Digital Business Report: Trends, Models, and Strategic Alliances

This report delves into the core concepts of digital business, exploring key trends and advantages of digital technology, along with its implications for managing virtual businesses in a global environment. It critically evaluates emerging digital business models, including the impact of artificial intelligence and social media marketing, while also addressing crucial issues like cyber security and ethics. The report examines the influence of collaborative relationships and strategic alliances facilitated by digital technology, providing insights into how businesses can leverage these partnerships for growth. Furthermore, it applies relevant digital business theoretical concepts to practical contexts, including case studies of companies like Asos and BirchBox, and explores the application of e-commerce principles across different sectors. The report also covers the advantages and disadvantages of virtual businesses and concludes with recommendations for effective digital business management.

Digital Business

Contents
Executive summary.........................................................................................................................3
Introduction......................................................................................................................................3
Main Body.......................................................................................................................................3
LO1: Understand the key trends and advantages of digital technology and implications for
managing virtual business in the global environment.................................................................3
LO2: Critically evaluate new and emerging digital business models and key business issues
such as cyber security and ethics etc. in managing effective e-business.....................................4
LO3: Evaluate the impact of new collaborative relationships and strategic alliances through
digital technology........................................................................................................................6
LO4: Understand and apply relevant digital business theoretical concepts in practical contexts.
.....................................................................................................................................................6
LO5: Use a multi-disciplinary approach to apply E-Commerce principles in a
business/public/voluntary sector organization.............................................................................8
Conclusion and Recommendations..................................................................................................8
References........................................................................................................................................8

Executive summary
The aim of this report is to analyze the Marketing Essentials. This report will carry a discussion
on key roles and responsibilities of the marketing function and a discussion on how these roles
are related with wider organization. There will be an analysis of roles and responsibilities in
context of the marketing environment, and interrelationship between the marketing
environments. The report will help in understanding the concept of marketing mix (7Ps) and how
this marketing mix helps the organization to achieve their goals. And the report will help in
constructing simple marketing plan with its evaluation for an organization and there will be a
strategic marketing plan that applies 7Ps marketing mix to accomplish the objective of an
organization.
Introduction
The report revolves around keep the ends and the advantages that are associated with the
introduction of digital technology and its implication for managing and operating a virtual
business with respect to global environment. Everything is done using cell phones nowadays,
digital landscape offers countless solutions to many problems with infinite growth opportunities.
The advantages of virtual business include efficient management, principle of sustainability,
enhanced accessibility, a very huge target audience, ability to manage employees in suppliers
with ease and specialised services and products that are commendable along with discounts and
offers. The report also focuses on new emerging digital Business models and the issues
associated with their like cyber security and ethics. Report also sheds light on impact of
collaborative relationships along with strategic alliances while using digital space.
Main Body
LO1: Understand the key trends and advantages of digital technology and implications
for managing virtual business in the global environment.
Virtual Business and Global effects- The effects of virtual business in the running and
success of a business are wide and diverse. The concept has allowed the ideas to reach global
levels and not just limit the sales to walls. Business that is done virtually helps business gain

more popularity and customers internationally without any barriers of boundaries. The
freelancers get business virtually from every place gaining experience that is beneficial and
essential for the versatility in working. The stores that are physical have limitations of time and
visitors, whereas virtual stores attract more customers and are available 24*7 on all week days
with every service and product in stock. The branding also plays a significant role in businesses
to stand out and shine in such expanded market. The global expansion through digital business
also brings in variety as per the various cultures, traditions and preferences of the customers and
gives diversity to the native people as well.
Advantages of Virtual Business-
1. Stores accessibility at all time throughout the day and for the whole week.
2. Environmental friendly as it uses less paper.
3. Management possible from any place throughout the globe giving convenience to both
customers and sellers.
4. Better and at home fast delivery of the goods.
5. Wide variety for customers to choose from.
6. Ability to manage employees and suppliers with ease.
7. Specialised services and products at commendable rates along with discount and offers.
Disadvantages of Virtual Business-
1. While providing services that are pre-planned and scheduled, there can be
mismanagement which can further lead to disparities between the firm and the customer.
2. Since, all the business is being done online there can be lack of communication which
can make mistakes and disturb the goodwill of the company.
3. There can give power and processing in the hands of all employees which disrespects the
centralization and authority.
4. The business type also shows fraudulent activities and false administration sometimes.
Asos uses its extensive budget in the production and promotion of AR, which in turn has
given results in field of both sales as well as marketing. The experience provided to the customer
is altered with relative stories of the past experiences and complete the look strategy. Asos uses
AR to learn from the activities of the customers and stimulate them through the dumped carts for

