Comprehensive Report: The Scope of Internet and E-Business Analysis

This report provides a comprehensive overview of the scope of internet and e-business. It begins by examining the e-commerce environment, including the transition types, benefits, and barriers, and then delves into security and policy issues. The report explores various communication modes like social media, emails, and mobile phones. It analyzes internet technologies and their impact on business success, including HTML features, client-server functions, and the role of search engines. The use of extranets and intranets is discussed in the context of online business communication. The report also covers e-commerce revenue models, web design elements, and website usability issues, concluding with insights into the future of e-business models. The report uses Ocado.com as a case study to highlight key concepts.

THE SCOPE OF INTERNET
AND E- BUSINESS

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Environment of e- commerce and business transition types.................................................1
1.2 Benefit and barriers related with online business. ...............................................................2
1.3 Evaluation of security and policy issues under e- commerce...............................................2
1.4 Major modes of communication in e- business. ..................................................................3
TASK 2............................................................................................................................................3
2.2 Main features of HTML. ......................................................................................................4
2.3 Functions associated with client server, browser and major role of search engine. ............4
2.4 Crucial use of extranet and intranet in context of online business communication..............5
TASK 3............................................................................................................................................6
3.1 Major models of e- commerce used to generate revenue in respect of a business. ..............6
3.2 Evaluate models in respect of its ability to generate revenue. .............................................6
3.3 Future development in context of e- business model. ..........................................................7
TASK 4............................................................................................................................................7
4.1 Major elements of an excellent web design structure. .........................................................7
4.2 Impact of well made websites on online business................................................................8
4.3 Major issues that are related with websites usability............................................................8
CONCLUSTION.............................................................................................................................8
REFERENCES..............................................................................................................................10
.......................................................................................................................................................11

INTRODUCTION
The face of marketing is changing day by day. With the introduction of fastest
technologies, companies are moving online. The concept of physical stores is now being
replaced by online marketing. E- Commerce can be very well defined at the platform where the
concept of virtual marking takes place. This concept has become popular due to its several
advantages overall retail marketing (Dillman, 2011). This is the fastest way of buying and selling
of goods. As far as this report is concern about, Ocado.com is one of the largest online grocers in
all over the world. It is one of the major players of U.K in online retailing. They have created a
strongest platform where customer can shop online. This report will enable to understand the
basic environment in which e- commerce is operated. There are also legislation issues that need
to be taken into consideration while operating online business.
TASK 1
1.1 Environment of e- commerce and business transition types.
As e- commerce is one of the major results of introduction of latest and fastest technologies in
the world that is why, it is important to know the major background and environment of online
business. There are mainly three systems that are involved in e- commerce. System related with
human activities, communication technologies and information system. Combination of all these
three systems together to form an environment in which all the activities under e- commerce is
carried out (Dawson and Cowan, 2013). According to the mentioned company that is
Ocado.com, it can be estimated that the company have very well evaluated the environment of
internet marketing before entering into it. s
Given below are the major types of e- business:
Business to business- These are the major business transactions that mainly takes place
between two business units. Example of this can be business between wholesaler and retailer.
Business to consumer- This type of business activities refers to the idea where consumers
served with best possible services or products over internet.
Consumer to business- Customers in this type of business activities sells their product and
services to companies with the help of internet.
Consumer to consumer- Best example of this can be online auctions. This business activity
happens between two customers.
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1.2 Benefit and barriers related with online business.
There are many benefits as well as hurdles in context of online business. In reference to
the mentioned online company that is Ocado.com, given below are the points on the basis of
which advantages and barriers of e- commerce can be determined.
Benefits
Online business is one of the major factors that have changed the overall face of market.
Now with the help of internet marketing, customer can purchase product and services so easily.
They can save their time and also they can avail best quality products with minimum prices.
With the help of internet marketing, a growth can be seen in the economic condition of various
countries.
Barriers
One of the major barriers to the internet marketing is the legal issues. Companies like
Ocado.com have to consider all the policies and legislation that are required in order to establish
online business. There are some set norms, rules and regulations that are made by government in
order to monitor all the functions and operations in context of online businesses.
As per the above points it can be conclude that there are many factors that can foster and
even suppress the growth of e-commerce and thus these factors must be considered by various
online companies.
1.3 Evaluation of security and policy issues under e- commerce.
It is one of the very crucial elements in any online business activities to evaluate all
securities and legislation issues in order to commence internet marketing (Zarrella, 2013). Given
below is the brief discussion on security and policies issues:
Securities issues
It has always been a great issue in context of online marketing that the securities of online
data have not kept safe. That is why, it has to make sue that there would not be any misuse of
online data. By following this, e- commerce can successfully make its market. E- Commerce has
come up as a major source of theft. In order to run online business with most effective manner,
mentioned company have to take measures against security issues related with online marketing.
