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Running head: MANAGEMENT
Management
Name of the Student
Name of the University
Author Note
Management
Name of the Student
Name of the University
Author Note
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1MANAGEMENT
Abstract
This research project has been performed on the investigation of how e-commerce strategies
can help to achieve better performance. The study has considered the e-commerce operation
of Zara in UK. Analysis in the study has been performed by collecting primary data. A survey
has been performed among 50 consumers of ZARA who are presently the consumers of
ZARA. To perform the survey, simple random sampling method has been applied to the
study. Findings imply that advances of technology are certainly helping the e-commerce
fashion sector in UK. Mobile device is one of the significant driver is such growth of e-
commerce in the fashion industry. Findings also indicate that e-commerce vendors have to
enhance its service quality, as there is high possibility of losing consumer base due to poor
service such as almost 17% of consumers had the wrong or defected item delivered to them
which represents a significant field of potential enhancement for e-commerce retailers. In
order to enhance the performance of e-commerce business, Zara has been recommended with
the strategy of increasing e-commerce search usability which considers the needs of
consumers.
Abstract
This research project has been performed on the investigation of how e-commerce strategies
can help to achieve better performance. The study has considered the e-commerce operation
of Zara in UK. Analysis in the study has been performed by collecting primary data. A survey
has been performed among 50 consumers of ZARA who are presently the consumers of
ZARA. To perform the survey, simple random sampling method has been applied to the
study. Findings imply that advances of technology are certainly helping the e-commerce
fashion sector in UK. Mobile device is one of the significant driver is such growth of e-
commerce in the fashion industry. Findings also indicate that e-commerce vendors have to
enhance its service quality, as there is high possibility of losing consumer base due to poor
service such as almost 17% of consumers had the wrong or defected item delivered to them
which represents a significant field of potential enhancement for e-commerce retailers. In
order to enhance the performance of e-commerce business, Zara has been recommended with
the strategy of increasing e-commerce search usability which considers the needs of
consumers.
2MANAGEMENT
Table of Content
CHAPTER 1: INTRODUCTION..............................................................................................6
1.0 Introduction......................................................................................................................6
1.1 Background to Research..................................................................................................6
1.2 Organizational Background.............................................................................................7
1.3 Significance of the problem.............................................................................................8
1.4 Purpose Statement............................................................................................................8
1.5 Research Aim and Objectives..........................................................................................8
1.6 Research Questions..........................................................................................................9
1.7 Dissertation Structure.......................................................................................................9
1.8 Summary........................................................................................................................11
CHAPTER 2: LITERATURE REVIEW.................................................................................12
2.1 Theoretical Approaches to Electronic Commerce.........................................................13
2.2 Type of e.-commerce businesses....................................................................................16
2.3 Existing performance of E-commerce in the fashion sector of UK...............................18
2.4 Changing retail as well as e-commerce trends in the fashion industry in UK...............19
2.5 UK Commerce market...................................................................................................21
2.6 Consumer behaviour in United Kingdom......................................................................22
2.7 Opportunities and Challenges........................................................................................22
2.8 E-commerce in UK –Statistics and Facts.......................................................................22
2.9 Factors behind emerging growth of fashion industry in UK..........................................23
2.10 Gaps in the literature....................................................................................................24
Table of Content
CHAPTER 1: INTRODUCTION..............................................................................................6
1.0 Introduction......................................................................................................................6
1.1 Background to Research..................................................................................................6
1.2 Organizational Background.............................................................................................7
1.3 Significance of the problem.............................................................................................8
1.4 Purpose Statement............................................................................................................8
1.5 Research Aim and Objectives..........................................................................................8
1.6 Research Questions..........................................................................................................9
1.7 Dissertation Structure.......................................................................................................9
1.8 Summary........................................................................................................................11
CHAPTER 2: LITERATURE REVIEW.................................................................................12
2.1 Theoretical Approaches to Electronic Commerce.........................................................13
2.2 Type of e.-commerce businesses....................................................................................16
2.3 Existing performance of E-commerce in the fashion sector of UK...............................18
2.4 Changing retail as well as e-commerce trends in the fashion industry in UK...............19
2.5 UK Commerce market...................................................................................................21
2.6 Consumer behaviour in United Kingdom......................................................................22
2.7 Opportunities and Challenges........................................................................................22
2.8 E-commerce in UK –Statistics and Facts.......................................................................22
2.9 Factors behind emerging growth of fashion industry in UK..........................................23
2.10 Gaps in the literature....................................................................................................24
3MANAGEMENT
CHAPTER 3: RESEARCH METHODOLOGY.....................................................................26
3.1 Introduction....................................................................................................................26
3.2 Research Onion..............................................................................................................26
3.3 Research Philosophy......................................................................................................26
3.4 Research Approach........................................................................................................28
3.5 Research Design.............................................................................................................28
3.6 Data Collection Methods................................................................................................29
3.7 Sampling Methods.........................................................................................................30
3.8 Data collection instrument.............................................................................................32
3.9 Data Analysis.................................................................................................................32
3.10 Ethical Consideration...................................................................................................32
3.11 Research Reliability and Validity................................................................................33
3.12 Limitation:....................................................................................................................34
3.13 Summary......................................................................................................................34
CHAPTER 4: FINDINGS AND ANALYSIS.........................................................................35
CHAPTER 5: CONCLUSION AND RECOMMENDATION 5.1 Conclusion.....................53
5.2 Recommendation............................................................................................................54
References................................................................................................................................55
CHAPTER 3: RESEARCH METHODOLOGY.....................................................................26
3.1 Introduction....................................................................................................................26
3.2 Research Onion..............................................................................................................26
3.3 Research Philosophy......................................................................................................26
3.4 Research Approach........................................................................................................28
3.5 Research Design.............................................................................................................28
3.6 Data Collection Methods................................................................................................29
3.7 Sampling Methods.........................................................................................................30
3.8 Data collection instrument.............................................................................................32
3.9 Data Analysis.................................................................................................................32
3.10 Ethical Consideration...................................................................................................32
3.11 Research Reliability and Validity................................................................................33
3.12 Limitation:....................................................................................................................34
3.13 Summary......................................................................................................................34
CHAPTER 4: FINDINGS AND ANALYSIS.........................................................................35
CHAPTER 5: CONCLUSION AND RECOMMENDATION 5.1 Conclusion.....................53
5.2 Recommendation............................................................................................................54
References................................................................................................................................55
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4MANAGEMENT
List of Graphs
Graph 1: E-commerce is effectively supporting the fashion industry in UK...........................33
Graph 2: Online shopping is reliable in terms of personal information...................................34
Graph: Mobile Devices have facilitated the ways of e-commerce..........................................35
Graph 4: Factors influence you to make online purchase from e-commerce site....................37
Graph 5: Factors will negatively influence your online purchase behaviour?.........................39
Graph 6: Online shopping is more effective than conventional outlet shopping.....................41
Graph 7: E-commerce vendor care about after-sale service....................................................42
Graph 8: Type of E-commerce site consumers presently use..................................................44
Graph 9: Consumers’ age group..............................................................................................46
Graph 10: Employment Status of the consumers.....................................................................47
Graph 11: Gender.....................................................................................................................48
List of Graphs
Graph 1: E-commerce is effectively supporting the fashion industry in UK...........................33
Graph 2: Online shopping is reliable in terms of personal information...................................34
Graph: Mobile Devices have facilitated the ways of e-commerce..........................................35
Graph 4: Factors influence you to make online purchase from e-commerce site....................37
Graph 5: Factors will negatively influence your online purchase behaviour?.........................39
Graph 6: Online shopping is more effective than conventional outlet shopping.....................41
Graph 7: E-commerce vendor care about after-sale service....................................................42
Graph 8: Type of E-commerce site consumers presently use..................................................44
Graph 9: Consumers’ age group..............................................................................................46
Graph 10: Employment Status of the consumers.....................................................................47
Graph 11: Gender.....................................................................................................................48
5MANAGEMENT
List of Table
Table 1: E-commerce is effectively supporting the fashion industry in UK............................33
Table 2: Online shopping is reliable in terms of personal information....................................35
Table 3: Mobile Devices have facilitated the ways of e-commerce........................................36
Table 4: Factors influence you to make online purchase from e-commerce site.....................38
Table 5: Online shopping is more effective than conventional outlet shopping......................41
Table 6: E-commerce vendor care about after-sale service.....................................................43
Table 7: Type of E-commerce site consumers presently use...................................................45
Table 8: Consumers’ age group...............................................................................................47
Table 9: Employment Status of the consumers........................................................................48
Table 10: Gender......................................................................................................................49
List of Table
Table 1: E-commerce is effectively supporting the fashion industry in UK............................33
Table 2: Online shopping is reliable in terms of personal information....................................35
Table 3: Mobile Devices have facilitated the ways of e-commerce........................................36
Table 4: Factors influence you to make online purchase from e-commerce site.....................38
Table 5: Online shopping is more effective than conventional outlet shopping......................41
Table 6: E-commerce vendor care about after-sale service.....................................................43
Table 7: Type of E-commerce site consumers presently use...................................................45
Table 8: Consumers’ age group...............................................................................................47
Table 9: Employment Status of the consumers........................................................................48
Table 10: Gender......................................................................................................................49
6MANAGEMENT
Topic- HOW CAN E-COMMERCE STRATEGIES HELP TO ACHIEVE BETTER
PERFORMANCE IN THE UK FASHION SECTOR?
CHAPTER 1: INTRODUCTION
1.0 Introduction
There is no denying that global fashion industry is persistently moving towards a decisive
stage of a digital adoption by mainstream consumers along with the growing online sales
projected to grow rapidly, especially in emerging nations. Such pace of growth has also been
identified that in UK fashion sector where the number of e-commerce vendors is rapidly
increasing. The ease of various digital instruments as well as content has amended customer
purchase framework from a conventional one to a more complex one across both offline and
online platforms. Thus, purpose of this study is to gain a suitable understanding about how e-
commerce strategies can help to achieve better performance in UK’s fashion sector. To derive
a precise understanding about how organizations in the fashion industry of UK is achieving
its business goals through e-commerce, e-commerce operation of Zara, UK has been
considered in the study.
1.1 Background to Research
It has been identified that initial phrase of e-commerce did not able to gain popularity
among retailers in the fashion sector. However, although the initial phrase was slow but
organizations in the fashion sector are catching up faster. According to Guercini and Runfola
(2015), major fashion brands seek to create an immersive consumers experience that certain
amplify as well as enhance tradition in store transactions. It is undeniable that technology
plays a crucial role in founding the e-commerce platform because initially even though e-
commerce was there, but people had a very limited access to technology. Nonetheless,
technology advances have made accelerated the use of e-commerce in the fashion sector
Topic- HOW CAN E-COMMERCE STRATEGIES HELP TO ACHIEVE BETTER
PERFORMANCE IN THE UK FASHION SECTOR?
CHAPTER 1: INTRODUCTION
1.0 Introduction
There is no denying that global fashion industry is persistently moving towards a decisive
stage of a digital adoption by mainstream consumers along with the growing online sales
projected to grow rapidly, especially in emerging nations. Such pace of growth has also been
identified that in UK fashion sector where the number of e-commerce vendors is rapidly
increasing. The ease of various digital instruments as well as content has amended customer
purchase framework from a conventional one to a more complex one across both offline and
online platforms. Thus, purpose of this study is to gain a suitable understanding about how e-
commerce strategies can help to achieve better performance in UK’s fashion sector. To derive
a precise understanding about how organizations in the fashion industry of UK is achieving
its business goals through e-commerce, e-commerce operation of Zara, UK has been
considered in the study.
1.1 Background to Research
It has been identified that initial phrase of e-commerce did not able to gain popularity
among retailers in the fashion sector. However, although the initial phrase was slow but
organizations in the fashion sector are catching up faster. According to Guercini and Runfola
(2015), major fashion brands seek to create an immersive consumers experience that certain
amplify as well as enhance tradition in store transactions. It is undeniable that technology
plays a crucial role in founding the e-commerce platform because initially even though e-
commerce was there, but people had a very limited access to technology. Nonetheless,
technology advances have made accelerated the use of e-commerce in the fashion sector
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7MANAGEMENT
because are so much accustomed to technology such as Smartphone devices, high speed-
internet connectivity. So, according to Escobar-Rodríguez and Bonsón-Fernández (2017)
because of this rapid growth in technology, one can shop online sitting at home through their
mobile devices. Digital innovation, increasing globalization as well as changes in consumer
spending habits have certainly catapulted the fashion sector into the midst of seismic shifts.
Brogi et al. (2013) provide cumulative data which is compiled with the fashion and
apparel sector report gives a bright portrait with global revenue forecasted to enhance from
$481.2 billion in 2018 to $712 billion by 2025. According to Macchion, Danese and Vinelli
(2015) consumers in the fashion sector tend to have more buying power because the number
of potential consumers is expected to increase over 1.2 billion by 2020. Nevertheless, a more
clear fact appears in the eyes of marketers causing tension of sustainability because market
environment in the fashion industry has been extremely dynamic in nature. Consumers’ tastes
and preferences are changing at a rapid pace. Thus, e-commerce strategy applied a decade
ago in UK may not provide the same outcome today as number of competitors in the sector
has increased. So, market demands have also changed giving no possible clue for the
marketers. Therefore, this study unveils how e-commerce strategies can help to achieve a
better performance.
1.2 Organizational Background
Zara is known to be a Spanish fast Fashion retailer based in Arteixo in Gallicia. The firm
was established in 1975. ZARA is famous for its male and female clothing items across UK.
It has been identified that Zara’s profiles and sales in its United Kingdom market soared in its
last financial year. It has been identified that in 2007, the brand Zara first established its
online e-commerce with Zara Home along with two new distribution centre in Spain. Zara
starts to sell its products online in September as well as by 2010, online platform of Zara was
developed in 6 European markets (Zara.com 2019). Likewise, the organization has also
because are so much accustomed to technology such as Smartphone devices, high speed-
internet connectivity. So, according to Escobar-Rodríguez and Bonsón-Fernández (2017)
because of this rapid growth in technology, one can shop online sitting at home through their
mobile devices. Digital innovation, increasing globalization as well as changes in consumer
spending habits have certainly catapulted the fashion sector into the midst of seismic shifts.
Brogi et al. (2013) provide cumulative data which is compiled with the fashion and
apparel sector report gives a bright portrait with global revenue forecasted to enhance from
$481.2 billion in 2018 to $712 billion by 2025. According to Macchion, Danese and Vinelli
(2015) consumers in the fashion sector tend to have more buying power because the number
of potential consumers is expected to increase over 1.2 billion by 2020. Nevertheless, a more
clear fact appears in the eyes of marketers causing tension of sustainability because market
environment in the fashion industry has been extremely dynamic in nature. Consumers’ tastes
and preferences are changing at a rapid pace. Thus, e-commerce strategy applied a decade
ago in UK may not provide the same outcome today as number of competitors in the sector
has increased. So, market demands have also changed giving no possible clue for the
marketers. Therefore, this study unveils how e-commerce strategies can help to achieve a
better performance.
