E-Business Report: Business Model Analysis for E-Business Companies

This report delves into the realm of e-business, examining the business models of three distinct companies: Graphcore, Endy Sleep, and Dockatot. It employs the Business Model Canvas to dissect each company's operations, focusing on key partners, activities, value propositions, customer relationships, segments, resources, channels, cost structures, and revenue streams. The analysis of Graphcore, a machine intelligence hardware company, highlights its innovative IPU system and strategic partnerships. Endy Sleep, an online mattress retailer, is examined for its focus on customer comfort and online sales strategies. Dockatot, a Swedish organization selling multi-functional lounging docks, is also analyzed. The report explores the challenges faced by these online businesses, emphasizing the importance of innovation, customer relationships, and value propositions in maintaining a competitive edge. It also discusses the segmentation strategies, including behavioral and psychographic approaches, to identify target customer groups. The report provides an overview of the key activities, resources, channels, cost structures, and revenue models employed by each company, offering insights into their strategic approaches to success in the e-business landscape.

ABP E-BusinessPopular

TABLE OF CONTENTS
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
Business model concept ..............................................................................................................3
Issues faced in Online Business...................................................................................................9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
E-business can be defined as an organization which all most facilitates online
transactions. It can also be referred to as an enterprise which sells goods or services online. The
advancement in technology such as social media platform is the main factor which has given rise
to the such type of business. There is continuous increase in the number of b E- business with
the development of technologies. In addition to this, many of the firms has marked online
presence and given rise to stiff competition. Innovation has become very much significant for
firms in order to maintain their online presence. Many of the enterprises are marking the online
presence and developing new products in order to attract customers.
The report will include the application of the business Canvas model for three business
these are Graph core, business entity develop hardware system for accelerating machine learning
and Businesses entity is located in UK. Other organization is endy sleep which is among the
largest only direct selling mattress enterprise based in Canada. The third firm is Dockatot which
is a Swedish organisation sells multi functional lounging , resting and snuggling dock. Study
also emphasizes on analysing the way these all companies are providing the high value
propositions to their customers.
MAIN BODY
Business model concept
Business model can be defined as clear picture or idea about the way business operates.
It can also be considered to be as a way to translate the value proposition in order to earn high
revenue or profit. The rapid advancement in the technology has given rise to new business model
such as E-business as well as E-commerce. Business model can also be referred to as the
conceptual framework which supports the viability of goods or organization. An selection of the
proper business model is very much essential as it represents the objectives as well as goals of
firm. In addition to this, success as well as growth of enterprise is also completely based on its
business model (Benitez, Teo and Ajamieh, 2018.). Business model is considered to be as a core
strategy which is used by an organization for increasing profitability.
The main objective of all types of organization is to earn high profit, an enterprise can
achieve such target by providing the high value proposition to customers. Unique types of
strategies are adopted by different types of firm in order to provide customers with high value
proposition to clients. In context of the Graphcore, it is an enterprise which makes machine

intelligence application. It is the application which assist in lowering the cost of artificial
intelligence in the cloud as well as data centre. The innovative machine intelligence helps in
bringing improvement in the performance as well as efficiency of artificial intelligence system
implemented. It is the application which consist of highly parallel computational resources with
graph software tool which assist researchers in exploring machine intelligence and help them in
finding solutions. An intelligence processing unit is one of the innovation done by Graphcore
company (Morris, Roberson and Clay, 2019). Business objective of Graphcore organization is to
earn high profit as well as revenue. The business canvas model of Graphcore company :
Key partners: Graphcore company has form partnership with investors which has provided
firm an ease in accessing the financial resources that are required for fulfilling the business
needs. Few partners of the Graphcore company are Del, Dosch, Meridian , Microsoft etc. all
these are the biog organization which has supported Graphcore in earning high profit as well as
revenue. Strategic partnership strategy has assisted an enterprise in gaining the competitive
advantage. It is the partnership strategy which has provided firm an ease in developing the
understanding about market and help business entity in identification of suitable techniques for
attracting customers. Joint venture is the strategy which can be adopted by Graphcore as this
tactic will assist them in getting access to other types of resources which are required for
expansion of business.
Key activities: In context of graphdore the key activity of an organization is to built totally new
processor for computers. Other key activity of an enterprise is to produce as well as sell software.
An enterprise also provides the technical solutions top other big Companies.
Value propositions: Graph core provide the high value proposition to customers by developing
new procedure which enables them to live healthier as well as more creative life. In addition to
this, an organization provide innovative solution related to the technical problems to customers at
low costs (Vilnai-Yavetz and Levina, 2018). In context of Graphdore, an enterprise first
addresses the requirement of target customer group by conducting the market research and offers
clients with customised applications or software. In addition to this, the manager in Graphdore
organisation apply all the elements of the marketing mix in appropriate manner which has helped
an enterprise in accomplishing desired objectives. For instance, in context of Graphcore, the new
IPU system design by an enterprise has assisted its customers in identification of computational
challenges in machine intelligence. In context of Gaphdore, an organization provides their

