Unit 06

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E-Commerce
A/601/7313
LEVEL 3
LO2 - Understand the impact of
e-commerce on organisations
Learning Outcome (LO)
The learner will:
Pass
The assessment criteria are the
pass requirements for this unit.
The learner can:
1
Know the technologies
required for an ecommerce system
P1
Describe the
technologies required for
e-commerce
2
Understand the impact
of e-commerce on
organisations
P2
Explain the impact of
introducing an ecommerce system to an
organisation
M1 - Describe how
organisations promote
their business using ecommerce
3
Understand the effects
of e-commerce on
society
P3
Explain the potential
risks to an organisation
of committing to an ecommerce system
M2 - Explain solutions
for the potential risks of
using e-commerce
4
Be able to plan ecommerce strategies
P4
Review the regulations
governing e-commerce
P5
Examine the social
implications of ecommerce on society
P6
Plan an e-commerce
strategy
Scenario
Criteria
Tasks
1
2
3
4
5
Merit
For merit the evidence
must show that, in
addition to the pass
criteria, the learner is able
to:
Distinction
For distinction the
evidence must show that,
in addition to the pass
and merit criteria, the
learner is able to:
D1 - Compare the
benefits and drawbacks
of e-commerce to an
Organisation
M3 - Provide annotated
planning documentation
for your e-commerce
strategy
6
7
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9
10
11
D2 - Evaluate your
e-commerce strategy
Assessment
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P2 - Understand the impact of e-commerce on organisations
Learners as a group could discuss the advantages and drawbacks of an
organisation having an e-commerce system. The organisation used for
discussion could be one provided to them or one they have found when
looking at different e-commerce sites. They should be encouraged to
identify as many advantages and drawbacks as they can. They may even
discuss how the drawbacks could be overcome or considered to reduce
the impacts.
M1 – Understand how organisations promote their business using ecommerce
Learners are required to understand how an e-commerce system could
be promoted, which can be done by using different search engines,
pop-ups, banners and advertising, forums, newsgroups, blogs and
vlogs etc to see how they work and how they help promote e-commerce
websites. This should be carried out as individual research and group
discussion to enable learners to fully consider all aspects.
Scenario
Criteria
Tasks
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Assessment
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P2 - The assessment criterion P2 could be evidenced by
the use of a report, leaflet or presentation delivered by
the learner that could be supported by tutor observation
and/or recorded evidence. The learner is required to
explain the impact of introducing an e-commerce system
on an organisation (the organisation details could be
provided). The learner must explain at least four impacts
from both the advantages and disadvantages sections in
the teaching content.
M1 - The merit criterion M1 could be evidenced by the
learner describing and providing a detailed description
how an organisation (same business as used for
assessment criterion P2) can promote their business
using e-commerce. They must provide examples which
could be evidenced by screen prints. The learner must
include at least four methods listed in the teaching
content.
Scenario
Criteria
Tasks
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Assessment
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The decision for any company to make an online presence is usually based on the
logic that what harm can it do, bound to help, rivals have, more business, not
difficult etc. There are numerous advantages to any business if an e-commerce
site does well, which company would complain if the site was not doing well.
Unlike a shop, a website can be adapted for use within minutes, goods updated or
withdrawn, purpose changed, new services added, not got a page for help, add
one, not got a page for tips, add one. By the end of the day all problems that
come up are fixed. And if the site is worldwide, then they can be fixed as easily.
Customer information can be stored – logins allow customisation, customers feel
that they have a space set aside for them, that they can protect their information,
that they can control how they do business and a satisfied customer is a returning
customer. This also gives the customer control of their own interface. For the
business this also means the customer data can be used:
◦ Target Marketing – sending advertisements to the customer based on prior
sales
◦ Analysing trends – companies can monitor what a customer is buying to predict
sales
◦ Ease of sales process – Customers details do not need to be looked up to
deliver goods, it can be automated.
◦ Data protection – Under the DPA, logins and storing information digitally can
be more efficient and better protected.
Scenario
Criteria
Tasks
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Assessment
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Competitors can be monitored – how difficult is it to see what a
competitor is doing on their site, Play copied Amazon, look at Phones4U
and any other phone sales site and see how one company adapts to the
success of others.
◦ Competitor Product analysis – seeing what the rivals are doing and
changing products and stock control to match.
◦ Competitor price analysis – looking at their prices and undercutting,
look at how Play and Amazon compete for pricing and delivery models.
◦ Competitor reviews – see what the customers are saying is good and bad
about their site and adapt to make your own more efficient and
pleasing.
◦ Competition research – The internet has so many competitors, you know
