E-Commerce Business Success Factors

This assignment delves into the key factors contributing to the success of e-commerce businesses. It examines the influence of entrepreneurial orientation, customer loyalty, and interdisciplinary team dynamics on venture startup and growth. The analysis draws upon research articles covering topics such as cultural intelligence in conflict management, antecedents of customer loyalty, and the impact of effective interdisciplinary teamwork within e-commerce ventures.

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APPAREL Pty LIMITED BRAND SIMULATION
Table of Contents
ASSESSMENT 1........................................................................................................................................3
Business Analysis...................................................................................................................................3
Venture proposition...............................................................................................................................3
Product Venture....................................................................................................................................4
Target Market........................................................................................................................................5
Gathering Information on Venture......................................................................................................5
Benefiting from others...........................................................................................................................6
Business Registration............................................................................................................................7
Cost and Benefit Determination...........................................................................................................7
TASK 2.......................................................................................................................................................8
TEAM MEMBER’S ROLES AND RESPONSIBILITIES.................................................................8
Business manger..................................................................................................................................8
Apparel designers................................................................................................................................8
Project manager...................................................................................................................................8
IT experts.............................................................................................................................................8
Sales manager......................................................................................................................................9
PERFORMANCE PLAN......................................................................................................................9
TASK 3.....................................................................................................................................................12
TEAM POLICY AND PROCEDURES.............................................................................................12
Business Policies...............................................................................................................................12
Customers Policies............................................................................................................................13
Team Policies....................................................................................................................................13
TEAM MEETINGS.............................................................................................................................14
CONCLUSION........................................................................................................................................15
REFERENCES........................................................................................................................................16
APPAREL Pty LIMITED BRAND SIMULATION

APPAREL Pty LIMITED BRAND SIMULATION
ASSESSMENT 1
Business Analysis
E-commerce is the process of making sales or purchases though the internet. It is also known as
online selling or purchasing or e-business. It is currently one of the most common method of
selling business products and offers best opportunities for the customers to purchase products
and services easily (Zucchella and Hagen, 2012). It becomes one of the options that a business
with low performance and with uncertain future productivity and success to undertake to secure
its future and performance (Sanders et al, 2012). In the case study, Apparel Pty Limited has
already realized that its future will be faced by serious challenges like lack of market and
customers. Apparel Limited is a wholesale business whose operations revolve around purchasing
of generic clothes and foot ware and selling them to retailers who then sell them directly to the
customers. This means that Apparels customers are basically the retail trading companies. Being
a wholesale business enterprise, Apparel designs, manufactures and distributes its products.
However, the company has determined or rather predicted that its future is not bright because of
the increasing in competition levels from other companies that sell the same products it sells
(generic clothes and foot ware). The company’s profits are being taken by the business’s daily
expenses especially the labor costs. In such a business, labor costs relate directly with employee
salaries which include payments to the designers, manufacturers, drivers, managers, security
officers to name a few. Besides having a strong financial status, the company has realized with
certainty that in the next two years, it will be struggling to make sales and compete with its rivals
in the industry.
Venture proposition
Therefore, Apparel decided to come up with the idea of venturing in the online business industry.
Just as mentioned earlier, it is currently one of the best and most effective business industries in
the world today. This is because with the advancement in technology, the better it becomes easy
and efficient for both customers and business enterprises. Apparel is thinking of starting its own
product brand and line that it will be sold to the customers directly without going through the
retailers. The business hopes to focus on a brand that will help it concur the market competition,
increase its sales volumes and increase its profit levels. The company also hopes to secure its