clients with good experience as well as high value proposition to customers by offering them
with automated services.
Customer relationship : Relationship sales is an approach which is adopted by the Graphdore
for engaging with the customers. It is the strategy which has assisted an organization in
developing the strong relationship with customers. The relation ship sales approach includes
listening and understanding the requirements of customers as well as developing products or
services accordingly. In relation to the Graphdore, marketing team in an organization conduct
the market research for identifying the needs as well as demands of the people. It is the strategy
which has assisted an enterprise in fulfilling the requirements of clients as well as helped
business entity in meeting the expectation of customers. Marketing as well as customers support
team in an organization utilizes the advance technology such as social media platform for
interacting with customers (Kalakota and Robinson, 2019). It is the tactic which has provided
business entity an ease in responding to the customer queries that is very much essential for
providing them with good experience. In relation to the Graphdore, an organization in order to
attract more number of customers is continuously facilitating the innovation in its sales approach.
Customer segments: Behaviour segmentation is the strategy which has been adopted the
Graphdore company. An enterprise can adopt the psychographic market segmentation strategy .
In relation to the Graphdore, the new processors as well as application which increases the
efficiency of Artificial intelligence is highly attracting the customers (Kollmann, 2018.). It is the
customer segmentation strategy which has helped an organization in achieving success.
Key resources: the key resources which are required by an enterprise include knowledge,
financial resources, technical skills, talented workers, goodwill, communication equipment and
other type of technology.
Channels: In context of the Graphdore, an organization seeks support from other big enterprise
in an industry for selling their goods or services. Business entity can form strategic partnership
with distributors as they are those people who have knowledge about the different technique
which can be applied for positively influencing customers to buy specific products or services. It
is required by an enterprise to decrease its dependability on other large firms for selling goods or
services (Jain, Ang and Ganesh, 2019.).
Costs structure : Value driven approach has been adopted by Graphdore , this means that
management in an enterprise is less concerned about the most. In addittion to this, an

organisation has much focus on providing the high value proposition to their clients which is
very much crucial in order to maintain long term business sustainability.
Revenue streams: In relation to the Graphdore, the main source of revenue from where an
organisation earn revenue is through selling the software as well as other computer or mobile
applications. The Graphdore can generate the revenue in form of subscription fees. In other
words business entity can earn high amount of revenue by enabling customers to have an access
to continuous service.
Business canvas of Endy sleep organisation
Endy sleep is the online selling mattresses company which is located in Canada. The
main purpose of an enterprise is to increase profitability. In addition to this, an organization
intends to provide the customers with comfort as well as high level of satisfaction by offering
them with good quality of mattresses.
Key partners: Endy sleep company has developed strong relationship with suppliers in Canada
which has enabled business entity to provide quality as well as timely delivery of goods to
customers. An organization takes high initiatives for fulfilling the needs as well as demands of
their suppliers. Business entity make the timely payment to the suppliers in order to maintain
relation ship with them. In addition to this, Endy sleep also work closely with the charitable
organization such as Mathew house, women in need society, Furniture bank etc. in order to bring
the positive change in the society.
Key activities: the key business activities of Endy sleep firm include manufacturing as well as
materials, packaging and delivery. Manufacturing and material activity of an enterprise is that
they utilize safe Canadian material for designing as well as manufacturing mattresses. During the
manufacturing of mattresses the various initiatives are taken for minimizing the negative effect
of its business operation on environment as well as society. In context of packaging, an
organization package all its products in FSC certified cardboards (Rath,2020). The way
packaging and delivery of products done by company represents that Endy sleep company
manage its supply chain in responsible manner which is very much crucial for business growth.
In relation to the product delivery activity, Endy sleep enterprise compresses their delivery to fit
in such a box which is not big.

