Digital Business Approaches: Exploring the Range of Digital Technologies and Their Impact on Global Organizations

Learner Name: Nguyen Huong Thao
Assessor Name: Martin Ortega Azurduy
BTEC Programme Title: Pearson BTEC Level 5 Higher National Diploma in
Business (Accounting and Finance)
Unit or Component Number and
Title: Unit 14: Digital Business in Practice
Assignment Title: DBP1: Digital Business Approaches (1 of 2)
Date Assignment Submitted: 11/11/2021

Assessment Criteria Page no Evidence submitted
P1 Explain the range of digital approaches taken by
organisations. 3-8
P5 Explore the relationship between contemporary
approaches to digital business and their impact on
meeting KPIs successfully.
8-10
M1 Evaluate the importance of digital business to
organisations in a global context. 13-17
P3 Investigate a range of digital technologies used by
organisations to achieve business objectives. 10-13
M2 Assess the effectiveness of the use of digital
technologies on business objectives in a range of global
organisations.
17-19
D1 Critically evaluate a range of digital business
approaches within global organisations to promote new
business growth.
19-20
Learner declaration
I certify that the work submitted for this assignment is my own. I have clearly referenced any
sources used in the work. I understand that false declaration is a form of malpractice. I am
aware that any case of plagiarism will be handled according to school policy.
Learner signature: Nguyen Huong Thao Date: 11/11/2021

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Table of Contents
I. Introduction: ................................................................................................................................. 2
II. Body: ........................................................................................................................................... 3
1. Digital approaches organizations ............................................................................................. 3
1.1. Transactional e-commerce sites/Online retailer. ............................................................... 3
1.2. Social network sites: web-based services that enable individuals to create a public or
private profile inside a limited system ..................................................................................... 5
1.3. Publisher or media sites: ................................................................................................. 6
2. The emerging trends: ............................................................................................................... 7
2.1. The market portfolio model: ............................................................................................. 7
2.2. The product portfolio model: ............................................................................................ 7
2.3. Multi-sided business models: ............................................................................................ 8
2.4. Sequentially over time business models: .......................................................................... 8
3. The relationship between contemporary approaches to digital business meeting KPIs
successfully .................................................................................................................................. 8
3.1. Social network: Instagram and YouTube .......................................................................... 8
3.2. Online Retailers: Amazon ................................................................................................. 9
4. Some digital technologies used by organizations which help them achieve their objectives 10
4.1. Digital contact tracing ..................................................................................................... 10
4.2. GPT-3 .............................................................................................................................. 12
4.3. Natural language search: V-Ione ..................................................................................... 14
5. The importance of digital business to global organizations................................................... 14
5.1. The strength of digital business:...................................................................................... 14
5.2. Consequences of Technology: ........................................................................................ 17
6. The effectiveness of using digital technologies to meet business objectives of global
organizations .............................................................................................................................. 19
6.1. Nike is utilizing cloud computing and NFC ................................................................... 19
6.2. GE Company applying IoT and Predix into products ..................................................... 20
7. Digital business methods in promoting sales ......................................................................... 21
8. Recommendation: .................................................................................................................. 22
9. Conclusion: ............................................................................................................................ 22
References ..................................................................................................................................... 23

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I. Introduction:
With advancements in digital technology, a new generation of electronic devices has emerged.
It is apparent that it is time to reconsider the function of information technology and, as a result,
upgrade it to meet user demands. In general, though, it is always associated with business. It is
possible to classify the fusion of information technology and business as a single phenomenon
known as “digital business”.
Digital business is the creation of information systems or applications to service, particularly
utilizing internet technology to boost organizational productivity and competitiveness through
ongoing optimization (Turban et al., 2012; Strauss and Frost, 2014; Chaffey, 2015) . It is
defined differently from e-commerce and e-marketing because these two categories are only a
minor part in digital business. Aspects of digital business include content, e-information, and
e-communication (Merono-Cerdan and Soto-Acosta, 2005) or according to Lee and Han
(2009), e-procurement and e-process are also part of digital business.
• E-information entails product-related information such as pricing, specs, and delivery terms
and insight into a company's background (financial statements, employment, etc.).
• E-communication helps a company to communicate with a large number of business agents,
facilitating information sharing and the capacity to develop intimate relationships (feedback
forms, online chat services, etc).
• E-process are business procedures that keep the operational characteristics of the Internet-
centric company model working smoothly.
• E-procurement can be understood as the purchase and selling of products and services
between businesses and consumers or businesses and businesses over the Internet and other
systems (Electronic Data Interchange, Enterprise Resource Planning, etc).
People are using digital resources to generate new values, expanding beyond the traditional
scope of accomplishing everything through a computer screen to satisfy all of the functions.
Trading, supply chain, and marketing are just a few examples. Electronic tools, methods,
devices and resources built to store or process data are known as digital technologies. It serves
as the foundation for telecommunications, computer systems and assist people in producing
and finance (Designing Buildings Ltd, 2021).

