Role of E-commerce and E-business in the Present Business World
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Added on 2022/12/29
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This report explores the role of e-commerce and e-business in the present business world, focusing on Amazon. It discusses the benefits and opportunities offered by these strategies in improving business operations and customer satisfaction.
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Running Head: MANAGING ACROSS BORDERS Amazon Managing across borders Report Student Name [Pick the date]
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MANAGING ACROSS BORDERS1 Executive summary This report is focused on the transformation of traditional business into E-business. It also includeselementswhicharelinkedwithe-commerceande-businessthatoffersbetter opportunity to improve the business process of the Amazon Company. In addition, this report also includes the role played by e-commerce and e-business in the present business of Amazon and the changes which they have implemented in the current market. It also includes a journey in which e-commerce and e-business have improved the current situation of the company in the business market by offering them cost-efficiency.
MANAGING ACROSS BORDERS2 Table of Contents Introduction.................................................................................................................................................3 Opinion of e-business and e-commerce......................................................................................................3 Role of e-business and E-commerce in the present world related to Amazon............................................4 Conclusion...................................................................................................................................................5
MANAGING ACROSS BORDERS3 Role of E-commerce and E-business in present business world Introduction Current business world is in dynamic mode and in order to remain sustainable in this dynamic business world, e-commerce and e-business has a key component of every business strategy in order to attain economic development. It has been found that combination of both information as well as communication has advanced the relationship between all the stakeholders of the businessmarket(Jimenez,ValdesandSalinas,2019).E-commerceande-businesshave improved the quality of business operations by encouraging customer participation in the business market. This has helped the organization in lower down the price and offer customized products/services in the market as per the customer requirement. Rise of internet and web-based technology has transformed traditional market business into electronic-based market with the support of e-commerce and E-business (Wang et al., 2018). These platforms are considered the best opportunities in the hands of the present organization to make better use of their available resources such as skills and capital in an effective way. E-commerce and E-business have also improved the business operations of both small and medium scale enterprises which were struggling while competing with large and rich capital business. Due to globalization, various developing nations are offered access to enter into the global market in which they can meet economic development. Opinion of e-business and e-commerce As per the study, it has been found that in few cases, it has been found that e-business and e- commerce terms are applied interchangeably in order to link it with the vendor system. But both these terms provide different services in case of Amazon organization. E term mainly stands for the use of electronic networks which are connected with the application of technology and includes both internets as well as exchange of electronic data which enhances the business process (Adaji and Vassileva, 2017). Amazon links their e-commerce are linked with outward- facing processes which connect clients, vendors, and other business partners that help in increasing sales, offering quality delivery along with high customer care services. It also includes buying of raw materials, operating cost related to products like office. Amazon believes that it is essential to introduce a new business model which has the potential to generate revenue in order
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MANAGING ACROSS BORDERS4 to maintain the current position of the organization (Kim and Peterson, 2017). While E-business can be considered as a big platform which includes e-commerce along with other internal approach which is essential from the business point of view such as manufacturing, inventory management, operations, finance, HRM and so on. E- Business strategies are often considered complex in nature and are more concentrated towards improving the internal process which can help the organization in reducing operating cost along with efficiency in business operations. Currently, it has become very essential for companies to make use of e-commerce strategy in order to generate a unique presence in the business market (Nathan et al., 2019). Use of electronic network helps the Amazon to build a close relationship with the potential customer as well as vendors which offer supply support. But due to heavy fluctuation in the business market, it has become very essential for the Amazon to move further from e-commerce to e-business because it will help them to build a customer-centric