Value proposition of NBF

Running head: ANALYSIS OF ELECTRONIC BUISNESS
ANALYSIS OF ELECTRONIC BUISNESS
Name of the Student
Name of the University
Student ID
Subject Code: AMEB600
Assignment One
Company title: Nuts & Bolts Fasteners (NBF)
Word Count: 2000

1ANALYSIS OF ELECTRONIC BUSINESS
Table of Contents
Part 1................................................................................................................................................2
E commerce type for NBF...........................................................................................................2
Value proposition of NBF...........................................................................................................3
Part 2................................................................................................................................................4
Suitable e-commerce model for NBF..........................................................................................4
Domain name for NBF................................................................................................................5
Online Revenue Models..............................................................................................................6
Outline of organisational development........................................................................................6
Part 3................................................................................................................................................7
Private Industrial Network (PIN).................................................................................................7
Analysis of NBF in increase and sales and its efficiency............................................................8
Features of Collaborative E-commerce.......................................................................................8
References......................................................................................................................................10

2ANALYSIS OF ELECTRONIC BUSINESS
Part 1
E commerce type for NBF
E-commerce or electronic commerce is considered as conducting business on electronic
platform or through electronic media. This electronic business can be of different types based on
the way through which the business is done (Laudon & Traver, 2016). The type is generally
determined based on the type of supplier and client present in the business. Primarily, e-
commerce can be classified into the following sections:
 Business-to-Consumer (B2C)
 Business-to-Business (B2B)
 Consumer-to-Consumer (C2C)
 Mobile E-commerce (M-commerce)
 Social E-commerce
 Local E-commerce
Depending upon the types of products that NBF sells, among the above mentioned e-
commerce types, three types of business can be derived by the company to achieve the target that
NBF desires to achieve by the year 2020. B2C, B2B and Mobile E-commerce are the types of e-
commerce that NBF should be focussed on. As the first priority of the company is to increase
their sales by 5% by the year of 2020, hence they have to find out all of the possible ways
through which their business can expand and could reach to the maximum number of people and
organisations. Already they have a big customer base that supports their quality of the service
they provide. Hence, gaining trust of other clients will not be an issue for the company. Besides,

3ANALYSIS OF ELECTRONIC BUSINESS
it is necessary for an organisation to make dealings with every possible types of clients. B2C that
is doing business with the consumers directly will facilitate the company to have access to the
common people who are considered to be the end-user of any product. Positive feedback from
individuals will definitely make the company go for the second type of the e-commerce that is
B2C or business-to-consumer. Providing other business with their products will surely make a
significant increase in their sales (Alsaad, Mohamad & Ismail, 2017). In addition, mobile e-
commerce will make it certain that anybody could reach to the company to clear their queries as
well as make orders for their products and services.
Value proposition of NBF
At present the situation that persists in the NBF and with the strength that it has, the
business can certainly opt for B2C e-commerce where they would do the business by providing
the consumers directly with the necessary resources. A value proposition is the set of promises
that are made based on the asset and facilities that a company has (Payne, Frow & Eggert, 2017).
The value proposition that the company can have by ensuring all of the resources that they have
at this present situation is the following:
1. We have customers ranging from engineers, builders, marines, manufacturers and other
trades.
2. NBF is facilitated with value added Vendor Management Inventory System, reducing
stock-outs providing our customers with supplies without interruption.
3. With a number of 25 expertized personnel, NBF has a list of professional suppliers such
as Pferd, Bosch, Bostik and KC Tools as both our customers as well.
4. A huge range of supplies ranging from Adhesives & Appllicators, Bolts, Clamps, Hose
Clips and a lot more is available to satisfy the needs of our clients.

4ANALYSIS OF ELECTRONIC BUSINESS
Part 2
Suitable e-commerce model for NBF
As discussed earlier, there could be three possible e-commerce business models that
could be implemented to the systems of NBF to achieve the goals regarding the sales and selling
efficiency of the company. B2B, B2C and Mobile e-commerce are the three types that has been
listed appropriate for the company to expand itself and increase the sales (Yu, 2019). As the
company has a big base of customers already made for them hence, it will be a wise decision for
the organisation to adopt B2C business type of e-commerce. This will facilitate the business to
have a pre-made market and all they need to do is to enhance their position in the market.All of
the monitoring could be done by the team that it has, although the company needs to hire
additional staffs to enhance the customer service from their sides (Singh, 2018).
The business model that would be appropriate for NBF according to the type of e-
commerce selected for the company is E-tailor. E-tailor is actually known as electronic retailing
and the retailing is done by selling the products to the consumers directly from the company
warehouse directly. The process of e-tailor is the most common form of internet sales through
the website to the consumers directly. The consumers visit the website and they make the orders
as per their requirement. The materials that are to be delivered are shipped from the company
warehouse directly and are delivered to the consumers. The additional advantage that it provides
to the company is lowering the costing for infrastructure building as compared to the traditional
physical stores. The reach to the maximum number of customers is also possible for the online
stores than the stores that have a physical existence. It is not possible for them to reach to the
every possible customer (Abhishek, Jerath & Zhang, 2015).

