In order to remain competitive in the contemporary market, it is essential for business to focus on expanding their operational activities by using online platform (Kollmann, 2010). Through using internet platform, organization can easily sell or distribute their products and services across the national boundaries. However, with the usage of e-business models and internet technology, organization can easily take advantage in order to meet the changing requirement and need of customers. For the present report, selected organization is Asos which is one of the leading online fashion stores of the UK that generally deals in selling of fashionable and beauty products to the young customers. The online stores also sell products of 850 brands and their personal range of fashionable clothing. Furthermore, the report will focus on elaborating various e-business models that are being used by the business that support them in generating the revenue and income of the business.
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1.1 Environment in which e-business is conducted
In the contemporary environment with the changing aspect of internet technology, it is essential for organization to focus on different environmental factors through which they can easily conduct their e-business (Hwang and et. al., 2011). Asos which is a renowned online British fashion and beauty store mainly target young customers to sell their products and services. Therefore, online business manager of Asos must focus on analysing different environment of e-business so that they can easily conduct the business transaction in various ways as follows:
1.Business-to-Business (B2B): Under this form of environment, e-business dealings takes place between different businesses.
2.Business-to-consumers (B2C): This is another environment of e-business under which transaction takes place between the business and customer (Wymer and Regan, 2013).
3.Consumer-to-consumer (C2C): Under this, e-business environment dealings take place between different customers. The best example of C2C business is auction sites.
4.Customer-to-Business (C2B): This is another environment in which business can conduct their e-business. Through this, business earn revenue by commenting and reviewing their sites.
Therefore, Asos generally focuses on conducting their e-business transaction through applying Business-to-Consumer (B2C) model. Under this environment model, Asos can directly perform dealing with their ultimate customers and provide required products to their young consumers (Kollmann, 2010).
1.2 Benefits and barrier to businesses considering at online presence
Asos mainly generate their revenue through focusing on online presence therefore; there are different benefits and barriers to Asos while considering online presence that are stated in following points-
Easiest way to target large mass of audience
The foremost benefit of considering online presence to Asos is that it is considered as the easiest form through which business can target large audiences. However, through online presence, company can showcases and features wide range of beauty and fashionable products to large customers who are residing in the different countries.
Cost effective method
Another benefit of online presence to Asos is presenting products on the internet platform and delivering products to customers through online medium that is cost effective method for the organization (Stanford-Smith and Kidd, 2010). As establishing online presence requires low budget as compared to opening the authorized or physical stores. However, it will also benefit Asos in promoting their beauty and fashionable products to large customers as it is considered as less expensive method.
Furthermore, with the benefit of online presence, there are also some barriers that exist in external environment that directly impact the operations of Asos. The different barrier to the online presence are-
The key barrier identified by online business manager of Asos while considering the online presence is related with data security. As, executing the online dealing of products Asos will ask their customers to fill their necessary personal information so that they can purchase their fashionable and beauty products online. So, the main barrier for Asos store is to secure the personal data or information of the customers so that they can securely proceed with their transaction.
1.3 Modes of communication available to organization
There are different modes of communication that are available for Asos e-business that support them in connecting with their customers as-well-as employees of the organization. The different modes of communication are:
Electronic Data Interchange (EDI)
EDI is an effective mode of communication in the contemporary environment that focuses on exchanging the business information and documents among the different business organization (Benefits of EDI, 2015). However, it is applied in Asos business that supports them in exchanging the business document and information among the different department in an effective manner by reducing the paper-work or faxing of document.
Social media sites
Another mode of communication that is available to Asos e-business organization is use of social media sites that support the business in communicating with their customers (Combe, 2012). However, this mode of communication is also effective for Asos as through this, they can easily market and promote their fashionable and beauty products in different region. This mode is applied within the organization that supports them in targeting their young customers and determining the actual need and preferences of their customers.
2.1 Internet technologies and their importance
Internet technology is the an infrastructure for communicating others through a unique internet protocol (IP). It is not a physical network but a network which helps forming IP suits and other related services. Internet can be expressed as the biggest library which contains ample amount of information in almost all sectors of the world (Borges, Hoppen and Luce, 2009). It has became a means of communication for every individual. It allow businesses for to do international trade without much barriers.
