Key Trends and Advantages of Digital Technology in Managing Virtual Business

This report discusses the key trends and advantages of digital technology in managing virtual business in the global environment. It explores the implications for cyber security and ethics, using Amazon UK as a case study. The report also evaluates new and emerging digital business models and the impact of collaborative relationships and strategic alliances through digital technology.

Digital Business

Contents
INTRODUCTION...............................................................................................................................3
TASK....................................................................................................................................................3
Overview of key trends and advantages of digital technology and implications for managing virtual
business in the global environment....................................................................................................3
Evaluate new and emerging digital business models in the context of key business issues such as
cyber security and ethics that your chosen business uses or may use................................................6
Impact of new collaborative relationships and strategic alliances through digital technology for
your chosen business.........................................................................................................................7
How e-commerce principles could be used by your chosen business................................................8
REFERENCES..................................................................................................................................11

INTRODUCTION
In a digitalisation world, digital business is referring to the use of technology that
create values in an organization model and also improve customer experience by providing
them values as per their demand. Basically, the procedure of embracing new technologies and
supporting capabilities to establish a strong new digital business model is known as digital
business transformation. Digital enterprises achieve a competitive edge by combining digital
and physical capabilities in novel ways (Chaffey, Edmundson-Bird and Hemphill, 2019).
They perform something that others cannot, and they do them in ways that give it a
competitive advantage. This can be assist in improvising overall performance of company in
digital world. Current report is based on Amazon UK, is one of the popular American
multinational technology company that includes various aspects including e- commerce,
cloud computing, artificial intelligence, digital streaming and many more. Mainly, Amazon is
world’s largest online business that includes different services such as streaming video,
audiobooks, prime video Amazon Music and many more in over the world with the purpose
of attainment of set competitive targets. Assignment is going to discussed about key trends
and advantages of digital technology. In addition to this, new and emerging digital business
models is also mentioned that used for issues such as cyber security and ethics. At last,
principle of e-commerce is also discussed that help company in managing their digital
business at wider market place.
TASK
Overview of key trends and advantages of digital technology and implications for managing
virtual business in the global environment
A business transformation would be one that leverages technology in both internal and
external activities. Since the Online became commonly accessible to businesses and
individuals, information technology has revolutionized the architecture and operation of
enterprises. This shift has fundamentally altered how businesses conduct their day-to-day
business. Adopting digital business principles can aid in increasing productivity, enhancing
the customer experience, and using business processes. Inside this post, we'll look at what it
takes to make a proper internet presence from beginning to end. The incorporation of digital
technology into all areas of a business is known as digital transformation. It causes significant
change in the way a company function (Sousa and Rocha, 2019). Organizations are
employing this approach to restructure their operations in order to maximize efficiency and
lucrative. The method an organization functions is transforming as a result of digital change.

All systems, procedures, workflow, and culture are assessed. This transformation affects
every level of a business and pulls together data from various areas so that employees may
collaborate more efficiently.
Digital technology, has turned the world towards every aspect of modern life. It is
hard to identify or find out a single electronic device which does not incorporate digital
technology. Thus, it can be said that, digital technology has made things very easier by
making it compact, faster and versatile. For example, earlier storing information required big
thick books, but now these can be stored remotely in a small device. With respect to the
question some of the key trends and advantage of digital technology along with its
implication for managing virtual business in global environment is given below:
Edge Computing: This is a new trend, that brings all the data and computation close towards
businesses which as a result reduces the response time and save bandwidth (Senyo, Liu and
Effah, 2019). Due to its sophisticated and specialised resources many companies are now
implementing edge computing. There are some other reasons as well which is probably the
prime advantage of including edge computing.
a) Through edge computing a company can enhance its security by eradicating various
different levels of issues developed by local compliances, data sovereignty, privacy
regulations, and many more.
b) In this fast-changing world time is very important, so company needs somethings that
can reduce the time. Edge computing enhance the speed of the device and thus,
reduces the amount of latency. For example, Amazon UK, needs to deliver the
product within the limited time frame. The process is too long, and between the
progression there might be a possibility that the customer cancels the product. In this
case, with the help of analysing the confining data through edge computing company
can speed up the processing of data by eliminating the unwanted elements.
Talking about the implications on Amazon UK while managing business in global
environment¸ however, the benefits are many but introducing this can increase the cost of the
entire trend which might further hamper the annual budget of the company. Moreover,
talking about the positive implication, it will give a chance to directly communicate with
experts in IoT platforms with all kinds of safety and security. As a result, people will be more
incline to join on digital platform by not fearing of their data getting leaked. Even more,

