Digital Business & New Technologies: Importance, Development, Technology, and Management Theories

This report discusses the importance and development of e-commerce, the technology used, and its effectiveness as a business tool. It also explores the relationship between digital technology and e-commerce, and the old and newly emerging theories on business and management. The report covers the types of businesses and organizations that use e-commerce, the technological platforms and software used, and the relationship between e-commerce and digital technology. Additionally, it discusses the classical, behavioral, and modern management theories and their relation to e-commerce.

Digital Business &
New Technologies

Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
E-commerce and its importance.............................................................................................3
How e-commerce developed..................................................................................................3
A detailed description of the technology used.......................................................................4
What technological platforms and software are used.............................................................4
What type of business and organisation uses E-commerce?..................................................4
How is it used as a business tool and is this effective?..........................................................5
Relationship of digital technology and e-commerce..............................................................5
Old and newly emerging theories on business and management and their relation with e-
commerce...............................................................................................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8
Books and Journals.................................................................................................................8

INTRODUCTION
Digital business is the process of applying digital technology in the business model and
transform the customer experience of the company. Innovating the products and services on
regular basis help to create new value for the customers and connect with them in effective
manner(Schmitt, 2019). This report is based on e commerce. The importance of e-commerce
and its development is shown in the report. At the same time a detailed description of the
technology used to develop E-Commerce and widely used technological platforms are also
mentioned in the report. Some examples of business organisations that use updated technologies
are mentioned. In the end of this report the business tools and their effectiveness in regard to E-
Commerce are mentioned.
MAIN BODY
E-commerce and its importance
E-commerce, or electronic commerce, is the buying and selling of goods or services
electronically on the internet. It can also refer to other online activities, such as auctions,
ticketing and banking. In the todays global economy, ecommerce has increasingly become a vital
component of business strategy and a motivation for economic development(Roy and Tang,
2021). For entrepreneurs, e-commerce is the golden opportunity to make their business powerful
and successful. with the new technology emerging and awareness of digitalization, a
businessman should invest in e-commerce development so that they can survive in this
competitive market. E-commerce in modern business is perfect way to get a positive return on
investment and will not only help in acquiring local business but also other people around the
world. The major benefit of E-commerce marketing is one can have full ease and convenience.
The procedure is very easy and the consumer is just one click away to get any kind of
information.All the lead generation companies are comprised of an in-detail description of the
products with their images. This will be beneficial for the consumes as theyget the product at
door step.
How e-commerce developed
The trends in market keep on changing and there is need of managing the work effectively.
There are regular updates measured by the business organisation. It was first developed in 1982
by Boston Computer exchange. The company started selling their used computers in online

market. This was the first time electronic commerce was used. Nowadays all the big business
houses use e-commerce platforms to reach more customers.
A detailed description of the technology used
The technology used in e-commerce are mobile commerce, supply chain management,
electronic funds transfer, Internet marketing, electronic data interchange (EDI),online transaction
processing, inventory management systems, and automated data collection systems.The use of all
this technology make the work easy and are ableto deal effectively(Martínez-López and
D'Alessandro, 2020). This helps the business organisation to enhance their sales.
What technological platforms and software are used
The use of these technological platforms and software are used to enhance the reach of
customers. The main e-commerce platforms software are as follows:
Software as a service and Platform as a service: This software’s provide e-commerce
solutions via internet. Software-as-a-service (SaaS) delivers solutions, and when hardware is
incorporated, it becomes a PaaS. For individuals who aren't as tech-savvy, these are easier
solutions. It helps to add designs and customise features that are required.
On-Premise platforms:It is normally hosted by local retailers and are managed by IT
departments. The professionals can fix the problems that occur by adding new features to
it(Zohuri, 2020). It helps to control the site and give customised solutions.
All these platforms are necessary for the e-commerce organisations and they are able to
carry on their work effectively.
What type of business and organisation usesE-commerce?
There is different type of business organisations that can use e-commerce. The companies
that want to sell their products via internet. The business to business organisations can also sell
their product with the use of e-commerce platforms. They can easily list their products on e-
commerce website and the businesses can make purchases from there. The use of e-commerce
makes the business organisations to find the product via online platforms. The companies that
deal in business to customers also use e-commerce platforms. The lifestyle of customers is
changing nowadays. They are busy and do not have time to go out of their homes and do
shopping. The e-commerce platforms have facilitated the process of shopping. It is beneficial for
the companies to use internet as it enhances the sales of their products and services. The use of

