You are a new member of the marketing organization for a 10-year-old, rapidly growingretailer with $2.7 billion in annual sales and 85 stores located in half a dozen southern states.You were hired away from Macy’s with a nice salary increase and were promised an oppor-tunity to influence the e-commerce plans of your new employer. The retailer has been a some-what reluctant participant in B2C e-commerce with its own Web site since 2006.“Everybodyelse is doing it so I guess we should too”has been the firm’s attitude. Results have been dis-appointing, with the little additional sales generated barely offsetting the cost to outsource theWeb hosting of the site. The Web site is currently viewed as another link in the company’smultichannel marketing approach. You are convinced that e-commerce could play a muchbigger role in your firm’s future and have asked for a few minutes with the VP of Marketing topresent your ideas. What would you say?

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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You are a new member of the marketing organization for a 10-year-old, rapidly growingretailer with $2.7 billion in annual sales and 85 stores located in half a dozen southern states.You were hired away from Macy’s with a nice salary increase and were promised an oppor-tunity to influence the e-commerce plans of your new employer. The retailer has been a some-what reluctant participant in B2C e-commerce with its own Web site since 2006.“Everybodyelse is doing it so I guess we should too”has been the firm’s attitude. Results have been dis-appointing, with the little additional sales generated barely offsetting the cost to outsource theWeb hosting of the site. The Web site is currently viewed as another link in the company’smultichannel marketing approach. You are convinced that e-commerce could play a muchbigger role in your firm’s future and have asked for a few minutes with the VP of Marketing topresent your ideas. What would you say?

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