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Advancement in the technology has created the medium of interaction between Asos and their clients. This technology make them aware about the changes happening in the global market and which helps them to change their strategies. Asos, through the help of technology advertise their product online and reach to wider population. It help in generating more revenue for business (Koh and “Ted” Nam, 2005). It is the cost effective way for Asos to attract large number of audience. Through internet technology, they can update their sites with videos, photos and many other things to entertain and to reach to their mind. For Asos, internet technology have create a wider world where they can expose, advertise and attract large number of customers for their products.
2.2 Main features of HTML
HTML stands for Hyper Text Market Language. It is in World Wide Web page language. This is used to tag text files to attain color, font, hyperlink effect and graphics on WWW Pages. Its main features of HTML are as follows :
It's the HTML's foremost features (Palmer and Daniel, 2010). it helps in supporting audio and video files both to be played in the browser. Videos and audios are played as easy as image downloading.
New Input Element Types
This is an important data driven element for web application. This help in receiving the data in required input type format (Alghamdi, 2011). With this help one can enter passwords, file, emails, etc. to their web application.
It is a command for HTML by which they provide pixel operations. These operations contributes to drawing lines, circles, boxes, playing graphics, etc.
Through this feature of HTML, end user is able to edit the content as per their requirements. Developers, while forming web pages have to include notes or editor sections for editable content.
Auto focus and Placeholder attributes
Auto focus feature helps control of automatically focusing on the page loading (Andam, 2003). Placeholder is the feature which give a value to the placeholder attribute. It moves the focus over input control like a water mark does.
2.3 Function of client servers and browsers and role of search engines
Function of client servers and browsers
The structure of e-commerce website generally involves three tier structure that consists of web client, server and browsers. However, e-business activities generally focuses on function of client and server that support the customers in browsing and gaining access information regarding Asos. Server is the key component that provide relevant service to other device or machines through internet platform. However, the machine or device that is connected with servers are consider as clients (Hahn and Kauffman, 2003). Therefore, relationship of client and server is essential as it supports in accessing and providing required information to the client and user. Furthermore, web browser is also consider as an effective application that recover and regain the required information related with the specific topic or area through accessing www that is World Wide Web. However, the main purpose of web browser is that it support in accessing and acquiring the adequate information regarding the topic.
Role of search engines
Search engine is consider as a software application that assists e-business organization in searching the relevant information through is browser that is www. However, search engine plays significant role for the e-commerce sites and e-business as through search engine customers or individual can access the required information and product that they want to purchase.
2.4 Use of intranets and extranets business communication aspect in business
Intranet helps fulfilling the digital communication need of the organization. They provide securities for accessing, developing and storing electronic items. Intranet is useful in replacing the older business practices. They helps providing gains to Asos by increasing work flows and decreasing errors. Specific Intranet applications use network folders , where various employees can use same files. Offline websites are also created that helps practicality before online work. Instant messaging software and internal email system is formed. Also for facts and figures databases digital references are used.
Multiple intranets together form extranets network. Main use of extranets is to provide facility of coordination between Asos and their joint plans with any other companies. Through this Asos can share their information and take initiative of things. They provide controlled way of setting of interacting with clients than by the internet. They permit various companies to use other company's network services. For example, data processing application which maintained and developed by one company and is used by other company's intranets.
3.1 Different e-business models that can be used to generate revenue for a business
In order to generate the revenue or profits for the business it is essential for Asos to focus on the different e-business models that they can apply while transacting with their customers. The different e-business models are as follows-
This form of e-business model generally focuses on selling the products to the intermediate buyers then then who further distribute the products to ultimate customers (Wymer and Regan, 2013). B2B model further include various framework that is E-procurement, E-distributor etc. that focuses on targeting or distributing their products to the business organization that will further result in targeting the ultimate buyers that is customers. This e-business model involves commission rate that result in increasing the prices of products while delivering to the customers.
Another form of e-business model is business-to-Consumer that eliminate the intermediaries or agents. Through this model e-business organization can directly come in contact with the customers (Kollmann, 2010). This model mainly include E-tailer, content provider framework that directly meet the requirement of customers by providing them required products.
