assessment

Assessment

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY ..................................................................................................................................1
TASK 1............................................................................................................................................1
Explain various advantages and disadvantages of digital business............................................1
Evaluate new and emerging model of digital business in context of business issues. ...............4
Evaluate impact of collaboration relationship and strategic alliances with digital technology.. 6
Explain various principles of e-commerce .................................................................................7
CONCLUSION ...............................................................................................................................8
REFERENCES .............................................................................................................................10

INTRODUCTION
Main objective of this report is to understand the concept of digital business. The concept
of digital business helps an organisation in effectively using technology which creates new
values in their business models and customers experiences. The term digital business includes
both digital-brands and traditional players who transform any business with the helps of digital
technology. Now a days people are more prefer online mode and they spend more money online.
This trend in society increase the growth of digital economy. This growth in digital economy
make people more familiar with digital products and services of an organisation. The growth in
digital market increase various opportunities for business but its also introduce new competition
for an organisation. For this report Vodafone company is taking into consideration. It is an
British multinational telecommunication company. Which is founded by Ernest Harrison and
Gerry Whent in 1991, headquarter is in Newbury, England, UK. It serves its services worldwide
and almost 93,000 number of workers are successfully working with it. This report includes
various advantages and disadvantages of digital business and subscription business model &
Freemium model of digital business related to key issue faced by selected company. Other than
this it includes impact of collaboration relationship and strategic alliances through digital
technology. It includes various principles of e-commerce related to selected firm.
MAIN BODY
TASK 1
Explain various advantages and disadvantages of digital business
Digital business refers to a mode of business which use technology for creating values in
their business models and enhance its internal capabilities which helps in effectively performing
its important operations and activities (Ali and et. al. 2018). A business use technology for
enhancing their customers experiences because better customer experience with company helps
in higher growth and development. Digital business includes digital players and traditional
player which will helps in changing their businesses through technology. According to current
scenario digital economy is develop at a faster rate because of customers are more spending their
money online. This change in trend helps businesses to grow their business at another level with
the help of technology. In context of selected firm, its transformation of traditional business to
digital business provide various new growth opportunities to business. This is because now a
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days customers are more aware about digital services. The concept of digital bus8inesas helps an
organisation in achieving competitive advantage with the help of unique combination of digital
and physical resources. Selected firm create new value chain and various growth opportunities
from its digital; business which they cannot achieve through their traditional business. Selected
firm use different technology which helps them in achieving higher growth, revenue and
performance in market. In context of Vodafone, various advantages and disadvantages of digital
business are mention below:
Advantages-
 Growth- One of the best importance of digital business is that it enable smaller
organisation to grow quickly with their new ideas and ambitions. For success of any
organisation its very important that a business efficiently utilized their resources. Digital
business use effective technology which create more values and helps an organisation in
achieving higher growth. In context of selected business, adopt the on-the-go digital
connectivity using Vodafone's Wi-Fi dongles, which helps its founder to effectively
operate its business from anywhere in the world without the need of expensive
infrastructure (Assar and Hafsi, 2019).
 Efficiency- With the increase in digital business the competition is also increase. So for
effectively facing competition in market its important that a business maximise its
productivity and efficiency. Increasing efficiency of organisation means using limited
resources as effectively as possible so that a company can reduce its cost of production
and wastage. In context of selected firm, they use artificial intelligence and internet-of-
things technology for automate process. Which saves time of organisation and also
reduce their service cost.
 Customers experience- A positive experience of customers play an essential role in
growth of any organisation. Using a unique technology helps in creating better customer
experience which helps achieving competitive advantage in market and enhance their
customer loyalty towards brand. In context of selected company, they use digital
technology to deliver an integrated end-to end solution through which selected company
is able to deliver richer customer experience. It also regularly updating its services and
providing new type of services to their customers which will cause positive experience of
customers (Corsaro, 2018).
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