5ANALYSIS OF ELECTRONIC BUSINESS
(Wynarczyk et al., 2016).
Domain name for NBF
There are various domain name search websites that shows the availability of a domain
name for a certain company, who are on the verge of creating their own website (Giomelakis &
Veglis, 2016). One of such websites for searching domain names is
https://www.domainregistration.com.au/. The domain name that has been suggested and
searched in the website for the availability is www.nutsandboltsfastener.com.au (Marchler-Bauer
et al., 2016). As an evidence of the availability of the name, the screenshot of the website along
with the searched domain name is given below:
Online Revenue Models
Online revenue models are the ways that makes the company to make money through
online processes (Roma & Ragaglia, 2016). There are various ways through which companies
make money online. The process of moneymaking do not just get limited to selling services and

6ANALYSIS OF ELECTRONIC BUSINESS
products online. Advertisements, freemium model, Licensing and a lot more ways are available
that can support the company to make online (Kim, 2019). For NBF and the e-commerce model
that has been selected for NBF two online revenue models that will prove to be useful for the
company are advertisements and E-commerce. Advertisements are one of the oldest process to
make money online by any company through the websites. With the evolution of the Internet and
Internet-using people, ad-blocking tools have become an essential part for browsing to stay free
from annoying advertisements while doing surfing internet (Storey, 2017). Hence, the companies
have adopted a reliable way of staying on the field by exhibiting their ads in different websites of
several companies. Such methods let the companies to make money through the advertiser and
the advertiser can also make their publicity. Other form of online revenue model that would be
appropriate for NBF is e-commerce or selling their products online through the online shopping
sites. This can reduce the taxes as well as they can approach to the consumers as well. Besides,
NBF do not have to be concerned about the servicing as the online shopping site will act as the
mediator and will handle all of the issues of the customer (Wu & Huang, 2015).
Outline of organisational development
In order to have the selected e-commerce model implemented in the company there has to
be an organisational development that is required. Firstly, the company lacks an IT department,
which has to be installed. This IT team will make the necessary changes that needs to be done in
the IT hub of the company. The storage of the data, processing of the data and monitoring of the
data needs to be done when opting for a higher form of business. Secondly, it is mandatory to
hire more expertized personnel who will handle the increasing load of data that is certain when
aiming for a bigger business. More associates has to be there ready to answer the queries and
take orders from the partners. Representatives have to be more attentive and have to increase

7ANALYSIS OF ELECTRONIC BUSINESS
their reach so that the companies come to know about them and their policies. Marketing
department of the company has to reach to the clients and explain their processes and the benefits
that they would receive upon doing business with NBF.
Part 3
Private Industrial Network (PIN)
When adopting the B2C e-commerce it is necessary to have a PIN or Private Industrial
Network installed in the system of the company. The features of a PIN are as follows:
 PIN monitors and coordinates the transactions that are happening between the companies.
 When there is a process of taking orders from the clients and getting the products
delivered to the clients, there is an existence of a Supply chain management that keeps all
of the organisations involved in the delivery of the product from the supplier to the
customer. This PIN manages all of the aspects of the supply chain ranging from suppliers,
distributors, procurement, retail, and delivery (Duarte, Hu & Young, 2017). Hence, it is
important for a company adopting B2B form of e-commerce to have a PIN installed.
 Firewall is the form of security that needs to be installed in order to make the network
secure from outsiders.
 Besides, it is an expensive procedure to have a private network installed.
Analysis of NBF in increase and sales and its efficiency
The primary objectives of a PIN is to bring more efficiency in the process of sales and
maintain a strong relationship and monitoring of all of the associates of the company responsible
for error free delivery of the product to the customer. This is done by keeping track of all of the

8ANALYSIS OF ELECTRONIC BUSINESS
necessary stages associated with the delivery of the product. A PIN does keep track of the
inventory levels of the supplier and it definitely freed the process from any miscommunication
between the supplier and the companies (Rahimi & Zargham, 2017). The stock will remain
updated with the products that are on the top of the priority list. In this way, the supply chain
remains visible to the parties that are interested. Hence, such efficient system will definitely
attract more people to be a part of NBF. With the installation of PIN, NBF would be able to
monitor all of the parties associated with the delivery and in case any issue arises, they can
directly contact the responsible authority for clarification of the issue that has taken place. Such
processes would give the customers a promising situation that will certainly increase the sale of
NBF as they could be able to provide the necessary solution regarding any issues or
inconvenience. This is evident that with the introduction of a PIN, the sales of NBF, the selling
efficiency in the supply chain and buying would surely increase. Thus, it can be concluded that
for a company with B2C e-commerce has a necessity of installing a PIN in order to increase the
sales and the efficiency of the selling in a supply chain (Davidaviciene, Pabedinskaite &
Davidavicius, 2017).
Features of Collaborative E-commerce
Collaborative e-commerce makes the other companies that are in the association obliged
to share their few assets with the associates. The features that will make NBF to enhance the
relationship in supply chain are as follows:
1. Sharing of the databases of the associates – The sharing of the databases will make the
company to know about the details of the associate and their supplies that they can make.
The transparency of the involved information would make the relationship between NBF
and the associates even stronger (Sigala, 2017).

