Marketin Strategy In E

Marketin Strategy In E-Commerce Essay Marketing Strategy and E-Commerce Introduction With the rapidly advancing technologies that are occurring in modern business, organisations are required to be ready, and able to adapt within their ever-changing environment. It is true across all diverse industries that in order to stay competitive, organisations must be able to utilise the various tools that technology has to offer. Technological factors have been of growing importance, particularly in recent years. A major factor involved in these technology issues is the use of the Internet as a major issue to modern organisations. The Internet has been rapidly growing since its inception and is now commonly used in all sectors of societies, in all corners of the globe. The Internet has quickly become one of the most valuable assets in modern technology, and as such, is developing as an integral part of modern commerce. As with past technologies, the Internet will have future technological advances develop from its own growth. The task the organisations of in the new century? Realise future opportunities and threats, and base a strategy accordingly. Is it clich? to say that the Internet changes everything: the challenge now is to say what, how and how quickly. (When Companies Connect, 1999, p.19) The Internet has lead to the birth and evolution of electronic commerce or E-commerce. E-commerce has now become a key component of many organisations in the daily running of their business. Simply defined, electronic commerce is a system of online shopping and information retrieval accessed through networks of personal computers. (Reedy, J. Schullo, S. Zimmerman, K. 2000, pg. 29) E-commerce challenges traditional organisational practices, and opens ups a vast array of issues that the organisations must address. By focusing on the varying levels of an organisation, it soon become apparent the effects that E-commerce can have. An understanding of the implication E-commerce has on such organisational divisions can help businesses gain understanding hence plan for its inevitable continuing evolution. In terms of marketing, the modern organisation must be critically aware of the development of E-commerce, and the implications that it entails. Marketers develop their own recipe of promotional tactics to fit the product lines or industries in which they compete. Now electronic communications tools are and will continue to bean important ingredient in the promotional mix (Reedy, J. Schullo, S. Zimmerman, K. 2000, pg. 29) In assessing the implications of E-commerce in terms of marketing, it is important to understand its impact in respect to marketing strategy formulation. As the Internet, and in turn E-commerce has developed, and continues to evolve and grow, it is vital that any organisation, in any particular industry, must base its strategic planning around such a rapidly growing medium. The growth of the Internet is an environmental influence that must be embraced and understood so to successfully plan for future marketing implementation. In order to successful realise the impact that E-commerce has in terms of marketing, it is important to break the area of interest into some key areas. As most of the issues that arise in terms of E-commerce represent organisations entering the environment, it seems natural to base discussion around this. Therefore, the bulk of the literature review relates existing organisations entering into the E-commerce market environment. In successfully identifying the relationship between E-commerce and strategy, the issues are categorised as follows: 1. Strategic analysis ? Understanding the environment 2. Identifying the strategic options/SWOT analysis ? Strategic Advantages/Disadvantages ? Advertising ? Electronic cost cutting/publishing/Process 3. Corporate level, Business level, d Marketing level 4. Retailing in E-commerce ? Implementation Issues ? Financial ? Performance monitoring 5. Conclusion ? Based on current knowledge state To gain a clearer understanding of the implication of E-Commerce in the formulation of marketing strategy, it is imperative to gain a clear understanding of the environment and its relevant effects. This helps in understanding the rationale in a developing marketing strategy, particularly the influences of E-Commerce on its make-up. Greek Mythology (1019 words) Essay (Public Agenda Online, 2000) Such example highlights issues that organisation must be aware of when developing a marketing strategy formula. Failing to recognise possible repercussions of E-commerce use, in a political or legal manner could prove catastrophic for an organisation. It is imperative it is carefully looked at, particularly in regards to E-commerce. Micro Environment Market environment The growth of E-commerce has transformed the way in which consumers purchase products as well as how organisations operate. The Internet provides the necessary tools; easy operation and exchange of information; and therefore effects all diverse industries and organisations. The Internet has become a useful tool for selling, buying and distributing goods and services globally in a rapidly growing supply chain. The potential market that the Internet provides has little or no restrictions by either geography or time, and therefore poses a huge impact on any organisation considering E-commerce in its strategic marketing formulation. Opportunities in E-commerce are enormous, as present growth and development have proved. (Kay, E. 2000) The Internet provides a virtual marketplace, providing huge opportunities in the marketing strategies that an organisation my wish to develop. Forecasters have projected that the world wide E-commerce revenues will be over $350 Billion in the year 2000. (Jones, I. 1999) User trends The trends of Internet users and in fact the use of E-commerce in general is extremely valuable information that the organisation must be aware of. By knowing how the advances of the Internet are being used, a marketing strategy can be focused keeping these ideals in mind. As E-commerce provides different uses to varying companies or industries, user trends and their relative importance differ. For example business to business electronic communication would represent different characteristic than communication relating directly to the end-consumer. Ideals such as customer tracking can be found as an integral advantage in the use of Internet based marketing. Information regarding users use of