Digital Business Report: Digital Business Models for Marks & Spencer

This report provides a detailed analysis of digital business, focusing on its impact on companies like Marks & Spencer. It explores the advantages and disadvantages of digital business, examines new and emerging digital business models such as bundling, freemium, and razor blade models, and discusses the impact of collaborative relationships and strategic alliances facilitated by digital technology. The report also covers essential e-commerce principles, offering insights into how businesses can leverage digital strategies to enhance their operations, reach customers, and achieve a competitive edge in the market. The report highlights the importance of adapting to changing customer preferences, managing online risks, and utilizing various digital models to drive sales and profitability. It emphasizes the need for strong online infrastructure and the significance of building trust and security in e-commerce transactions. Overall, the report provides a comprehensive overview of the digital business landscape and its implications for modern organizations.

DIGITAL BUSINESS
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TABLE OF CONTENT
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
1. Digital business with its advantages and disadvantages..........................................................3
2. New and emerging digital business models.............................................................................5
3. Impact of new collaborative relationships and strategic alliances through digital technology
......................................................................................................................................................7
4. E-commerce principles............................................................................................................8
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11
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INTRODUCTION
Digital businesses are those new businesses which blur out physical world and digital
world as well. All the existing models in the market are being influenced by this factor which is
going to make the businesses be forced to implement them effectively. Digital businesses are
appreciated by the clients and is going to help the company to be able to gain the right reputation
and brand image in the market for a long run. Marks & Spencer is operating since 1884 and is
having its headquarters in London, United Kingdom. There are 1463 locations of the company
and is having more than 78,000 employees as of 2021 working currently. The report is going to
discuss the advantages and disadvantages which an organization can have due to digital business
emerging and new models coming in digital business, collaborative relationships and e-
commerce principles which is going to be discussed in the further report.
MAIN BODY
1. Digital business with its advantages and disadvantages
Digital business is making the sales, information passing, and other factors with the
clients through internet medium is digital business. This is a very important change which has
come in the market and is attracting a lot of customers as well which is going to make sure that
there are right actions and improvement which is coming in. Clients want to get their products
and services at home which is going to make sure that the efforts which are being put by the
business has to match their standards and expectations. The lifestyle of the clients has changed
and it must match with it so that there are going to be higher consequences which the firms can
have (Venkatesh, Mathew and Singhal, 2019). The following report is going to discuss the
digital businesses advantages and disadvantages which is going to be present for M&S to be able
to operate effectively in the market.
Advantages
 The company is going to find it easy to be able to reach out to the customer which is that the
company is not going to have limitations of customers. More the customers which means
that the company is going to be able to have higher sales and distributions which is going to
be present (Pagani and Pardo, 2017).
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 Traditional constraints is going to be reduced which is good for the working and the
expenses also are going to be under control. The company is not going to be paying extra for
the assets and other factors which the company has to invest for having physical layouts.
 The company can export and make the widen market their targets which is a good factor for
the products and services which the company is having. The assumptions of the customers
that the company is present for teenagers and youth only can be removed because the
company has been able to expand themselves in other segmentation as well and have higher
revenue generations and working in the market.
 Websites and online preference of the customers has increased which is that after the current
situation of the market the customers prefer buying it online which can be a great factor for
M&S. A lot of other factors like staffing and other economic factors are going to reduce as
well which is going to be a great factor for the overall working of the company.
Disadvantages
 There are a lot of frauds which are taking place online and they must be controlled so that
the company is not going to lose their value in the market which is going to be impacting the
performance level of the company. Gaining the trust online is very difficult for the
businesses online but it is because of the brand value which is existing the company will be
able to make these factors be considered.
 Economically there is a lot of investment which the company has to make on advertisement
for the new changes and methods which the company is using which is going to make the
company be able to have higher satisfaction of the company. Investment on the online
platform has to be strong so that the company will be able to gain higher reputation and
image in the market (Bereznoy, 2018).
 Penetrating in the market is very essential and if the right experience and working is not
used then the company will not be able to gain the right reputation and working.
Competition is high and losing the market is very easy for any organization which needs to
be addressed on time so that there is going to be higher functioning.