9ANALYSIS OF ELECTRONIC BUSINESS
2. Sharing of the Intellectual Capital – The associates work for NBF by spending their
intellectual capital. Intellectual assets of the associates will work for NBF. Hence, it will
become a primary debt to NBF, which has to be repaid handsomely. The trust will surely
enhance the relationship they have with NBF.
3. Sharing of the core competencies – The core competencies of the company gets also
shared that will create a better understanding between NBF and the associates.
4. Apart from all of these, another important feature of collaborative e-commerce is EDI or
that is known as Electronic Data Interchange. EDI is the process of the transfer of data
from one company to another in electronic form. The transfer is not done in the
traditional form of paperwork. This makes the interchange of the data between the
companies more secure and authenticated. Whereas, information in the forms of paper
makes it more vulnerable to be compromised. Besides, there is a chance of for the
documents to get lost in the midway between the two companies. Other than that there is
a scope too of a generation of fake documents by any middle agencies between the
companies to satisfy the rivalry between them and the companies. EDI or Electronic Data
Interchange makes this transfer of data more feasible for both the companies and reliable
as well. The transfer is initiated by one of the party and that authentication makes the
other company to receive the data. The electronic transfer also makes the process reliable
and safe due to the cryptographic securities over the data.

10ANALYSIS OF ELECTRONIC BUSINESS
References
Abhishek, V., Jerath, K., & Zhang, Z. J. (2015). Agency selling or reselling? Channel structures
in electronic retailing. Management Science, 62(8), 2259-2280.
Alsaad, A., Mohamad, R., & Ismail, N. A. (2017). The moderating role of trust in business to
business electronic commerce (B2B EC) adoption. Computers in Human Behavior, 68,
157-169.
Davidaviciene, V., Pabedinskaite, A., & Davidavicius, S. (2017). SOCIAL NETWORKS IN
B2B AND B2C COMMUNICATION. Transformations in Business & Economics, 16(1).
Duarte, J., Hu, E., & Young, L. (2017). Does the PIN model mis-identify private information and
if so, what are our alternatives. Working paper.
Giomelakis, D., & Veglis, A. (2016). Investigating search engine optimization factors in media
websites: the case of Greece. Digital journalism, 4(3), 379-400.
Kim, W. (2019). A practical guide for understanding online business models. International
Journal of Web Information Systems, 15(1), 71-82.
Laudon, K. C., & Traver, C. G. (2016). E-commerce: business, technology, society.
Marchler-Bauer, A., Bo, Y., Han, L., He, J., Lanczycki, C. J., Lu, S., ... & Gwadz, M. (2016).
CDD/SPARCLE: functional classification of proteins via subfamily domain
architectures. Nucleic acids research, 45(D1), D200-D203.
Payne, A., Frow, P., & Eggert, A. (2017). The customer value proposition: evolution,
development, and application in marketing. Journal of the Academy of Marketing
Science, 45(4), 467-489.

11ANALYSIS OF ELECTRONIC BUSINESS
Rahimi, S., & Zargham, M. (2017). Quantitative Evaluation of Virtual Private Networks and Its
Implications for Communication Security in Industrial Protocols. International Journal
of Computational Intelligence Theory and Practice, 3(1), 51-61.
Roma, P., & Ragaglia, D. (2016). Revenue models, in-app purchase, and the app performance:
Evidence from Apple’s App Store and Google Play. Electronic Commerce Research and
Applications, 17, 173-190.
Sigala, M. (2017). Collaborative commerce in tourism: implications for research and industry.
Current Issues in Tourism, 20(4), 346-355.
Singh, R. (2018). Strategic Market Segmentation for B2B Enterprises. In Strategic Marketing
Issues in Emerging Markets (pp. 275-283). Springer, Singapore.
Storey, G., Reisman, D., Mayer, J., & Narayanan, A. (2017). The future of ad blocking: An
analytical framework and new techniques. arXiv preprint arXiv:1705.08568.
Wu, I. L., & Huang, C. Y. (2015). Analysing complaint intentions in online shopping: the
antecedents of justice and technology use and the mediator of customer satisfaction.
Behaviour & Information Technology, 34(1), 69-80.
Yu, L. (2019). E-Commerce Models, Players, and Its Future. In Advanced Methodologies and
Technologies in Digital Marketing and Entrepreneurship (pp. 193-204). IGI Global.