Value propositions: By marking the online presence, endy sleep organisation has provided
customers an ease in buying the mattresses. In addition to this, an organisation also provides the
online ordering as well as front door delivery services to customers. Business entity also offers
their clients with different sizes of mattresses. An enterprise design mattresses in such a manner
that Six Endy mattresses take up the same amount of space as two traditional King size
mattresses.
Customer relationship : In context of Endy sleep, firm presently works with the charitable
organization for bringing change in the society, which has assisted an organization in building
the relationship with people. Direct selling is the strategy which can be adopted by Endy sleep
organization, as this tactic will assist them in developing the good relationship with customers.
Personalized or E-mail marketing is the strategy which can be adopted by an enterprise as it will
help them in building the good relationship with clients. In addition to this, an organization is
required to concentrate on improving the quality of goods as this tactic will help them in
retaining the profitable clients for long term. By maintaining the high quality standards.
Customer segments: The psychographic is the market segmentation strategy which is adopted
by Endy sleep for segmenting its customer segments into small segments. In context of
psychographic segmentation, the company segment its market on the basis of life style of people.
In addition to this, categorization of people can be done on the basis of attitudes, values, traits,
interest etc. Endly sleep company can implement behavioural segmentation strategy for dividing
the market into small segments (Sam, 2018). In relation to the behavioural market segmentation,
an enterprise can divide its customers into small groups on the basis of their behaviour or buying
pattern. In context of Endy sleep an organization is targeting the families who belong to the
upper middle class income group. Such target customer group has been selected as customers
belonging to the high upper income group family concentrates more on the quality rather than
price, then in such case it will be easy for an enterprise to influence them for making the
purchases of the mattress. But Endy Sleep firm can target the customers belonging to the middle
income group family, as an organisation by offering the discounts can easily attract such types
of people and encourage them to buy mattresses.
Key resources: The key resources which are used by Endy sleep organisation include
knowledge, capital, man power, technology. Machinery, communication technology, Transport
system that is bike etc. In context of Endy sleep business entity has highly valuable resources.

Channels:An organisation make home delivery of its products to customers through bike
couriers. Such product delivery strategy has been adopted by the company as an initiative for
minimizing the fuel emissions which give rise to the pollution and has adverse effect on
environment as well as health of people.
Costs structure : The main expenditure associated with establishing the Online mattress selling
company is associated with the purchase of machineries, raw material and other equipments
required for producing the mattresses (Zhang, Daim and Zhang, 2018.). It is very much crucial
for management in Endy Sleep to consider all the cost involved in producing goods before
determining or setting the price.
Revenue streams: Endy sleep organization can earn high revenue by selling the mattresses to
customers. In addition to this, business entity can increase in sales and revenue by including
other sleeping accessories such as bedsheets, blankets etc. in their product portfolio. Aggressive
marketing strategy can be implemented by firm as it will help them in achieving desired goals.
Business canvas of Docktaot company
Key partners: Docktaot company has form partnership with transportation company as well as
couriers firm in order to distribute its goods or services to customers.
Key activities: Selling , marketing , packaging and delivering are the key business activities
which are performed by Docktaot company.
Value propositions: Efficient supply chain management has been created by the Docktaot
company for making the timely delivery of goods or services to customers at their door step. In
addition to this, company by developing the website has enabled customers to share their view
about the quality of goods or services.
Customer relationship : Personalised marketing strategy has been adopted by Docktaot.
Marketing team ion an organisation inform customers about the latest stock, discounts and offers
through E-mail or message on mobile. But business entity can adopt the aggressive marketing
strategy as it will help an organization in generating brand awareness more quickly. It is the
strategy which will assist firm in getting the popularity among customers.