they will be looking at yours, what are the Japanese doing, the French,
the South Africans, see what is making them more successful and adapt.
P2.1 - Task 1 – Describe with examples the benefits to a business of
Customer storage and Competitor analysis in regards to an e-commerce
strategy.
Customer information storage
Scenario
Criteria
Tasks
1
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4
Competitor Analysis
5
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Assessment
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The expansion of business due to an online presence bring a range of other growth
opportunities. The internet is not aware of borders, expanding into foreign markets
and growth within the home market can be done without going to those places. Play
are in Jersey but sell all over the country. Tesco’s deliver to France from their Click
site, British people living abroad have goods bought on eBay delivered wherever they
live.
Global business opportunities – companies like IBM did not get big by staying
America, global expansion is easier with websites, change the language, same
servers.
Overseas Templates – Look at Amazon in France and UK, same design, same layout,
mostly same products, same advertising and promotion, different language.
Hosting servers – to have a presence in another country does not mean having to
move there or open a shop, one warehouse and one server and remote access is all
it takes.
Any Location – Paris too expensive, more to the Creuse area, same service, same
company, cheaper location. There is no need to be centralised, companies can move
their offices to cheaper locations or locations with better tax benefits.
Larger marketplace – Demand for your product can be higher in other countries,
teletubbies is the most watched TV program in New Zealand, Faulty Towers in
Germany, Allo Allo in France, foreign markets can be huge sellers for a company
expanding.
Scenario
Criteria
Tasks
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Assessment
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Can be used to expand a retail business– Increased online sales for a company can be
used to benefit the offline section. Waterstones going online to sell books has added
30% of the companies revenue, enough sales to support the company from collapse.
HMV however made very little online sales against Play and Amazon. Think of how
many PC Worlds there are now when the majority of their business is online sales.
◦ Increased revenue for expansion – Mo money, Mo premises. Brick and Mortar
increases a companies stability (except Woolworths) Borrowing money from banks
for expansion is based on revenue and value and online sales brings in that revenue.
◦ Increased visible presence – Online presence tells customers where the shops are,
visibility of products and logos increases customer awareness, there is no Wonga
Shop but we all know Wonga
◦ Decreased need for support offline – An e-commerce site can reduce down offline
traffic for support allowing offline versions more time and staff to focus on the
customer needs. Driving licences, Passports, even Job applications are moving more
online to reduce the need for offline customer queuing.
◦ Added customer support chain – If a customer feels valued they will return, online
chains include feedback forms, questionnaires, feedback, reviews, help and support,
email queries, promotions etc. And always with the company logo and visible
presence.
P2.2 - Task 2 – Describe with examples the benefits to a business in terms of Capacity
of Growth in regards to an e-commerce strategy.
Global business opportunities
Scenario
Criteria
Tasks
1
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4
Expand a Retail Business
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Assessment
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The increased trade can have a positive impact on any
business with an online presence. Longer terms impacts
can cause a company to change, to adapt to the market
needs. These impacts can be more apparent when
looking at the successes of other companies who have
moved online like eBay shops, EasyJet, Ticket Master etc.
24/7 opening – This is the biggest and most obvious
reason why companies see an online presence as an
advantage. The internet never sleeps, global traffic
continues even into the night, it is always daytime
somewhere. When goods are ordered, staff in
warehouses are putting them in envelopes, into delivery
vans, shipping them out. Computer systems are
processing orders, taking money, sending email invoices.
The automation of the process has meant 24 hour
business traffic.
Scenario
Criteria
Tasks
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Assessment
Can be run from home – as an online presence expands whether it is
goods or services, the need to work from an office has been reduced.
Play have a small office in Jersey and more accountants that sales
staff. Remote access and the need to be there is reducing. Last year
there were multiple eBay millionaires. Read the article here.
 Start-up and running costs are low – it takes a html editor (free) or
an online web creation package (free) or a program like CoffeeCup
(free) or Dreamweaver (Expensive) to make a website. It costs £2.99
a year to register a .co.uk domain name and then time to make and
upload it. £2.99 for a web presence. £24.99 for a .com, per year.
Hosting a site for increased traffic and increased functionality, £9.99
a month, a little extra for more storage space if there are videos, a
little extra for additional functionality. Altogether around £150 a year
for a standard trading site with logins, customisation, web presence,
email linking, traffic monitoring etc. The same cost as a good office
chair.
P2.3 - Task 3 – Describe with examples the benefits to a business in
terms of Trading hours, costs and Location in regards to an ecommerce strategy.
