Initiating a business provides an opportunity, but it also comes with challenges that an individual needs to face while starting up a venture.
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BUSINESS INFORMATION SYSTEMS1 Introduction Initiating a business provides an opportunity, but it also comes with challenges that an individual needs to face while starting up a venture. Moreover, it has been identified that the technologicalandsocialenvironmenthasrapidlychanged,whichhasincreasethe opportunity of being an ecommerce business. Ms Lara is willing to initiate a cat related garments business through ecommerce, for which the key aspects and element that she needed to consider will help her in setting up and conducting business successfully would be discussed in the essay further. E-commerce is a business conducted online where trading of the goods that is buying and selling of the goods is conducted over the internet. This can be done through various modes and level of use of the internet and platforms. The essay purpose is to analyse the key activities that Lara needs to do while conducting online business. For instance, the key aspects to be discussed include various areas that would be appropriate to address the E-commerce to work effectively(Tiago, 2014). E commerce Initially, in order to initiate an e-commerce business, it is important to understand key ecommerce elements for instance technology. Technology plays the most important role in this business; it is the technology that will let Lara develop a website or other platform to sell its product. The technology would be in form of hardware that are the assets in which Lara would require to invest like laptops, barcode scanner, and softwares that will let Lara connect to their potential customers that is internet, development of websites, development of social media pages, posting of pictures and its content to sell the products. Most importantly the use of technology would be for payment of the products through online; this would require
BUSINESS INFORMATION SYSTEMS2 different modes to be made available to the customer to make payments like mobile wallets, debit card, credit card, net banking and similar options(Ryan, 2016). Another important aspect to initiate business through ecommerce includes the role of government that must be considered by Lara(Thomson, 2016).The regulatory system of the nation is to be considered and abide by Lara to conduct business. For instance, the consumer rights that need to make sure by Lara that the conduct of business is legal and relevant. The regulation is becoming strict and precise due to the increase in cybercrime and illegal conduct of business through online mode. For example, electronic commerce regulations 2002(unido, 2019)is the act implemented;thus, if Lara business is able to conduct business online or not will be dependable over the government of the UK. In 2013, the UK law was updated and affect the business due to the implementation of EC directive regulations 2002. This regulation was introduced with the purpose to clarify the online business rule and regulation and enhance the customer confidence and trust towards ecommerce companies. Eventually, it can e said that each website that is developed and initiated over the internet needs to be covered as per this acts and regulation, which h has to be abiding by Lara for initiating business(pinsentmasons, 2019). Digital marketing In order to trade goods online, Lara needs to understand the key elements of digital marketing. For ecommerce activities the marketing is also conducted through the internet, thisincludesplacing,promotion,andtradingofgoodsthroughdigitalmode.Digital marketing strategies need to be planned and implemented to conduct the business effectively. The digital marketing plan for Lara would include strategies like the use of websites and mobile application for the placing strategy. Moreover for the promotional strategy Lara could usevariousstrategieslikesocialmediaplatforms,searchengineoptimization,email
BUSINESS INFORMATION SYSTEMS3 marketing. Among the above mention strategy it is very important for the company to opt for SEO strategy, the reason being the company needs to create brand recognition and generate brand positioning to attract the cat lovers. Use of search engines are most commonly considered by the customers, for which Lara must invest in a specific term like cat prints to make the information regarding the brand available to the customers(Choi & Park, 2016). It can be said that the people are mostly spending time on social media, which makes the social media platform most approachable to reach out of a maximum number of customers through an attractive way(Kim & Edelson, 2015).This could include advertising, video campaigns through social media post to attract customer and enhance brand recognition and brand trust among the customers. Lara can attract cat lover merchandiser through videos and images that would be eye catchy, especially for cat lovers. The platforms of social media marketingincludeFacebook,Instagram,twitter,Pinterest,andYouTube.Lastly,itis recommendedtoLaratoconsidercustomerrelationshipmanagementandcustomer engagement to email marketing. This could be interactive for the customers, and through this Lara would be able to understand the customers’ needs and expectations and increase customer satisfaction. t5herfore, it can be said that for E- commerce business Lara must consider digital marketing strategies, even before the brand launch(Zahay, 2015). Information Information plays a vital role in e-commerce business as the information provided to the customer could be the major basis for the purchase decision of the customers. Moreover, the customers are providing their personal information while purchasing from the websites, which increase the privacy issue, which needs to be considered by Lara while conducting e- commerce business and will affect the brand trust among the customers(Holt, 2015).Data privacy is one of the major challenges in e-commerce business. Privacy is controlling
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BUSINESS INFORMATION SYSTEMS4 someone’s personal information, which should not be losing to anyone. The company needs to maintain the privacy of the customer. Lara has to exploit the private information of the customers for the purpose of business growth and opportunities. For the purpose of customer database, Lara has to main the personal information but in case the privacy issue is found to be dissolved to the customers, they would refuse to purchase online from the brand which would eventually resultin the inability of the brand to retain their customer and harm brand image(Kowalski,2015).Laraisrecommendedtoimplementprivacypolicytoits organization to ensure that the privacy of eth customer are maintained, otherwise users must not be able to feel comfortable making payment online at the website. This is a relevant aspect that Lara must consider as the privacy issue has been observed in recent years; in 2016 the number of incidents related o data privacy increase from 783 to 984. Some of the data privacy issues include intellectual property reselling, the integrity of server machines, web activity correctness, buyer striking, snooping into customer computer, passwords guess, sniffing the network. The prevention steps that Lara must consider include lawful private information collection, fair data collection, do not disclose data, personal data utilization securely, personal data accuracy, and the limited time span from retention of personal information(Kim, 2016). Security Security is one of the major concern and challenge that Lara could face and need to abide. One of eth security issue is the data privacy issues, discussed before. Some other issues relevant to ecommerce business are authentication that is the authenticity of the users, for which the identities must be known to one other that is the buyer and the seller. Another issue is integrity that is tampering of information that is being exchanged among the parties (pdfs.semanticscholar, 2019).
