Overview of Digital Business: Advantages and Disadvantages

Digital business

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Discuss an overview of digital business with its advantages and disadvantages applied to your
chosen organisation................................................................................................................1
TASK 2............................................................................................................................................3
Critically evaluate new and emerging digital business models in of key business issues such as
cyber security and ethics that your organisation uses or may use..........................................3
TASK 3............................................................................................................................................4
Evaluate the impact of new collaborative relationships and strategic alliances through digital
technology for your chosen organisation...............................................................................4
TASK 4............................................................................................................................................6
Discuss how e-commerce principles could be used by your chosen organisation.................6
CONCLUSION................................................................................................................................8
References:.......................................................................................................................................9

INTRODUCTION
Digital business is the concept that has taken a power over the traditional businesses as the
internet has boon the profitability and productivity in the business environment. With the
emergence of new technologies and software’s businesses are transforming there operation with
the use of digitalization from production to sales (Chaffey, Edmundson-Bird and Hemphill,
2019). People are getting keener on online platform for purchasing of their daily necessities to
their luxury item which in turn gives rise to the digital businesses of the country. The report is
about the ASOS an online shopping retailer of clothes and cosmetics for both men and women.
The report outlines the overview of digital business in context of ASOS along with its advantage
and disadvantage in organisation. Various new and emerging digital business models are
highlighted in the report. The report also outlines the various collaborative relationship and
strategic alliances of the ASOS with latest technology. Moreover the e-commerce principles that
every organisation is required to implement in order to become successful E- commerce
business.
MAIN BODY
TASK 1
Discuss an overview of digital business with its advantages and disadvantages applied to your
chosen organisation
With the changing technology the world is adapting itself more and more towards the
digitalization. Government is supporting the various digital programs to create the awareness of
new technologies in the citizens of the country (Sousa and Rocha, 2019). Technology is
flourishing and growing the economy and structure of the developing countries. With the
growing technology small businesses are able to operate themselves in the international market
via the internet. The digital businesses are helping the various small, medium and large sized
businesses to gather the human resources and technology together to create the innovative
product and services for the customers. Hence, the digital transformation into the business
environment organisations are able to increase their profitability as well as the quality of work
with the help of man force and technology together which increased the customer satisfaction
thereby gaining the competitive advantages in the dynamic world full of rivalries.
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ASOS is a well-known British online store for the shopping of clothes and cosmetics based
in London, England. The ASOS was founded in 2000 in London by Nick Robertson. The
company has its own website which sells approx 850 brands along with its own clothing and
accessories range which operates in approx 196 countries of the UK, USA and Europe. The
ASOS stands for As Seen On Screen with the tagline "by what you see on film and TV". The
owner of the Danish company Bestseller, Anders Holch Povlsen is the largest stakeholder of
ASOS.
The advantages of Digital business are:
Attainment of larger customer base: Digital business has allowed the organisation to contact
and reach large amount of customers easily with less expense (Wirtz, B.W., 2019). The use
digital technology like internet has given advantage to the digital businesses to globally connect
with the audience they want to showcase their products and services at one time. Hence, ASOS is
highly benefited with digital business and its assets in reaching out customers globally.
Superior information collection: With the upcoming data collection techniques and tools due to
the advancement of the technology, digital businesses have been highly benefited with
implementation of such technology into their businesses to analyse upcoming opportunities of
the market to increase productivity and profitability (Härting, Reichstein and Schad, 2018).
ASOS takes various online feedbacks through the digital platforms like Instagram, Facebook,
Twitter, YouTube etc. in order to gather large amount of data from the customers located at the
different locations all over the world. Through this organisation are benefited in analysing the
data carefully to understand the demand and the needs of the customers and then use it in order
to fulfil them with quality and affordable prices in future. Hence, ASOS is highly benefited with
digital business as it doesn't require physical data collection criteria.
Technology driven: This is the key advantage of the digital business as their highly technology
addicted which helps in active participation with new and emerging technology. ASOS takes the
advantage of the digital business in increasing the habit and craze of online shopping among the
consumers thereby regularly restructuring with the latest updated technologies for digital
marketing, supply chain of products, packaging etc (Strutynska and et. al 2020). Therefore the
digital business are highly collaborative with latest technologies like cloud computing,
encryption software's etc. More advanced technology in the digital business helps the
organisation in attracting largest customers for its organisation.
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