in the motor vehicles industry. The combination of Ford, GM, and DaimlerChrysler, which jointly form the world’s largest e commerce motor market also indicate the availability of rich potential in ecommerce business.
Business skills and e commerce
3.2. Evaluate current e-Commerce systems in use by organizations
E-Commerce or Electronic commerce is an industrial type, which buys and sells products, services and conducts the business over electronic systems. The electronic systems include the internet or various computer networks. The electronic commerce depends on various technologies such as electronic funds transfer, mobile commerce and supply chain management. Currently, there are many companies using the e-Commerce systems in their every day running of its business. Such businesses transact its funding via the internet marketing, electronic data interchange or the online transaction processing. In most cases, through the e-Commerce systems, the organizations use a world wide web at one point during their transaction cycle. The use of this system may encompass various technologies, which include the mobile devices, telephones or the social media. The e-commercial is considered as a sales aspect of the e-business.
The e-Commerce consists of data exchange in order to facilitate payment aspects and financing in organizations transactions. Generally, e-Commerce is divided into various categories, which include, E tailing, demographic data usage through the internet, the electronic data interchange, fax, E-mail and media usage. This is for the sake of reaching out to various prospects and the clients who have established themselves in the business. Other forms of e-Commerce are the Business-to-business thus buying and selling and finally the security of the organization’s transactions in the market.
Some of the most common types of e-Commerce include business to business or the B2B, business to consumer (B2C), consumer-to-consumer or the (C2C), m-Commerce, and finally the peer to peer. The most common type of e-Commerce systems, which is used by most organizations, is the business to consumer. The business to consumer type entails taking the business to the consumer or rather business to consumer interaction. In most cases, online business is beneficial in selling ideals to the clients. The concept behind business to consumer is to sell services or products online. Organizations use the business to consumer during their transaction cycle of the e-Commerce systems because of their availability and easy usage. They are fast to use and various people including the clients can access it easily. The business-to-business type of e-Commerce system is also used by major organizations during transaction of its e-Commercial systems.
3.3 Discuss the financial suggestion of the e-Commerce solution which you have found most suitable to the e-commerce opportunity from 3.1
The company is in a position to come up with solutions that are helpful in ensuring that the company incurs financial problems at the end of the financial year. E-commerce can have a great impact on the success of the company and that is why it is viable to ensure that the impacts are in consideration. One of the major steps that require focus is the promotion of the products by the company to the market in that it acquires a better position when dealing with sales. Failure to do so, the company will be at risk of holding large amounts of products that are not to their customers’ interest.
Coming up with new channels for distribution is another solution that puts the company in a safe position in terms of finance. The company can come up with direct savings by reducing a few costs like making deliveries to customers. To come up with other e-commerce solutions, the company can cut down the cycle time by having the management reducing the rate of international delivery that the company is responsible. Building the corporate image is an additional solution for the company’s financial solutions that is possible through the organizations website.
3.5 Evaluate the suitability of the e-Commerce solution which you have proposed in 3.4.
E-commerce is essential in determining the financial state of the company in that the company has to adhere to the solutions are helpful in ensuring less expenses. This is possible with an effective management team where they put to practice all solutions such as customization of the company’s product. The solutions prove positive and effective results only if they are in practice. Having the products to the customers liking assists in increasing the company sales thus, influencing the financial state of company in a positive manner. Some ideas like customer services tend to derail the company’s financial state by having additional costs. Doing away with this will capitalize more on saving the profits by the company.
Improving the ordering systems in use by the company is another factor that acts as a suitable solution towards e-commerce. The mode in which the company receives orders from its clients tends to affect the financial stability by the company. There is need to adapt to better and advance technological systems considering the gradual growth in e-commerce. With these solutions, the company has a better chance in dealing with the financial variations.
Reference
EPSTEIN, M. J. (2004). Implementing e-commerce strategies: a guide to corporate success after the Dot.com bust. Westport, Conn, Praeger.
Reference
PLUNKETT, J. W. (2009). Plunkett’s e-commerce & Internet business almanac 2009: the only comprehensive guide to the e-commerce & Internet industry. Houston, Tex, Plunkett Research Ltd.