BUSINESS INFORMATION SYSTEMS5 Factors that affect the security of e-commerce include the role of system log files and auditing. The log files are responsible for storing ass the network and data activity, through which computer auditing program would be able to track the activities of network which includedthe details of files like moved, downloaded, copied, and deleted files and all the unsuccessful attempts of logging to track any kind of hacking or password guessing. This would help Lara to enhance the security of the e-commerce business.The online auditing could also help Lara to check on the real time basis to manage internet transactions then configured further to tools for security measurement. Through this Lara could be able to evaluate the risk and control the identified risk(Nacos, 2016). The log files would generate the alert automatically and are responsible for reports to the auditor. Moreover, Lara must consider general data protection regulation that includes five key cyber security classes to be abided by Lara’s company to conduct business online. Therefore, it can be said that Lara must consider the security issues and ways to increase security over the internet for conducting ecommerce business(digitalstrategy, 2019). Conclusion From the discussion, it can be summarized that Ms. Lara is willing to initiate a cat related garments business through e-commerce, for which the key aspects and element that she needed to consider were included for discussion. Technology plays the most important role in this business; it is the technology that will let Lara develop a website or another platform to sell its product. The digital marketing plan for Lara would include strategies like the use of websites and mobile application for the placing strategy. Information plays a vital role in ecommerce business as the information provided to the customer could be the major basis for the purchase decision of the customers.
BUSINESS INFORMATION SYSTEMS6 References Choi, D. & Park, D.H., 2016. Innovative service concept generation based on integrated framework of design thinking and VRIO: the case of information supporting system for SMEs in Korea.In Proceedings of the 18th Annual International Conference on Electronic Commerce: e-Commerce in, p.23. digitalstrategy, 2019.security-issues-in-e-commerce. [Online] Available at: https://digitalstrategy.ie/security-issues-in-e-commerce/. Holt, T.J., 2015.Cybercrime in progress: Theory and prevention of technology-enabled offenses.. London: Routledge. Kim, S.B., 2016. A Cybercrime Prevention Program based on Simulation and Quiz Game: Applying Item Response Theory for Effective Information Security Learning.International Journal of Security and Its Applications, 10(5), pp.165-80. Kim, P. & Edelson, S., 2015. What did I just tweet?: The need to address digital emotional literacy in corporate communications.In Digital business discourse, p.189. Kowalski, R.M., 2015. Cyberbullying via social media.Journal of School Violence, 14(1), pp.11-29. Nacos, B., 2016.Mass-mediated terrorism: Mainstream and digital media in terrorism and counterterrorism.Rowman & Littlefield. pdfs.semanticscholar, 2019.Privacy and Security Issues in E-Commerce. [Online] Available at:https://pdfs.semanticscholar.org/ffe1/c67215a7b902c9af8219f15cdcfc767418e5.pdf. pinsentmasons, 2019.the-uks-e-commerce-regulations. [Online] Available at: https://www.pinsentmasons.com/out-law/guides/the-uks-e-commerce-regulations.
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BUSINESS INFORMATION SYSTEMS7 Ryan, D., 2016.Understanding digital marketing: marketing strategies for engaging the digital generation. Kogan Page Publishers. Thomson, H., 2016. Marketing small and medium sized enterprises in the digital age: opportunities and challenges..Teaching Business & Economics, 20(1), p.4. Tiago, M.T.P., 2014. Digital marketing and social media: Why bother?Business Horizons, 57(6), p.703. unido, 2019.unido-file. [Online] Available at: https://www.unido.org/api/opentext/documents/download/9919169/unido-file-9919169. Zahay, D., 2015. Reimagining branding for the new B2B digital marketplace.Journal of Brand Strategy, 3(4), pp.357-72.