1.2 Organizational Background
Zara is known to be a Spanish fast Fashion retailer based in Arteixo in Gallicia. The firm
was established in 1975. ZARA is famous for its male and female clothing items across UK.
It has been identified that Zara’s profiles and sales in its United Kingdom market soared in its
last financial year. It has been identified that in 2007, the brand Zara first established its
online e-commerce with Zara Home along with two new distribution centre in Spain. Zara
starts to sell its products online in September as well as by 2010, online platform of Zara was
developed in 6 European markets (Zara.com 2019). Likewise, the organization has also
8MANAGEMENT
increased its reach in the logistic chain. According to the report provided by Inditex, the
brand Zara with its more than 7000 outlets focuses on increase retail space 6% to 8% in the
coming years (Zara.com 2019). The organization wishes to increase the market share with
less capital intensive e-commerce approach.
1.3 Significance of the problem
As the technology has made it easy for marketers to shift their focus from traditional selling
to online, many retailers in the fashion industry of UK including the small and medium size
firms are experiencing an easy access to e-commerce platforms. As the number of players in
the sector increases with the growth of e-commerce platform, the market has been relatively
competitive in nature. A single or core strategy might not be effective for e-commerce
vendors to achieve a desired performance. Thus, it is highly important to perform study on e-
commerce to develop suitable strategies which could help to gain desired performance.
1.4 Purpose Statement
The major purpose of the study is to investigate how e-commerce strategy can help Zara to
achieve better performance in the fashion industry of United Kingdom
1.5 Research Aim and Objectives
The aim of the study is to investigate how e-commerce strategy can help to enhance better
performance in the fashion industry of UK. The study secondarily aims to examine the
relationship between changing market environment and e-commerce strategy. Following are
the key objectives to achieve the stated aims of the study
To critically investigate existing performance of e-commerce in the fashion industry
of UK
To analyse the impact of e-commerce on organizational performance of Zara in
fashion sector
increased its reach in the logistic chain. According to the report provided by Inditex, the
brand Zara with its more than 7000 outlets focuses on increase retail space 6% to 8% in the
coming years (Zara.com 2019). The organization wishes to increase the market share with
less capital intensive e-commerce approach.
1.3 Significance of the problem
As the technology has made it easy for marketers to shift their focus from traditional selling
to online, many retailers in the fashion industry of UK including the small and medium size
firms are experiencing an easy access to e-commerce platforms. As the number of players in
the sector increases with the growth of e-commerce platform, the market has been relatively
competitive in nature. A single or core strategy might not be effective for e-commerce
vendors to achieve a desired performance. Thus, it is highly important to perform study on e-
commerce to develop suitable strategies which could help to gain desired performance.
1.4 Purpose Statement
The major purpose of the study is to investigate how e-commerce strategy can help Zara to
achieve better performance in the fashion industry of United Kingdom
1.5 Research Aim and Objectives
The aim of the study is to investigate how e-commerce strategy can help to enhance better
performance in the fashion industry of UK. The study secondarily aims to examine the
relationship between changing market environment and e-commerce strategy. Following are
the key objectives to achieve the stated aims of the study
To critically investigate existing performance of e-commerce in the fashion industry
of UK
To analyse the impact of e-commerce on organizational performance of Zara in
fashion sector
9MANAGEMENT
To assess the organizational performance of Zara after the implementation of e-
commerce strategies
To develop suitable e-commerce strategies to enhance e-commerce performance for
Zara in the fashion sector of UK
1.6 Research Questions
What is the existing performance of Zara in the fashion industry?
What is the impact of e-commerce strategies on the organizational performance of
Zara?
How e-commerce strategies can be develop to enhance performance of fashion
industry in UK?
1.7 Dissertation Structure
Chapter 1: Introduction
This chapter of the dissertation introduces the topic and importance of performing a study on
e-commerce in fashion industry. Chapter provides clear aim and objectives based on which
review of literature has been performed in the following chapter. Moreover, the chapter is
also organized with research problems –such as the number of players in the sector increases
with the growth of e-commerce platform, the market has been relatively competitive in
nature.
To assess the organizational performance of Zara after the implementation of e-
commerce strategies
To develop suitable e-commerce strategies to enhance e-commerce performance for
Zara in the fashion sector of UK
1.6 Research Questions
What is the existing performance of Zara in the fashion industry?
What is the impact of e-commerce strategies on the organizational performance of
Zara?
How e-commerce strategies can be develop to enhance performance of fashion
industry in UK?
1.7 Dissertation Structure
Chapter 1: Introduction
This chapter of the dissertation introduces the topic and importance of performing a study on
e-commerce in fashion industry. Chapter provides clear aim and objectives based on which
review of literature has been performed in the following chapter. Moreover, the chapter is
also organized with research problems –such as the number of players in the sector increases
with the growth of e-commerce platform, the market has been relatively competitive in
nature.
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10MANAGEMENT
Figure 1: Dissertation Structure
(Source: Self-Made)
Chapter 2: Literature Review
This chapter of the dissertation reviews the existing research work performed on e-commerce
strategies in fashion industry. The review has been performed considering thirty journal
articles and all articles were published after 2014.
Chapter 3: Research Methodology
This is one of most of vital chapter of the dissertation as it presents and discusses the research
techniques chosen and applied to the study. Present uses a primary research method to
identify how organizations in the fashion industry can enhance the performance.
Chapter 4: Findings and Analysis
Chapter 1: Introduction
Chapter 2: Literature Review
Chapter 3: Research Methodology
Chapter 4: Findings and Analysis
Chapter 5: Conclusion and Recommendation
Figure 1: Dissertation Structure
(Source: Self-Made)
Chapter 2: Literature Review
This chapter of the dissertation reviews the existing research work performed on e-commerce
strategies in fashion industry. The review has been performed considering thirty journal
articles and all articles were published after 2014.
Chapter 3: Research Methodology
This is one of most of vital chapter of the dissertation as it presents and discusses the research
techniques chosen and applied to the study. Present uses a primary research method to
identify how organizations in the fashion industry can enhance the performance.
Chapter 4: Findings and Analysis
Chapter 1: Introduction
Chapter 2: Literature Review
Chapter 3: Research Methodology
Chapter 4: Findings and Analysis
Chapter 5: Conclusion and Recommendation
11MANAGEMENT
This chapter actually presents research findings such as existing performance of the
organizations in the fashion industry, relation of e-commerce and fashion industry. The data
have been converted to meaningful format and then they are presented with graph and table.
Chapter 5: Conclusion and Recommendation
This is the final chapter of the dissertation, which concludes the entire research work and
provides suitable solutions in the form of strategies to achieve better performance in fashion
industry.
1.8 Summary
Certainly, this chapter builds the backbone of entire dissertation with detailed background on
e-commerce in fashion industry. Chapter also provides a clear aim and based on which
research objectives have been formed in the chapter. So, when performing the review of
literature, the objectives formed in the chapter has been followed in the following chapter.
This chapter actually presents research findings such as existing performance of the
organizations in the fashion industry, relation of e-commerce and fashion industry. The data
have been converted to meaningful format and then they are presented with graph and table.
Chapter 5: Conclusion and Recommendation
This is the final chapter of the dissertation, which concludes the entire research work and
provides suitable solutions in the form of strategies to achieve better performance in fashion
industry.
1.8 Summary
Certainly, this chapter builds the backbone of entire dissertation with detailed background on
e-commerce in fashion industry. Chapter also provides a clear aim and based on which
research objectives have been formed in the chapter. So, when performing the review of
literature, the objectives formed in the chapter has been followed in the following chapter.
12MANAGEMENT
CHAPTER 2: LITERATURE REVIEW
Mangiaracina et al. (2015) carried out a study and stated that e-commerce is more of a
financial business transactions that occurs over an electronic network which is often called e-
business. In contrast, Yang, Song and Tong (2017) carried out a study and stated the fact that
e-commerce platforms today is more of a revenue generator, which means it creates a large
percentage of the revenue for businesses that wish to run business over the electronic
platform. Even though, there are several type of e-commerce but Business to Business (B2B)
has been claimed to be the most common and mostly used platform. Hansen and Bjorn-
Andersen (2013) stated the fact that E-business forms a structure that includes the
transactions about selling and buying of goods and services to create revenue. Such wide
flow of revenue certainly generates the revenue. Authors also mentioned the fact Setiowati,
Daryanto and Arifin (2015), these activities include the process of generating demands
products and services by delivering the support towards the sale and customer service.
According to Manuel Hurtado González and Herrero Chacón (2014), due to flexibility
offered by technology and computer network and internet advances generates the pathway of
traditional commerce. This means e-commerce generates and provides emerging
opportunities for carrying out the activities that bring profits over the e-platform. Hansen and
Jonsson (2013) mentioned e-commerce develops an easier cooperation between different
groups –such as businesses share the information to improve customer relation, businesses
join hands for the collaborative initiatives for sharing information about some relevant
marketing campaigns. Findings of this above study also categorized the use of internet in
business under which service capabilities are core element of successful e-commerce
initiative. Myriad of activities like buying and selling of products, communicating with
consumers, communicating with the businesses, collaborating with others and collecting
CHAPTER 2: LITERATURE REVIEW
Mangiaracina et al. (2015) carried out a study and stated that e-commerce is more of a
financial business transactions that occurs over an electronic network which is often called e-
business. In contrast, Yang, Song and Tong (2017) carried out a study and stated the fact that
e-commerce platforms today is more of a revenue generator, which means it creates a large
percentage of the revenue for businesses that wish to run business over the electronic
platform. Even though, there are several type of e-commerce but Business to Business (B2B)
has been claimed to be the most common and mostly used platform. Hansen and Bjorn-
Andersen (2013) stated the fact that E-business forms a structure that includes the
transactions about selling and buying of goods and services to create revenue. Such wide
flow of revenue certainly generates the revenue. Authors also mentioned the fact Setiowati,
Daryanto and Arifin (2015), these activities include the process of generating demands
products and services by delivering the support towards the sale and customer service.
According to Manuel Hurtado González and Herrero Chacón (2014), due to flexibility
offered by technology and computer network and internet advances generates the pathway of
traditional commerce. This means e-commerce generates and provides emerging
opportunities for carrying out the activities that bring profits over the e-platform. Hansen and
Jonsson (2013) mentioned e-commerce develops an easier cooperation between different
groups –such as businesses share the information to improve customer relation, businesses
join hands for the collaborative initiatives for sharing information about some relevant
marketing campaigns. Findings of this above study also categorized the use of internet in
business under which service capabilities are core element of successful e-commerce
initiative. Myriad of activities like buying and selling of products, communicating with
consumers, communicating with the businesses, collaborating with others and collecting
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13MANAGEMENT
information. Hansen and Jonsson (2013) also added that e-businesses that are able to gain
success, are also able to develop their business model around selling an extensive list of
products and services. So, by reviewing this paper, it can be added that e-commerce
platforms have the ability to generate significant amount of revenue and reduce the cost for
business and other related entities.
According to Gangeshwer (2013) e-commerce platform has no physical store, so in
most of the cases, buyer and seller do not come into a face to face discussion. So, it is worth
telling that Web and Telecommunication technologies play a crucial role in e-commerce
business. Conversely, Chaffey (2015) opined that even though the goals and objectives of e-
commerce and traditional businesses are similar like selling products to generate profits,
vendors under the e-commerce platforms do it more efficiently over the e-platforms. . In
contrast, Gupta (2014) e-commerce holds the capacity of enormous use of websites as well as
online catalogue.
2.1 Theoretical Approaches to Electronic Commerce
Even though there is a myriad of theories on e-commerce, some of the theories are relevant
and reviewed in the following’
Transaction Cost Theory
As put forward by Akter and Wamba (2016), economists usually develop a classified
transactional path inside the organization to ensure coordination between sellers and the
buyers which involves market transactions as well as a suitable coordination within the
organization. According to the author, Vega and Keenan (2014) following figure portrays a
typical market hierarchy which clearly progress from “manufacturer” to “Wholesaler”,
“retailer” and “consumer”. Verbeke and Kano (2013) commented that choice of transactions
could depend upon some particular factors with the inclusion of speciality of asset, the
information. Hansen and Jonsson (2013) also added that e-businesses that are able to gain
success, are also able to develop their business model around selling an extensive list of
products and services. So, by reviewing this paper, it can be added that e-commerce
platforms have the ability to generate significant amount of revenue and reduce the cost for
business and other related entities.
According to Gangeshwer (2013) e-commerce platform has no physical store, so in
most of the cases, buyer and seller do not come into a face to face discussion. So, it is worth
telling that Web and Telecommunication technologies play a crucial role in e-commerce
business. Conversely, Chaffey (2015) opined that even though the goals and objectives of e-
commerce and traditional businesses are similar like selling products to generate profits,
vendors under the e-commerce platforms do it more efficiently over the e-platforms. . In
contrast, Gupta (2014) e-commerce holds the capacity of enormous use of websites as well as
online catalogue.
2.1 Theoretical Approaches to Electronic Commerce
Even though there is a myriad of theories on e-commerce, some of the theories are relevant
and reviewed in the following’
Transaction Cost Theory
As put forward by Akter and Wamba (2016), economists usually develop a classified
transactional path inside the organization to ensure coordination between sellers and the
buyers which involves market transactions as well as a suitable coordination within the
organization. According to the author, Vega and Keenan (2014) following figure portrays a
typical market hierarchy which clearly progress from “manufacturer” to “Wholesaler”,
“retailer” and “consumer”. Verbeke and Kano (2013) commented that choice of transactions
could depend upon some particular factors with the inclusion of speciality of asset, the
14MANAGEMENT
parties’ interest in transactions and ambiguity and uncertainty in explaining the transaction.
Hence, according to the authors, transactions could then be broken down into prediction and
cost of coordination. According to Brim (2017), cost of coordination include the cost of
transaction of the information processing required for the coordination between the work of
people and the machine running the primary process.
Figure 2: Transaction Cost Theory
(Source: Verbeke and Kano 2013)
In this context, Wacker, Yang and Sheu (2016) arguably mentioned the fact that cost of
transaction can be viewed as the economic equivalency of frictions particularly in a physical
system. This means of the friction is large, no or delayed movement could take place. This
activity certainly suggest the fact that if transaction cost are found to be high, no or little
economic activity is most likely to take place and according to the authors of the above study,
this could include the following type of costs
parties’ interest in transactions and ambiguity and uncertainty in explaining the transaction.
Hence, according to the authors, transactions could then be broken down into prediction and
cost of coordination. According to Brim (2017), cost of coordination include the cost of
transaction of the information processing required for the coordination between the work of
people and the machine running the primary process.