position in the Australian Clothing/Textile industry as well as secure the country’s clothing
industry in the future. In that case, it will certainly use its new product brand to secure both and
achieve its objective of beating its competitors, increasing its volume sales and profit margins in
the future. For a business to continue to be ongoing and growing, it must be ready to develop its
product brand by either developing its market venture or product itself. In this case, Apparel is
focusing on developing and differentiating its products by expanding its product brand and
product line. When Apparel decides to venture in the e-commerce business, it will have a wider
market share and segment and will be able to reach more customers than its current customer
numbers (Baršauskas et al, 2008). Therefore, the environment surrounding Apparel business
involves close rival competitions but still a growing market. In that case, the business will be
open at all times which increases its access and product availability as well (Ellis-Chadwick,
2008)
Product Venture
Therefore, since the business has decided to pursue a different idea, which is to start an e-
commerce business by producing its own product brand and product range to sell directly to
consumers which means that it will act as a retailer or direct customer seller (Doherty and Ellis-
Chadwick, 2010). Therefore, the business can focus on the business of designing its own
household materials or items like beddings, linens, comforters, curtains, pillows, rugs and mats
to name a few and selling them online directly to the customers. This will change Apparel’s
consumer demography from retailers to focus specifically on selling directlyfinal consumers.
This online business venture (designing and manufacturing its own household items and
beddings) is very closely related to the business that Apparel is currently operating with
(manufacturing and distributing generic clothes and foot ware) but will focus on a different
direction which will be on an individual’s/customer’s housedecoration. The company can focus
on this because they are frequently needed products, by every individual. These products will be
designed by the customers with help from Apparel designers which means that their quality will
certainly be high. By focusing on this specific products, the business will also be able to receive
specifications and comments from the customers which will help them manufacture the exact
type and quality of product that the customers desire. However, the products’ prices will be
determined by comparing the prices of such products from other businesses that operate through

e-commerce. Additionally, the prices will also be determined by the costs of manufacturing the
products (Kropp et al, 2008).
Target Market
A target market is simply a specific market or customers to which a business aims at selling its
products or services to. In that case, the new Apparel product brand will target the middle class
customers especially the ones with a family which means that their prices will certainly be fair
but reasonable and realistic (Benwell et al, 2008). The reason to target mostly the customers with
families is to aim at increases orders or volume sales and high frequency for ordering. The likely
wood of customers with families to order these products more than those without are very high.
Also, one other main aspect of the intended customers is that it will target customers that love
house decorations and will be willing to change their house appearance in regular intervals,
maybe 6months to one year period. Also, these customers have the desire and love for colorful
household items because the items will be made of various patterns and colors. This will relate to
those customers that have young kids who require colorful, attractive and appealing rooms.
Research has shown that in most cases, middle class earning individuals have always considered
quality of a product over its price (Yuan et al, 2011). Therefore, this is the best target market for
Apparel’s new product brand. Also, it will be able to focus on just these kind of customers.
Gathering Information on Venture
For a business to succeed in any business venture, it must conduct thorough research on the
product market, product brand and product line, competitors in the market, costs related with the
business venture, profit estimations, skills required among other things (Frishammar and
Andersson, 2009).The information about Apparel’s business venture will be gathered from
potential customers and also from the retailers. Apparel employees will be given the
responsibility of consulting with the current retail customers and enquire information on possible
buyers of the product, types and designs of household items desiredand product market itself.
These information will be used to determine the possibility of the product succeeding in the
market (MacGregor et al, 2008). However, the management team should be ready to use the
information in an e-commerce scenario.

Benefiting from others
Additionally, the IT management team will be will be given the responsibility to research and
enquire from other IT specialists about the requirements of setting up such an online
venture.Also, they will have to use other business websites to learn and identify certain
requirements that are needed for the site to be functional. These research will include issues on
costs of designing and programming the websites, maintenance costs, type of technology
required, required knowledge, skills and expertise, functionality of the website among other
things. All of these information will be aimed at creating and implementing the most attractive
site for customers to shop and view products as well as for the business to post its products
(Smith et al, 2012). The IT department team will be tasked with designing and programming the
business website. The team will have to use the modern technology to create the site. This means
that it should be ready to creates even applications for the products that can be used in mobile
phones to access the product information. The It team will also be responsible for preparing an
effective payment system that can be used by any customer in any part of the country, e.g.
payment through electronic means, or credit card. By creating a product and company website,
the target customers will be able to access the company’s and products’ information from the
internet which is currently the easiest way for business to advertise, market and sell their
products or services nowadays (Kassim and Ismail, 2008). In addition to that, the It team will be
ready to create pages for the company’s product in the social media networking sites, like
Facebook, Instagram, Twitter, Pinterest, You Tube among others. The team will avail all
possible information on the new product including its price, benefits, quality standards, material
quality and type and advantages over its substitutes. Additionally, the website will give an
opportunity to the customers to comment and provide their own product specification to be
designed and manufactured for them.These sites will help the business market and introduce the
public to its new product brand effectively.
Furthermore, the business’s designers will be tasked with the duty to research, brainstorm and
create new and unique designs that can and will be used for the products. Every business should
ensure that its employees are skilled, experienced and knowledgeable in the filed they work in
(Klotz et al, 2014 and Whatley, 2009). Therefore, in the case of Apparel Pty Ltd, the cloth
designers certainly have experience, knowledge and skills on designing therefore, they will be
able to come up with creative designs for the new business venture, so will the IT employees.