 Security and frauds can take place effectively in the market so that there is going to be better
functioning and legal issues also have to be addressed so that there is going to be better
functioning and online orders which is going to make sure that the dealing is going to be
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better. Infrastructure online is more expensive and complicated which has to be understood
well so that the company will be able to make sure that they are taking the right advantage of
this factor.
2. New and emerging digital business models
There are a lot of models which have developed in digital business model so that there is
going to be higher functioning which is going to be present. There has to be one sense of
direction which has to be present in the company for the organization to be able to have higher
operations and working which is highly beneficial. Businesses have to make the right working
environment so that the company will be able to make sure that they are being able to compete
with the competitors in the market effectively (Ivančić, Vukšić and Spremić, 2019). There are
emerging trends for online businesses which are coming up so that there are better functioning
and measures which can be taken in order to be able to operate effectively. Businesses to
consumers and business to business are two factors which can be used by the organizations in
order to be able to get the right working and functioning so that there are going to be higher sales
and profit margins. The follow report is going to discuss the models in detail which can be used
by the company to be able to get the right consumers and make stable economic factor for the
company to be able to invest in future plans.
 Bundling model
Products together as a single unit so that the company is going to have higher selling so
that the company is going to have higher functioning. generating the right sales and products and
services in the market so that the company will be able to have better profit margins so that the
company is going to have better products and functioning.
 Freemium model
Getting popularity is very important by having the right service soft wares in order to be
able to get higher functioning and make sure that the demands of the customers are going to
matched. Right features and certain likely of the customers are going to be added in the company
so that there is going to be higher stability which is present so that there is going to be higher
functioning (Baiyere, Salmela and Tapanainen, 2020). There are ads which are got in the
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company and then the clients have a tendency to stop the ads which is going to make the
economic functioning be higher which is going to be better functioning.
 Razor blade model
The expensive razor is going to be used in the company so that there is going to be higher
functioning and improvement which is going to be present so that the company will be able to
operate effectively. High margin product and promote the sales of the products needs to be
present so that the company will be able to have a higher stability which is going to be better
functioning (Agrawal and Narain, 2018). iPhone and other companies are using this factor by
pricing their products higher which is going to be a great factor for the overall functioning and
operations.
 Product to service model
Right metal and other factors are going to be used in the company so that there is going to
be higher functioning and make the right working which has to be present. products and services
are going to be directly from the company to the clients so that the organization would be able to
gain the right attention from the customers (Legner and et.al., 2017). Improvement through
feedback and other factors are going to be used by the businesses while being online and stay in
direct contact with the clients which is going to make sure that there are higher functioning
which is going to be present.
Marks & Spencer is using the product to service model so that they would be able to
contact their customers on time and make sure that there is good improvement which is taking
place. It is very important to make sure that the customer are having the right services and
improvement int he company so that the competitive advantage is going to be higher (Kotarba,
2018). Equipment's which are being used in the company have to be high and which is going to
impact the productivity and operations of the organization which is a very good factor for being
able to have sustainability in the market for a long run.
3. Impact of new collaborative relationships and strategic alliances through digital technology
There are a lot of issues which rise when a business is online which have to be solved on
time so that the company is not going to face a lot of issues and working which is going to be
present. Collaboration of online platforms are going to make the businesses be able to operate
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from different locations which is highly beneficial for a long run which is going to make sure
that the company is being able to operate effectively. Physical space has to be the same in the
olden times for the businesses to be able to collaborate effectively but now these factors are not
going to be the same. It is important for the businesses to be able to have the right space and
understanding between them and legal actions have to be taken so that there are going to be less
frauds which are going to take place (Morakanyane, Grace and O'Reilly, 2017). Internet is a
great factor for the company to be able to have so that there is going to be higher successful
working which is going to be present which is going to make the building and strategies which
are being used are effective. Importance of techniques are being used in the company so that
there are higher discussions which are taking place so that the company will be able to have
higher functioning and competitive positioning in the market as well.
There are going to be interesting development which are going to take place in the
company so that there are better functioning and operations which are going to take place so that
the company will be able to get in more clients. Interest of the customers have to be understood
well so that the company will be able to fund success and make the opportunities be better and
make the operations (Cusumano, Gawer and Yoffie, 2019). Technologies is going to make the
working so that there is going to be higher functioning and the company will be able to have
higher success as well. New relationships can be built which is going to make the standards of
the company be present and make the right working which is going to be present. Workplace has
to have the right working so that there is going to be better operations and line consumers have to
be present so that there is going to be better similarities which the company is going to have
(Zimmermann and et.al., 2018). new products have to be developed from time to time so that the
company will be able to have better functioning and working which is going to be present and
this is going to make the relationships in the businesses be higher.