Figure 2: Transaction Cost Theory
(Source: Verbeke and Kano 2013)
In this context, Wacker, Yang and Sheu (2016) arguably mentioned the fact that cost of
transaction can be viewed as the economic equivalency of frictions particularly in a physical
system. This means of the friction is large, no or delayed movement could take place. This
activity certainly suggest the fact that if transaction cost are found to be high, no or little
economic activity is most likely to take place and according to the authors of the above study,
this could include the following type of costs
15MANAGEMENT
Search cost- this is known as the cost of searching for products, seller and buyers
Cost of contracting- this cost is about setting up and carrying out the contract
Cost of monitoring- this cost is about ensuring that the terms of contract have been
satisfied
Cost of adaption- according to the authors, this is cost is about the one which is
incurred in making changes during the life of contract
According to Vega and Keenan (2014), organizations could choose transactions that
economize on cost of coordination. The authors of the study has also mentioned that as
information technology continues its speedy cost performance enhancement, the cost of unit
of coordination transaction could approach zero; thereby, it could enable the design of
innovative coordination transaction to meet new business needs. Akter and Wamba (2016)
also mentioned the fact that the ever-increasing as well as advanced use of WWW to perform
business and WW related forms of e-commerce are clear example of organizations’ desire to
economize on the cost of transaction.
Marketing
As put forward by Hadjikhani and LaPlaca (2013), all marketing efforts are quite
based on the some fundamental premise that there is a particular consumer audience and
consumers are some particular firms or individuals within the sector who have needs which
can be fulfilled by other running organizations within a specific market. On the other side,
Hunt (2014) mentioned about three major emphases in marketing effort which are identified
as customer orientation, product orientation as well as profit orientation. Authors also
mentioned the fact that a customer orientation tend to denote an attitude as well as pattern of
conduct and the degree to which an organization tries to determine what its consumers want
as well as then gives them what they desire. According to Lusch and Vargo (2014) a product
Search cost- this is known as the cost of searching for products, seller and buyers
Cost of contracting- this cost is about setting up and carrying out the contract
Cost of monitoring- this cost is about ensuring that the terms of contract have been
satisfied
Cost of adaption- according to the authors, this is cost is about the one which is
incurred in making changes during the life of contract
According to Vega and Keenan (2014), organizations could choose transactions that
economize on cost of coordination. The authors of the study has also mentioned that as
information technology continues its speedy cost performance enhancement, the cost of unit
of coordination transaction could approach zero; thereby, it could enable the design of
innovative coordination transaction to meet new business needs. Akter and Wamba (2016)
also mentioned the fact that the ever-increasing as well as advanced use of WWW to perform
business and WW related forms of e-commerce are clear example of organizations’ desire to
economize on the cost of transaction.
Marketing
As put forward by Hadjikhani and LaPlaca (2013), all marketing efforts are quite
based on the some fundamental premise that there is a particular consumer audience and
consumers are some particular firms or individuals within the sector who have needs which
can be fulfilled by other running organizations within a specific market. On the other side,
Hunt (2014) mentioned about three major emphases in marketing effort which are identified
as customer orientation, product orientation as well as profit orientation. Authors also
mentioned the fact that a customer orientation tend to denote an attitude as well as pattern of
conduct and the degree to which an organization tries to determine what its consumers want
as well as then gives them what they desire. According to Lusch and Vargo (2014) a product
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16MANAGEMENT
orientation is predicted on the view that customers could recognize and appreciate products
for superior merit and grant their patronage on organizations.
Diffusion
Fang, Zhang and Thalmann (2013) opined that diffusion is mostly known as social process in
which innovation can be interacted through some particular channels over time among the
organizational members tied by a social system. On the contrary, Neumeier (2013) in their
study added the fact that such technique clearly duplicates the activities in electronic
commerce or the transaction should be processed to a set of businesses or consumers. As put
forward by Verbeke and Kano (2013), channels of communication are in general selected for
the present purpose which is more of electronic data interchange. However, when it is
considered from a diffusion perspective, time and cost are two major concern and it can be
stated that such electronic diffusion means are usually help to reduce cost and pay attention to
channels of reaching and approaching the target consumers. Hence, Fang, Zhang and
Thalmann (2013,) that the rate of diffusion as well as adoption is mainly determined by some
features of innovation and communication platforms that are selected to determine the
possibility of developing an effective relation with the target consumers.
2.2 Type of e.-commerce businesses
Guercini and Runfola (2015) mentioned that there are numerous type of e-commerce
that are used today but when separating them, type of transaction is mostly considered.
Hence, according to the author, types may include Business to Consumers, (B2C), Business
to Business (B2B) and Consumer to Consumer (C2C).
Business to Consumer E-commerce
Escobar-Rodríguez and Bonsón-Fernández (2017) carried out a study and stated that in
Business to Consumers, business has the opportunity of selling a diverse group of products to
orientation is predicted on the view that customers could recognize and appreciate products
for superior merit and grant their patronage on organizations.
Diffusion
Fang, Zhang and Thalmann (2013) opined that diffusion is mostly known as social process in
which innovation can be interacted through some particular channels over time among the
organizational members tied by a social system. On the contrary, Neumeier (2013) in their
study added the fact that such technique clearly duplicates the activities in electronic
commerce or the transaction should be processed to a set of businesses or consumers. As put
forward by Verbeke and Kano (2013), channels of communication are in general selected for
the present purpose which is more of electronic data interchange. However, when it is
considered from a diffusion perspective, time and cost are two major concern and it can be
stated that such electronic diffusion means are usually help to reduce cost and pay attention to
channels of reaching and approaching the target consumers. Hence, Fang, Zhang and
Thalmann (2013,) that the rate of diffusion as well as adoption is mainly determined by some
features of innovation and communication platforms that are selected to determine the
possibility of developing an effective relation with the target consumers.
2.2 Type of e.-commerce businesses
Guercini and Runfola (2015) mentioned that there are numerous type of e-commerce
that are used today but when separating them, type of transaction is mostly considered.
Hence, according to the author, types may include Business to Consumers, (B2C), Business
to Business (B2B) and Consumer to Consumer (C2C).
Business to Consumer E-commerce
Escobar-Rodríguez and Bonsón-Fernández (2017) carried out a study and stated that in
Business to Consumers, business has the opportunity of selling a diverse group of products to
17MANAGEMENT
consumers. Some major players are there in the sector such as Amazon.com and
Hepsibirada.com and some traditional businesses have got into e-platform by developing
some comprehensive website as well as virtual outlets. Hence, Gangeshwer (2013) stated the
fact that e-commerce has the potential to supplement the tradition trades by delivering
products and services through a different set of electronic channels. The study also provides
the fact that electronic giant like Wal-Mart and Gap are two major example of such e-
commerce site and hence firm could involves the availability of physical space –this means
that the consumers can visit the outlets. Hence, consumers can receive customer service in
physical stores.
Business to Business e-commerce
Laudon and Traver (2016) stated that B2B is another type of electronic commerce which
processes electronic transactions among and between the businesses and it creates the relation
between all sorts of businesses. Unlike the other electronic platform, Business to Business is
the fastest growing under the e-commerce platform. Conversely, Savrul, Incekara and Sener
(2014) added the fact that Business to Business e-commerce can simply be stated as the
commerce between the firms which means the relation only remains within the businesses.
According to Barnes and Hunt (2013) almost 80% of e-commerce platform is B2B and it is
most likely to grow faster compared to other sort of B2C. Hence, B2C segment has two basic
elements such as e-infrastructure and E-market. Hansen and Jonsson (2013) stated the fact
that E-infrastructure is the architecture of B2B which consists of logistics, application service
providers as well as outsourcing of some basic functions in the process of e-commerce.
Business to Government e-commerce
As put forward by Chaffey (2015), Business to Government e-commerce or B2G is
usually defined as commerce between organizations and the public sector. According to the
consumers. Some major players are there in the sector such as Amazon.com and
Hepsibirada.com and some traditional businesses have got into e-platform by developing
some comprehensive website as well as virtual outlets. Hence, Gangeshwer (2013) stated the
fact that e-commerce has the potential to supplement the tradition trades by delivering
products and services through a different set of electronic channels. The study also provides
the fact that electronic giant like Wal-Mart and Gap are two major example of such e-
commerce site and hence firm could involves the availability of physical space –this means
that the consumers can visit the outlets. Hence, consumers can receive customer service in
physical stores.
Business to Business e-commerce
Laudon and Traver (2016) stated that B2B is another type of electronic commerce which
processes electronic transactions among and between the businesses and it creates the relation
between all sorts of businesses. Unlike the other electronic platform, Business to Business is
the fastest growing under the e-commerce platform. Conversely, Savrul, Incekara and Sener
(2014) added the fact that Business to Business e-commerce can simply be stated as the
commerce between the firms which means the relation only remains within the businesses.
According to Barnes and Hunt (2013) almost 80% of e-commerce platform is B2B and it is
most likely to grow faster compared to other sort of B2C. Hence, B2C segment has two basic
elements such as e-infrastructure and E-market. Hansen and Jonsson (2013) stated the fact
that E-infrastructure is the architecture of B2B which consists of logistics, application service
providers as well as outsourcing of some basic functions in the process of e-commerce.
Business to Government e-commerce
As put forward by Chaffey (2015), Business to Government e-commerce or B2G is
usually defined as commerce between organizations and the public sector. According to the
18MANAGEMENT
authors, it fundamentally refers to the use of internet for public procurement, licensing the
procedures as well as other government related operations. In this context, Mazzarol (2015)
commented that such e-commerce has two fundamental element such as first the public sector
predicts a pilot/leading role in developing e-commerce and second it is predicted that public
sector has the largest need for making its procurement system. C2C e-commerce
Consumer to Consumers
According to Poggi et al. (2013) Consumers to consumer e-commerce or C2C is
simply commerce between private individuals or consumers and such type of e-commerce is
characterized by both advances of electronic market places and online auctions, especially in
vertical sectors where organizations/ businesses could bid for what they could want among
multiple suppliers. More precisely, Yu et al. (2014) mentioned that consumers to consumers
or (C2C) consists of electronic transactions of products and services between two customers.
These are majorly performed through a third party which provides online platform for such
transitions.
Business to Administration
According to Hesselbarth and Schaltegger (2014), Business to Administration (B2A),
is more of e-commerce transaction, in which there are certain dealings between businesses
and public administration. Moreover, it could encompasses different services like social
security, fiscal measures, etc.
2.3 Existing performance of E-commerce in the fashion sector of UK
According to Shafritz et al. (2016), e-commerce revenue in the fashion sector in UK
in 2017 observed a significant growth as the overall revenue in the year was found to be
around 21.38 billion in 2018 the overall revenue was around 23.44 billion. On the other side,
Dzhandzhugazova et al. (2016) performed study and mentioned that within 2023, E-
authors, it fundamentally refers to the use of internet for public procurement, licensing the
procedures as well as other government related operations. In this context, Mazzarol (2015)
commented that such e-commerce has two fundamental element such as first the public sector
predicts a pilot/leading role in developing e-commerce and second it is predicted that public
sector has the largest need for making its procurement system. C2C e-commerce
Consumer to Consumers
According to Poggi et al. (2013) Consumers to consumer e-commerce or C2C is
simply commerce between private individuals or consumers and such type of e-commerce is
characterized by both advances of electronic market places and online auctions, especially in
vertical sectors where organizations/ businesses could bid for what they could want among
multiple suppliers. More precisely, Yu et al. (2014) mentioned that consumers to consumers
or (C2C) consists of electronic transactions of products and services between two customers.
These are majorly performed through a third party which provides online platform for such
transitions.
Business to Administration
According to Hesselbarth and Schaltegger (2014), Business to Administration (B2A),
is more of e-commerce transaction, in which there are certain dealings between businesses
and public administration. Moreover, it could encompasses different services like social
security, fiscal measures, etc.
2.3 Existing performance of E-commerce in the fashion sector of UK
According to Shafritz et al. (2016), e-commerce revenue in the fashion sector in UK
in 2017 observed a significant growth as the overall revenue in the year was found to be
around 21.38 billion in 2018 the overall revenue was around 23.44 billion. On the other side,
Dzhandzhugazova et al. (2016) performed study and mentioned that within 2023, E-
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19MANAGEMENT
commerce fashion revenue in UK is going to increase to 31.4 billion in 2023. On the other
side, Kapoor et al. (2016), mentioned that high street retailers announcing dire results and the
biggest online fashion retailers like Boohoo has announced increasing sales in the first
quarter of 2018, certainly with an impressive 53% increase in three consecutive months. For
example, alongside, ASOS reported sales growth of 22% in 2018 which is up to end of June
which is actually living the likes of M&S, House of Fraser. In addition to this, Gupta (2014)
mentioned that the likes of Boohoo and ASOS have received praise in the recent time for
their promotion of plus-size models, inclusivity as well as unedited images of women
modelling their clothes. This data findings indicate that the fact they are trying to be more
real as well as display relatable body shapes, flaws and shades.
2.4 Changing retail as well as e-commerce trends in the fashion industry in UK
As put forward by Mazzarol (2015), there are some particular factors which have led
to successful performance of these online fashion retailers compared with some conventional
High Street Brands that have been observed such as the growth in mobile shopping, a
generation of young shoppers trying more vibrant as well as cutting-edge products and
experience and the convenience of making the purchase online. Authors have also stated the
fact that a good online performance and even some of the more conventional brands stated
above will not essentially save their bricks and mortar stores. On the other side, Ramcharran
(2013) performed a study and mentioned the fact that organizations in the fashion industry
think of a bigger picture. This means, according to the authors, customer needs have to
consider first and it could be easy to learn what the modern shoppers actually want. Authors
have added the fact that ASOS and Boohoo tend to understand their target audience and most
of the strategies have to be based on consumer centric. On the other side, Hansen and
Jonsson (2013) arguably added the fact a fundamental focus has to be on personalization as
well integration with social media channel is also highly significant. Authors of this study
commerce fashion revenue in UK is going to increase to 31.4 billion in 2023. On the other
side, Kapoor et al. (2016), mentioned that high street retailers announcing dire results and the
biggest online fashion retailers like Boohoo has announced increasing sales in the first
quarter of 2018, certainly with an impressive 53% increase in three consecutive months. For
example, alongside, ASOS reported sales growth of 22% in 2018 which is up to end of June
which is actually living the likes of M&S, House of Fraser. In addition to this, Gupta (2014)
mentioned that the likes of Boohoo and ASOS have received praise in the recent time for
their promotion of plus-size models, inclusivity as well as unedited images of women
modelling their clothes. This data findings indicate that the fact they are trying to be more
real as well as display relatable body shapes, flaws and shades.
2.4 Changing retail as well as e-commerce trends in the fashion industry in UK
As put forward by Mazzarol (2015), there are some particular factors which have led
to successful performance of these online fashion retailers compared with some conventional
High Street Brands that have been observed such as the growth in mobile shopping, a
generation of young shoppers trying more vibrant as well as cutting-edge products and
experience and the convenience of making the purchase online. Authors have also stated the
fact that a good online performance and even some of the more conventional brands stated
above will not essentially save their bricks and mortar stores. On the other side, Ramcharran
(2013) performed a study and mentioned the fact that organizations in the fashion industry
think of a bigger picture. This means, according to the authors, customer needs have to
consider first and it could be easy to learn what the modern shoppers actually want. Authors
have added the fact that ASOS and Boohoo tend to understand their target audience and most
of the strategies have to be based on consumer centric. On the other side, Hansen and
Jonsson (2013) arguably added the fact a fundamental focus has to be on personalization as
well integration with social media channel is also highly significant. Authors of this study
20MANAGEMENT
specifically have mentioned the fact that by growing a loyal, engaged as well as interactive
tribe on Instagram, Facebook, the route to purchase should be more focused.
