The benefits and Risk of E-Commerce
Global market place.
The main benefit of globalization is that it lets you reach a lot more customers. As long as there is demand in an overseas market for a product or service your business offers, there is a customer base. A product that sells successfully at home will often do well in international markets, says Wesley Johnston, a marketing professor at Georgia State University. Electronics and other tech products are examples of consumer goods that sell well on the global market.
* Your Company Will Grow and Develop Faster: An effective global marketing strategy allows your company to grow, and that speeds development, ...view middle of the document...
Trading online means that there is no store staff required to run the online shop and transactions can be carried out at any time. No staffs are required to make sales and all orders and transactions can be taken and acknowledged automatically.
* Trading can be carried out day or night and in different time zones around the world
* Unlike a traditional business, there are no closing times.
* All orders and money transactions can be taken automatically.
* This is very handy as people do not always have time.
Relatively low start-up and running costs.
Setting up a traditional store involves buying or renting a place or location, purchasing stock, hiring staff and paying for utility costs.
Setting up an online store would be much cheaper than setting up the old fashion way, which would require the owners to either purchase or rent a store and it can also come down to the location as well, for example does the location have the right target audience their looking for? Is the location within a rural environment or a city, is it in a safe environment? Etc. Based on setting up an online store, Cuckoo wouldn't have to do much, but to simply get a website up and running and simply maintain it, and with all these website on the internet that allows company to start up their own business website and including templates, Cuckoo wouldn't have much trouble regarding setting up a store online, also Setting up a traditional store involves buying or renting a place or location, purchasing stock, hiring staff and paying for utility costs. Which you don’t have to worry about.
Companies would be able to have an upper hand within the competitive scene by using E-commerce. For example, on their online store, they can provide the customers with the chance to save money by providing super deals and 2 for 1's on the products they have on the market, much may be a disadvantage to some of their competitive maybe due to the fact that they don't have E-commerce or simply cause of the fact that buying their products is more expensive. Having the competitive edge advantage overall would just mean that your company has a better lead again of the game than the competition they face.
Instead of having the customer travel to the store and in some cases from a long distance, companies can simply advertise their company and get them to use the search facilities online. It would be very annoying and tiring for the customer to keep on going to the store and searching for the products their looking for, whereas they can simply browse the company’s website and look for whatever product they need.
Alternatives income sources
Alternative income sources is all about where the company can look to in order to earn extra profits on their existing products they receive from the products they sell. So in the circumstances of a business, the best...