them to return and shop complete look. The firm also uses hashtags remembered by the AR and
suggests the relevant products. The AR systems are presented and opted widely by the
companies to create a bond with their customers and provide them aesthetically pleasant support.
BirchBox has been using personalised kits and assistance for the people. The technology is being
used to detect the problems and offer the solutions that are relevant. This also has been used by
promoting the brand online on all social media interactions with people, the company provides
reasonable rates as compared to other competitors.
LO2: Critically evaluate new and emerging digital business models and key business
issues such as cyber security and ethics etc. in managing effective e-business.
1. Artificial intelligence- The latest and most successful business model is Artificial
intelligence. It uses technology to memorise the key points from last session of a
customer and also reminds it of the potential suitable product. AI is also widely popular
because of the customer support that can be provided through it. BOT is a commendable
way to connect with the customers and solve their queries within seconds.
2. Social media marketing- Due to the developed technology and it’s relative accessibility,
the world has become all about social media which in turn has boomed the marketing
possibilities through it. Influencers are contacted and traded by brands worldwide to
reach people with their product and the people they already trust. The blogging and
content that are posted through companies also play a big role in this as it invites
customers with all sensitivity.
3. Digital Payment- The trend holds a strong place in the market because of the security and
privacy of cash it provides. Various digital payment options like cards, Paytm, Amex etc.
Are made available to the customer for their convenience to order from anywhere to
anywhere.
Information security threat and ethics
Information security stands for all the private data that is provided or exchanged by the
user that needs to be secured to avoid any discrepancies. Because of the new technological

setups, the people are likely to engage more on the internet and share their inclusive information
as well which have the threats such as identity theft, advance free fraud and many more. Ethics
here refer to the obligations that the service providers have to maintain the privacy and security
of the important data provided.
Challenges for information security and ethics
The worldwide services provider that operate through the net have a work ethic of
maintaining privacy and security of the user. This obligation has to be maintained by all people
in the organization whether employees or management.
1. Challenges are many one of which is new employees as they haven’t been long in the run
and may not abide to the ethic.
2. Ransomware is also a threat as the viruses are hard and costly to remove, this can also
lead to distrust or goodwill drowning.
Case study analysis of new trends and challenges for information security and ethics
The internet has a wide scope and spirit for people to reach people. The largest platform for
interactions and business comes with some obligations that need to be covered on all sides.
These codes are not some large laws but some basic manners that are needed to protect
authenticity and avoid chances of crime over the internet.
1. Internet is used worldwide to share information and conversation and should be used in
that manner only.
2. There should be no manipulation with the data that is widely available for users over the
internet.
3. The absolute data provided by customers should be handled carefully and not misused in
any way.
4. Malware software are restricted and should not be sent to cause inconvenience.
5. Identity theft should be avoided as it can cause severe damages to people..
Several case studies from above show possible cases of cyber security and ethics, they also
keep in front the challenges these organisations must be facing. The case of Asos or Fifth
Avenue show how they engage in activities and developments to give customers the personalized
experience. In order to do so, there has to be an exchange thread of mails mostly from the
company's site in order to attract the customer again. These mail chains may lead to certain

disparities between the two as customers sometimes feel that their privacy is being disturbed by
the continuous and repeated requests. This also makes it possible for more people to hack and
access the accounts of the customer and get deep to their payment information which can cause
threat. These companies have to stand understanding in the context and an option to stop such
communications is also provided for the convenience and trust.
LO3: Evaluate the impact of new collaborative relationships and strategic alliances
through digital technology.
Digital marketing has countless applications, businesses that work within the confines of
digital landscape have many operational advantages and approaches that can be used in order to
expand market and develop the product in accordance with the needs and wants of the customers.
Digital space and its involvement and virtual business operations have introduced the benefit of
global collaborations. Small businesses can now collaborate with major brands all over the
globe. This can be of great benefit when it comes to market development and acquisition of new
target customers for small online businesses. Often big brands use small businesses as a tool to
enter and establish their foot in new market. Small businesses that are originated in the
boundaries of that market hold reputation and customers already are loyal towards that particular
organisation. Big global brands take advantage of this pre developed equity and collaborate with
such businesses in order to enter that market. This gives small organisations the benefit of
investments funds as well as global reach. These collaborations are useful for both of the
organisations as they reach their mutual objectives together. In order to enter in a market, any
global firm has to recruit workforce that have experience operating with the dynamic factors of
that particular market. People who have knowledge as well as experience regarding the
management of such market forces that flows freely in that market.
1. Awareness: The organization creates awareness of their services through advertising on
various social media channels such as Facebook and Instagram, attracting the correct
audience who are looking out for job opportunities or recruitment and consultancy
services.
2. Interest: Once the individual or organization are aware of their services, they start by
posting out personal messages, share testimonials through which the prospective clients
feel more interested to know more about their services. They attract by creating various
call of action, such as asking to sign up on their website, through which they could create
further relationship.
1. Desire: In the third stage when the client is in contact with the organization, the
consultant convinces them that the company is the right fit for them, creating a trust that
their services are the best and are aligned for their particular objective.