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II. Body:
1. Digital approaches organizations
The explosion of digital business between business and consumer (B2C) has shown the strong
growth of online business. B2B companies are also rushing to find new opportunities in the
global B2B e-business market. For the online platform, the biggest benefit that businesses can
achieve is access to many potential markets at the same time without having to pay the cost of
renting space or sales personnel. Especially in the covid-19 era, manufacturers who knew how
to approach and apply digitization early have grown at twice the rate and far ahead of their
industry competitors. This has pushed manufacturing businesses to take more exposure to
digital and increase its application in business to cope with the global economic crisis. Digital
approach can be considered as a full-service digital marketing agency from website design,
branding to advertising as well as providing full information and data with the purpose of
affecting the target audience that the business is targeting. It is not only used to promote
products and services, from that relying on the database to reach consumers and bring in
revenue(Varia and Mathew, 2013) but also used to post relevant information about the business,
topics of interest to businesspeople or simply sharing of practical experiences.
- The range of multiple digital approach include:
1.1. Transactional e-commerce sites/Online retailer.
These sites let consumers to make purchases over the internet. The selling of these items is the
company's primary source of revenue on the internet. Businesses benefit from websites because
they provide information to customers who prefer to buy things in person. Retail websites,
travel websites, and online financial services are among them.
For example: Amazon Web services
Amazon has a long history of implementing Decentralized Technology infrastructure. They
have spent over a decade and invested a lot money in establishing and operating at scale,
resulting in one of the world's largest online retail platforms by 2005. They established Amazon
Web Services (AWS) so that other enterprises could benefit from their knowledge by deploying
applications and services at a low cost, from large-scale distributed operations to transactional
infrastructure. By using this platform, users can easily try many features such as calculating
energy, storage, and other services just for few minutes. Furthermore, this service allows clients

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to select an efficient programming model for the issues they are attempting to address. This
includes many small platforms (Varia and Mathew, 2013).
*Compute & Networking:
• Amazon Elastic Perform Cloud (Amazon EC2): offers resizable computing capacity in the
cloud as well as management over computing resources, with the goal of making it easier for
developers and system administrators to compute Web scale arithmetic.
• Auto scaling: enables users to dynamically raise or reduce their Amazon EC2 capacity
while preserving productivity and cost savings.
*Storage & Content Delivery Network:
• Amazon Simple Storage Service (Amazon S3): Internet storage that makes it easier for
developers to expand the web.
• Amazon Glacier: a low-cost storage solution that offers safe and long-term storage for data
preservation and backups.
And many other services about Deployment &Management, App services, Analytics, Cross-
services, etc.
It can be said that Amazon is a new generation of digital intermediaries who generates some
intriguing dynamics and decision points for merchants. They really handle a lot of intermediary
duties, such as shipping, storage, and e-commerce, to name a few. However, Amazon's worth
is not limited to their great website design talents; they also have a large and dedicated
consumer base, making them a strategic alliance. Many small businesses find it appealing
because of its potential. Amazon encourages "bargains" for companies in their ecosystem
because they believe customers will have a positive experience. Customers will tend not to ask
for anything more as a result of the appealing offerings that provide them delight since they
believe they have earned both benefit and profit, which is the underpinning for companies to
be able to raise prices higher and generate more profits. In the digital era, topics that consumers
care about now include the cost of delivering such products to their house, as well as how the
firm packages the product so that product quality is not compromised in the process shipping
and also delivery time. It is unavoidable for stores to collapse and brands to die in the period
of digital because they do not know how to reinvent tactics, attract and keep customers by the
help of intermediaries like Amazon.