Legislation issues
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Every business has to follow some basic policies in order to conduct their operations. In
the same manner, online companies these days are facing some legislation issues. Some of the
major issues include the problem related with intellectual property rights. Global market has
taken several steps to overcome mentioned issues but still intellectual property rights vary from
country to country. Second major issue is that no proper authenticity has given to electronic
transactions.
Payment service regulations 2009: This is one of the major act which was passed in EU
parliament in order to prevent various fraud and misuse of payment service provider and protect
the consumer right specially for the e- business and commerce related activities.
1.4 Major modes of communication in e- business.
Mode of communication plays a vital role in fulfilment of all objective of a company. As
far as Ocado.com is concern about, it has been evaluated that there are a set of communication
channel which must be applied in order to carry out all the functions related with internet
marketing. There are number of medium which supports communication with the mentioned
company and given below is the brief discussion on these models of online communication:
Social media- One of the major advantages that an economy can get out of various technologies
is the tremendous use of social media (Zarrella, 2013). This brings the people of entire world in
the same platform. Thus, mentioned company is using social media in order to get sustainability
in online marketing.
Emails- This is again use as a medium to interact with consumers in context of online
marketing. Information has been provided to customer with the help of Emails. These mails are
in digital written format; hence it becomes easy for the customers to understand the information
given by online companies.
Mobile phones- In order to communicate with customers, it is necessary to be more
depended upon phones. This is widely used by maximum number of customers. That is why,
internet based companies tries to communicate with customer with the help of telephones
TASK 2
2.1 Internet technologies and its importance in success of any business.
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As with the passage of time, there are several methods and techniques that are used in
order to increase the growth of the economy. Technologies have changed the face of today’s
world. It has been proved with the help of several technologies that the process of several
industrial activities becomes easy (Chapman and Henderson, 2010). In context of online
marketing, the mentioned company Ocado.com has proved their strong command over internet
marketing as this company is the world’s largest online supermarket. There is a major role of
technologies in the development of e- commerce. Given below are the major ways by which
technologies can boost the internet marking.
1 It gives a proper platform to communicate with the customers and clients. Thus a
business needs to be successfully operated as per the demands of the consumer.
2 It helps the lower down the production cost of the company. There will be no such
intermediaries between company and consumer. Thus it improves the overall effectiveness of the
company.
3 It also helps in attaining maximum number of profit by maximizing domestic shares of
market. This will lead to increase the entire international market shares. Productivity can also be
increased. Customer service and simultaneously satisfactory will be a key affect of using internet
marketing.
2.2 Main features of HTML.
The full form of HTML is hyper text markup language. This is one f the major tools with
the help of which online activities can be done. It can be better known as a standard market
language and specifically utilized in order to make web pages. It can be represented as <html>. It
is a well known fact that HTML acts like a building block in context of any websites.
It is important to know all the features of html, so that the concept of internet and e-
commerce can be successfully adopted by the web user. It is a major element which helps to
decide the availability of websites.
2.3 Functions associated with client server, browser and major role of search engine.
In order to understand all the functions and features of internet, it is important to know
the basic concept behind client server, browser and search engine. The concept of “client server”
can be understood by knowing the fact that it establishes a relationship between two computer
systems that are different from each other in such a manner that client from one computer
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program makes request of a serve from the another program of server (Ahmad Omar and
Ramayah, 2010). One of a very major example of this can be seen in banking perspective.
Customer can see its account details to the central server of bank. Mentioned company
Ocado.com has very well understood this concept and thus they are now an internet marketing
leader.
Search engine on the other hand acts like a basic tool with the help of which all the
internet functions can be performed. There are several search engines like Google, Yahoo and
many more which have made so that people can surf on internet and get all the information with
just one of touch. There are several browsers available on internet to facilitate world wide
information for the people.
On the basis of above discussion, it can be concluded that search engine, browser and
client server plays a major role in order to perform all the key functions on internet.
2.4 Crucial use of extranet and intranet in context of online business communication.
It is very important for the online companies to have an expensive reach towards various
networks. This is because with the help of networks only companies can share informal in both
internal and external context. There are basically two types of networks available in order to
solve this purpose. One is the intranet and second is known as extranet. Intranet on the one hand
can be defined as the network which is internally operating and used to share information within
the company (Fan and Tsai, 2010). On the other hand extranet used to reach to the wider range of
network outside the companies boundaries.
Advantage of intranet and extranet are somehow same which includes international
communication, sharing of resources and many more. There are some additional advantages of
extranet over intranet that it helps in the improvement of building up more effective business
relationships and the concept of integrated supply chain can also be achieved.
A part from positive sides of intranet and extranet, there are also some disadvantages
which are given below:
Security issues- As maintaining security over internet is one of the major concern of any
online company that is why sometimes it becomes an issue to deal with security problems.
Managerial issues- It is necessary for the management to maintain intranet and extranet
faculties so that there would be no managerial issues in the company.