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24/7 opening
Scenario
Criteria
Tasks
Office Location
1
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Start-up and running costs
7
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Assessment
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There are two kinds of people who do business or shop,
those who hate going online and those who prefer it. The
obvious benefits are there, 24/7, can be done from
home, on mobiles, anywhere, can be cheaper etc. But for
the customer there are things that can be done online
that cannot be easily recreated offline
Can be searched easily – Browsing through an Argos
catalogue can take time and not always produce results,
type it in instead and all the related results comes up.
This has been hugely beneficial to companies selling
goods and subsidiary goods. Think of how easy it is to
use Amazon and how to find goods related to your
purchase. This easy searching has increased impulse
buying two fold. Think of all the additional accessories
you have for your phone, in a shop you would have just
walked out with the basic phone.
Scenario
Criteria
Tasks
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Assessment
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Ease of access by customers – the Internet is available
anywhere, emails sent through confirming, phones with
internet access, tweets, reminders etc. With the increase in the
number of hotspots in restaurants and bars, the increase in
the number of laptops, tablets and IT in the open air has
increased. And everyone is adapting, Silver Surfers, Smart
Phones, Smart TV’s. Accessibility features added to this means
more alienated offline customers are coming back.
Can be managed easily – automation of an e-commerce site is
difficult to set up but once it is working it can have huge
benefits to a business. Online promotions, automatic contact
with the customer after sales, directed marketing, stock
control management. Once setup it takes less people to
manage a site, and more time to focus on improvements and
enhancements.
P2.4 - Task 4 – Describe with examples the benefits to a
business in terms of Ease of Use and Ease of Management in
regards to an e-commerce strategy.
Searched easily
Scenario
Criteria
Tasks
Ease of access
1
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Easily managed
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Assessment
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Functionality is the using the Internet to facilitate of all business
activities within an organisation. This includes marketing,
procurement, human resources, communication, customer
services, manufacturing, supply chain management and so on.
◦ Procurement – Business operations between each other
◦ Research – Market Research and Development of
products/services for the future
◦ Development of online presence for sales – Reputation and
Trust amongst the customers
◦ Promotion - Advertisements
◦ Customer service – Service provided before, during and after
◦ Public relations - Means of Publicity
◦ Providing information – Websites can be filled with
information, as much as a company wants
◦ Communications – email, IM
◦ Intranet – Private Internal network for organisation
◦ Extranet - Private Internal network for organisation that is
accessed by external users
Scenario
Criteria
Tasks
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Assessment
Businesses need to purchase various items from other
businesses, usually referred to as Business to Business
or B2B.
 This can include:
◦ Raw materials - for use in manufacturing
◦ Components - made by other businesses to be used by other
businesses – this could include something like packaging or
other general parts for a product
◦ Wholesale – buying goods in bulk to sell to the public
◦ Services – such as marketing, sales or legal
◦ Other business needs – like software, hardware, furniture
stationary or anything else that a business may need in order
to operate
Scenario
Criteria
Tasks
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Assessment
Knowledge is power and understanding what
competitors are doing is very important.
◦ Online businesses must make sure they keep up to date with
all the latest developments from suppliers and competitors
and research is one of these ways they can do this
 How and what is researched will depend upon the
organisation
 e.g. - a lawyer may need to research precedent cases or new
laws
 e.g. - a supermarket may need to research the prices of
competitors
◦ Research can also be performed with a view to finding new
work methods, new suppliers or new marketing methods
◦ Organisations may be faced with new challenges or problems
by using the Internet:
 Help solve issues
 Causing more problems than resolving them
Scenario
Criteria
Tasks
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Assessment
Reputation is an important factor in e-commerce.
 The Internet still faces some problems such as bogus sites and
trusting new web retailers
 Building this reputation takes time and effort – if this is not done
the business will fold
 Methods include:
◦ On and offline promotion
◦ Professional looking websites
◦ Feedback page
Without the use of correct/useful promotions, potential customers
may never know of the business or their services or products which
could lead to the collapse of the business (bankrupt, liquidation)
 Promotion for online organisations can occur on or offline
◦ Focusing on online methods would include:
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Scenario
Search engine sponsorship
Affiliate marketing
Flash adverts
Targeted Email
Special offers within website
Competitions
Criteria
Tasks
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Assessment
Handling customers questions and problems using the
Internet is a crucial element of any eBusiness strategy due to