In this context Yu et al. (2014) commented that ASOS has given consumers a large
amount of incentives to make purchase online with the help of handy-sizing tools as well as
features to control and ease the process of decision-making as well as a significant return
policy which control some of the fear factors of buying clothes that might not be effective or
fit when they try them at home for the first time. Following image taken from the study gives
a clear view about the features how hand in hand for consumers when it comes to making the
selection or trying a particular item.
Figure 2: E-commerce management of the brand
(Source: Yu et al. 2014)
specifically have mentioned the fact that by growing a loyal, engaged as well as interactive
tribe on Instagram, Facebook, the route to purchase should be more focused.
In this context Yu et al. (2014) commented that ASOS has given consumers a large
amount of incentives to make purchase online with the help of handy-sizing tools as well as
features to control and ease the process of decision-making as well as a significant return
policy which control some of the fear factors of buying clothes that might not be effective or
fit when they try them at home for the first time. Following image taken from the study gives
a clear view about the features how hand in hand for consumers when it comes to making the
selection or trying a particular item.
Figure 2: E-commerce management of the brand
(Source: Yu et al. 2014)
21MANAGEMENT
Savrul, Incekara and Sener (2014) argued that the above fact does not make it clear or
specify that High Street retailers in the fashion sector of UK is facing plummeting sales as
well as store closures. Authors have also added the fact that there are more and more pure-
play brands tend to open physical outlets particularly to cater for shoppers who wish to try
products who prefer to try products in store before buying online later. (Escobar-Rodríguez
and Bonsón-Fernández (2017) mentioned that there are myriad of ways of enhancing retail;
strategy to make sure that both the physical stores and commerce websites performance
thrives. Hence, the key is to take an Omni-channel approach and cerate balance between both
online and offline shopping experience.
2.5 UK Commerce market
Kirby-Hawkins, Birkin and Clarke (2018) performed a study and revealed that British
Commerce market demonstrates the growth in commerce adaption amongst the UK
population with 16.4% of overall retail sales coming from online channels which has been
compared to the data 14.7% found in 2016 (Yang, Song and Tong 2017).
Growth and upcoming markets
As put forward by Chan, Ngai and Moon (2017), turnover of B2C increased to 13,739
which is pushed along by growth rate of 13.65%. This has particularly been set to increase in
the coming year. Authors have also stated the fact that clothing is one of the significant
choice when it comes to online purchases with UK. When looking at the future of e-
commerce market, Macchion, Danese and Vinelli (2015) predicted that Amazon is by far the
largest with a staggering 91% of consumers stating that they usually use the market place in
comparison to just 56% in globally.
Savrul, Incekara and Sener (2014) argued that the above fact does not make it clear or
specify that High Street retailers in the fashion sector of UK is facing plummeting sales as
well as store closures. Authors have also added the fact that there are more and more pure-
play brands tend to open physical outlets particularly to cater for shoppers who wish to try
products who prefer to try products in store before buying online later. (Escobar-Rodríguez
and Bonsón-Fernández (2017) mentioned that there are myriad of ways of enhancing retail;
strategy to make sure that both the physical stores and commerce websites performance
thrives. Hence, the key is to take an Omni-channel approach and cerate balance between both
online and offline shopping experience.
2.5 UK Commerce market
Kirby-Hawkins, Birkin and Clarke (2018) performed a study and revealed that British
Commerce market demonstrates the growth in commerce adaption amongst the UK
population with 16.4% of overall retail sales coming from online channels which has been
compared to the data 14.7% found in 2016 (Yang, Song and Tong 2017).
Growth and upcoming markets
As put forward by Chan, Ngai and Moon (2017), turnover of B2C increased to 13,739
which is pushed along by growth rate of 13.65%. This has particularly been set to increase in
the coming year. Authors have also stated the fact that clothing is one of the significant
choice when it comes to online purchases with UK. When looking at the future of e-
commerce market, Macchion, Danese and Vinelli (2015) predicted that Amazon is by far the
largest with a staggering 91% of consumers stating that they usually use the market place in
comparison to just 56% in globally.
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22MANAGEMENT
2.6 Consumer behaviour in United Kingdom
Belk, Price and Peñaloza (2013) performed a study and added the fact that British
consumers are mostly the online shoppers but it does not mean they tend to avoid shopping in
downtown or the High Street. Authors have performed a study and added the fact that almost
93% of consumers stated that they shop in outlets. On the other side, Fitchett, Patsiaouras
and Davies (2014) mentioned that when finding the reasons why consumers in UK tend to
choose to buy products online, the range of choice, ability to compare price and the cost play
a great role. Findings of this study has mentioned the fact that almost a half of consumes
talked about the use of mobile tablets to search for products and then shifting the attention to
desktop to place the order item. Authors also added the fact that a large percentage of
consumers (93%) chose UK online retailers with 31% choosing retailers from European
countries.
2.7 Opportunities and Challenges
According to Bailey and De Propris (2014), UK has a robust internet infrastructure
with the internet penetration of 95% but when looking at the expectation of consumers, speed
of delivery usually ranks greatly as an obstacle. In contrast, Guercini and Runfola (2015)
mentioned that almost 17% of consumers had the wrong or defected item delivered to them
which represents a significant field of potential enhancement for e-commerce retailers.
Findings of this article has also examined the existing status of Brexit negotiations at the time
of writing. This means that business can observe both core benefits of deregulation. So, when
looking to the future, the end deal could have a significant effect on ecommerce landscape
both for the retailers and consumers.
2.6 Consumer behaviour in United Kingdom
Belk, Price and Peñaloza (2013) performed a study and added the fact that British
consumers are mostly the online shoppers but it does not mean they tend to avoid shopping in
downtown or the High Street. Authors have performed a study and added the fact that almost
93% of consumers stated that they shop in outlets. On the other side, Fitchett, Patsiaouras
and Davies (2014) mentioned that when finding the reasons why consumers in UK tend to
choose to buy products online, the range of choice, ability to compare price and the cost play
a great role. Findings of this study has mentioned the fact that almost a half of consumes
talked about the use of mobile tablets to search for products and then shifting the attention to
desktop to place the order item. Authors also added the fact that a large percentage of
consumers (93%) chose UK online retailers with 31% choosing retailers from European
countries.
2.7 Opportunities and Challenges
According to Bailey and De Propris (2014), UK has a robust internet infrastructure
with the internet penetration of 95% but when looking at the expectation of consumers, speed
of delivery usually ranks greatly as an obstacle. In contrast, Guercini and Runfola (2015)
mentioned that almost 17% of consumers had the wrong or defected item delivered to them
which represents a significant field of potential enhancement for e-commerce retailers.
Findings of this article has also examined the existing status of Brexit negotiations at the time
of writing. This means that business can observe both core benefits of deregulation. So, when
looking to the future, the end deal could have a significant effect on ecommerce landscape
both for the retailers and consumers.
23MANAGEMENT
2.8 E-commerce in UK –Statistics and Facts
Macchion, Danese and Vinelli (2015) performed a study and added the fact that if the
scenario of 2015 is considered, United Kingdom had the third largest e-commerce sector in
the world. Authors added the fact that the most recent UK government figures placed a
significant value of UK e-commerce sales at 533 billion British pounds in the same year and
the data findings clearly put the value of 60 billion euros in 2016 in e-commerce sector of UK
but the net sales of biggest online retailers in UK added up to more than 80 billion (Kirby-
Hawkins, Birkin, and Clarke (2018). On the other side, Macchion, Danese and Vinelli
(2015) mentioned that almost B2B e-commerce sales through websites reported to 95.6
billion British pounds in 2015. This means E-commerce accounted for almost 19% share of
total business turnover in UK in three years before. Presently, 80% of UK internet users did
online shopping and this is probably the highest penetration of online shopping in Europe.
In contrast, Van Loo et al. (2013) performed a study and added the fact that in spite of
online retail market maturing, the rate of growth has certainly slowed down in the last eight
years. Authors added the fact that particularly in 2015, online retail in UK increased by
12.4%. The growth has particularly been observed in the Mobile e-commerce. In addition to
this, Yang, Song and Tong (2017) added the fact that mobile share of online sales in UK
increased from 0.4 at the beginning of 2011 to 50% in the first quarter of 2016. Furthermore,
it has also been studied that the m-commerce users increased steadily for three consecutive
years since the middle of 2013. The above article highlights the fact that when it comes to e-
commerce in the fashion industry, click and collect or reserve and collect, plays a great role
in UK market with the increase of 23% in online retail sales falling the under the category
during the third quarter of the year.
2.8 E-commerce in UK –Statistics and Facts
Macchion, Danese and Vinelli (2015) performed a study and added the fact that if the
scenario of 2015 is considered, United Kingdom had the third largest e-commerce sector in
the world. Authors added the fact that the most recent UK government figures placed a
significant value of UK e-commerce sales at 533 billion British pounds in the same year and
the data findings clearly put the value of 60 billion euros in 2016 in e-commerce sector of UK
but the net sales of biggest online retailers in UK added up to more than 80 billion (Kirby-
Hawkins, Birkin, and Clarke (2018). On the other side, Macchion, Danese and Vinelli
(2015) mentioned that almost B2B e-commerce sales through websites reported to 95.6
billion British pounds in 2015. This means E-commerce accounted for almost 19% share of
total business turnover in UK in three years before. Presently, 80% of UK internet users did
online shopping and this is probably the highest penetration of online shopping in Europe.
In contrast, Van Loo et al. (2013) performed a study and added the fact that in spite of
online retail market maturing, the rate of growth has certainly slowed down in the last eight
years. Authors added the fact that particularly in 2015, online retail in UK increased by
12.4%. The growth has particularly been observed in the Mobile e-commerce. In addition to
this, Yang, Song and Tong (2017) added the fact that mobile share of online sales in UK
increased from 0.4 at the beginning of 2011 to 50% in the first quarter of 2016. Furthermore,
it has also been studied that the m-commerce users increased steadily for three consecutive
years since the middle of 2013. The above article highlights the fact that when it comes to e-
commerce in the fashion industry, click and collect or reserve and collect, plays a great role
in UK market with the increase of 23% in online retail sales falling the under the category
during the third quarter of the year.
24MANAGEMENT
2.9 Factors behind emerging growth of fashion industry in UK
As put forward by Taplin (2014), attitudes of fashion executives tend to evolve
consumers behaviours which force the industry players to self-disrupt. This means that
footfall in the physical environment would continue to decrease which could further drive the
need for brands and retailers to enhance their Omni Channel strategies. On the other side,
Pookulangara and Shephard (2013) mentioned the fact media has a role in dictating consumer
demand and it is helping small brands grow explosively. Across the sector, speed to marker
as well as responsiveness to customer needs are becoming significant or critical success
factors.
When it was required to reflect on the significance of trends, it was estimated in
State’s fashion report, State of Fashion report, executive identified that technology related
issues are the top four choices. It was also identified that consumers’ shift enabled by
technology particularly proved to be salient with the use of mobile known as the most
significant trend were predicted. Likewise, the second and third most significant are
platforms are about the start-up thinking in which highlight that organizations tend to
proactively deal with the digital disruption in the fashion sector. It is surprising to find
artificial intelligence less highly ranked and it is worth telling that shift may not have reached
critical mass in 2018 but it is predicted that it might continue to affect the future scenario of
the industry in the upcoming years. According to Escobar-Rodríguez and Bonsón-Fernández
(2017), Amazon, Alibaba, Stitch Fix have made a tremendous growth across multiple areas
of the value chain and the rest will follow the chain.
Hence, Guercini and Runfola (2015) mentioned about a growing priority which is the
sustainability as well as transparency which reflects the growing concerns on the part of
consumers and organizations regarding how to alleviate its influence on the environment.
Finding of the study has also added the fact that executives tend to look forward to invest to
2.9 Factors behind emerging growth of fashion industry in UK
As put forward by Taplin (2014), attitudes of fashion executives tend to evolve
consumers behaviours which force the industry players to self-disrupt. This means that
footfall in the physical environment would continue to decrease which could further drive the
need for brands and retailers to enhance their Omni Channel strategies. On the other side,
Pookulangara and Shephard (2013) mentioned the fact media has a role in dictating consumer
demand and it is helping small brands grow explosively. Across the sector, speed to marker
as well as responsiveness to customer needs are becoming significant or critical success
factors.
When it was required to reflect on the significance of trends, it was estimated in
State’s fashion report, State of Fashion report, executive identified that technology related
issues are the top four choices. It was also identified that consumers’ shift enabled by
technology particularly proved to be salient with the use of mobile known as the most
significant trend were predicted. Likewise, the second and third most significant are
platforms are about the start-up thinking in which highlight that organizations tend to
proactively deal with the digital disruption in the fashion sector. It is surprising to find
artificial intelligence less highly ranked and it is worth telling that shift may not have reached
critical mass in 2018 but it is predicted that it might continue to affect the future scenario of
the industry in the upcoming years. According to Escobar-Rodríguez and Bonsón-Fernández
(2017), Amazon, Alibaba, Stitch Fix have made a tremendous growth across multiple areas
of the value chain and the rest will follow the chain.
Hence, Guercini and Runfola (2015) mentioned about a growing priority which is the
sustainability as well as transparency which reflects the growing concerns on the part of
consumers and organizations regarding how to alleviate its influence on the environment.
Finding of the study has also added the fact that executives tend to look forward to invest to
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add values. Consequently, top sales growth investment is the priority which remains as the
development of Omni channel capabilities.
2.10 Gaps in the literature
It has been identified that existing papers have talked about the growth of ecommerce
in fashion industry of UK but hardly a paper has particularly discussed about the factor that
are particularly fuelling the growth. Few studies even predicted the future growth of UK
fashion sector but the lack required detail about the factors that influence the growth in
ecommerce. In addition, the number of players in the sector is comparatively high but hardly
a study performed a competitive discussion. Thus, considering such gaps in the papers, the
present study seeks to find the significance of ecommerce in the fashion industry of UK and
the fundamental reasons for growth and sustainability.
add values. Consequently, top sales growth investment is the priority which remains as the
development of Omni channel capabilities.
2.10 Gaps in the literature
It has been identified that existing papers have talked about the growth of ecommerce
in fashion industry of UK but hardly a paper has particularly discussed about the factor that
are particularly fuelling the growth. Few studies even predicted the future growth of UK
fashion sector but the lack required detail about the factors that influence the growth in
ecommerce. In addition, the number of players in the sector is comparatively high but hardly
a study performed a competitive discussion. Thus, considering such gaps in the papers, the
present study seeks to find the significance of ecommerce in the fashion industry of UK and
the fundamental reasons for growth and sustainability.
