Research Report: Impact of Digital Technology on Business Activity

This research report examines the impact of digital technology on business activity, focusing on the retail industry, specifically analyzing the case of TESCO. The report explores the concept of digital marketing, the relationship between social media networking and marketing departments, and the challenges of integrating emerging technologies. It investigates the impact of digital technology on marketing at TESCO, providing recommendations for improving marketing activities through digital technology implementation. The report includes an introduction, literature review, research methodology, and timeline of research activities, providing a comprehensive overview of the topic and its implications for business operations. The study aims to understand the impact of digital technology on marketing in the retail industry, with specific objectives including evaluating digital marketing, identifying the relationship between social media and marketing at TESCO, and analyzing the impact of digital technology on TESCO's marketing efforts. The research also addresses the challenges of integrating new technologies and suggests strategies for improvement. The report is valuable for students and professionals seeking insights into the digital transformation of business.

Research project

TABLE OF CONTENTS
Topic: The impact of digital technology on business activity. .......................................................1
INTRODUCTION...........................................................................................................................1
1. Back ground of study ..................................................................................................................1
Research questions:................................................................................................................2
Research Rationale.................................................................................................................2
2. Literature review .........................................................................................................................3
3. Research methodology.................................................................................................................7
4 Timeline of research activities......................................................................................................9
REFERENCES..............................................................................................................................12

Topic: The impact of digital technology on business activity.
INTRODUCTION
1. Back ground of study
Technology has revolutionized the direction of companies through which they conduct
business by enabling small businesses to the level the playing field with the larger organizations.
In present scenario, organization have provided their major focus on implementation of digital
technologies in their business to innovate their business functions and activities. Digital
transformation is defined as the methodology in which organisations transform and develop new
business models and culture with digital technologies (Bharadwaj and et.al., 2013). It is
considered as imperative for all business. It encourages organization to use the innovative
business models and makes improvement in the experience of their employees, customers,
partners and stakeholder through utilization of digital technology. There are various important
business activities have been performed by organisation such as marketing, production, sales,
operations and human resource etc. digital technology has also increased profitability of
organisation by providing great support in promotion of products and services in market.
Social media networking is identified as important tool of digital technology which has
evolved various opportunities for organisation to achieve growth and attracting high number of
customers. By using social media application such as Facebook and Whatsapp, organization will
be able to increase promotion of their products and services in market (Berman, 2012). This is
also major implication that use of social media networking has reduced the cost of business
promotion. It has enabled organisation to promote their products to large population in less time
duration. Further, activities of marketing department of organisations are high affected after
implementation of digital technology because company's have increased their promotion and
identified various innovation which they can make in their business practices. Customers are
reaching out to business via so many channels. It is hard to keep up and offer them amazing
customers experience (Pagani, 2013). It also takes good customer's data in order to deliver great
service experience. Through this, organisation take good customers to deliver great service.
Further, social media networking tool can help the marketing department to save time and
running their business efficiently whilst organisation leverage business data in order to stay
ahead of competition. In order to accomplish research, scholar has selected international retailer
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store TESCO which ha also implemented social media networking in their marketing to promote
their products and services. It is enterprise that falls under retail sector and aims at providing
high quality service to customers at lowest prices. TESCO mainly emphasis on analysing
requirement of their customers and fulfilment of those requirements (Mulhern, 2013). However,
there are challenges have also been created by digital technologies for organisation which has
provided negative implications. In order to accomplish the following research, there are some
aims and objectives have been formulated by scholar which are mentioned below:
Aim: To understand the impact of digital technology on marketing in retail industry – A study
TESCO
Objectives:
 To evaluate the concept of digital marketing on business operations.
 To identify relationship between social media networking and marketing department at
TESCO, UK
 To identify challenges of integrating emerging technologies at TESCO.
 To analyse impact of digital technology on marketing at TESCO, UK
 To recommend and suggest strategies for improving marketing activities through
implementation of digital technology at TESCO, UK
Research questions:
 What is the concept of digital marketing in business operations.
 What is the relationship between social media networking and marketing department at
TESCO, UK ?
 What is the impact of digital technology on marketing at TESCO, UK.
Research Rationale
For carrying out this research, I have created my interest in these areas and retail sector.