However, these designers will have to learn some techniques and designs from more experienced
experts, especially those that design household items. Technically, there is a difference between
designing clothes and designing household items like comforters, sheets, curtains, table cloths,
rugs etc. Therefore, the current Apparel designers will be expected to learn and come up with
their own designs for the new products.
Business Registration
Just like any other business enterprise, an online business venture requires its own official
license. An online venture also aims at selling goods or services to the consumers hence
generating income from those sales. Therefore, it needs to be governed and guided by country
laws that relate to incomes generated by businesses and taxes to be paid. This includes applying
for official businesses licenses, permits and zoning approvals to be able to operate the business
legally. Also, these licenses and permits can be used to protect the business assets, avoid
penalties and fines as well as boosting the business credibility to the public (consumers,
authorities and rivals). In this case, Apparel business should be ready and capable of ensuring the
new online venture has the required licenses and permits. The business will require these things
so that it can indicate that it follows the country’s laws as well as those that govern the products
being sold. For instance, the licenses and permits will indicate that the business adheres to the
laws that govern product manufacture, e.g. product quality standards. Additionally, the business
will be able to show that it adheres to the laws that govern employee safety, employee salary or
compensation registration and taxation rules of the country.
Cost and Benefit Determination
The cost of producing the brand and venturing into the business will be determined by estimating
all the expenses involved from product designing to product selling stages. This will include the
cost of the raw material, manufacturing the product, marketing and advertising the product, costs
involved in creating the websites, consultation fees incurred to enquire information on the
venture, licensing and permit fees paid to authorities and other costs that may have been incurred
in ensuring the product is produced and sold in the online market. To be clear, the costs related to
site building should not go beyond $30, 000 which means that the products produced should be
few but of good quality. The benefit of the venture to Apparel’s products is that the product will
be able to reach a larger market which means that more consumers will discover the products,

especially the customers to its current products. The customers will be able to share their
opinions on the products and provide various ideas on how to improve the product quality.
TASK 2
TEAM MEMBER’S ROLES AND RESPONSIBILITIES
Business manger
The Apparel business manager will be responsible for evaluating the whole project venture to
ensure that it is capable of achieving business and project objectives. A business manager is
always the person to give a final say on a certain business project. Therefore, he will be
responsible for approving the project’s requirements, deliverables and financial uses among other
things (Weiss and Hoegl, 2016). The manager’s responsibility will not cause additional expenses
to his salary simply because that is the manager’s job.
Apparel designers
The designers will be chosen from Apparel’s cloth designers. These designers will be responsible
just for helping out the customers when providing their product specifications. They will be used
just like a helping hand to the customers especially clarifying customer specifications may not be
clear and helping them come up with the best but simple designs for the business to manufacture.
The designers will be in charge of the manufacturing process to ensure that the process does not
tamper with the customer specification and that it produces exactly what the customer has
specified.
Project manager
The project manager will be chosen from Apparel’s list of managers, especially from the
manufacturing and marketing department. The project manager will be in charge of the whole
project, i.e. the process of creating and manufacturing the new product brand for the business.
The manager should ensure that all the operations that relate to the completion and success of the
new product are effectively and efficiently done by the people responsible.
IT experts
The IT experts are responsible for designing the website and program it according to the
requirements provided by the project manager and the research conducted about online business
websites. The experts are supposed to use their skills, knowledge and experience to create the

most effective website for the product. This means that the website should be able to attract more
customers and give opportunities for them to order and provide product specifications.
Additionally, the team is responsible for ensuring that the products have a page in the most
popular and commonly used social media websites in the internet.
Sales manager
The sales manager will be in charge of the marketing, advertising and sales operations of the new
venture. The manager should be well updated with the strategies of marketing and advertising in
the social media sites, e.g.displaying product images and videos in the product websites and in
the social media platforms. These managers should also be able to portray a good image of the
new product by providing attractive, pleasing and valuable content about the product’s features
in the websites and the social media platforms. The sales manager will take charge of all the
sales operations, including how the customers will receive their products and payment
procedures.
PERFORMANCE PLAN
Task
Description/Employe
e Name
Business
manager
Project
manager
Product
designers
IT experts Sales
manager
Description In charge of
the whole
Apparel Pty
Limited and
the new
business
venture as
well
In charge of
the new
business
venture
only, i.e. all
the
activities
and
processes
involved in
the
manufacture
and sale of
In charge of
the product
designs and
the
manufacture
processes.
Assist the
customers in
figuring out
what
specification
they require
for their
In charge of
the product
and business
website and
social media
pages,
designs,
programmin
g and
maintenance
.
In charge of
the sales
processes,
advertising
and
marketing
operations

