Digital Business: Advantages, Disadvantages, and Impact of Collaborative Relationships

Digital business

Contents
MAIN BODY.............................................................................................................................................3
Explain digital business and its advantages and disadvantages................................................................3
Critically evaluate new and emerging digital business model.................................................................5
Identify the impact of new collaborative relationship and strategic alliances through digital technology6
Explain various principles of E-commerce..............................................................................................7
CONCLUSION..........................................................................................................................................8
REFERENCES..........................................................................................................................................9

INTRODUCTION
Main objective of this report is to understand the concept of digital business. With the
increase in development of technology the concept of business is also changes. Digital business
includes both the digital brand and traditional players who transforming their business with
digital technology. In digital business a businessman use technology for creating values in
business model, expectation of customers and internal capability which will support the main
operation of business. It creates a competitive edges which is based on a unique combination of
physical and digital resources. It helps a business in achieving competitive advantage in market.
Digital business helps an organization in reduction of cost and reach large number of customers.
It make the transactions of business faster and reliable. For this report Green light digital
company is taking into consideration. Green light Digital is a full service digital marketing
agency which is founded in 2001. Its headquarters is in London and they have around 190 people
in their team which are specialize in SEO, PPC, web design and build content marketing, social
media, conversion optimization and digital strategy. This report includes various advantage and
disadvantage of digital business and evaluate the digital business model. Other than this it
includes the impact of new collaborative relationship and strategies alliances through digital
technology in context of selected firm. It includes various principles of e-commerce.
MAIN BODY
Explain digital business and its advantages and disadvantages.
Digital business refers to a type of business which use technology for creating new values
in business models, experiences of customers and internal capability of business which support
its main operations (Aagaard and et. al., 2019). The term digital business includes both digital
only brand and traditional players which transforming their business with digital technology.
Now a days people are more spending their money online which force business to shift towards
digital source of revenue and digital channels. With the development of digital economy people
are more familiar with digital products and services, which will helps company to achieve
competitive advantage in digital space. The concept of digital business is not limited to selling
online but it creates competitive edges through unique combination of digital and physical
resources. According to Gartner, he says that digital business creates new value chain and
various new opportunities which is not offered by traditional business. In context of selected
firm, concept of digital business play an essential role in its development. Various advantages
and disadvantages of digital business in context of Green light digital company is mention
below:
Advantages of digital business-
 Reduce cost- Digital business play an essential role in reducing the cost of operating
business and services. In context of selected business, their employees are specialized in
web design and SEO, PLC and so on. Which will help company in efficiently utilizing its
technology. Selected company use appropriate technology or right tools which will
increase the level of production. Digital business can automating many manual tasks and
integrating data within an organization which empower team members to do work with
their full efficiency. Higher productivity and efficiency of team members helps selected
business in reducing their cost.