the absence of any face to face contact.
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Customer service not only occurs before but also after which is
also important if the organisation hopes for repeat business
transactions
This service is achieved using a variety of methods:
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One-to-One using a text interface (IM)
Emails
FAQ’s database
VOiP
Online Questionnaires
Remember organisations do not just handle complaints but also
questions, upgrades, servicing
Public relations is the act of establishing and maintaining a
good image for the organisation (and for a business, its
products or services).
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It includes interviews with the press, public launches of new
products, appropriate conduct when dealing with the public
Scenario
Criteria
Tasks
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Assessment
The Internet enables companies to:
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e-mail for use in contacting and keeping in touch with customers,
publishers or other media contacts
newsgroups, where there can be a liberal exchange of ideas with others
who have similar interests, where businesses can post and suggest
solutions or advice
access to lots of information and the ability to choose what information
is on a web site.
search engines, which are capable of cataloguing every word on web
sites and directories, which list web sites and their pages.
research any subject as thoroughly as desired from his home or
office. Thus, it has become an avenue for reaching potential consumers
of products worldwide and is an important part of the marketing mix
available to every business.
carefully handle customers requests, especially complaints as negative
publicity can spread quickly and cause huge damage to a companies
image.
Scenario
Criteria
Tasks
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Assessment
A website for most online organisations act like the front
of their shop or premises due to the lack of any physical
presence.
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An intuitive and informative site with all the
information a customer may require is
essential again due to the lack of any sales
advisors.
Essential information such as price, size,
colour, technical information should be
easily readable
The ability to compare and contrast similar
products also offers the customer a
method to help them choose.
Other information that could be present
and used to assist consumers:
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Stock levels
Customer reviews
Tracking orders
Similar products/recommendations
Images
◦ Postage costs
Scenario
Criteria
Tasks
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Assessment
An organisations intranet is a private network for use by
personnel within the company.
 This can be used to perform many internal processes such
as:
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Meetings arranging
Meeting conducting via webcams
Bulletin boards
Information dissemination
Email
Workshifts
Instant messenging
The extranet is the part of a company or organisation's
internal computer network which is available to outside users.
◦ Mobile users access data (ie sales staff)
◦ Selling goods and services to the public or other businesses
(acting as suppliers)
◦ Communicating (via email, websites)
Scenario
Criteria
Tasks
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Assessment
Email has revolutionised the way online
organisations operate and communicate not only
with customers but also suppliers. Email can be
used in many different ways some examples are:
◦ Emails can be sent to confirm orders placed, when it has
been dispatched or if there are any problems.
◦ Promotions and newsletters
◦ Questionnaires
◦ Customer service issues
◦ After sales support
◦ And many others….
P2.5 - Task 5 – Describe with examples the benefits to a
business in terms of supporting Business Functions in
regards to an e-commerce strategy.
Procurement
Online sales presence
Customer Service
Research
Promotions
Public Relations Providing Information
Communications
Intranet
Extranet
Scenario
Criteria
Tasks
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Assessment
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Not every company benefits from the Internet, with an online presence comes
difficulties, technical, social and business implications that make the internet
something else to have to deal with on a daily basis. These can be broken
down into categories:
◦ implications on site and delivery
◦ Implications on the customer
◦ Legal implications derived from an online or global presence.
Disadvantages
Product description maintenance – When you see a tin of beans in a shop you
know it is beans, you know the size, the shape, the picture. You can read
what is on the tin, health, salt, calories, weight etc. you may not read it but it
is there and it is legal. Online the description needs to be there too but there
is a lot of work to put this information on the page. Think of how much
information is on a tin and think about the difficulty in replicating this on a
webpage.
Delivery costs and other issues – People fear and hate the hidden extras,
getting all the way to the checkout and realising the price is higher. Websites
make this clear but not everyone pays attention. Online this is the added
price necessary for this kind of business.
P2.6 - Task 6 – Describe with examples the negative Implications to a
business in terms of maintenance and hidden extras in regards to an ecommerce strategy and discuss solutions to these issues.
Product description maintenance
Scenario
Criteria
Tasks
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Delivery costs and other issues
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Assessment