latest technology enhances the experience of the customers and they are able to achieve
objectives properly(Vardhan, 2019). It is clear that all the business organisation that want to sell
their products online use e-commerce to reach more customers. The business organisations that
want to reach global customers also use e-commerce.
How is it used as a business tool and is this effective?
The use of e-commerce as business tool is mentioned below:
An E-Commerce platform: The business organisations are able to manage their
business successfully with the help of e-commerce platforms. They are designed in such a way
that the business organisation is able to reach more customers and provide effective services. The
use of internet is enhancing and to meet the trend in the market with organisations adopt E-
Commerce platforms and attain success.
Digital payment system: The use of e-commerce platforms provides option of electronic
payments as well. After the pandemic situation people are concerned about using cash and want
to adopt cashless economy(Azmi and Phuoc, 2020). By purchasing online customers get option
to pay online at the same time using E-Commerce platform.
Advanced analytics and tracking: After using E-Commerce sites the companies able to
know about their sales information. They are able to know the customer engagement and their
buying habits will help the company to deal with the customers in effective manner and provide
them valuable products that can make the sale effective.
Shipping services: the online business needs to provide shipping services to their
customers. E-commerce website have their own shipping agencies that provide the products to
the customers on time(Vitikainen, 2021). Along with that the company provides them all the
delivery information within right time.
The use of business tools is effective as it helps the company to know about the
requirement of the customers. They are able to reach global customers effectively by using the
business tools.
Relationship of digital technology and e-commerce
E-Commerce has direct relationship with the modern digital technology. it can be
understood with the help of development in digital technology that has supported e-commerce.
Due to the updating in regular innovation the idea of e-commerce is being derived. It helps to
shape the needs of buyers and allow them to make purchases through internet. Digital technology

has helped to know more about the patterns in which the customer relationships can be
maintained(Jílková and Králová, 2021). The E-Commerce platforms can be accessed via mobile
cover computer and various other technologies that are mentioned above. It is necessary to use
these technologies to deal with e -Commerce platforms in an effective manner. The use of latest
technology makes the customers aware about the trend in the market. It will help the customers
to make purchases by using e-commerce websites. E-commerce can be understood as one of the
update in digital technology. All the sectors of economy at switching towards E-Commerce
platforms in order to satisfy the needs of customers. The enterprises want effective functioning
and for this reason they are adopting digital culture and using them in their business structures.
All the leading enterprises that want to take their business online using E-Commerce platforms
as they are advantages for them(Mohammed and AlShahri, 2021). E-Commerce platforms help
the companies to reach the global market and supply their products there. There is great growth
seen in e-commerce sector in the business organisations are also earning. The business
organisations are forming their strategies to promote all the products on online platforms that
strengthen their position in the market.
Old and newly emerging theories on business and management and their relation with e-
commerce
Classical management theory: It is one of the oldest theory of management. The focus is on
operations and creating the standard to increase the output. It is seen that the primary aim is to
motivate the employees so that they can improve their output. The business organisations can use
same in order to provide high compensation to the digital marketing staff. They must be given
extra benefit for selling the products through E-Commerce platform and it will contribute to
enhancement and the output via e commerce platform.
Behavioural management theory: Due to increase in complexities there is requirement of
knowing human interest at the workplace. Management theories believe that the work is people
oriented and the behaviour of employees have impact on the work. Today the work is done by
machines and there is impact of human behaviour on the same(Harrisson-Boudreau and
Bellemare, 2021). It is required to provide training to the employees of the company so that they
are able to use E-Commerce platforms effectively. By providing them effective working
environment they can carry on the task properly and enhance the sales of the organisation.