the new
product.
products.
Dependencies Depends on
the type of
business
venture that
is being
implemente
d or started
Depends on
all the other
employees
and the type
of business
venture that
is being
implemente
d or started
Depend on
customer
specification
s and their
own
experience
in the field
of designing
Depends on
technology
advancemen
t
Depends on
product sales
volumes
Timeline As long as
the business
venture is
ongoing
As long as
the business
venture is
ongoing
As long as
the business
venture is
ongoing
As long as
the business
venture is
ongoing
As long as
the business
venture is
ongoing
Responsibility Responsible
for ensuring
that the
whole
business is
functional
and on the
right tract,
towards
achieving
its goals and
objectives
Responsible
for the new
business
venture as
well as the
employees
involved in
it
Responsible
for ensuring
that the
venture is
focusing on
solving the
problems
currently
Responsible
for ensuring
that the
product
quality is
high and that
it follows
the
customer’s
exact
specification
s
Responsible
for the
venture’s
online
websites and
social media
pages,
includes
ensuring
their
functionality
, safety of
the
information
and their
effectiveness
Responsible
for ensuring
product sales
are made,
product
advertisemen
t and
marketing
operations
are made as
per the time
required

being faced
by Apparel
business by
achieving
its
objectives
to the
ventures
purpose
Resources Their
knowledge,
skills,
expertise
and
experience
on the field
Their
knowledge,
skills,
expertise
and
experience
on the field
Their
knowledge,
skills,
expertise
and
experience
on the field
Their
knowledge,
skills,
expertise
and
experience
on the field
Their
knowledge,
skills,
expertise and
experience
on the field
Review dates Performanc
e reviewed
after every
business
financial
year
Performanc
e reviewed
after every
business
financial
year
Performance
reviewed
after every
business
financial
year
Performance
reviewed
after every
business
financial
year
Performance
reviewed
after every
business
financial
year
Measurement: KPI:
outcome
The overall
profits
realized
after the
venture is
commenced
Profits
made from
the venture
since it was
introduced
in the
market
Number of
customers
that are
attracted by
and desire
the business
product
Quality of
the products
sold by the
business
The
effectiveness
and
efficiency of
the venture’s
website
Number of
customers
accessing
the site
Number of
customers
that are
attracted by
and desire
the business
product
Profits made
from the
sales made
Volumes of
product sales

made
The above plan will be used to allocate the responsibilities for every business venture member
(Nancarrow et al, 2012). Every member has their roles and responsibility but they are all
working towards the same objectives set for the venture (Nancarrow et al, 2013). The objectives
will be achieved when the business succeeds in the proposed business venture and manufacturing
the new product brand. These objectives are:
 To reduce distribution costs of the product by use of online sales.
 To increase the business’s profit margins which are being cancelled by the costs of labor
 To beat current competition by creating a new product brand and in a different market
TASK 3
TEAM POLICY AND PROCEDURES
Every business project team has its own rules and regulations to guide it during the project
operations. These policies and principles will help the business to focus on its objective and goal
without failure or breaking the country’s laws. Therefore, as for Apparel’s business venture
team, the following will be some of the policies and procedures:
Business Policies
Ethics, integrity and compliance
This policy will guide the business into adhering to all the codes of conduct and laws of the
country that relate to the new venture. For instance, the law of registering the business, licensing
the business and obtaining business permits. All of these should be done to enable the business to
operate freely and legally.
Customers Policies
Late payment policies
The sales manager should ensure that every customer is given a time period of around three
weeks to pay for their product if the payment is not made on delivery, which is the business’s
official method for payment.
Payment policies