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TASK 3
3.1 Major models of e- commerce used to generate revenue in respect of a business.
There are various models of e- business which is helpful in the major development of the
concept of e- commerce (Drossos, Fouskas and Papakyriakopoulos, 2011). These models are
responsible for providing a correct layout of e- commerce system according to the kind of
business. Thus it is necessary for the online company to understand and apply this concept in
order to make business structure. Major models can be store-fronts, portal model, auction model
and dynamic pricing model.
Affiliate marketing: This is one of the most common approach of marketing where a company
required to offer its product thorough customer recommendation and those will get commission
on it. Cited firm is required to use such techniques to sale their product and generate revenue
from them.
Online advertising: It is another approach where a company put them add on different digital
media tools such as Facebook, Instagram, You Tube, Twitter and other platform which will help
to provide direct link to the company and its product. This approach is commonly used in new
era and also help to generate large number of revenue from them.
3.2 Evaluate models in respect of its ability to generate revenue.
There are various models present in order to provide proper structure of the business as
per its objectives. In context of revenue generating ability, it has been noticed that the above
mentioned model can produce revenues but its efficiency can vary as per the concept of different
models. In context of online marketing, these models are taken into consideration in order to
achieve maximum number of profit.
Store-front model- In this type of model, as stated above that it provides a platform
where buyers and sellers deal with each other and thus for the online companies it becomes easy
to generate revenue with the help of online transition facility.
Porter’s model- In this type of model, revenue is generated from online transitions and
subscription fees. It has been mentioned above that this type of model will be successful in the
field of online advertisement.
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Thus, it can be concluded that there are many models adopted by online companies that
can generate best revenue for them.
3.3 Future development in context of e- business model.
It has been noticed from last decades that the emergence of new, latest and fastest
technologies have lead to increase the scope of e- commerce in the market. That is why it can be
very well forecasted that in the coming future there will be a tremendous growth in this field.
Major points that support this argument are discussed below:
Technologies- This is so far the best example with the help of which it can be concluded
that e- commerce in the coming future will be developed (Pomirleanu, Schibrowsky and Nill,
2013). As the basic factor on which the entire operations of online marketing depend is the
availability of technologies. If there will be ore technologies with time that will surely provide
best platform to internet marketing to expand rapidly.
Global marketing- The concept of global marketing has lead to increase the trend of
internet marketing. Over the seas, marketing can only be done on virtual basis. That means there
must be online marketing. Thus, in the coming future, the concept of online marketing will be
increased.
Easiest way of marketing- There are so many benefits of internet marketing over
traditional marketing concept. This saves the time of consumer and provides best services and
products. That is why this concept if marketing will surely enhanced in future.
TASK 4
4.1 Major elements of an excellent web design structure.
Web design is one of the major factors with the help of which the concept of internet has
taken its shape. It has been found that the structure of websites is made up of several key
elements for example, description, navigation, keywords etc. Among all these three elements, the
most important one is keywords (Taylor and Strutton, 2010). This element is the most crucial
part of a web design and thus plays a vital role to decide the success rate of any websites. These
can be:
Colour Scheme in Web
Design
This is essential for a company to use effective and leasing colour
combination which can attract customer specially the logo, and
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product image.
Consistent Theme This is another principle where required to design the web page layout
unique and attracting for the visitors.
Clear Contact
Information
A web designer makes sure that to provide relevant and clear
information about thy company, its back ground, product specification
and so on.
4.2 Impact of well made websites on online business.
The success rate of every online business typically depends upon the type and quality of
websites. On the basis of this, it can be very well estimated that a well made website is so very
important in order to attract a number of web surfers (Christiansen, 2011). Given below is the
major impact of well made websites in context of online marketing.
Number of visitor increase- As per the features of websites, the number of visitor can
vary. Now a day, web surfers are very well aware about market trends and have done full market
research. That is why, they try to explore best website as per their requirements.
Company can make good profit- Having so many attractive features of websites, the
changes of gaining page view increase. When the number of customer to a particular online
websites increases, it means that company can easily make profit out of their internet marketing.
That is why an online company should work upon the areas like functionality, design and
content. It is necessary for website to make excellent context and design
4.3 Major issues that are related with websites usability.
Optimizing the web- pages is very important for the success of e- commerce. Thus it
becomes a major factor for any online company to be more specific about making best websites
so that the usability of it can not be affected by various issues.
Loading speed must be minimum- This is so far the major issue that must be resolved
in order to determine the efficiency of e- commerce. It must be ensured by the online companies
to set loading speed of their websites (Christiansen, 2011). Web surfers must not wait to long o
visit any particular website.
Clear and attractive content- It must be maintained by the online companies to
establish a clear and attractive content so that web surfers can find it easy to explore that page.
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CONCLUSTION
On the basis of this report it can be concluded that e- commerce is one of the major factor
with the help of which customer are now moving towards fastest marketing concept. There are
various online companies which are ruling in the market. Ocado.com is one of world’s largest
supermarkets. They have considered various models of e- commerce and finally with the help
best model they are now able to generate maximum revenue.
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