connecting on virtual platform is quite easy and it happens in quick time so, an individual
doesn’t have to wait for a long for conducting a meeting.
Security and privacy have shown its importance in the era of digital technology: There has
never been a period when IT security was not significant to organizations, but over the period
of time it has grown rapidly, and has transformed the way of doing business. Adopting
security and privacy was necessary because of the data that is growing rapidly, and
significantly creating a space for perfect storm related to security issues (Rangaswamy and et.
Al., 2020). However, new digital technology has provided some kind of security to
businesses and organisation but this never means that the companies are totally secured in
terms of their data, because with the evolution of new technologies the threat of security
breach will be there. The prime advantage provided by digital technology in the field of
security and privacy to the company are given below:
a) Provided multi-cloud security by providing a centralised platform to most of the
companies. Thus, company has the opportunity to look after numerous unified ways
for securing their data and information. For example, Amazon UK, as we know that
company has its own cloud so, dump their important information in these clouds and
let the cloud protect the same.
b) Digital technology has provided companies with a leverage to integrate the
convergence of multiple security systems like access control, alarm, emergency
management and so on. for example, seniors of Amazon UK, can have an access to
digital dashboard where information regarding anything can be displayed. The data is
directly integrated from the in-house enterprise information system.
Looking at the implication of this, with the tremendous technological innovation,
company has redefined its businesses. Incorporating more advanced security and privacy,
company will be able to secure its valuable information. As a result, misplace of information
will not do anything to the company. Moreover, in relation with managing virtual business, it
will provide an extra edge to the processing of companies by creating a cloud (digital cloud)
around its valuable people. Ecosystems and partnership have helped the company in filling
up the skill gap: in terms of business operating in virtual platform, it has provided a lot of
benefits to the companies. Earlier, getting the right employee for the right job was difficult
because of numerous reasons. One of the prime reasons use to be not getting the perfect job
for example, if the job is suitable for the person then there were chances that the location of
the company is far away from the person where he/she is living (Ukko and et. Al., 2019). But

now, as digital technology has provided the company with an opportunity to have employees
from different parts of the world, company can get their desired results. Some of the prime
advantages are as follows:
a) It has given company a chance to have cultural diversity, where people from different
background work equally for the betterment of the company. For example, Amazon
UK has employees from different parts of the world which is helping them in
operating their business in every corner of the world without any issues.
As an implication, it will have a positive impact on the business. company can see a
rise in the production process because of which they can gain maximum benefits.
Evaluate new and emerging digital business models in the context of key business issues such
as cyber security and ethics that your chosen business uses or may use
The Emerging Business Models highlights current difficulties that business executives
and specialists are dealing with, as well as modernization trends. The digital transformations
are occurring at a breakneck pace (Riera and Iijima, 2019). Traditional businesses are being
disrupted by the rapid pace of innovation and achievements. In this unavoidable digital age, a
greater awareness of the dynamic environment in the global marketplace may help industry
professionals and leaders realize realities, embrace improvements, and generate new – locally
and internationally. Digital business model, is said to be a model which gives digital
technologies a platform to improve in various aspects which are important for an
organisation. For example; the strategies by which company can acquire huge number of
customers so that products/services can be provided to them accordingly. Thus, it can be said
that, using appropriate digital business model help the company in increasing its value.
In context with the new and emerging digital business models, there are six
emerging business model “phenotypes”. Name of six emerging digital business model are
digital efficienados, platform pushers, data analysers, smart product innovators, customer
centric and virtual developers. All these six digital business models will become of the
important business models, and looked by companies when they will seek for launching a
new products and services. Although, the new business models are emerging, but with this
the chances of business issues like cyber security and maintaining ethics is also becoming a
prime concern for the companies. Cybercrime is simply a crime done with the help of
computer or any IT device that can be easily connected with internet. There can be different
motivating factors, and cybercrime can be done in any formats. Amazon UK, is a prominent