This is also linked with my area of interest and provide support in develop skills and
competencies. I have selected this topic as I have personal interest in carrying out study on
various digital technologies which are available and used by organisation to promote business
operations. In this research project, I have also considered various literatures, books, journals
and articles to get information and data which is already published. Literature review helps in
development of various skills, knowledge and understanding about accomplishment of research
effectively. This study has provided assistance towards development of my comprehending and
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understanding skills. Further, I also have interest in collection of data and conducting interviews
which are beneficial for me to conduct successful career in retail sector. Therefore, I have
achieved knowledge related to implications of digital technology in improving efficiency of
TESCO business operations.
2. Literature review
Concept of digital marketing on business operations
According to Drnevich and Croson, (2013), digital marketing is considered as marketing
of products and services utilizing various digital technologies mainly on internet but also
including mobile phones and display advertising and other digital medium. Companies having
business operations at international level involves the topic that needs to be accomplished by
management for accomplishment of business activities. As per the view Bakhshi and Throsby,
(2012), while digitalisation brings great opportunities, it also requires planning and carefully
developed strategies for organizations, public sector and society alike. As per the TESCO
perspective, there is every reason to review everything from the business models, trademarks,
collaborations, echo-systems, organizations and investments etc. TESCO has achieved major
growth in market through implementation of digital technologies in marketing. From
perspective of organisation, there is every reason in order to review every thing from the
business models, trade marks and ecosystems, organisation, investments etc. digitalisation of
marketing activities like research, communication with customers, development of market
planning and identification of customers requirement and implementation of innovation in
products and services has been possible for organisation through application of digital
technologies in marketing. Fichman, Santos, and Zheng, (2014) argued that, digitalization
marketing functions have revolutionized change in business but it has increased problems
requirement qualified employees in marketing at TESCO.
Relationship between social media networking and marketing department at TESCO
According to El Sawy and Pereira, (2013), Social media and networking is identified as
channels which is based on internet and used by large number of people in country for
communication and development of social relationship. Continuously emerging trends of social
media in children's and adults have made its it opportunity for marketers to promote their
products and services. Neuman, (2013) stated that, there are is important relationship between
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social media and marketing department as they are interconnected with each other. Marketing
department in retail industry organisation TESCO widely used it as tool in their promotion mix
to increase their promotion of products and services. Social media marketing is considered as
most power full tools for TESCO in order to reach future business prospects and customers.
Their customers are attracting towards their brands through the social media applications and if
they are not speaking directly with their target customers through social platform like Facebook,
Twitter. Instagram and Pinterest. Effective marketing on social media will bring out remarkable
success to in their business by driving leads and sales. As per view of Brinkmann, (2014), there
are presently 1 billion user of smartphone in UK, which is also considered as major step towards
digitalisation. Presently people are more focus towards utilization of internet and other important
online applications in order to purchase an sell products and services. Moreover, government
reports and statistical information have stated that continuous rise in digitalisation has provided
various opportunists for organization to expand their business and increasing innovation.
According to Flick, (2015), Social media communication is favourite medium for people to get
information different products and services which are available for customers in newly
developed markets. Further, marketing department also create an effective relationship with
their potential customers through social media technology. While in contract to this BNS and
(2013), has argued that social media communication have also increased fluctuation in demands
of retail products and increase power of consumers to select the products. TESCO aims to
maximize high profitability as compared to customers but this digital marketing have raised the
perception of customers. Along with this in profits, it has increased the competition in market
between organisations in retail industry. Increase in competition has resulted in reduction of
profitability and sustaining market share,
challenges of integrating emerging digital technologies on TESCO business activities.
Critical analysis of literature provided understanding that organisation face various
challenges while regulation of business operations. These major challenges are needs to
identified by organisation before adopting nay change and influence of marketing on customers.
Other than social media marketing, there are various important technologies which can create
challenges for organization in market. Smith, (2015) has stated that there are some technical
challenges that needs to be faced by organisation in regulation of marketing on interest. In
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creation of interest, manager are required to promote their study and increase trends and
practices promoting business operations. Cloud computing is also emerged as an important
technology which is used for customers relationship management by storing and securing large
number of data. E-commerce channels are important part of digital which has raised also
increase promotional practices and used to deliver information about large number of population
to customers. Challenge created by E commerce is analysed increase in promotion because E-
commerce channels and sites charged high amount for promotion of products of Topics.