The customers are allowed to pay for the products on delivery.
Return/Refund policies
A customer that needs to refund a product can only do so after keeping the product for not more
than one week. Additionally, the customer should ensure that the product’s quality is not
tampered with. The procedure of refund must go through the sales manager, to the design experts
then to the project manager to approve the refund.
Team Policies
 Every employee should report to work by 0900hrs every weekday
 No leaving work before 0500HRS on week days
 Designers are not supposed to force customers into accepting their own product designs
 Design experts are supposed to ensure that every product manufactured is according to
customer’s specifications
 The sales manager should ensure that every sale made is accounted for by recording it in
the sales ledger
 It experts should always ensure that the products’ website (social media pages as well) is
functional and operational always
 Sales manager should ensure that advertisements and marketing of the products are done
at least three times in a week
 The project performance will be done every end month for the first year after the business
venture commences and after every two months from the second year of its existence.
 Honesty, commitment, determination, creativity and ability to learn new things are skills
and attitudes needed on a daily basis by every team member
 Team skills and expertise. The employees should ensure that in all their operations, they
use their skills and expertise effectively and efficiently.
TEAM MEETINGS
During project meetings, the following policies will be adhered to:
 All team members must be on time
 The sales manager (secretary) should ensure that the meeting’s agenda lists is distributed
to every member one day before meeting day.

 There will be meetings held bi-weekly in the first year of the business existence and
monthly from the second year onwards, every team member is liable to attend.
 Avoid informal social discussion during meetings
 All member should attend all meetings for the full duration unless it is emergency
situation whereby the project manager should be notified earlier or immediately
The meetings that will be held for the first few months will be aimed at ensuring effective role
and responsibility allocation to the team members. The chosen employees will be trained on how
to perform their duties for the success of the venture. The business venture objectives will be
clarified and the responsibility for each and every team member will be identified to ensure
success of the venture. In these meetings, the skills, knowledge and experience of every
employee will be considered. The process will be able to ensure that every employee has the
chance to play a role in the venture but will focus only on the capable ones.
The next meetings will be composed of the chosen individuals, the project manager, design
specialists, IT experts and the sales manager team. These meetings will involve serious training
and educating of those chosen. The training will be conducted by various specialized from
different companies that have experience in the e-commerce business sector. These experts will
mostly consist of IT experts and sales managers. The aim for these trainings is to provide the
team with hints and knowledge on what is expected of them for the business to succeed. Through
these trainings, the team members will have the courage and confidence to take charge of their
responsibilities in the business venture.
In these meetings, the secretary will be the sales manager. The opinions on meeting agendas will
be being surrendered to the sales manager two days before the actual meeting day. However,
these ideas will only be received from the team members. The minutes from the meetings will be
recorded and documented by the sales manager (secretary) and kept safely until when the
business venture is complete and successful whereby they will be transferred to the company’s
store or library.
Besides the meetings, the team will be encouraged to attend conferences that relate to online
business ventures as well as parties that celebrate such businesses. These operations will help the
business bring the team closer together and find ways to work as a team which is one aspect that
is required in every business enterprise. In these celebrations and conferences, the team members

will be aiming at doing more research and gain better ideas of improving the venture’s
performance and ventures implementation plan. In other words, very team member has to play a
role in ensuring project success. In addition to that, the employee will be able to learn different
ways of maintaining such a venture (Gonçalves et al, 2016). For example, the IT experts will
discover and learn the most effective and efficient ways to protect the business information from
theft or disrupted. Related entirely to ways of securing the systems from cyber insecurities like
malicious programs or application attacks. The IT employees will be in a position to learn from
different experienced people.
CONCLUSION
Every business aims at increasing and improving its performance and productivity through many
ways. Apparently, Apparel Pty Ltd, has realized that the probability of its performance declining
in the next few years is very high. This will certainly mean that the business will decrease its
profit margins which will be as a result of the stiff and close competition cause by the business
rivals (businesses operating overseas) and the strength of the Australian dollar. Therefore, the
business has decided to venture in a similar business which will focus on different products,
different target market and different customer demography. The company has decided to venture
in an e-commerce business whereby it will be manufacturing and selling household items and
beddings which will be designed by the customers (with the help of Apparel cloth and foot ware
designers and manufacturers). The business will develop a website for the products and create
social media pages to use in making sales, advertising and marketing the products. Through this
type of business and business venture, Apparel will not incur a lot of costs for the venture and
therefore will be able to achieve the objectives that are set for it.

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