Not every company benefits from the Internet, with an online
presence comes difficulties, technical, social and business
implications that make the internet something else to have to
deal with on a daily basis. These can be broken down into
categories:
◦ implications on site and delivery
◦ Implications on the customer
◦ Legal implications derived from an online or global presence.
There is a general dislike by a large section of the population,
saying that the internet takes away the shopping experience, that
it distances the audience, that it disenfranchises the target
audience. It is considered the de3ath of the high street, to blame
for the downfall of HMV, Sports Direct, Curry’s, companies who
cannot compete against the likes of PC World, Amazon and Direct
sales.
Scenario
Criteria
Tasks
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Assessment
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Customers not able to see products – would you buy
clothes over the Internet other than those whose
fitting is more universal, or a Car, or a house. People
need to see goods in person, to test them, wear
them, walk in them before deciding. Try before you
buy, cooling off periods and returns are a solution
but shopping direct on the high street is still better.
Customers are unsure whether to trust the business
– For every high street shop there are ten online
companies selling the same goods for cheaper,
people like to stick to those they trust but how can
an online company become trustworthy is a market
dominated by big names. Solutions to this include
reviews, feedback, blogs and customer opinions on
the sites but can these be trusted.
Scenario
Criteria
Tasks
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Assessment
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Lack of personal attention – everyone likes to feel appreciated,
MacDonalds with the “Have a nice day” attitude of staff. The
internet is impersonal, there is no face behind the checkout, no
reassurance. Think of the aging population brought up in a
culture that said thanks, that felt appreciated by purchasing.
Sense of disappointed with sales – How many times have you
bought something online only to feel that you have not spent
anything yet, the goods are not there yet, the parcel has not
arrived. Ina shop you hold it, take it with you, use it right away,
this sense of worth in sales is something that the Internet cannot
provide.
P2.7 - Task 7 – Describe with examples the negative Implications
to a business in terms of disconnection with the customer in
regards to an e-commerce strategy and discuss solutions to
these issues.
Distance viewing
Scenario
Criteria
Business Trust
Tasks
1
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3
Lack of Personal Attention
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Sales disappointment
11
Assessment
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Legal implications to an online commerce site have to be taken into
consideration, partially because of the precautions necessary to
protect a site and because laws abroad are different and partially
because the impact of failing to abide by international laws can be
enough to limit or shut down a company operating abroad.
Global legislation - In Britain we have the Data Protection Act,
Computer Misuse Act and the Copyright Act. Companies know these
and are aware of them. Having a site in Britain means keeping these
in mind when doing business.
In France there is the Toubon Law and à la criminalité informatique.
In Germany they have the Section 202c of the German penal code
and different laws concerning Software patents that even Microsoft
cannot tolerate. See here.
Other countries do not abide by Copyright at all, do not allow certain
goods to be sold in their country or refuse to allow transport of
certain products through their country. Other countries treat their
tax codes differently or charge for distribution traffic.
This is why larger companies have offices in countries where they
trade, there is a world of solicitors and lawyers that deal with
international computer laws in order to safeguard businesses. And
for a new e-commerce company this is something that needs to be
considered when dealing abroad.
Scenario
Criteria
Tasks
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Assessment
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Security – Security is the bigger downside of an online presence. The
internet and any information that is available from a site is in danger, it
always was, small and large, from Amazon to Paypal, they have been
targeted by cyber attacks. And they have adapted, improved standards,
put more security in place and still they have been attached.
There are a range of issues that a company needs to consider, the nature
of information on the site, the importance of that information, the risk to
that information and the defences that need t be considered fore that
information.
The usual names come up, Viruses, Spyware, Hacking, DDos, computer
theft, information theft, hardware damage, drive crashes. But for all
these there are solutions, just as there are solutions to all the security
risks of an offline presence.
P2.8 - Task 8 – Describe with examples the negative Implications to a
business in terms of Global Laws and Security in regards to an ecommerce strategy and discuss solutions to these issues.
Security
Scenario
Criteria
Tasks
Global Laws
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Assessment
eMarketing
e-marketing or internet marketing is simply the marketing of
products or services over the internet. e-marketing has become very
popular due to lower costs than traditional media such as television
or radio. The interactive nature of the internet means that this
method of marketing is traditionally innovative. Internet marketing
ties together creative and technical aspects of the internet, including
design, development, advertising and sales.
This can be split into various different methods including
◦ Search Engine Optimisation
◦ Search Engine Marketing
 Flash Adverts
 Viral Video and Viral Marketing
 Banner Adverts
 Search result listing
Scenario
Criteria
Tasks
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Assessment
Search Engine Optimisation- is the process of
improving the volume and quality of traffic to a web
site from search engines via search results. Typically,
the higher a site's "page rank" (i.e, the earlier it comes
in the search results list), the more visitors it will
receive from the search engine
Having your business appear first in a list of similar
other businesses is a great opportunity to grab
attention and potential customers to your site. This
is not cheap and is how search engine make most of
their money. Sponsored links can also add to the
probability of hits from search engines. Each hit can
be tracked detailing where the visitor has arrived
from, this can allow the company to refine its
marketing strategy.