26MANAGEMENT
CHAPTER 3: RESEARCH METHODOLOGY
3.1 Introduction
Research methodology is the most vital part of the social and business study.
Selection of research methods determine the outcome of research methods. This means if the
study is required to learn how e-commerce help to achieve better performance in the Fashion
sector of UK, certain research methods have to be implemented. Thus, this chapter of the
dissertation presents the research techniques that have been applied to learn how e-commerce
is helping the organizations in the fashion industry to achieve a better and desired
performance. This chapter has particularly discussed each method used in the study and
provided adequate justification for selecting each of the method.
3.2 Research Onion
Research onion is a framework which holds several other methods as the layer of
onion and each layer has its own features and functions application to research. Saunders
made this framework to facilitate the understanding of research methods in studies. So,
according to Saunders, first layer of this onion model is the philosophical stance which is a
set of philosophies often used to judge and analyse the context of the study (Mayer 2015).
The next layer of the onion model is the approach which is usually deductive and inductive.
The third layer of the framework is ‘Strategies’. Likewise, the fourth layer of the framework
is the choice which is mixed method or mono method. Each of layer has been further
discussed in the following
3.3 Research Philosophy
It has been identified that Research philosophy is a particular way of enhancing
knowledge that define the philosophical paradigms. Hence, development as well as
understanding of knowledge in general depends on some particular assumptions on the basis
CHAPTER 3: RESEARCH METHODOLOGY
3.1 Introduction
Research methodology is the most vital part of the social and business study.
Selection of research methods determine the outcome of research methods. This means if the
study is required to learn how e-commerce help to achieve better performance in the Fashion
sector of UK, certain research methods have to be implemented. Thus, this chapter of the
dissertation presents the research techniques that have been applied to learn how e-commerce
is helping the organizations in the fashion industry to achieve a better and desired
performance. This chapter has particularly discussed each method used in the study and
provided adequate justification for selecting each of the method.
3.2 Research Onion
Research onion is a framework which holds several other methods as the layer of
onion and each layer has its own features and functions application to research. Saunders
made this framework to facilitate the understanding of research methods in studies. So,
according to Saunders, first layer of this onion model is the philosophical stance which is a
set of philosophies often used to judge and analyse the context of the study (Mayer 2015).
The next layer of the onion model is the approach which is usually deductive and inductive.
The third layer of the framework is ‘Strategies’. Likewise, the fourth layer of the framework
is the choice which is mixed method or mono method. Each of layer has been further
discussed in the following
3.3 Research Philosophy
It has been identified that Research philosophy is a particular way of enhancing
knowledge that define the philosophical paradigms. Hence, development as well as
understanding of knowledge in general depends on some particular assumptions on the basis
27MANAGEMENT
of the perspectives of the world (Longbottom 2016). It is worth telling that world
perspectives as well as practical consideration of scholar could be different. Research
Philosophy is usually divided into three different groups like positivism, interpretivism, and
realism. Mackey and Gass (2015) mentioned the fact that positivism fundamentally considers
the actionable work with the social reality that can be observed and the outcome is always the
scope of generalization. This is because the case is always about the natural scientists.
Another significant characteristic of positivism research philosophy is that when the research
context is analysed with this philosophy, the outcome can be quantified. For example, if the
scenario of the present study is considered, the result helps to learn how research e-commerce
strategies are actually helping the organizations to gain better study outcome; so how it is
helping or to what extent it is helping can be quantified,.
On the other side, intepretivism research philosophy is fundamentally developed on
the basis of understanding human nature and their different role as the social actors. This
research philosophy also considers and interprets the social role of other individual according
to their own set of perspectives. This means if intepretivism research philosophy is applied to
the study, it considers the perspectives of all individuals or parties involved in the study when
measuring the effectiveness of e-commerce strategies in the fashion industry (Alvesson and
Sköldberg 2017). In contrast, Realism particularly refers to the scientific inquiry which focus
on the reality projected by sense of humans. It also believes that objects have independent
existence from what individual human think.
Justifying the positivism research philosophy
Positivism research philosophy and been selected and applied to the present study
because positivism research philosophy considers the external objects and reality when
measuring how e-commerce is helping the businesses in the fashion industry of UK. All
of the perspectives of the world (Longbottom 2016). It is worth telling that world
perspectives as well as practical consideration of scholar could be different. Research
Philosophy is usually divided into three different groups like positivism, interpretivism, and
realism. Mackey and Gass (2015) mentioned the fact that positivism fundamentally considers
the actionable work with the social reality that can be observed and the outcome is always the
scope of generalization. This is because the case is always about the natural scientists.
Another significant characteristic of positivism research philosophy is that when the research
context is analysed with this philosophy, the outcome can be quantified. For example, if the
scenario of the present study is considered, the result helps to learn how research e-commerce
strategies are actually helping the organizations to gain better study outcome; so how it is
helping or to what extent it is helping can be quantified,.
On the other side, intepretivism research philosophy is fundamentally developed on
the basis of understanding human nature and their different role as the social actors. This
research philosophy also considers and interprets the social role of other individual according
to their own set of perspectives. This means if intepretivism research philosophy is applied to
the study, it considers the perspectives of all individuals or parties involved in the study when
measuring the effectiveness of e-commerce strategies in the fashion industry (Alvesson and
Sköldberg 2017). In contrast, Realism particularly refers to the scientific inquiry which focus
on the reality projected by sense of humans. It also believes that objects have independent
existence from what individual human think.
Justifying the positivism research philosophy
Positivism research philosophy and been selected and applied to the present study
because positivism research philosophy considers the external objects and reality when
measuring how e-commerce is helping the businesses in the fashion industry of UK. All
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28MANAGEMENT
external facts can be considered when dealing with the reality of fashion industry. In addition
to this, outcome can be measured and quantified as this philosophy particularly allow the use
of statistical findings and generation of digits and numbers.
3.4 Research Approach
There are two different types of research approaches which are such as deductive and
inductive research approach. As put forward by Walter and Andersen (2013), a deductive
research approach majorly helps to deal with the hypothesis they are made in the study. This
means that the existing studies are considered and then the research strategies are used to test
the hypothesis. On the other side, inductive research approach is more of inductive reasoning
which basically starts with the observation and then theories towards the end of the research
process. Hence, this theories is the result of observation. If it is considered characteristically,
it should be noted that inductive research approach does not require any sort of hypothesis.
So, in the present study, if inductive research approach is applied to the present study,
the first the observation regarding how e-commerce so far has helped organizations to shape
the business in the competitive environment. The observations also include how
organizations presently in UK is finding their ways in e-commerce and leading businesses
towards the developed goals. Eventually, theories regarding how e-commerce is effective for
the organizations in the fashion industry. Nonetheless, to derive a suitable and precise
outcome from the study, one particular organizational scenario has been considered which
helps to form the theories at the end. Thus, taking this into account, organizational scenario of
Zara has been considered and theories as the outcome gained from the study is on how Zara
has achieved the business outcome with the e-commerce strategies.
external facts can be considered when dealing with the reality of fashion industry. In addition
to this, outcome can be measured and quantified as this philosophy particularly allow the use
of statistical findings and generation of digits and numbers.
3.4 Research Approach
There are two different types of research approaches which are such as deductive and
inductive research approach. As put forward by Walter and Andersen (2013), a deductive
research approach majorly helps to deal with the hypothesis they are made in the study. This
means that the existing studies are considered and then the research strategies are used to test
the hypothesis. On the other side, inductive research approach is more of inductive reasoning
which basically starts with the observation and then theories towards the end of the research
process. Hence, this theories is the result of observation. If it is considered characteristically,
it should be noted that inductive research approach does not require any sort of hypothesis.
So, in the present study, if inductive research approach is applied to the present study,
the first the observation regarding how e-commerce so far has helped organizations to shape
the business in the competitive environment. The observations also include how
organizations presently in UK is finding their ways in e-commerce and leading businesses
towards the developed goals. Eventually, theories regarding how e-commerce is effective for
the organizations in the fashion industry. Nonetheless, to derive a suitable and precise
outcome from the study, one particular organizational scenario has been considered which
helps to form the theories at the end. Thus, taking this into account, organizational scenario of
Zara has been considered and theories as the outcome gained from the study is on how Zara
has achieved the business outcome with the e-commerce strategies.
29MANAGEMENT
3.5 Research Design
It can be mentioned that research design can be treated as the general plan of the study which
gives the insight about how research responses can be addressed. It has been identified that
research design is usually backed up with some research strategies and techniques that are
further related to collection of data and analysis. There are three different type of research
designs mostly used in academic and business studies such as exploratory, explanatory and
descriptive research design. Mackey and Gass (2015) mentioned that exploratory research
design fundamentally explores research questions and thus design is not able to provide final
or conclusive answers to research questions. It can be stated that such design of study, on the
contrary, is more of a scientific method with the inclusion of description and observation.
However, this design does not influence the topic in any manner. On the other side,
exploratory is a research performed for an issue which has not been researched clearly and
helps to enhance the operational definitions. For example, if there is one single factor
associated with e-commerce which is not known yet, this research design might help to
explore the factor more adequately.
In the present study, descriptive research has been selected because, descriptive
research design helps to analyse how e-commerce in the recent time is helping Zara to
achieve better business outcome. This research design is not bothered about the previous
issue of the topic, it just analyses the context of e-commerce without influencing it anyway.
Moreover, this research allows quantitative method which helps to gain competitive findings.
This is because descriptive method is competitive in nature, is not efficient to open-ended
questions. This means the research questions that are designed for the study are close-ended
and they are highly required for performing the survey.
3.5 Research Design
It can be mentioned that research design can be treated as the general plan of the study which
gives the insight about how research responses can be addressed. It has been identified that
research design is usually backed up with some research strategies and techniques that are
further related to collection of data and analysis. There are three different type of research
designs mostly used in academic and business studies such as exploratory, explanatory and
descriptive research design. Mackey and Gass (2015) mentioned that exploratory research
design fundamentally explores research questions and thus design is not able to provide final
or conclusive answers to research questions. It can be stated that such design of study, on the
contrary, is more of a scientific method with the inclusion of description and observation.
However, this design does not influence the topic in any manner. On the other side,
exploratory is a research performed for an issue which has not been researched clearly and
helps to enhance the operational definitions. For example, if there is one single factor
associated with e-commerce which is not known yet, this research design might help to
explore the factor more adequately.
In the present study, descriptive research has been selected because, descriptive
research design helps to analyse how e-commerce in the recent time is helping Zara to
achieve better business outcome. This research design is not bothered about the previous
issue of the topic, it just analyses the context of e-commerce without influencing it anyway.
Moreover, this research allows quantitative method which helps to gain competitive findings.
This is because descriptive method is competitive in nature, is not efficient to open-ended
questions. This means the research questions that are designed for the study are close-ended
and they are highly required for performing the survey.
30MANAGEMENT
3.6 Data Collection Methods
It has been identified that data collection is a technique of gathering information from
all relevant sources to respond to research questions, test hypothesis and make proper
evaluation of the outcome. According to Taylor, Bogdan and DeVault (2015), data collection
methods can be divided into two different categories namely primary data collection and
method secondary data collection; both these types have its own functions and use in the
study.
Secondary Data collection method: As put forward by Brannen (2017), secondary
data collection is a kind of data which has already been published in books, newspaper,
magazines, portals and other relevant wide reading sources. Unlike the primary data,
availability of secondary data sources is abundance irrespective of the nature of the study.
However, the present study does not include the secondary data analysis, secondary data has
only been used in the review of existing papers performed of e-commerce.
Primary data: It has been identified that primary data collection can be categorized
in two ways quantitative and qualitative data collection. As put forward by Hyett, Kenn and
Dickson-Swift (2014) quantitative data collection methods revolve around the mathematical
calculations in some particular formats. In order to perform the analysis of the data, a close-
ended questionnaire has been developed. Primary data is usually converted to numerical
forms and digits and then they are presented with graph and table. In the present study, to
understand how e-commerce is helping Zara to achieve better business result, consumers of
the organization who are taking service from Zara have been surveyed. So, through survey,
primary data has been collected for the analysis. However, when it comes to primary data
collection, there are some other areas to be considered such as selection of respondents,
sampling and ethical consideration when choosing the candidates. These areas are further
discussed in the following.
3.6 Data Collection Methods
It has been identified that data collection is a technique of gathering information from
all relevant sources to respond to research questions, test hypothesis and make proper
evaluation of the outcome. According to Taylor, Bogdan and DeVault (2015), data collection
methods can be divided into two different categories namely primary data collection and
method secondary data collection; both these types have its own functions and use in the
study.
Secondary Data collection method: As put forward by Brannen (2017), secondary
data collection is a kind of data which has already been published in books, newspaper,
magazines, portals and other relevant wide reading sources. Unlike the primary data,
availability of secondary data sources is abundance irrespective of the nature of the study.
However, the present study does not include the secondary data analysis, secondary data has
only been used in the review of existing papers performed of e-commerce.
Primary data: It has been identified that primary data collection can be categorized
in two ways quantitative and qualitative data collection. As put forward by Hyett, Kenn and
Dickson-Swift (2014) quantitative data collection methods revolve around the mathematical
calculations in some particular formats. In order to perform the analysis of the data, a close-
ended questionnaire has been developed. Primary data is usually converted to numerical
forms and digits and then they are presented with graph and table. In the present study, to
understand how e-commerce is helping Zara to achieve better business result, consumers of
the organization who are taking service from Zara have been surveyed. So, through survey,
primary data has been collected for the analysis. However, when it comes to primary data
collection, there are some other areas to be considered such as selection of respondents,
sampling and ethical consideration when choosing the candidates. These areas are further
discussed in the following.
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3.7 Sampling Methods
Sampling is one of the most significant area when the study is fundamentally based on the
primary data. Sampling in the study is required because populations of interest are too large
to work with; this means it is true that researcher find it difficult to process the views of a
large population. Thus, sampling often helps to resolve this issue and guide researcher to
focus on a particular area of population. Sampling method is usually divided into two
different categories namely probability sampling and non-probability sampling method.
As put forward by Creswell and Poth (2017), in probability sampling each member of the
population has the chance to take part in the study and the process is applied randomly. This
respondents are chosen in a random manner. On the other side, in probability sampling,
sample groups are selected non-randomly and thereby, in non-probability sampling method
only a certain members of the population can take part in the data collection process. In the
present non-probability sampling method has been selected and applied because if the success
of e-commerce and its effectiveness are required to be learned, it is wise and effective to
collect data from the organizational members only. Hence, non-probability convenient
sampling method helps to choose members specifically from the individuals who are aware
of the context and have knowledge about the context. However, as the consumers of Zara are
surveyed for collecting data, simple random probability sampling method has been applied.
The following section of the study discusses how target population has been selected using
sampling frame and size.
Target population: It has been identified that target population helps to represent some
particular segment within a population that effectively serve as the most effective data
sources for the research. For example, in the present study entitled “How can e-commerce
strategies help to achieve better performance in the UK fashion sector”- A case study of
Zara, UK, target population consists of the individuals or the consumers of Zara in UK.