2. Action: In this step, the organization tries to turn all the pitching into a partnership
through which both the organization and the client can benefit from.
LO4: Understand and apply relevant digital business theoretical concepts in practical
contexts.
Situation analysis means determination of the actual position of an organization in market
through focusing or analyzing various aspects such as captured market area, growth rate, sales &
profit figures and competitive internal resources of all these points help in determining positive
and negative aspects associated within an organization so management can take best decision for
the future growth of an organization. Another benefit of this analysis that help in ascertaining
information about the determinants that actually exist in market as trend. This help in
development of best suitable strategies by focusing over organization positions so able to desired
targets in minimum period of time.
SWOT Analysis
SWOT analysis is the tool that helps in identification of organizational related overall
strengths, weaknesses, opportunities and threats. This helps the management in coverage of both
internal and external analysis. As internal analysis, SWOT covers the point of strengths and
weaknesses while as external covers the point of opportunities and threats.
The major difference which exists in between both these analysis is that situation analysis
only aid in determining existing position of an organization in market without segregating
strengths and weaknesses while SWOT providing strengths and weaknesses separately. There are
lots of similarities in between both these analysis as aid in getting actual market position and
resources of an organization through which management able to build the strategies and plans to
attain the organizational objectives. There are many other similarities that exist in between both
of these includes getting of strengths and weaknesses separately in respect of the different
business activities and projects along with opportunities that exist in external environment on the
basis of actual trends. In overall manner, bother have lots of similarities but still different from
each other and having different purposes behind application on organizations. It is the duty over
management that they consider the need and apply the correct analysis for getting of the
optimum positive results.

Asos is the retail organization. Situation analysis of this organization depending on
personalization is provided below along with results;
Situation analysis includes the determination and ascertainment of an organization position
in respect of the various aspects such as market presence, sales, profit and resources. Asos, has a
good market presence and able to gain effective number of profits out of their sales in market.
The major reason behind effective level of marketing presence and enhanced sales is power of
retaining old customers along with attracting new potential ones. This power grabbed by an
organization through the usage of personalized sales approach where they provide discount and
other offers to their customers that help in retaining of them all for longer period of time along
with their promotion in market among others that they will be benefitted if associated with the
organizational offering. The facility of free shipping, guaranteed quality products, different
payment gateways and good return policies also playing the prominent role in attraction of the
large number of consumer from the worldwide level along with retention of older for longer
period of time. This persuades their behavior they always first try the offering of Asos or in case
they have to wait then wait for their services. This level of patience and trust only build in the
situation when organization able to deliver the good level of services and personalized retailing
experience. The diverse service portfolio of Asos automatically depicts the success path of an
organization with enhances level of growth, sales and profitability in market.
LO5: Use a multi-disciplinary approach to apply E-Commerce principles in a
business/public/voluntary sector organization.
Digital Marketing includes several social media platforms like Facebook, LinkedIn, Instagram,
etc. on which company can promote their goods and services in order to reach maximum number
of people. Organisations promotes their consulting services to maximum number of people by
having its account on different social media platforms including Facebook, indeed, LinkedIn,
and so on. Company has specific employees who handle these social media account in order to
increase the promotion of the company in the market.
Away from store is a technique in which organization can promote their goods and services
without having brick and mortar office. There are several methods by which company can

promote their services without the need of an actual office, and these methods include social
media platforms, TV ads, Newspaper articles, websites, and so on. The most important part of
the organization i.e., away from store is the company’s official website through which it
conducts most of its business in gaining more and more customers, candidates, and clients to
enhance the business. Apart from the websites the company has organized several events like the
apprenticeship levy, teacher recruitment day, etc. that also helps the company in attracting more
people.
Digital platforms include several technological platforms that helps the organization in
promoting their services, digital methods are the most common methods that organizations use
these days in order to reach maximum number of customers. Social media platforms, websites,
applications, TV ads, and so on that can be used as digital methods for the promotion of their
services. The organization also uses these digital platforms in order to promote their services.
And the website of the organization is so easy to use that everyone can access several features
related to education, business, health and care, and so on. Thus, it can be stated that the
organization operates most of its business with digital platforms.
Press/ industry analyst is a technique in which the opinion of other people and companies matter
for a particular company. The opinions of other people and company can be measured and
checked with the help of reviews that people post about the company. There are several outsider
company’s and people who comment or review the company on the basis of its performance. The
organization has received so many rating and reviews on different websites such as Glassdoor,
Indeed, Good firms, etc. regarding its performance.
The organization creates awareness of their services through advertising on various social media
channels such as Facebook, and Instagram, through which they attract individuals who are
looking for recruitment opportunities. Once the individual becomes hooked with the organization
the company focus on keeping their interest through posting out testimonials, Reviews by
employees, so they prospects can start knowing more in-depth about the firm which will help in
creating a trust between them.
Conclusion and Recommendations
The report revolves around digital landscape, and its impact on virtual businesses. Digital
marketing has countless application with infinite development opportunities for on-line

businesses. The report concludes that online digital platforms give virtual businesses a more
diverse target audience along with Business development plans which cannot be initiated without
the presence of digital interface. The report focuses on a SWOT analysis of digital landscape in
order to analyze the dynamic business environment and come up with campaigns personalized
and developed on the basis of the structure established by code of conduct that digital landscape
follows. Report also focuses on a multidisciplinary approach that will be used to apply the
principles of e-commerce in a business organization that operates within the confines of digital
landscape.

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