company in the country therefore, Amazon UK is using top best solutions for coping up with
the issues related to cyber security. As we know that securing the digital platform with multi-
layer platforms and other defence-in-depth tools is very common, and thus, Amazon UK is
doing the same in keeping their data and information secure and safe (Orji, 2019). Talking
more precisely about how this security layer works. Basically, it creates a multiple layer that
act as a barrier, as a result attacker find it very difficult to create a passage to breach the
information. Moreover, using this security wall companies created an opportunity to detect
them and stop as well.
Other than this, Amazon UK uses other cyber security systems like Intrusion
Detection System (IDS), the main function of this security is to put an alert is any situation of
cybersecurity arises. If any company doesn’t have any alarming system, then it will provide
the hacker with a leverage to have a free reign over the sensitive information of the company.
Therefore, these are the two cybersecurity measures which is using by the company for
securing its data and information. But first, it is important that company should schedule a
security patch management on a regular basis because if the hacker finds a loophole in the
system, then targeting the files will be easier for them.
Impact of new collaborative relationships and strategic alliances through digital technology
for your chosen business
The barriers between firms and sectors as we know them are becoming increasingly
blurred as a result of digital technologies. “Offline” enterprises in older industries – those that
arrived to the Online later on in life – are striving to improve digital skills through
collaboration with others who have mastered them. In relation to this, strategic alliances and
collaborative partnerships can be created with local businesses, but firms may choose
collaborators based on criteria other than geography. Online tools have made it possible for
businesses to collaborate with anybody, anytime, and on any day of the week. They are also
ideally suited to businesses that would like to take a "lean start-up" framework for developing
new goods and services. Collaboration and strategic partnerships are a common business
strategy shift that Local firms cannot afford to ignore as technologies disrupts the world of
business (Kohtamäki and et. Al., 2019). With the assistance of proper strategic alliance and
collaborations, Amazon UK can increase their strategic and creative thinking abilities,
merging skills and helping both organizations to generate successful business effect is
expected than previously. As, it Allow company to offer a wider range of products and
services while also offering more sell opportunities to potential clients. In a digitalised world,

strategic alliance is also help Amazon UK in distribute advertising & distribution
expenditures, allowing company and their alliance partners to do more at a lesser cost. The
major goal of all of these collaborations is to create new digital capabilities that support the
“always-on” client, which ranges from intelligent and discriminating smartphone users to
smartphone clients in developing economies. Almost every business is discovering that it
must provide digitally sophisticated, yet inexpensive, products and services as a matter of
course, as well as engage customers across online and offline channels. Executives argue that
with rising customer requirements and a greater demand for distinction, digital alliances are
being looked favourably.
Online-only firms like Amazon UK are looking for new methods to communicate
with consumers and other stakeholders as every company has become an Online company
(Baiyere, Salmela and Tapanainen, 2020). Hubris is giving way to a deeper respect for the
value locked up in older, offline firms, including brand image and supportive treatment, as
well as existing relationships with authorities and government. The large proportion of
maintain current that their strategic alliance perceptions have significant implications for their
own company and the business as a whole: roughly one-half assume a change in their
marketing strategy, as businesses will need to be part of a network in order to leverage future
technological advancements.
In the twenty-first century, the developing digitalisation is fast and significantly
reshaping the business world. Because of the rapid changes in activities, objectives, and new
ways of collaboration, it is essential to revisit the relevant conceptual insights from strategic
alliance (SA) research, which have been founded on preconceptions from a different age.
How e-commerce principles could be used by your chosen business
Ecommerce, often referred to as electronic business or online commerce, refers to the
purchase and sale of goods or services over the electronic, as well as the transmission of
money and information to complete these transactions. E-commerce is frequently used to
refer to the online sale of actual things, but it can also refer to any type of economic
interaction that is aided by the network. With online stores and platforms, e-commerce has
grown to make products easier to identify and purchase. Personal freelancing, small
enterprises, and massive companies have all benefitted from -ecommerce, which allows them
to sell their goods and services on a scale that offline marketing retail does not allow. In this
context, there Amazon UK is one of the famous e- commerce business that operate their