Through analysing both the e-business model Business-to-Consumer (B2C) can be applied to the Asos organization. As, through BSC business model they can directly provide wide range of fashionable and beauty products to the ultimate customers without any intermediaries or agent.
3.2 Analyse each e-business models in terms of its capacity to generate revenue
Both the e-business models are effective for Asos e-business organization as it support the online store in generating the profit margin and revenue that further support in developing their model in the effective manner so that it can benefit the e-business organization (Stanford-Smith and Kidd, 2010).
B2B model is an effective model that results in generating revenue for the business. Through following this e-business model Asos will able to generate revenue as this model focuses on selling product to the supplier or another business and they further sell the product to their ultimate customers (Shelly and Campbell, 2012). However, through analysis of this model it can be stated that it is not an effective method as it focuses on generating revenue by increasing the prices of their fashionable and beauty products.
Another model is B2C, this model is also effective in terms of generating revenue as through this model Asos is directly in contact with the customers. Therefore, e-business organization can directly sell their fashionable and beauty products to the ultimate customers that reduces the level of commission or agent.
3.3 Future developments in e-business
In order to remain competitive in the changing technological environment it is essential for the online business manager of Asos to focus on the different future development within their e-business model (Soto-Acosta and MeroñO-Cerdan, 2008). Thus, it support the company can positively contribute in enhancing their online presence in the different region and country. The various future developments in e-business model are-
The future development in e-business model must ensure introduction of cloud based services to the customers and clients. In order to securely run the Asos website it is required by online business manager to focus on this future development (Sanders, 2007).
Social media sites
Another development in the e-business model is that Asos must use the social media sites for connecting and engaging their customers. However, in future social media can also act as effective platform for marketing and promoting their fashionable and beauty products in the global market.
4.1 Key elements of good web design structure
It is the foremost duty of online business manager of Asos is to focus on introducing good web design structure of their online page as it would support them in reducing the impact of security issues. However, with the effective web design structure of Asos it will result in operating the website in the efficient manner (Combe, 2012). Therefore, online business manager of cited firm generally focuses on key elements of good web design structure that would assist Asos in attracting large number of audiences towards their site. The key elements of good web design structure are-
The foremost key element for good web design structure is that online business manager of Asos must focuses on high screen resolution so that content or information regarding the
fashionable products are easily visible by the customers (Borges, Hoppen and Luce, 2009).
Good usage of graphics
Another key element for good web design structure is that online business manager of cited organization must focuses on using good graphics, quotation, images, logos, themes etc. so that it may attract the customers towards their colourful web page.
4.2 Impact of well designed websites to an e-business
A well designed website positively depicts the image of company and quality of the products that they sell to the customers (Koh and “Ted” Nam, 2005). However, there are various impact of well designed website to Asos business that is-
- A well designed website of Asos encourage and boosts the large customers to view and visits their websites. However, it proper and adequate content regarding the features of products also support in attracting the customers to purchase their products.
- In addition to this. Well designed website of Asos also positively impact in generating the sales of their fashionable and beauty products in the market (Palmer and Daniel, 2010).
- Furthermore, another impact of well designed website is that it support in enhancing and building the brand image of the company among the global market audience.
4.3 Common issues concerning website usability
There are different issues that occurs while concerning the website usability that is-
Duplication of websites
The foremost issue that is concern by online business manager of Asos is related with the duplication of websites (Brock and Azim-Khan, 2009). This mainly lead to enable misrepresentation and mis-interpretation regarding the fake fashionable and beauty products on the websites. Therefore, Asos must avoid the copying of sites by opting legal licence from the government for carrying out e-business activities.
Website requires registration
Another issue that arises while concerning the website usability is the long registration process on the websites. In order to purchase the specific product from the sites customer require to fill the registration form (Alghamdi, 2011). Therefore, some registration page consists of dangerous malware and viruses that may attack the data stored in the computer.
From the above report it can be concluded that in the contemporary technological environment e-business is gaining significant aspect in distributing and selling the wide variety of products to the global customers. Furthermore, the report has also concluded the range of e-business as it support the organization to target large mass of audiences through focusing on online presence. However, the role of internet, intranets and extranets within the e-business has also been studied in the report that support the business in encouraging their business activities on the internet platform. Lastly, the report has also measures the impact of well designed website structure to the e-business organization.
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