Modern Management Theory:As per this theory there are constant changes and complexities
that take place. Technology is an element that requires change and updating in order to run the
business effectively. Modern management theory says that there is a requirement of using latest
technology in order to maintain good performance of the company. The use of e-commerce is an
example of modern management theory. To meet the needs of customers and solve their
problems of managing time the concept of e-commerce was derived. Their use of online
shopping helps the customers to get the product delivered at their door steps.
The structure followed by a company plays a key role in its success. The management of a
company allocate the work to different departments in order to complete them effectively. All
the business organisation has their own structure of working and that it makes them attain
success. There must be proper commands given to the employees so that they are able to carry on
their work with clear goals and objectives. All the departments in a company must know about
each other and there must be no duplication of work. it is seen that E-Commerce helps the
organisation to make some changes. A new department for digital marketing in e-commerce is
being formulated by the companies. The department handles the overall work of online platform
so that the sales of the organisation is image. There was the proper relationship of his department
with all the departments so that there is no problem of inventory or sales seen by the company.
With regular changes in the working style of a company their alterations seen in the business
structure of the company.
CONCLUSION
From the above report, it is concluded that digital technologies must be used by business
forms in order to attain competitive advantage. The use of e-commerce is also one of the latest
digital technology. The importance e-commerce and its tools is part of this report. There is
analysis related to use of e-commerce by business organisations. The relation of management
theory with e-commerce is part of this report. Also, the changes management structure
ismentioned in the end of this report.

REFERENCES
Books and Journals
Azmi, I.M.A.G. and Phuoc, J.C., 2020. INTERNATIONAL NORMS IN REGULATING
ECOMMERCE: THE ELECTRONIC COMMERCE CHAPTER OF THE
COMPREHENSIVE TRANS-PACIFIC PARTNERSHIP
AGREEMENT. International Journal of Business & Society, 21.
Harrisson-Boudreau, J.P. and Bellemare, J., 2021. Going Above and Beyond eCommerce in the
Future Highly Virtualized World and Increasingly Digital Ecosystem. In Towards
Sustainable Customization: Bridging Smart Products and Manufacturing Systems (pp.
789-797). Springer, Cham.
Jílková, P. and Králová, P., 2021. Digital consumer behaviour and ecommerce trends during the
COVID-19 crisis. International Advances in Economic Research, 27(1), pp.83-85.
Martínez-López, F.J. and D'Alessandro, S. eds., 2020. Advances in Digital Marketing and
eCommerce. Springer.
Mohammed, A. and AlShahri, N.B., 2021. The Effect of Introjected perceived locus of control
and Trust on Intention to Use Ecommerce Applications. International Journal of
Advanced Computer Systems and Software Engineering, 2(2), pp.16-21.
Roy, U.K. and Tang, W., 2021, July. Transformation the Business of eCommerce Through
Blockchain. In International Conference on Human-Computer Interaction (pp. 85-91).
Springer, Cham.
Schmitt, B., 2019. From atoms to bits and back: A research curation on digital technology and
agenda for future research. Journal of Consumer Research, 46(4), pp.825-832.
Vardhan, H., 2019. WTO AND ECOMMERCE: INDIA’S
STANCE. ShodhevamShaikshnikSamiti (regd.) Gulaothi,(Bulandshahr), Uttar
Pradesh, India, p.64.
Vitikainen, J., 2021. Factors Affecting the B2B eCommerce Purchasing in Scandinavia: buyer’s
perspective.
Zohuri, B., 2020. 21st Century Technology Renascence A Driven Impacting Factor For Future
Energy, Economy, Ecommerce, Education, or Any Other E-Technologies.