Flash Adverts
These are animated adverts which are either
embedded into websites or appear as new windows.
Often these flash adverts are interactive in which you
have to play a mini-game, or click on something.
Scenario
Criteria
Tasks
1
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3
4
5
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7
8
9
10
11
Assessment
Viral Video and Viral Marketing
Viral videos are videos characterised by a widespread popularity
due to its distribution through the internet, typically through
email or IM services. These have increased in popularity due to
an increase in streaming media websites. Famous viral videos
include the starwars kid and the evolution of dance.
Some business have been fast to capitalise on this emulating
the amateur style. Viral marketing is using the same fast
spreading word of mouth to encapsulate a brand or product.
Notable examples include the Nike adverts sporting the
Brazilian National team and the gorilla advert by Cadburys.
Banner adverts - entails embedding an advertisement into a
web page. It is intended to attract traffic to a website by linking
to the website of the advertiser. The advertisement is
constructed from an image, JavaScript program or multimedia
object employing technologies such as Silver light, Java,
Shockwave or Flash, often employing animation, sound, or video
to maximize presence.
Probably the simplest form of internet marketing banner adverts
they consist of an area of a webpage which when clicked leads
to another. Their intention is to attract the user into clicking on
it perhaps by using video or animation which will then lead to
the site that it was advertising. These can vary in size and
webmasters can track how many visitors to the site arrived
through clicking on the banner adverts.
Scenario
Criteria
Tasks
1
2
3
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5
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7
8
9
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11
Assessment
eMail Marketing - a form of direct marketing which uses
electronic mail as a means of communicating commercial
or fundraising messages to an audience. In its broadest
sense, every e-mail sent to a potential or current
customer could be considered e-mail marketing
Email can be used to send out genuine offers that
potential or existing customers may be interested in,
although this method of advertising has been tarnished
through overuse and the explosion of SPAM. Correctly
targeted offers and information send to customers can be
an excellent and cheap method of marketing.
Online Market Research
Information capture using the internet can be very useful
and inexpensive way of collecting marketing research.
This needs to be processed in order to be useful which is
the stage that requires the time and effort. Through
online market research an organisations marketing
strategy can be refined and changed to be much more
efficient.
Scenario
Criteria
Tasks
1
2
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Assessment
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
Business use their sites for other purposes, to keep their customers. The
longer a customer is on a site them more they are looking at the company,
the logo, being influenced by opinion and sales techniques. Forums, blogs,
wikis, vlogs, newsgroups etc. these are all tools to keep the customer busy,
used to influence opinion, a sockpuppet.
Newsgroups - Newsgroups are online discussion groups that deal with a
variety of topics, also called an "online bulletin boards" started as Usenet,
owned by no-one. Each newsgroup is comprised of a group of users who
post public messages or articles to that group. These articles are then
organised by subject category and tagged with a standard set of labels for
the purpose of distribution from site to site. Each host site pays for its own
transmission costs.
Newsgroups differ from discussion lists in that discussion lists are generated
via e-mail while newsgroups require a special newsreader software in order
to read and post messages. Like discussion lists, newsgroups can be active
forums for the exchange of ideas and information, providing a small
business with opportunities for networking, learning more about the industry
and competition, and marketing and sales possibilities. Newsgroups also
tend to be non-commercial, so it is crucial that participants become aware of
a group's purpose and rules of etiquette.
Newsgroups are both moderated and un-moderated. A moderated
newsgroup is monitored by an administrator who may screen posts to the
group, on the basis of appropriateness of content. An un-moderated group
is not monitored. Articles posted by users appear "as is."
Scenario
Criteria
Tasks
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Assessment
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Blogs and vlogs - A blog is basically a journal that is published on the Web.
The activity of updating a blog is called "blogging" and the person who keeps
a blog is a "blogger." Blogs are typically updated frequently, if not daily,
using software that allows people with little or no technical background to
update and maintain the blog. A key component of blogs is that they link to
other sites and blogs. In this way, bloggers communicate with one another,
establish online communities, and comment on topics and subject in the
news. The community of bloggers, the blogosphere, is large and growing.
This has tempted businesses to try and take advantage of this new
community to reach out through it to potential customers.
Although blogs by their very nature occupy a non-commercial Web space,
many believe that businesses may be able to use blogs to establish a
communications avenue with customers and reach those who influence
opinion through popular blogs.
Through a blog a business can disseminate information about its products
and services, gather opinions from customers and try to mould brand
awareness through interaction with popular blogs. No one will read a blog
that is not interesting, and no software yet devised can guarantee that. The
rapid spontaneous back and forth discourse of the blogosphere is not an
easy fit with the slow, cautious approach favoured by most corporate
marketing departments.
Vlogs are the same as blogs but with Video, popularised during the unnecessary Iraq war when soldiers Video logged their routines to family and
friends. This is more personal than blogging as there is a face to the words.
Scenario
Criteria
Tasks
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11
Assessment
Forums - The Internet has erased the geographical boundaries of doing business, turning
every local company into a potentially global competitor. The Web has also enabled people to
join together into communities based upon like interests or like beliefs or like preferences for
certain products or services. One of the best ways for a business to help foster community is
to start an online forum.