3.7 Sampling Methods
Sampling is one of the most significant area when the study is fundamentally based on the
primary data. Sampling in the study is required because populations of interest are too large
to work with; this means it is true that researcher find it difficult to process the views of a
large population. Thus, sampling often helps to resolve this issue and guide researcher to
focus on a particular area of population. Sampling method is usually divided into two
different categories namely probability sampling and non-probability sampling method.
As put forward by Creswell and Poth (2017), in probability sampling each member of the
population has the chance to take part in the study and the process is applied randomly. This
respondents are chosen in a random manner. On the other side, in probability sampling,
sample groups are selected non-randomly and thereby, in non-probability sampling method
only a certain members of the population can take part in the data collection process. In the
present non-probability sampling method has been selected and applied because if the success
of e-commerce and its effectiveness are required to be learned, it is wise and effective to
collect data from the organizational members only. Hence, non-probability convenient
sampling method helps to choose members specifically from the individuals who are aware
of the context and have knowledge about the context. However, as the consumers of Zara are
surveyed for collecting data, simple random probability sampling method has been applied.
The following section of the study discusses how target population has been selected using
sampling frame and size.
Target population: It has been identified that target population helps to represent some
particular segment within a population that effectively serve as the most effective data
sources for the research. For example, in the present study entitled “How can e-commerce
strategies help to achieve better performance in the UK fashion sector”- A case study of
Zara, UK, target population consists of the individuals or the consumers of Zara in UK.
32MANAGEMENT
Sampling frame: It has been identified that sampling frame is usually known as the list of
individuals counted from the target population. Hence, this list of individual take part in the
data collection process. For example, in the present study the sampling frame would include
the individuals who actually takes part in the study. Thus, the sampling frame includes 60
consumers who are aware of the use and application of e-commerce strategies in fashion
items. This means the respondents who took part in the study are taken from this sampling
frame. However, the appropriate number of individuals who participated in the data
collection process are discussed in the following.
Sampling size: Sampling size is the basically the number of individuals from the
sampling frame who takes part in the primary data collection techniques. Thus, in the present
study, in order to collect primary data, 50 customers of Zara taken from the sampling frame
has been engaged in the process.
3.8 Data collection instrument
In order to collect data from the organizational members of Zara, UK, a questionnaire
has been developed. Questionnaire has been developed to perform a survey among the
members of the organization. Questionnaire include 11 close ended questions based on how
e-commerce strategy is helping the brand to achieve better performance.
3.9 Data Analysis
To make analysis, first the collected data has been transformed into expressive data for the
interpretation in the most rational manner. The quantitative data which was collected by
survey has been represented with suitable graph and table. So, when making the
interpretation of the data, the data has been linked to the findings of found in the existing
papers. To stand the analysis, primary has been compared to the findings found in the
literature review.
Sampling frame: It has been identified that sampling frame is usually known as the list of
individuals counted from the target population. Hence, this list of individual take part in the
data collection process. For example, in the present study the sampling frame would include
the individuals who actually takes part in the study. Thus, the sampling frame includes 60
consumers who are aware of the use and application of e-commerce strategies in fashion
items. This means the respondents who took part in the study are taken from this sampling
frame. However, the appropriate number of individuals who participated in the data
collection process are discussed in the following.
Sampling size: Sampling size is the basically the number of individuals from the
sampling frame who takes part in the primary data collection techniques. Thus, in the present
study, in order to collect primary data, 50 customers of Zara taken from the sampling frame
has been engaged in the process.
3.8 Data collection instrument
In order to collect data from the organizational members of Zara, UK, a questionnaire
has been developed. Questionnaire has been developed to perform a survey among the
members of the organization. Questionnaire include 11 close ended questions based on how
e-commerce strategy is helping the brand to achieve better performance.
3.9 Data Analysis
To make analysis, first the collected data has been transformed into expressive data for the
interpretation in the most rational manner. The quantitative data which was collected by
survey has been represented with suitable graph and table. So, when making the
interpretation of the data, the data has been linked to the findings of found in the existing
papers. To stand the analysis, primary has been compared to the findings found in the
literature review.
33MANAGEMENT
3.10 Ethical Consideration
It has been identified that ethical consideration in research is critical. It is worth
mentioning that ethics are the norms or standards for conduct that distinguish between the
right and wrong and they help to determine the difference between acceptable as well as
unacceptable. Especially when the study involves the process of collecting primary data,
ethical issues are the significant challenges. It is certain that asking respondents to take part in
the study all of a sudden is unethical. This means respondents’ consent must be taken before
involving them into the process. As put forward by Gajjar (2013), ethical standards often
prevent against the fabrication or falsifying of information for the collaborative work as it
encourages an environment of trust, mutual respect among the scholars or researchers.
This is particularly significant when considering the issues related to data sharing, co-
authorship, confidentiality and several other issues. Thus, it is highly important for scholars
to adhere to ethical standards for the public support and believe in the study. In order to avoid
the ethical issue in the present study, all ethical norms have accurately been followed. For
example before approaching the consumers of Zara, UK an ethical check list form authorized
by the University has been submitted to the organization. In the form, it is particularly
mentioned that no respondent has been forced to take part in the study, which means
participants hold the right of taking part in the process at their own will and withdraw
participation at any moment if they wish to. Likewise, according to ethical norms and
standards of ethical study, identity of the respondent has been kept anonymous. It has been
ensured that in order to collect and keep the data securely, Data Protection Act 1998 has been
followed.
3.11 Research Reliability and Validity
Reliability and Validity: Reliability refers to the consistency of a measure. However, in the
present study, reliability testing includes an internal consistency method, in which same and
3.10 Ethical Consideration
It has been identified that ethical consideration in research is critical. It is worth
mentioning that ethics are the norms or standards for conduct that distinguish between the
right and wrong and they help to determine the difference between acceptable as well as
unacceptable. Especially when the study involves the process of collecting primary data,
ethical issues are the significant challenges. It is certain that asking respondents to take part in
the study all of a sudden is unethical. This means respondents’ consent must be taken before
involving them into the process. As put forward by Gajjar (2013), ethical standards often
prevent against the fabrication or falsifying of information for the collaborative work as it
encourages an environment of trust, mutual respect among the scholars or researchers.
This is particularly significant when considering the issues related to data sharing, co-
authorship, confidentiality and several other issues. Thus, it is highly important for scholars
to adhere to ethical standards for the public support and believe in the study. In order to avoid
the ethical issue in the present study, all ethical norms have accurately been followed. For
example before approaching the consumers of Zara, UK an ethical check list form authorized
by the University has been submitted to the organization. In the form, it is particularly
mentioned that no respondent has been forced to take part in the study, which means
participants hold the right of taking part in the process at their own will and withdraw
participation at any moment if they wish to. Likewise, according to ethical norms and
standards of ethical study, identity of the respondent has been kept anonymous. It has been
ensured that in order to collect and keep the data securely, Data Protection Act 1998 has been
followed.
3.11 Research Reliability and Validity
Reliability and Validity: Reliability refers to the consistency of a measure. However, in the
present study, reliability testing includes an internal consistency method, in which same and
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34MANAGEMENT
equal outcome can be gained. This means that the researcher can gain some outcome with
respect to how e-commerce strategy can help the brand to achieve better performance. On the
other side, research validity is a degree to which the scores from a specific measure could
represent the variable they are intended to. Study uses a face validity method to consider the
interest of respondents.
3.12 Limitation:
Even though the study covers a wide field of e-commerce but the analysis is restricted
to primary data analysis only. This means that the study did not include any sort of secondary
data analysis. Moreover, the sample sized in the study is relatively less.
3.13 Summary
This chapter effectively discusses the research methods that have been used and
applied to the study to learn how e-commerce strategies is helping Zara to gain suitable
research outcomes. Positivism research philosophy has been selected to analyse the research
context, while descriptive research design in the study has been used to analyse the data
rationally and scientifically.
equal outcome can be gained. This means that the researcher can gain some outcome with
respect to how e-commerce strategy can help the brand to achieve better performance. On the
other side, research validity is a degree to which the scores from a specific measure could
represent the variable they are intended to. Study uses a face validity method to consider the
interest of respondents.
3.12 Limitation:
Even though the study covers a wide field of e-commerce but the analysis is restricted
to primary data analysis only. This means that the study did not include any sort of secondary
data analysis. Moreover, the sample sized in the study is relatively less.
3.13 Summary
This chapter effectively discusses the research methods that have been used and
applied to the study to learn how e-commerce strategies is helping Zara to gain suitable
research outcomes. Positivism research philosophy has been selected to analyse the research
context, while descriptive research design in the study has been used to analyse the data
rationally and scientifically.
35MANAGEMENT
CHAPTER 4: FINDINGS AND ANALYSIS
1. How far do you agree that E-commerce is effectively supporting the fashion
industry in UK?
Row
Labels
Count of 1.
Agree 28
Disagree 3
Neutral 1
Strongly
agree
13
Strongly
disagree
5
Grand
Total
50
Table 1: E-commerce is effectively supporting the fashion industry in UK
CHAPTER 4: FINDINGS AND ANALYSIS
1. How far do you agree that E-commerce is effectively supporting the fashion
industry in UK?
Row
Labels
Count of 1.
Agree 28
Disagree 3
Neutral 1
Strongly
agree
13
Strongly
disagree
5
Grand
Total
50
Table 1: E-commerce is effectively supporting the fashion industry in UK
36MANAGEMENT
Graph 1: E-commerce is effectively supporting the fashion industry in UK
The graph presented above helps to state the fact that almost 56% of the consumers of Zara in
has mentioned the fact that e-commerce is backing the fashion sector in UK. This finding
makes it clear that fashion sector in the nation is receiving an enormous support from e-
commerce due to technology advances and e-commerce is one technology-based platform
where consumers can be targeted accordingly. Moreover, e-commerce is allowing brand to
know consumers’ taste and preferences. This means consumers can receive feedback from
another or a group of consumers; thereby, consumers are the ‘centred focuses’ of e-commerce
strategy irrespective of size and type industry. In the literature review, it was found that e-
commerce revenue in the fashion sector in UK in 2017 observed a significant growth as the
overall revenue in the year was found to be around 21.38 billion in 2018 the overall revenue
was around 23.44 billion (Shafritz et al. 2016). So, if these two findings are considered, it is
can be mentioned that e-commerce is supporting the fashion sector.
2. How far do you agree that online shopping is reliable in terms of personal
information?
Row Labels Count of
2.
Agree 20
Disagree 16
Neutral 5
Strongly agree 4
Strongly
disagree
5
Grand Total 50
Graph 1: E-commerce is effectively supporting the fashion industry in UK
The graph presented above helps to state the fact that almost 56% of the consumers of Zara in
has mentioned the fact that e-commerce is backing the fashion sector in UK. This finding
makes it clear that fashion sector in the nation is receiving an enormous support from e-
commerce due to technology advances and e-commerce is one technology-based platform
where consumers can be targeted accordingly. Moreover, e-commerce is allowing brand to
know consumers’ taste and preferences. This means consumers can receive feedback from
another or a group of consumers; thereby, consumers are the ‘centred focuses’ of e-commerce
strategy irrespective of size and type industry. In the literature review, it was found that e-
commerce revenue in the fashion sector in UK in 2017 observed a significant growth as the
overall revenue in the year was found to be around 21.38 billion in 2018 the overall revenue
was around 23.44 billion (Shafritz et al. 2016). So, if these two findings are considered, it is
can be mentioned that e-commerce is supporting the fashion sector.
2. How far do you agree that online shopping is reliable in terms of personal
information?
Row Labels Count of
2.
Agree 20
Disagree 16
Neutral 5
Strongly agree 4
Strongly
disagree
5
Grand Total 50
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37MANAGEMENT
Table 2: Online shopping is reliable in terms of personal information
Graph 2: Online shopping is reliable in terms of personal information
The graph implies that 32% of the consumers have mentioned that information provided
online when making purchase is not reliable while, 40% of respondents out of 50 have an
opposite view. This finding does not hold much difference as consumers have contradictory
view. However, it can be mentioned that as e-commerce is in fashion sector is more of
business to consumers, providing consumers with high quality service is always the first
priority, consumers’ information are adequately protected. And, technology advances in the
e-commerce platform should not go unnoticed, due to such rapid growth in technology, e-
commerce is considered to be secure free from all sort of fraudulent activities. In the
literature review, it was studied that British Commerce market demonstrates the growth in
commerce adaption amongst the UK population with 16.4% of overall retail sales coming
from online channels (Yang, Song and Tong 2017). So, it can be stated that reliability of
information shared on online when buying items is secure. Nonetheless, there is always a
loophole for every layer of security and people need time to overcome with any such
occurrence.
Table 2: Online shopping is reliable in terms of personal information
Graph 2: Online shopping is reliable in terms of personal information
The graph implies that 32% of the consumers have mentioned that information provided
online when making purchase is not reliable while, 40% of respondents out of 50 have an
opposite view. This finding does not hold much difference as consumers have contradictory
view. However, it can be mentioned that as e-commerce is in fashion sector is more of
business to consumers, providing consumers with high quality service is always the first
priority, consumers’ information are adequately protected. And, technology advances in the
e-commerce platform should not go unnoticed, due to such rapid growth in technology, e-
commerce is considered to be secure free from all sort of fraudulent activities. In the
literature review, it was studied that British Commerce market demonstrates the growth in
commerce adaption amongst the UK population with 16.4% of overall retail sales coming
from online channels (Yang, Song and Tong 2017). So, it can be stated that reliability of
information shared on online when buying items is secure. Nonetheless, there is always a
loophole for every layer of security and people need time to overcome with any such
occurrence.
38MANAGEMENT
3. How far do you agree that use of mobile devices facilitated the ways of online
shopping in UK?
Row
Labels
Count
of 3.
Agree 24
Disagree 5
Neutral 3
Strongly
agree
16
Strongly
disagree
2
Grand
Total
50
Table 3: Mobile Devices have facilitated the ways of e-commerce
Graph 3: Mobile Devices have facilitated the ways of e-commerce
3. How far do you agree that use of mobile devices facilitated the ways of online
shopping in UK?
Row
Labels
Count
of 3.
Agree 24
Disagree 5
Neutral 3
Strongly
agree
16
Strongly
disagree
2
Grand
Total
50
Table 3: Mobile Devices have facilitated the ways of e-commerce
Graph 3: Mobile Devices have facilitated the ways of e-commerce
39MANAGEMENT
Graph helps to observe the fact that almost 48% of the respondents have mentioned
that mobile devices have certainly made it easy for people to shop online and another 32% of
the respondents have the similar views. This finding is well-predicted because it certain that
development in technology like the invention of Smart Phone devices have made it easy to do
any sort of online activities. By using a mobile device, people can shop or surf internet/visit
any website of fashion brand anywhere and anytime. Unlike the traditional generation of
computer device, mobile device is much easier to use and user-friendly. Due to such
advances in technology, use of smart-phone devices are rapidly increasing which is certainly
a good opportunity for the brands in fashion sector. This is because they can easily target
wide audience and population to promote and sell their products. Moreover, constant
development in the mobile device have added a series of new features in which a user can do
all necessary tasks that are usually done in a computer device or laptop. Thus, it is worth
mentioning that mobile devices have facilitated the ways of e-commerce. Moreover it was
found in the review, Fitchett, Patsiaouras and Davies (2014) stated that when finding the
reasons why consumers in UK tend to choose to buy products online, the range of choice,
ability to compare price and the cost play a great role. Findings of this study has mentioned
the fact that almost a half of consumes talked about the use of mobile tablets to search for
products and then shifting the attention to desktop to place the order item. Authors also added
the fact that a large percentage of consumers (93%) chose UK online retailers with 31%
choosing retailers from European countries. Hence, both primary and secondary findings are
stating the same fact that due to use of mobile devices, a significant growth in the e-
commerce field has been observed.
