Porter's Five Forces Model Of E-Business

Digital Media has influenced or changed the field of e-commerce. The changes for the consumer are a larger selection of items as well as the ability to purchase items anytime anywhere. Also, they now have the ability to price compare and find the best buy. For the seller, they have access to more customers. Websites allow anyone from around the world to shop at a store. No longer is a business owner limited to their local clientele. Anyone from anywhere is a potential client.

United Parcel Service, a logistics company has established itself through its strong corporate culture, continuous ability to innovate, and its far-reaching global network. The company has maintained a competitive advantage over the years by implementing continuous growth strategies—the first was geographic expansion, next the early adaptation of electronic tracking technologies, and then came a series of acquisitions. Although UPS is financially strong and is able to maintain its role in the courier and delivery industry—it is vital that UPS continue to act strategically as to strive for long-term success. UPS is heavily dependent on the U.S. economy and it is important that it find greater and more profitable ventures

As the world’s largest package delivery company and a leading global provider of specialized transportation and logistics services, UPS, continues to develop the frontiers of logistics, supply chain management and e-commerce combing the flow of goods, information and funds. This past October UPS Logistics Solutions was voted #1 logistics provider by Logistics Solutions. When conducting an industry analysis, it is important to explain the competitive forces model (CFM) of UPS. The first component of competitive forces model are the customers. Their customers consist of business organizations, and the general public. The second CFM component is competition. UPS have a lot of competition in its field, but the most competitive company is FedEx. Since FedEx provides the same services as UPS; both are neck to neck in competition, but UPS has an established history, and because of that, they have more loyal customers, and they are worldly known. They have established them-selves as the elite, with their commercial on television. Showing how they can deliver from one place to another with same day delivery and

1.How does this Web site enhance UPS’s competitive position? Change the way it conducts business?

The internet offers the potential to achieve a global market success for any business. Businesses that go online increase their opportunities to reach their target market and is cost effective when compared with other forms of marketing. It creates opportunities, benefits and challenges for a business but in the long run is worth it for the added publicity and hopefully profits. Going online has benefited many organisations including Tesco PLC. I will be using Tesco as my example of the benefits, opportunities and challenges for a business by using the internet. Tesco has operated on the Internet since 1994 and started an online shopping service named 'Tesco Direct' in 1997 which

Operation leaders are tasked to identify the critical success factors and core competencies of their business functions and objectives in order to generate sustainable long-term growth. Critical success factors are actions essential for a business to reach its objectives. (Heizer & Render, p. 42, 2009). UPS’s key success factors are its efficiencies in scheduling, integrating the stream of goods, its ability to provide multiple solutions such as “harmonizing the flow of goods, information and funds across customer supply chains” while enabling consumers to “evolve in new and necessary ways” (Lewis, Forquer & Quinter, pg. 2, 2007). UPS’s environmental factors include their supply chain design and planning, competitors in logistics such as FedEx, distribution services, diversification in the global environment and focusing on differentiation. UPS is also an expert in its industry because the strategy is globally focused and is centered on diversification of its systems (See Appendix1.1)

The main objective of this study is to examine the important and advantages for Tesco in using e-business strategy to compete with competitors. It also includes on how Tesco could satisfied their customer needs or demands adequately with their e-business strategy and how Tesco could improve their current model and make it even better.

Lubbe (2003) establishes that “E-commerce presents unique opportunities for less developed countries to greatly expand their markets, both internally and externally. Externally, the Internet and other technologies may allow for low-cost international trade, even for small, local businesses. Internally, many groups of citizens who had been considered "marginalized" and "unbanked" may gain affordable access to financial services, and may thus participate more readily in all aspects of the economy.” Since e-commerce opens frontiers and eliminates the long distances now you can buy products that seem imposible to reach the economical impact depends on the industry involved for some can be beneficial such as walmart because they still have physical store and for some others can be not as beneficial.

E-commerce is important to business today because it give the firm an online market presence, and allows firms to

Besides, E-commerce is also considerably fast and means that the business will be more efficient. Furthermore, saves costs, as the business does not have the costs associated with running the business. They do not have to pay for such things as lighting, electricity, and fittings. With ecommerce the user has the ability to search for their product without having to look around shops in a time consuming manner. In fact the information is at their finger tips and can be accessed within minutes without even having to leave your home unlike shopping on the high street.

UPS has been in the package delivery business for 95 years, providing services to businesses and consumers worldwide in more than 200 countries. In 1994, UPS began to investigate the potential of e-commerce and started an internal group focused on enabling e-commerce. UPS redefined its core business and found ways to change its structure and processes, forming new businesses to take advantage of new opportunities. UPS was interested in finding ways to leverage their extensive infrastructure and expertise in basic transportation of goods, services, and

What has been the impact, positive and negative, of the Internet on the way we do business?

E-business uses the digital technology to optimize the business activities of organization in order to increase the efficiency and effectiveness of operation and gain competitive advantages. E-business provides the solution that allows the organization to instantly share database, information of products and services, financial figures and data and nearly anything else that the organization may need to operate the business activities effectively and efficiently (Nguyen, 2013). E-commerce which is the abbreviation of electronic commerce is the subset of e-business. It focuses on the online transaction which includes selling of products or service by using computer network, primarily the Internet.

Supermarket e-commerce stores that have altered business practice grow very fast. The popularity of online supermarket increases every year. Keynote’s study (as cited in Hand, Riley, Harris, Singh, and Rettie, 2009, p. 1205) explain that in 2006, the percentage of online supermarkets are higher approximately 35% than previous year. It could be that customers will shop online only in the future if the popularity of traditional stores go down. In addition, many supermarkets such as Walmart, Coles, and Giant are starting to build e-commerce. Online supermarket grow

By early 1999, UPS was connected with some 15,000 customers who had downloaded UPS's Internet Tools for integration in to their web sites. UPS is the shipping industry leader in e-commerce. A Zona Research study found that UPS delivered 55 percent of online purchases during the 1998 holiday season. In addition to shipping for six of the top 10 Internet retailers, UPS handles the largest percentage of business-to-business movement of production inputs and inventory. Over the past 10 years, UPS has spent over $11 billion on information technology systems and services that allow them to compete in the digital age and to provide the electronic connectivity and flexibility the customer’s demand from them. It's an investment that has allowed UPS to connect with customers in a number of different ways. UPS connects through online shipping and tracking services, through mainframe to mainframe communications, by integrating our shipping and tracking