Online forums allow both real and potential customers to interact with you and with each
other to discuss your products or services while helping you troubleshoot flaws. They can
even help you learn about possible improvements to make. Online forums often consist of a
variety of different technology tools, including message board forums, chat, instant
messaging and more. Community members join the forum and use these tools to
communicate, while your company moderates the discussion and makes sure it's achieving
your business goals.

Customers who are fans of the product, the website, or the company may know how to use it
better than other people. So you have the situation where customers go on and say, 'How do I
use this?' Other customers may already know how to do this and may be willing to share. The
answer is then posted on the forum so the next person who comes along with the same
question may find their answer quickly. This relieves a lot of pressure from the business'
support lines and can ultimately save the company money.
M1.2 - Task 10 – Describe with examples the how businesses can use online communities in
regards to an e-commerce strategy and discuss benefits of doing so.

Forums
Scenario
Criteria
Tasks
Blogs and Vlogs
1
2
3
4
5
6
7
Newsgroups
8
9
10
11
Assessment
The ability to access all of the content as it was intended to be regardless of the
system or software they are using their social, educational, physical or legal
environment.
 In short everyone can access the web content irrespective of external factors.
◦ Something as simple as having interactive help features, different colour or size
options and alternate mirrored low bandwidth sites can help accessibility of
content for a broad spectrum of users
◦ The factors affecting web accessibility include
 People with Disabilities (Visual and Physical)
 The Social factors – language barriers and cultural background
 Legal and policy factors – requirements from governments
 Technical factors - The system they are using or for example a slow Internet
connection
Scenario
Criteria
Tasks
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Assessment
People can have many different disabilities which could affect web accessibility:
◦ Visual
 Colour blind
 Short /long Sight
 Restricted field of view or Obstructed vision (e.g. - tunnel vision)
 Colour Blindness
◦ Cognitive disabilities
 Remembering how to operate or where to find areas of the website
◦ Hearing Disabilities
◦ Physical ailments – Which could mean traditional mouse and keyboard operation is difficult