Customer segments:
Key resources: the resources which are used by Docktaot company for delivering high value
proposition to their customers are technology, communication devices and human resource etc.
Channels: Management in Docktaot company has appointed the sales assistance team in order
to provide the customers with help. It is type of team which is developed by management in an
organization for handling the needs and questions of a special set of clients. In relation to the
Docktaot, an organization sell Goods or services directly to customers.
Costs structure : Cost driven is the approach which has been implemented by Docktaot
company. This means that an organization has much focus on minimizing the cost of production
of goods, it is the strategy which has been adopted by firm so that they can provide customers
with products at low cost (Zhu, Zhao and Bush, 2020).
Revenue streams: In relation to the Docktaot company can earn profit by selling its products to
customers. In addition to this, business entity can include more baby related products in its
product portfolio, as this strategy will help an organization in increasing sales as well as
profitability.
Issues faced in Online Business
There are different challenges and issues are faced by organization in conducting online
business. On the different stages issues are different. The main issues are- Absence of Identity,
Customer Satisfaction, Competitors, approach of sale, shopping cart abandonment, customer
loyalty, pricing, competing against retail market and data security.
Identity
This is major issue to organization that are selling their products online. Customer are
usually not aware of new brands in market and to make identity as a online retailer is difficult for
organization and it is important to make them aware of online presence of company. Without
making customer aware it is not easy to get better start.
Customer Satisfaction
It is really difficult for organization to provide satisfaction to employees. Because in e-
business there is no interaction between seller and customer. This make it hard for company to
satisfied their needs just by making conversation through online platform. Without gaining
consumer satisfaction company can not conduct profitable business in online market.
Competitors

There are a lot of vendors available in the online market who are providing same product
on same platform with different prise (Laudon and Traver, 2016). This competition of selling
product can cause loss to organization. To survive for longer time in online market they need to
keep fighting with online competitors. It is also a challenge for them to make online strategy to
provide tough competition to competitors.
Approach of Sale
In online sale it is not always about selling products on online platform there are also
other thing to do which can enable the company to improve their online business. There are
many activities and methods can be used by company to improve their sales. To direct or decide
this activities online companies face issues.
Shopping Cart Abandonment
This is most common problem that is faced by online sellers. Most of customer select
particular product and engage it for long time in their shopping cart and this engagement of
product. This engagement make company uncomfortable to manage demand and sales needs in
online market.
Customer Loyalty
The customer loyalty is one of the most important thing for organization. To gain higher
success in e-business company need to make employees loyal to company. Otherwise company
can face major loss in online market. There are different platforms preferred by customer in
online way of shopping and it is difficult for company to make good reputation in mind of
customer to select particular company to buy their product.
Pricing
To decide pricing of product in online business is different from the physical business.
Many other sellers use to sell same product with different price. So, organization face trouble in
making an effective price chart for profitable business (Grefen and Turetken, 2017). To provide
effective price to customer is basic requirement for company to improve sell but it is essential for
company to make certain profit from each sell.
Competing Against Retail Market
Products are available in both local and online market. Customer normally prefer retail
stores to buy product because they are loyal to retail shops. This interest of people in retail store

is issue for online seller because it is difficult for them to gain their attention from online
promotion.
CONCLUSION
This report is concluding importance of E-Business for different
organizations. Different business has been analysed to conduct online business
successfully. Various innovation are suggested for organization to improve their
strategies for online business. Challenges and issues faced by different
organization in online business has been studied to reduce problems to get better
result.

REFERENCES
Books and Journals:
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