4. Which of the following factors influence you to make online purchase from e-
commerce site?
Row Labels Count
Graph helps to observe the fact that almost 48% of the respondents have mentioned
that mobile devices have certainly made it easy for people to shop online and another 32% of
the respondents have the similar views. This finding is well-predicted because it certain that
development in technology like the invention of Smart Phone devices have made it easy to do
any sort of online activities. By using a mobile device, people can shop or surf internet/visit
any website of fashion brand anywhere and anytime. Unlike the traditional generation of
computer device, mobile device is much easier to use and user-friendly. Due to such
advances in technology, use of smart-phone devices are rapidly increasing which is certainly
a good opportunity for the brands in fashion sector. This is because they can easily target
wide audience and population to promote and sell their products. Moreover, constant
development in the mobile device have added a series of new features in which a user can do
all necessary tasks that are usually done in a computer device or laptop. Thus, it is worth
mentioning that mobile devices have facilitated the ways of e-commerce. Moreover it was
found in the review, Fitchett, Patsiaouras and Davies (2014) stated that when finding the
reasons why consumers in UK tend to choose to buy products online, the range of choice,
ability to compare price and the cost play a great role. Findings of this study has mentioned
the fact that almost a half of consumes talked about the use of mobile tablets to search for
products and then shifting the attention to desktop to place the order item. Authors also added
the fact that a large percentage of consumers (93%) chose UK online retailers with 31%
choosing retailers from European countries. Hence, both primary and secondary findings are
stating the same fact that due to use of mobile devices, a significant growth in the e-
commerce field has been observed.
4. Which of the following factors influence you to make online purchase from e-
commerce site?
Row Labels Count
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40MANAGEMENT
of 4.
Coupons 10
Delivery on
time
4
Frequent
discount
13
New
Arrivals
12
Offers and
deals
11
Grand
Total
50
Table 4: Factors influence you to make online purchase from e-commerce site
Graph 4: Factors influence you to make online purchase from e-commerce site
It has been identified that finding of this particular question makes it clear that there are
several factors which could strongly impact the consumers to make online purchase from e-
commerce site. It has been identified that almost 26% of the respondents have mentioned
of 4.
Coupons 10
Delivery on
time
4
Frequent
discount
13
New
Arrivals
12
Offers and
deals
11
Grand
Total
50
Table 4: Factors influence you to make online purchase from e-commerce site
Graph 4: Factors influence you to make online purchase from e-commerce site
It has been identified that finding of this particular question makes it clear that there are
several factors which could strongly impact the consumers to make online purchase from e-
commerce site. It has been identified that almost 26% of the respondents have mentioned
41MANAGEMENT
that due to frequent discount, they prefer to shop online, while not too less, 24% of the
respondents have mentioned that they prefer online shopping because they find new arrivals
of fashion items compared to the collection kept in the outlets. Likewise, offers and deals is
another significant option chosen by respondents (22%). It is certain that as e-commerce
vendors are targeting wide market, reducing a price of a product or providing consumer with
the discount is a significant e-commerce strategy of increasing overall sales. On the other
side, almost 20% of the respondents of the mentioned that coupon is one such attractive
reason they prefer online shopping. Thus, it can be added that all these factors have an equal
impact on consumers when making a purchase online. These factors are essential to be
considered because e-commerce is a large platform and each day a new deal or strategy
appears in the field. In the existing study, it was found that that ASOS has given consumers a
large amount of incentives to make purchase online with the help of handy-sizing tools as
well as features to control and ease the process of decision-making. This brand also provides
significant return policy which control some of the fear factors of buying clothes that might
not be effective or fit when they try them at home for the first time (Yu et al. 2014). If this
existing finding is considered with the findings found on ZARA, hardly significant difference
can be found because above primary findings imply the fact that ZARA is widely known for
its constant deals and offers which covers a large amount of incentives like the brand ASOS
in UK.
5. Which of the following factors will negatively influence your online purchase
behaviour?
that due to frequent discount, they prefer to shop online, while not too less, 24% of the
respondents have mentioned that they prefer online shopping because they find new arrivals
of fashion items compared to the collection kept in the outlets. Likewise, offers and deals is
another significant option chosen by respondents (22%). It is certain that as e-commerce
vendors are targeting wide market, reducing a price of a product or providing consumer with
the discount is a significant e-commerce strategy of increasing overall sales. On the other
side, almost 20% of the respondents of the mentioned that coupon is one such attractive
reason they prefer online shopping. Thus, it can be added that all these factors have an equal
impact on consumers when making a purchase online. These factors are essential to be
considered because e-commerce is a large platform and each day a new deal or strategy
appears in the field. In the existing study, it was found that that ASOS has given consumers a
large amount of incentives to make purchase online with the help of handy-sizing tools as
well as features to control and ease the process of decision-making. This brand also provides
significant return policy which control some of the fear factors of buying clothes that might
not be effective or fit when they try them at home for the first time (Yu et al. 2014). If this
existing finding is considered with the findings found on ZARA, hardly significant difference
can be found because above primary findings imply the fact that ZARA is widely known for
its constant deals and offers which covers a large amount of incentives like the brand ASOS
in UK.
5. Which of the following factors will negatively influence your online purchase
behaviour?
42MANAGEMENT
Graph 5: Factors will negatively influence your online purchase behaviour?
Considering the primary findings found above, it can be stated that almost 23% of the
respondents have added the fact that quality of products is one such factor which could
negatively influence consumers’ purchase decision, while almost 28% of the respondents
have mentioned that expected high price badly affects consumers’ mind. On the contrary,
almost 14% of consumers have mentioned that poor communication with the consumers until
the delivery of items is another reason affecting consumers’ mind. This is certain that in an
outlet a consumer can communicate with the brand person in a face to face manner and
frequency of such interaction is high, while in an e-commerce platform, the communication
occurs in a systematic manner such as –communication through AI. Thereby, there is a series
of queries that customers might have but they often remain unresolved. In addition to this,
almost 18% of the respondents have mentioned that some items in e-commerce channel hold
hidden cost which are not shown before check out. A visitor in the website usually finds the
cost when they make the final payment. This could often disappoint consumers and affect
their perspectives towards online shopping. Findings of an existing study gave the data
almost 17% of consumers had the wrong or defected item delivered to them which represents
a significant field of potential enhancement for e-commerce retailers (Guercini and Runfola
Graph 5: Factors will negatively influence your online purchase behaviour?
Considering the primary findings found above, it can be stated that almost 23% of the
respondents have added the fact that quality of products is one such factor which could
negatively influence consumers’ purchase decision, while almost 28% of the respondents
have mentioned that expected high price badly affects consumers’ mind. On the contrary,
almost 14% of consumers have mentioned that poor communication with the consumers until
the delivery of items is another reason affecting consumers’ mind. This is certain that in an
outlet a consumer can communicate with the brand person in a face to face manner and
frequency of such interaction is high, while in an e-commerce platform, the communication
occurs in a systematic manner such as –communication through AI. Thereby, there is a series
of queries that customers might have but they often remain unresolved. In addition to this,
almost 18% of the respondents have mentioned that some items in e-commerce channel hold
hidden cost which are not shown before check out. A visitor in the website usually finds the
cost when they make the final payment. This could often disappoint consumers and affect
their perspectives towards online shopping. Findings of an existing study gave the data
almost 17% of consumers had the wrong or defected item delivered to them which represents
a significant field of potential enhancement for e-commerce retailers (Guercini and Runfola
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43MANAGEMENT
2015). This means apart from the given factors in the graph, there are several other reasons
like the defected item can negatively influence consumers’ decision making in online
purchase. For example, when a consumer has placed an order first time and received a
defected clothe item is most likely withdraw his/her interest towards shopping in e-commerce
channel. In the above findings, it was found that quality of product a significant driver in
which consumers can get influenced online shopping. So, e-commerce vendor should
consider the fact that quality of product and service one top requirement to enhance the
overall service of fashion brand in e-commerce platform.
6. Do you believe that online shopping is more effective than conventional outlet
shopping?
Row
Labels
Count
of 6.
Mayb
e
9
No 7
Yes 34
Grand
Total
50
2015). This means apart from the given factors in the graph, there are several other reasons
like the defected item can negatively influence consumers’ decision making in online
purchase. For example, when a consumer has placed an order first time and received a
defected clothe item is most likely withdraw his/her interest towards shopping in e-commerce
channel. In the above findings, it was found that quality of product a significant driver in
which consumers can get influenced online shopping. So, e-commerce vendor should
consider the fact that quality of product and service one top requirement to enhance the
overall service of fashion brand in e-commerce platform.
6. Do you believe that online shopping is more effective than conventional outlet
shopping?
Row
Labels
Count
of 6.
Mayb
e
9
No 7
Yes 34
Grand
Total
50
44MANAGEMENT
Table 5: Online shopping is more effective than conventional outlet shopping
Graph 6: Online shopping is more effective than conventional outlet shopping
Collection of primary data presented above helps to observe the fact that almost 68%
of the respondents believe that online shopping is relatively effective than traditional outlet
shopping. Decidedly, technology in last two decades have observed a tremendous growth and
especially development in internet is one significant example. Development in internet
technology have facilitated the ways of business. This means businesses since last two
decades observed rapid pace of expansion and invention because of the technology.
E-commerce technology saves time and money of consumers. End users of the
products do not have to visit the outlets or burn fuel to visit the outlets. In addition to this,
online shopping is more convenient compared to offline traditional shopping because
conventional shopping sticks to same ideas of serving, while online shopping is relatively
exposed to new ideas and innovation. In the literature review, it was found that Hansen and
Jonsson (2013) mentioned that e-commerce tends to promote a relatively easier cooperation
between different groups such as business sharing information to enhance customer relation,
organizations working together to design and develop new products and services or
multinational organizations sharing information for major marketing campaigns. So, access to
Table 5: Online shopping is more effective than conventional outlet shopping
Graph 6: Online shopping is more effective than conventional outlet shopping
Collection of primary data presented above helps to observe the fact that almost 68%
of the respondents believe that online shopping is relatively effective than traditional outlet
shopping. Decidedly, technology in last two decades have observed a tremendous growth and
especially development in internet is one significant example. Development in internet
technology have facilitated the ways of business. This means businesses since last two
decades observed rapid pace of expansion and invention because of the technology.
E-commerce technology saves time and money of consumers. End users of the
products do not have to visit the outlets or burn fuel to visit the outlets. In addition to this,
online shopping is more convenient compared to offline traditional shopping because
conventional shopping sticks to same ideas of serving, while online shopping is relatively
exposed to new ideas and innovation. In the literature review, it was found that Hansen and
Jonsson (2013) mentioned that e-commerce tends to promote a relatively easier cooperation
between different groups such as business sharing information to enhance customer relation,
organizations working together to design and develop new products and services or
multinational organizations sharing information for major marketing campaigns. So, access to
45MANAGEMENT
information and experimental is open and large. Thus, all sort of strategies in the e-commerce
platforms can be applied to achieve the eventual business goals.
7. How far do you agree e-commerce vendor care about after-sale service?
Row
Labels
Count
of 7.
Agree 24
Disagree 11
Neutral 6
Strongly
agree
1
Strongly
disagree
8
Grand
Total
50
Table 6: E-commerce vendor care about after-sale service
information and experimental is open and large. Thus, all sort of strategies in the e-commerce
platforms can be applied to achieve the eventual business goals.
7. How far do you agree e-commerce vendor care about after-sale service?
Row
Labels
Count
of 7.
Agree 24
Disagree 11
Neutral 6
Strongly
agree
1
Strongly
disagree
8
Grand
Total
50
Table 6: E-commerce vendor care about after-sale service
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46MANAGEMENT
Graph 7: E-commerce vendor care about after-sale service
The above stated data helps to observe the fact that almost 48% of the respondents have
stated that e-commerce vendors provide after –sale service to consumers, while 22% of the
respondents have a contradictory view which means e-commerce vendors are quite laidback
towards providing the after sale services. Likewise, almost 16% of the respondents of out 50
respondents have the same opposite view. On the other side, in existing papers did not have
much to say about the after sale service in e-commerce transaction. However, with the
growth in e-commerce technology, vendors in the e-commerce sector is more intended to
provide the after sale service as the strategy of consumer retention. However, it is can be
added that as the consumers are not supposed to supposed to try the item practically at home
unless it is delivered, there is a possibility that the item can be returned by consumers. Thus,
in e-commerce platform, after sale service is one of the significant part of the business trend.
Likewise, as studied in review, due to mass transactions in the online sector, consumers are
most likely to receive defected items, in such situation, after sale service should be top most
solution. Hansen and Jonsson (2013) mentioned that many successful e-business have
developed their business models around selling a long list of products and services. Hence, e-
commerce has the significant capability to generate revenue and minimize costs for business
and entities. Such business models often include after sale service when innovating their
strategies for developing a better service, and better customer experience in such digital
environment. As e-commerce service is not highly different from the conventional trend of
shopping in the fashion sector, after sale service, return policy, consumers feedback, welcome
gift should not omitted from the overall strategy of e-commerce business of ZARA in the
fashion industry.
8. Which of the following e-commerce site do you presently use?
Graph 7: E-commerce vendor care about after-sale service
The above stated data helps to observe the fact that almost 48% of the respondents have
stated that e-commerce vendors provide after –sale service to consumers, while 22% of the
respondents have a contradictory view which means e-commerce vendors are quite laidback
towards providing the after sale services. Likewise, almost 16% of the respondents of out 50
respondents have the same opposite view. On the other side, in existing papers did not have
much to say about the after sale service in e-commerce transaction. However, with the
growth in e-commerce technology, vendors in the e-commerce sector is more intended to
provide the after sale service as the strategy of consumer retention. However, it is can be
added that as the consumers are not supposed to supposed to try the item practically at home
unless it is delivered, there is a possibility that the item can be returned by consumers. Thus,
in e-commerce platform, after sale service is one of the significant part of the business trend.