How do we get around these problems?
◦ Special keys to control the Keyboard
◦ Mouse Keys
◦ Sound Sentry which gives visual indication of events which would normally be given by
sound
◦ Ways to change the screen colours and appearance
◦ High Contrast Screens
◦ Design the website to have hotspot or image links to reinforce navigation protocols

Other ways to increase accessibility exist in Windows are include:
◦ A magnifier
◦ A basic Screen Reader called Narrator
◦ An on-screen keyboard
Scenario
Criteria
Tasks
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Assessment

Language barriers
◦

Education
◦

We take for granted what we know about the internet and how to use it. However there are many different
social groups that have not been exposed to computers or the internet and as a result can not or are afraid
to access these.
Cultural differences
◦
◦

Not understanding the written language hinders web accessibility.
Unwritten acceptable social norms and ‘ways of doing things’ could lead to alienation of different cultures.
For example the same products for the same company have very different web presences. Take a look
yourself!
How to address these:
◦
◦
◦
Having different language options is a relatively easy method of addressing web accessibility, alternatively
using images would be universal.
Having clear and succinct help – possibly through flash animation or clear text.
Having different alternative sites which cater specifically to the different culture
http://www.coca-cola.com/index.jsp?cookie=false
USA
Scenario
Criteria
Hong Kong
Tasks
1
2
Japan
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UK
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8
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10
P R of China
11
Assessment

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◦
Copyright law:
◦ You tube used to ban music videos in the UK due to royalty payments.
(http://www.cbsnews.com/stories/2009/03/10/tech/main4855546.shtml)
◦ Streaming TV is also restricted dependant on the country, for example – trying to get on
Fox.com and viewing a video will result in a ‘thanks for your interest but you can’t view this’
kind of message
Requirements from governments:
◦ Censorship

Certain material can not be viewed in certain countries due to its nature.

China heavily censors its internet and sets out strict guidelines and rules for its use
(http://en.wikipedia.org/wiki/Internet_censorship_in_the_People's_Republic_of_China)
Possible solutions:

Using localised web pages allows companies to avoid potential legal pitfalls.

On international sites with international customers explaining what local laws exist and
refusing to do anything to break these local laws would also be a solution.

For example going on to an international website and trying to purchase an illegal
weapon for delivery in the UK.
Scenario
Criteria
Tasks
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Assessment

Hardware System
◦ The web can be accessed using a variety of different systems including
mobile phones, games consoles and PDAs.

Software
◦ Operating system
 Compatibility of content
◦ Web browser
 Add ins – certain web elements require additional software which may
not either be present on the users system

Internet speed
◦ Websites now employ a variety of interactive content

Possible solutions:
◦ Creating the website so that it is as compatible as possible
◦ Offering mirror sites which removes media elements that could cause
problems with speed or accessibility:
 Text only
 Low bandwidth website (removes streaming video and flash elements)
Scenario
Criteria
Tasks
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Assessment
Then you will need to consider how these can be
addressed and enable web accessibility.
◦ Some examples are alt tags, alternative content, alter
text size, alter colours used, image file size
 Interesting articles about web accessibility:
◦ http://en.wikipedia.org/wiki/Web_accessibility
◦ http://www.w3.org/WAI/intro/accessibility.php
http://www.w3.org/WAI/
M1.3 - Task 11 – Describe accessibility problems and with
examples describe the how businesses can use technology
and website accessible tools in regards to an e-commerce
strategy and discuss benefits of doing so.

People with Disabilities (Visual and Physical)
Social Factors
Legal and Policy Factors
Technical Factors
Scenario
Criteria
Tasks
1
2
3
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Assessment
P2.1 - Task 1 – Describe with examples the benefits to a business of
Customer storage and Competitor analysis in regards to an ecommerce strategy.
P2.2 - Task 2 – Describe with examples the benefits to a business in
terms of Capacity of Growth in regards to an e-commerce strategy.
P2.3 - Task 3 – Describe with examples the benefits to a business in
terms of Trading hours, costs and Location in regards to an ecommerce strategy.
P2.4 - Task 4 – Describe with examples the benefits to a business in
terms of Ease of Use and Ease of Management in regards to an ecommerce strategy.
P2.5 - Task 5 – Describe with examples the benefits to a business in
terms of supporting Business Functions in regards to an e-commerce
strategy.
P2.6 - Task 6 – Describe with examples the negative Implications to
a business in terms of maintenance and hidden extras in regards to
an e-commerce strategy and discuss solutions to these issues.
Scenario
Criteria
Tasks
1
2
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Assessment
P2.7 - Task 7 – Describe with examples the negative Implications to
a business in terms of disconnection with the customer in regards to
an e-commerce strategy and discuss solutions to these issues.
P2.8 - Task 8 – Describe with examples the negative Implications to
a business in terms of Global Laws and Security in regards to an ecommerce strategy and discuss solutions to these issues.
M1.1 - Task 9 – Describe with examples the how businesses can use
e-Tools in regards to an e-commerce strategy and discuss benefits
of doing so.
M1.2 - Task 10 – Describe with examples the how businesses can
use online communities in regards to an e-commerce strategy and
discuss benefits of doing so.
M1.3 - Task 11 – Describe accessibility problems and with examples
describe the how businesses can use technology and website
accessible tools in regards to an e-commerce strategy and discuss
benefits of doing so.
Scenario
Criteria
Tasks
1
2
3
4
5
6
7
8
9
10
11
Assessment
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