Management of business operations tends to raise for organisation to sustain its market share
through selection of appropriate digital technology and practices. Humphries, (2017) stated that,
a competition intensifies challenges, business are contentiously looking forward in order to make
improvement in their business models and keeping up with the marketing demands. Integration
of emerging technology sometime create major challenges for organisation as it tends to disclose
information about strategies of organisation in market among competitors. Social media channel
is widely used by competitors to identify information about their competitors. Through this, new
products and service which are offered by TESCO its customers can also be identified and
copied by organisation to make their substitutes. Implementation of emerging digital
technologies like internet has also provided challenges for organisation by increasing problems
of data security. Use of these technologies have also provided requirement of data security
systems for marketers of TESCO in order to secure data of their customers and business
information in different software. Increase in software and communication channels tends to
increase technical challenges and requirement of experienced employees at workplace.
Moreover, rise in requirement of qualified and IT experts will tend to increase cost of TESCO.
In contrast to this (), Integration of internet with business activities have also provided
support to customers but raise challenges for organisation to manage continuous changing
requirements of customers in market which provided impact on customers. Marketers needs to
make continuous efforts and spend their time in identification of customer requirements and
financial forecast to understand their competencies of their products in market in comparison
with substitutes.
Impact of digital technology on marketing at TESCO
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Digitalisation of marketing has increased the promotion of products and services in UK.
As per the view of (), the power of social media, mobility, analytics, cloud and internet of things
will continue to drive the digitalisation of marketing. Companies use technologies with an aim of
getting high profitability in market and fulfilment of their target customers requirements.
Managers in organisation are required to promote their products and service with an aim of
maximizing profitability through customers. According to Bharadwaj and et.al., (2013),
implementation of digital technologies has provided positive impact by increasing sales of
organisation in retail industry. As per Berman, (2012), 75% of retail industry in organisations in
UK are using digital technologies in their business operations. Through this, organisation are
able to directly communicate with their customers to get information about their requirement.
While Pagani, (2013) stated that, a application of these technologies have introduced major
resources for business to expand its business at international level. Rise in promotional practices
will tend to raise customer relationship and management. This will tend to reduce operating cost
and increase profitability of organisation in retail industry. Innovation is also an important
influence which is evolved by application of digital technology by companies. By using new
technologies like internet, E commerce and web surfing , marketers of TESCO will analyse the
substitutes products which are available for customers in industry. Technologies provide support
of business enterprise in gathering data about related to product life cycle and market preference.
It helps in generating new and ideas and concepts through which employees to transform
products and services. In contrast, Mulhern, (2013) stated that, application of digital
technologies has also improvement the supply chain management of TESCO and provided easy
accessibility of its products to consumers. Supply management refers to a channel through
organisation provide delivery of its products and to consumers. By using social media
application, managers TESCO will directly remain in contact with their employees at workplace.
Further, through implementation of digital technologies managers have also achieved an ability
to effectively manage their employees at workplace and provide them training to improving their
abilities.
On contrast to this Drnevich and Croson, (2013), implementation of technologies have raised the
issues for TESCO such rise in competition, decrease in profit margins, risk, data security and
increase in cost of hiring qualified employees at workplace. Integration of emerging technology
sometime create major challenges for organisation as it tends to disclose information about
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strategies of organisation in market among competitors. Social media channel is widely used by
competitors to identify information about their competitors. Through this, new products and
service which are offered by TESCO its customers can also be identified and copied by
organisation to make their substitutes. Implementation of emerging digital technologies like
internet has also provided challenges for organisation by increasing problems of data security.
3. Research methodology
This is analysed as process which is used by scholar in order to collect information and
data for purpose of making decisions. The methodology will include various quantitative and
quantitative tools and techniques which are used for completion of research effectively. In this
context, for conducting effective research on analysis of impact of digital technology on business
operations. There are appropriate methodologies have been applied bys scholar which provides
effective results and research outcomes. Further, some effective tools and
 Research philosophy:
The research philosophy is required to be carry out so that objective can be achieved in
effective way. The data can be effectively collected by personnel and modified and used to
resolve research questions. In relation to this, mainly there are two types of research philosophy
i.e. interpretivism and positivism which can be used as per the aim of the research (Neuman,
2013). To accomplish project, compilation of above two philosophies will be used by the scholar
so that better conclusion can be drawn in the best possible manner. The combined research
philosophy will be beneficial to properly carry out impact of digital technology on Tesco Plc.