websites and serve quality services to its customers as per their needs and wants. For
attaining success at global market, company use different e-commerce business that help
them in capturing customers attention towards its services. These principles are as follows:
User Friendliness: An e - commerce website should be simple to use. A simple search
method helps customers to get to the webpages or commodities they want to buy. These
website must also provide users with adequate product description and images so that they
can truly comprehend the items without having to touch or have seen them in person.
Unique Design elements: Given the fierce rivalry in the e - commerce market, it is
critical that company distinguish yourself from online competitors. The market is crowded
with purchasing options, and there should be a compelling incentive for a consumer to choose
Amazon above its competitors. A creative design will entice people to browse company site
and provide them with an opportunity to easily capture their customers attention. To stand out
from the crowd, incorporate some strong and unusual elements into design so that shoppers
remember company for a long time and return to company site to enjoy a distinctive user
interface. The site should indeed be designed in such a way that it satisfies the users' needs, is
visually appealing, and concentrates on the items.
Responsive Technology: To facilitate the effectiveness and aesthetic of a website,
sometimes designers use hefty HTML coding, large-sized graphics, and enormous flash files.
However, it is not advantageous for an eCommerce site in any manner because it causes the
website to load slowly. Amazon UK cannot manage to have a slow-loading website when
there are thousands of other competitors providing identical things on the internet. People are
impatient and will quickly move to other options if they have to wait for your pages to
complete (Beynon-Davies, 2020). A non-responsive webpage would undoubtedly
harm business and cause to lose potential customers.
Know your target audience: To effectively serve their clients, the business should
understand its customers well and develop their existing design. Amazon must grasp what
people require in making people feel at ease while searching products and providing them
with services in order to retain the customers. Amazon UK must determine your target
demographic and monitor their purchasing habits. As a result, the company was able to
improve their customer experience, which will directly increase their income creation.
Effective product description: It is one of the important principles that Amazon used
in which product descriptions on their website are quite important and can affect their buyers'

purchasing decisions. The more appealing the fonts, descriptive language, photos, and videos
are, the more easily the buyer will relate it to his purchasing demands. Although this is not
strictly a design aspect, paying attention to these elements can undoubtedly enhance your
ROI in the long term.

REFERENCES
Books and journals
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64.
Rangaswamy, A., Moch, N., Felten, C., van Bruggen, G., Wieringa, J.E. and Wirtz, J., 2020.
The role of marketing in digital business platforms. Journal of Interactive Marketing, 51,
pp.72-90.
Ukko, J., Nasiri, M., Saunila, M. and Rantala, T., 2019. Sustainability strategy as a moderator
in the relationship between digital business strategy and financial performance. Journal of
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of business process management. European Journal of Information Systems, 29(3), pp.238-
259.
Beynon-Davies, P., 2020. Business information systems. Red Globe Press.

Flyverbom, M., Deibert, R. and Matten, D., 2019. The governance of digital technology, big
data, and the internet: New roles and responsibilities for business. Business & Society, 58(1),
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Ghezzi, A. and Cavallo, A., 2020. Agile business model innovation in digital
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