Digital Business: Growth, Factors, and Impact on Tesco

DIGITAL BUSINESS

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................4
Case study....................................................................................................................................4
Overview......................................................................................................................................5
Key factors responsible for the growth of digital business..........................................................6
External factor may impact business operations..........................................................................7
CONCLUSION ...............................................................................................................................8

INTRODUCTION
Digital business refers to the use of electronic devices to communicate the values and
promote the organisation's offering through virtual media. It basically promote the new and
innovative ways by which the company can connect and collaborate with the large audience
within the stipulated period of time. Information technology has played the key role to modify
the infrastructure as well as business operations by using internet to carry out daily regime
effectively (El Sawy and Pereira, 2013). This transformation of business has overcome the
distance barrier and accelerated the growth of business by leveraging the market opportunity and
expand the business growth effectively. Especially the new venture makes the best possible
advantage of digital media as they gets the online space due to which it become comparatively
easier for them to communicate with customer and promote their website through various
platform like social media or SEO. For the better understanding of report Tesco company has
been selected which is one of the largest grocery store that have strong distribution channel. The
company cater the need of the customer through both retail outlet as well as digital platform.
There are different type of business that have different purposes but the mode to deal
with customer is via digital or traditional platform. Like, E commerce model which is the part of
digital business register the domain name and prepare the hosting account to invite the customer.
On other side traditional business includes the brick and mortar model which is the physical
stores that hire the staff who can guide the customers and help them to get the desirable product
or services. Thus, the difference between both the models is defined below:
Basis Digital business Traditional business
Meaning It is the online medium that assist
the user to get the goods and
services by using electronic
devices like mobile, laptop and so
on.
It involve the face to face dealing
where the company deals in the
tangible asset that customer can
touch, experience and feel at the
time of shopping.
Reach The companies such as Tesco
which fall under the category of
digital business has wider reach as
they can prepare the online
Here business can only cater the
audience who are in the proximity as
they can only reach out to the outlet
sand get the required stuffs