business network with the help of advanced ERP system. For Amazon Company, e-commerce benefits have some saturation point beyond which it cannot move but when it comes to E-business it offers big opportunities in the form of effective supply chain system along with enhanced ERP system which helps in eliminating the chances of conflicts within the different departments of the organization. Role of e-business and E-commerce in the present world related to Amazon It has been seen that Amazon has not limited its business operations related to e-business and e- commerce up to them. In fact, they have also involved their various investors to take benefit of this strategy in the form of B2B as well as B2C applications. In business to business service, Amazon makes use of E-business platform which offers them opportunity to effectively business a strong relations with the customers by which they can sell their products directly within the affordable fee in the form of transaction or in the form of subscriptions (Smith, 2019). In addition e-business platform has offered Amazon Company to develop an effective payment service by which organization is able to receive the payment through their websites directly from the customer in the form of Amazon account. While E-commerce platform has helped Amazon to generate an advance supply based service which supports Amazon Company in sell all the required industrial materials which include offices appliances to shipping materials to the potential customer (Cosper, 2019). This strategy also helps them to set up a delegation which is
MANAGING ACROSS BORDERS5 linked with the order packing which supports shipping of items right from Amazon warehouses to various part of the country which offers this service a unique presence in the present business market. In case of business to customer, e-commerce strategy has helped Amazon to advance its business operations as compared to business to business structure. With the help of E-commerce strategy Amazon is able to create page for their sellers in order to list their product on this page which also indirectly helps potential customer to see varieties of items. In addition, E- business strategy has helped Amazon to enter directly in the digital world in the form of e-reader Kindle well as e-books which have benefited both companies as well as the vendors associated with company. One of the best examples is Amazon prime service which offers potential customer to buy instant videos on discounted prices which were not possible earlier. This creative thinking has helped the Amazon to mark their strong position in current competitive business market. Amazon prime service has offered one of the best competitive advantages to the Amazon over other organizations present in the business market. Conclusion E-commerce and E- business services have completely transformed the business world from traditional trend to electronic business market. It has offers both type of benefits cost as well as speed which has increased the efficiency of the business operations. E- Commerce and E- business has helped the Amazon Company to transform their bookselling service into one of the biggest e- retail giant company on the global platform. These strategies have aid Amazon to form a web of the electronic network which has helped them to bond all the stakeholders of the business with one single thread. In addition, these strategies have helped Amazon in build very unique image in the business market because of which Amazon was successful in developing one of the strongest customer bases in the retail market.
MANAGING ACROSS BORDERS6 References Adaji, I. and Vassileva, J. (2017) April. Perceived effectiveness, credibility and continuance intention in e-commerce: a study of Amazon. InInternational Conference on Persuasive Technology(pp. 293-306). Springer, Cham. Cosper, A. (2019)Description of How Amazon Uses eBusiness and eCommerce for B2B and B2C[online]. Available from:https://smallbusiness.chron.com/description-amazon-uses- ebusiness-ecommerce-b2b-b2c-36453.html[Accessed 128/19]. Jimenez, D., Valdes, S. and Salinas, M. (2019) Popularity Comparison between E-Commerce and Traditional Retail Business.International Journal of Technology for Business,1(1), pp.10- 16. Kim, Y. and Peterson, R.A. (2017) A Meta-analysis of Online Trust Relationships in E- commerce.Journal of Interactive Marketing,38, pp.44-54. Laemmel, J., Alon, I. and Vega, D. (2019) Alkosto faces up to Amazon in Colombia's e‐ commerce market.Global Business and Organizational Excellence,38(6), pp.31-41. Nathan, R.J., Victor, V., Gan, C.L. and Kot, S. (2019) Electronic commerce for home-based businesses in emerging and developed economy.Eurasian Business Review, pp.1-21. Smith,C. (2019) How Amazon Uses E-Business for B2B [online]. Available from: https://smallbusiness.chron.com/amazon-uses-ebusiness-b2b-34155.html [Accessed 12/8/19]. Wang, Y., Jia, F., Schoenherr, T. and Gong, Y. (2018) Supply Chain-Based Business Model Innovation: The Case of a Cross-Border E-Commerce Company.Sustainability,10(12), p.4362. Wu, P.J. and Lin, K.C. (2018) Unstructured big data analytics for retrieving e-commerce logistics knowledge.Telematics and Informatics,35(1), pp.237-244. Yu, Y., Wang, X., Zhong, R.Y. and Huang, G.Q. (2017) E-commerce logistics in supply chain management: Implementations and future perspective in furniture industry.Industrial Management & Data Systems,117(10), pp.2263-2286.
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