Determine whether integration efforts should start with suppliers, distribution, or both. Explain the rationale for your decision.
The process of supply chain combination entails joint work between the intended buyers and suppliers, combined product development, familiar systems and shared information. This process can be utilized to strengthen the efforts in the field of competition and provide companies with more advantages over their competitors in the market. Therefore it is prudent that the process of integration should begin with suppliers who are the people who avail the necessary and sufficient goods and services needed by ...view middle of the document...
On the basis of the study carried out by Senn,the main essentialities of e commerce are; the expansion of the market for the firm, ignoring the traditional channels, segmenting the traditional markets, increasing their service delivery and for an increase in product promotion such as advertising.
Business reach is the ability of a business unit to mutually interact with other businesses or its customers. The soul objective of business reach is to identify and reach the potential buyers irrespective of their location and without an intention of earlier arrangement.Despite the fact that reachis an instrumental business tools, some organizations like internally dependent cannot employ this tool since the tool entirely rely on the already determined relationships and paths of communication.
By direct handling of the manufacturers, companies can transmit the their reserves to customers in form of cheaper and affordable prices.in e commerce the natural development of arrangement and direct contact to customers are online ,hence minimising the costs of both transportation and many more. Generally there are no restriction and boundaries in services in situations where the markets are electronic. The shopping and window shopping time is unlimited in the electronic market hence shopping is possible throughout the day. When the companies critically select the listings in the online information, they encourage their customers to learnabout them and the products they offer even though the customers might not have clear information about the company’s existence. Electronic connections and information enables the customers to move from the product promotion sites to the company’s site in the market. Therefore in a nutshell the DIMCO can reduce the operating costs, intervene to numerous customers and even provide services to customers in time by allocating some money for the adoption of the ecommerce.
Determine what steps DIMCO could take to improve its relationship with suppliers.