Unique functioning and products have to be developed by the company so that there are
higher operations and functioning which can take place in the company. Alliances are going to
make the working more effective and sharing of experience is going to take place. M&S is
collaborating with large organization in order to make the right communication and improvement
to take place in the company so that there are higher operations and working which is going to be
present. Exchanges can also take place in the company which is going to make the e-retailing be
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higher and that is going to make sure that there are right actions which are present in the
organization which is good for the overall working of the company (Kraus, Roig-Tierno and
Bouncken,2019). Decisions and planning in the company is going to be good as well which is
going to make the standards of the company be higher and that is going to make sure that the
development of the company is better so that the company will be able to have higher operations.
Products of M&S are having a good standard for themselves which has to be well maintained so
that the company will be able to have better operations and working which is present for along
run.
4. E-commerce principles
Principles of e-commerce has to be followed so that there is going to be higher
functioning and working which the company is going to have so that there is going to be better
functioning. There has to be good design element so that there is going to be higher unique
features which the company can have. Online retailing is going to have a lot of ideas and make
sure that there are alternative ideas which are going to be present so that there is going to be
better impression and impress consumer (Stalmašeková and et.al., 2017). Attractive looking
designs have to be added in M&S so that the company is going to make sure that there are right
working and attraction of the clients which is going to be present. Focus has to be present so that
there is going to be present and sites which is going to make sure that there is going to be better
experience. Visitors are many in the company so that there is going to make the working and
functioning be better (Wißotzki, Sandkuhl and Wichmann, 2021). Search column has to be
present in M&S so that there is going to be higher satisfaction of the clients which is going to be
present of the clients. Filters have to be higher and make sure that the browsing of the company
has to be there which is going to make the results be higher and make the sales and profit
margins be higher.
Security of the companies online is very essential so that there are better functioning and
improvement which is going to be present. Target audience has to be known well so that there
are going to be better operations and working which is going to be present and that is going to
make sure that the company is having better functioning (Nwaiwu, 2018). Technology
responsive has to be present so that the loading and other switching is going to be present and
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similar products have to be developed so that the company is going to make sure that there are
right working. Layout has to be attractive of the website so that there are going to be higher
functioning and working which is going to be present. Expectations and demands of the clients
have to be matched by M&S since the company has been able to gain a higher working and
functioning from a long run. Company has to make sure that they are taking the right actions
according to the clients so that the company will be able to make sure that the profit margins are
going to be higher (Ukko and et.al., 2019). It is important for the company to work according to
the competition which is present in the market to be able to get the right working which is a very
important factor.
Right experience is present in M&S which is going to make sure that there are right
decisions and working which the company is having and that is going to make sure that there are
right working which is present. Factors which are affecting the company are that they are not
being able to understand the clients well online which can be done by understanding their queries
and other factors which is going to make sure that the company is being able to match the
factors. Exact working is going to attract the right clients and make sure that branding of the
company is going to be strong. Immediate actions have to be taken by the company to make sure
that there are right working and functioning which is going to be present hat the company will be
able to get better customers (Wirtz, 2019). There are discounts and other factors which is going
to make sure that there are impossible working which the company is going to have.
CONCLUSION
From the above report it can be concluded that digital businesses has really changed the
operations and working of the organizations which are present in the market. It is very essential
to make sure that there are right actions and improvement which is coming in the businesses so
that the competitive advantage can be further worked upon which is going to be a great factor for
the overall working. Clients have gotten active in the market which is why it is important for the
companies in the market to make sure that they are following the demands of the clients which is
going to be a great factor for the overall working. Staff requirement and pressure and other
importance are present in the company because of digital businesses which are present in the
market and that is going to make the standards and way of working different.
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REFERENCES
Books and Journals
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ekonomika i mezhdunarodnye otnosheniia. 62(9). pp.5-17.
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age of digital competition, innovation, and power. New York: Harper Business.
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business practices and lessons learned. Technology Innovation Management
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approach and experiences. In Architecting the Digital Transformation (pp. 9-36).
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