Thus, results would be drawn in effectual way and aim of research will be met by the researcher
regarding impact of digital technology on the organisation.
 Research design:
The research design is termed as outline of various activities and tasks which will be performed
by researcher in the present study of Tesco Plc. Moreover, research design is known as business
strategy which will guide researcher to effectively extract aim of research by following proper
direction and as such, choosing right design so that timely accomplishment of the topic under
study can be met with much ease. This will help scholar to effectually resolve various research
problems and as such, concrete solutions will be achieved by researcher (Taylor, Bogdan and
DeVault, 2015). On the other hand, it is required that proper research design should be chosen in
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accordance to the nature of research undertaken. In relation to this, descriptive method of
analysis will be taken into account in order to extract enhanced results. This technique will be
helpful for analysing methodologies and theories and as such, accurate results would be drawn so
that problems can be resolved with much ease.
 Research approach:
This is required so that methods can be implemented and as such, research can be accomplished
in desired way. In simpler words, research approach is used by researcher to implement methods
in order to carry out research in the best possible manner. Mainly, there are two types of
approaches like qualitative and quantitative approach. Qualitative aspect means that theories and
principles will be used to effectively carry out aim of the research. On the other hand,
quantitative aspect implies that information will be gathered and interpreted numerically. The
research approach of this kind help to carry out computation of collected data in numerical form
and as such, more concrete solutions will be obtained (Mackey and Gass, 2015). While, in the
present study, qualitative approach will be effectively utilised by researcher so that data can be
interpreted with the help of theoretical aspects.
 Sampling:
The sampling is required so that only appropriate sample can be taken from the universe. This is
essential as when population is large enough, one cannot take all the viewpoints of individuals
because it consumes lot of time and uneconomical way as well. Thus, there are two types of
sampling techniques which are widely used by scholar to conduct research by taking sample
(Brinkmann, 2014). These are probabilistic and non-probabilistic method. With regards to this,
simple random sampling method will be used by taking sample of 30 employees of Tesco Plc to
effectively achieve aim of research which is to assess impact of digital technology on the
organisation. Hence, this method will provide effective results to scholar in carrying out research
in effectual manner. Without taking sample of population, quick and fast results cannot be
obtained.
 Data collection:
The data collection is required so that impact of digital technology on Tesco Plc can be analysed
in a better way. This will be accomplished by taking primary and secondary data so that data can
be interpreted in effective way. Primary data implies that researcher collects the same for the first
time and as such, it is not being used by previous researcher for conducting research. In relation
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to this, data will be gathered by conducting interviews, surveys and online questionnaires would
also be used to collect information in the best possible manner. On the other hand, secondary
data means that information which is freely available and researcher can use the same. Thus, it
will be collected from books, journals and usage of internet. Thus, both types of data would be
gathered by scholar.
 Data analysis: This is an important part of conducting research which is based on of
various tools and techniques which are used to transform data in to useful information. It
is also considered as important methodologies in which researcher tends to utilize the
data which is collected through different means of operations (Panneerselvam, 2014).
There are various qualitative and quantitative method which are used by scholar for data
analysis. Effective data analysis by scholar will help its users to interpret results and
understand outcomes of research effectively (Smith, 2015). It also helps in resolution of
issues to increase promotion of products and service in market. In this context, scholar
will use thematic method for analysis of data which is collected through questionnaire
from employee of TESCO. This method of data analysis involves the use various charts,
figures, charts and diagrams which helps in making research more reliable. Ethical consideration: In this, scholar has used ethical considerations which are
mentioned above: Informed consent: Scholar have faced problems in gathering data from sample size.
They have not cooperated first but after getting permission from immediate supervisor,
they have provided information. Non compliance of this will lead to an ethical issue
(.Humphries, 2017).
 Confidentiality: It is stated by scholar that all data and information collected from
employee will not be disclosed to externals and secured effectively. Because of secured
data base and encrypted files, scholar was not able to access some journals and articles.
4 Timeline of research activities
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Identifi
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