Likewise, as studied in review, due to mass transactions in the online sector, consumers are
most likely to receive defected items, in such situation, after sale service should be top most
solution. Hansen and Jonsson (2013) mentioned that many successful e-business have
developed their business models around selling a long list of products and services. Hence, e-
commerce has the significant capability to generate revenue and minimize costs for business
and entities. Such business models often include after sale service when innovating their
strategies for developing a better service, and better customer experience in such digital
environment. As e-commerce service is not highly different from the conventional trend of
shopping in the fashion sector, after sale service, return policy, consumers feedback, welcome
gift should not omitted from the overall strategy of e-commerce business of ZARA in the
fashion industry.
8. Which of the following e-commerce site do you presently use?
47MANAGEMENT
Row
Labels
Count
of 8.
Amazon
UK
16
Argos 3
John &
Spencer
1
Marks &
Spencer
2
Zara 28
Grand
Total
50
Table 7: Type of E-commerce site consumers presently use
Row
Labels
Count
of 8.
Amazon
UK
16
Argos 3
John &
Spencer
1
Marks &
Spencer
2
Zara 28
Grand
Total
50
Table 7: Type of E-commerce site consumers presently use
48MANAGEMENT
Graph 8: Type of E-commerce site consumers presently use
The above presented data in graph helps to observe the fact that almost 16 respondents
out of 50 respondents have mentioned that they prefer Amazon UK, almost 28
respondents out of 50 have chosen ZARA. This means these two brands in ecommerce
platform in UK have dominance over the market. ZARA gains the influence because of
its prior presence in the traditional market and thereafter, it has gained popularity over e-
commerce due to its large variety of product items and constant new arrivals of fashion
items. In addition to this, the brand ZARA has always been a step ahead in terms of
quality of fashion items. In the literature review, it was found that within 2023, E-
commerce fashion revenue in UK is going to increase to 31.4 billion in 2023
(Dzhandzhugazova et al. 2016). High street retailers announcing dire results and the
biggest online fashion retailers like Boohoo has announced increasing sales in the first
quarter of 2018, certainly with an impressive 53% increase in three consecutive months.
ASOS reported sales growth of 22% in 2018 which is up to end of June which is actually
living the likes of M&S, House of Fraser. Similarly, there is another study which states
the fact that the likes of Boohoo and ASOS have received praise in the recent time for
their promotion of plus-size models, inclusivity as well as unedited images of women
modelling their clothes. Compared to these brands, ZARA Online sales were up 41
percent in 2017 and represented 10 percent of Zara’s net sales. Thus, it can be mentioned
that ZARA is not lagging behind in terms of market share and sales in the e-commerce
platform.
9. What is your age? Please choose from the following
Row Labels Count
Graph 8: Type of E-commerce site consumers presently use
The above presented data in graph helps to observe the fact that almost 16 respondents
out of 50 respondents have mentioned that they prefer Amazon UK, almost 28
respondents out of 50 have chosen ZARA. This means these two brands in ecommerce
platform in UK have dominance over the market. ZARA gains the influence because of
its prior presence in the traditional market and thereafter, it has gained popularity over e-
commerce due to its large variety of product items and constant new arrivals of fashion
items. In addition to this, the brand ZARA has always been a step ahead in terms of
quality of fashion items. In the literature review, it was found that within 2023, E-
commerce fashion revenue in UK is going to increase to 31.4 billion in 2023
(Dzhandzhugazova et al. 2016). High street retailers announcing dire results and the
biggest online fashion retailers like Boohoo has announced increasing sales in the first
quarter of 2018, certainly with an impressive 53% increase in three consecutive months.
ASOS reported sales growth of 22% in 2018 which is up to end of June which is actually
living the likes of M&S, House of Fraser. Similarly, there is another study which states
the fact that the likes of Boohoo and ASOS have received praise in the recent time for
their promotion of plus-size models, inclusivity as well as unedited images of women
modelling their clothes. Compared to these brands, ZARA Online sales were up 41
percent in 2017 and represented 10 percent of Zara’s net sales. Thus, it can be mentioned
that ZARA is not lagging behind in terms of market share and sales in the e-commerce
platform.
9. What is your age? Please choose from the following
Row Labels Count
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49MANAGEMENT
of 9.
18 -25 years 10
25-35 years 34
36 years and
Above
6
Grand Total 50
Table 8: Consumers’ age group
Graph 9: Consumers’ age group
It has been identified that almost 68% of the respondents out of 50 belong to the age group of
25 to 35 years and almost 20% of the respondents have mentioned that they belong to the age
group between 18 to 25 years, while 12% of the respondents have mentioned that breath. This
data fact indicates that a large percentage of respondents belong to 25 to 35 years, thus, it can
be mentioned that when developing fashion items and focussing on the target consumers,
brand ZARA should pay attention to the stated age group. In the existing papers, it was found
that however, the existing studies did not mention much about how the behaviour of the
people belonging to particular age group but Belk, Price and Peñaloza (2013) performed a
of 9.
18 -25 years 10
25-35 years 34
36 years and
Above
6
Grand Total 50
Table 8: Consumers’ age group
Graph 9: Consumers’ age group
It has been identified that almost 68% of the respondents out of 50 belong to the age group of
25 to 35 years and almost 20% of the respondents have mentioned that they belong to the age
group between 18 to 25 years, while 12% of the respondents have mentioned that breath. This
data fact indicates that a large percentage of respondents belong to 25 to 35 years, thus, it can
be mentioned that when developing fashion items and focussing on the target consumers,
brand ZARA should pay attention to the stated age group. In the existing papers, it was found
that however, the existing studies did not mention much about how the behaviour of the
people belonging to particular age group but Belk, Price and Peñaloza (2013) performed a
50MANAGEMENT
study and added the fact that British consumers are mostly the online shoppers but it does not
mean they tend to avoid shopping in downtown or the High Street. Such findings are widely
related to how consumers are related to the trend of –ecommerce but it does not provide
insight about how a particular group of consumers should be approached towards a particular
brand under e-commerce platform.
10. Please choose your employment status
Row
Labels
Count
of 10.
Freelance
r
4
Salaried 39
Self-
employed
7
Grand
Total
50
study and added the fact that British consumers are mostly the online shoppers but it does not
mean they tend to avoid shopping in downtown or the High Street. Such findings are widely
related to how consumers are related to the trend of –ecommerce but it does not provide
insight about how a particular group of consumers should be approached towards a particular
brand under e-commerce platform.
10. Please choose your employment status
Row
Labels
Count
of 10.
Freelance
r
4
Salaried 39
Self-
employed
7
Grand
Total
50
51MANAGEMENT
Table 9: Employment Status of the consumers
Graph 10: Employment Status of the consumers
It has been identified that almost 78% of the respondents have stated that they are
salaried, while 14% of the respondents have mentioned that they are self-employed and
almost 8% of the respondents have mentioned they work as freelancers. Thus, certainly it
can be added that when developing e-commerce strategies or its expansion. E-commerce
is one such large platform where consumers can be easily targeted because the access is
to information is relatively easier than any other platform. So, it can be added that when
developing consumer retention strategies, brand should categorize the approach as per the
economic ability.
11. Please specify your gender
Row
Labels
Count
of 11.
Female 20
Male 26
Table 9: Employment Status of the consumers
Graph 10: Employment Status of the consumers
It has been identified that almost 78% of the respondents have stated that they are
salaried, while 14% of the respondents have mentioned that they are self-employed and
almost 8% of the respondents have mentioned they work as freelancers. Thus, certainly it
can be added that when developing e-commerce strategies or its expansion. E-commerce
is one such large platform where consumers can be easily targeted because the access is
to information is relatively easier than any other platform. So, it can be added that when
developing consumer retention strategies, brand should categorize the approach as per the
economic ability.
11. Please specify your gender
Row
Labels
Count
of 11.
Female 20
Male 26
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52MANAGEMENT
Prefer not
to say
4
Grand
Total
50
Table 10: Gender
Graph 11: Gender
The graph implies the fact that almost 52% of the respondents have mentioned that they
are male, while almost 40% of the respondents have mentioned that they are female. It
has been identified that the percentage of both male and female is comparatively high.
Thus, it can be added that in the fashion industry strategies for fashion items and
approach to e-commerce platforms would be based on both male and female.
Prefer not
to say
4
Grand
Total
50
Table 10: Gender
Graph 11: Gender
The graph implies the fact that almost 52% of the respondents have mentioned that they
are male, while almost 40% of the respondents have mentioned that they are female. It
has been identified that the percentage of both male and female is comparatively high.
Thus, it can be added that in the fashion industry strategies for fashion items and
approach to e-commerce platforms would be based on both male and female.
53MANAGEMENT
CHAPTER 5: CONCLUSION AND RECOMMENDATION
5.1 Conclusion
There is a number of facts which have been both in the existing papers and primary
finding is that advances of technology are certainly helping the e-commerce fashion sector in
UK. The growth and development of mobile devices have made it easy for UK consumers to
choose e-commerce channels when it comes to shop fashion items online. The responses
received in first quantitative question makes it clear that fashion sector in the nation is
receiving an enormous responses from e-commerce market due to technology advances and
e-commerce is one technology-based platform where consumers can be targeted accordingly.
In addition, the use of mobile devices have fuelled the growth in the sector.
Likewise, the findings in the literature helps to understand the fact that 16.4% of
overall retail sales out of total population of UK coming from online channels. Likewise, the
primary findings indicate the fact that use of smart-phone devices are rapidly increasing
which is certainly a good opportunity for the brands in fashion sector. On the other side, it
was found in the literature that e-commerce vendors have to enhance its service quality, as
there is high possibility of losing consumer base due to poor service such as almost 17% of
consumers had the wrong or defected item delivered to them which represents a significant
field of potential enhancement for e-commerce retailers. Moreover, price is another
significant factor as high price is a negative driver –consumers often get influenced by
unexpected high price. For example, the survey data helps to observe the fact that 28% of the
respondents have mentioned that expected high price badly affects consumers’ mind. Despite
this fact, it is worth mentioning that almost e-commerce trend in fashion industry of UK is
most likely to gain a tremendous exposure in the coming days, because in the survey, it has
been learnt that almost 68% of the respondents believe that online shopping is relatively
CHAPTER 5: CONCLUSION AND RECOMMENDATION
5.1 Conclusion
There is a number of facts which have been both in the existing papers and primary
finding is that advances of technology are certainly helping the e-commerce fashion sector in
UK. The growth and development of mobile devices have made it easy for UK consumers to
choose e-commerce channels when it comes to shop fashion items online. The responses
received in first quantitative question makes it clear that fashion sector in the nation is
receiving an enormous responses from e-commerce market due to technology advances and
e-commerce is one technology-based platform where consumers can be targeted accordingly.
In addition, the use of mobile devices have fuelled the growth in the sector.
Likewise, the findings in the literature helps to understand the fact that 16.4% of
overall retail sales out of total population of UK coming from online channels. Likewise, the
primary findings indicate the fact that use of smart-phone devices are rapidly increasing
which is certainly a good opportunity for the brands in fashion sector. On the other side, it
was found in the literature that e-commerce vendors have to enhance its service quality, as
there is high possibility of losing consumer base due to poor service such as almost 17% of
consumers had the wrong or defected item delivered to them which represents a significant
field of potential enhancement for e-commerce retailers. Moreover, price is another
significant factor as high price is a negative driver –consumers often get influenced by
unexpected high price. For example, the survey data helps to observe the fact that 28% of the
respondents have mentioned that expected high price badly affects consumers’ mind. Despite
this fact, it is worth mentioning that almost e-commerce trend in fashion industry of UK is
most likely to gain a tremendous exposure in the coming days, because in the survey, it has
been learnt that almost 68% of the respondents believe that online shopping is relatively
54MANAGEMENT
effective than traditional outlet shopping. However, in order to enhance performance and
level of service of fashion brand like Zara, few suggestions related to –ecommerce strategies
have been provided in the following.
It has been identified that there are different strategies of e-commerce depending on the goals
but here strategies are developed considering consumers as the fundamental focus of the
strategy.
5.2 Recommendation
Maximize e-commerce search usability
The organization should have to organize a web store for two groups of potential such as the
visitors who know what they would like to buy and the visitor who wish to browse. So, the e-
commerce website platform should have the record or analyse what exactly the consumers
are searching for. For example, if the online store system is able to keep the record of this, it
is certain that the brand is having an effective navigation as well as search capability. So,
effectively, consumers who know exactly what they are searching is most likely to find the
right information as faster as possible. It should be noted that designing a high-performing
search experience is a fundamental feature for users as users cannot find they are looking for
and they might it from another website or vendor. Likewise, there are could be some
consumers who just want to use the navigation menus as well as move into product
categories; thereby, the brand needs to organize the bar and categorize in intuitive easy to use
categories.
effective than traditional outlet shopping. However, in order to enhance performance and
level of service of fashion brand like Zara, few suggestions related to –ecommerce strategies
have been provided in the following.
It has been identified that there are different strategies of e-commerce depending on the goals
but here strategies are developed considering consumers as the fundamental focus of the
strategy.
5.2 Recommendation
Maximize e-commerce search usability
The organization should have to organize a web store for two groups of potential such as the
visitors who know what they would like to buy and the visitor who wish to browse. So, the e-
commerce website platform should have the record or analyse what exactly the consumers
are searching for. For example, if the online store system is able to keep the record of this, it
is certain that the brand is having an effective navigation as well as search capability. So,
effectively, consumers who know exactly what they are searching is most likely to find the
right information as faster as possible. It should be noted that designing a high-performing
search experience is a fundamental feature for users as users cannot find they are looking for
and they might it from another website or vendor. Likewise, there are could be some
consumers who just want to use the navigation menus as well as move into product
categories; thereby, the brand needs to organize the bar and categorize in intuitive easy to use
categories.
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55MANAGEMENT
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58MANAGEMENT
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61MANAGEMENT
Walter, M. and Andersen, C., 2013. Indigenous statistics: A quantitative research
methodology. Left Coast Press.
www.asos.com (2019). ASOS | Online Shopping for the Latest Clothes & Fashion. [online]
ASOS. Available at: https://www.asos.com/ [Accessed 9 Apr. 2019].
Yang, S., Song, Y. and Tong, S., 2017. Sustainable retailing in the fashion industry: A
systematic literature review. Sustainability, 9(7), p.1266.
Yu, W., Yan, C., Ding, Z., Jiang, C. and Zhou, M., 2014. Modeling and validating e-
commerce business process based on Petri nets. IEEE Transactions on Systems, Man, and
Cybernetics: Systems, 44(3), pp.327-341.
Walter, M. and Andersen, C., 2013. Indigenous statistics: A quantitative research
methodology. Left Coast Press.
www.asos.com (2019). ASOS | Online Shopping for the Latest Clothes & Fashion. [online]
ASOS. Available at: https://www.asos.com/ [Accessed 9 Apr. 2019].
Yang, S., Song, Y. and Tong, S., 2017. Sustainable retailing in the fashion industry: A
systematic literature review. Sustainability, 9(7), p.1266.
Yu, W., Yan, C., Ding, Z., Jiang, C. and Zhou, M., 2014. Modeling and validating e-
commerce business process based on Petri nets. IEEE Transactions on Systems, Man, and
Cybernetics: Systems, 44(3), pp.327-341.
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