The video posted for this week about ecommerce concluded with the sentence “There is always room for innovation and improvement.” It is true that are way of business have been more innovative and have improved, from bartering to exchanging products and service with money, after that “Globalization” became a big trend in modern business, and then came the birth of ecommerce, which is basically a way of doing business through computers and internet. After looking through our this weeks discussion, I came to conclusion that from a customers point of view that the most significant changes were saving time, more knowledge about our products and better service; these three points could be concluded just like my classmate Aarati Khadka wrote: Ecommerce has led us to a far better, easier and very comfortable life.
For my self, I come from a developing country, where ecommerce isn’t that much available. So based on that, I would like to talk about the three key points comparing them from a developing countries point of view and developed countries point of view.
Most people back in Mongolia buy and sell their products and services through the traditional way of physically renting/leasing/buying a certain location to sell their products and customers physically visit the store to buy those products and services. If the product you were looking at a certain store weren’t there, we would have to go to another store, which also may not have that product. This could lead to a lot of loss in time from the demand point of view. Also it is hard for the supply side of view, they may be facing a dead weight loss because of not having the most demanding products and having the not much demanding product on their shelves. For example, every Saturday I help my mom pick up the groceries, and because of this problem mentioned above, we spend 5 hours of picking up groceries from many different stores. However here in the United States, it is a totally different story. You can find the availability of every product from the Internet, and this is all thanks to the Internet itself, our computers, and “Ecommerce.” I haven’t seen anyone complaining about wasting time physically looking for products and services.
The Essay on Product and Service
A product is anything that meets the requirements of a particular market, this term involves a lot of dimensions because it is essential to recognize what contributes to the “total product offer”1 in order to be successful in the market or simple to keep our customers satisfy. A service is an intangible economic activity, not stored and does not result in ownership; Services nowadays are becoming ...
Shopping online leads to another key point of ecommerce – comparing products. Consumers can get the better product, or they can get their ideal product based on their preferences, while comparing with other products. This can lead to a better decision and a more pleasant experience of shopping. On the other hand, this isn’t an advantage for the consumers back in Mongolia. As mentioned above, some products are not on shelves, so basically we buy what is available, which is totally the opposite of comparing and buying the better product. An example for myself is buying my books from Amazon. I could just search for the book I’m looking for, and make my decision based on the price of the book, the condition of the book and the location of the shipment.
When shopping or trading online, companies can keep track of their customers buying behavior and can offer other complimentary products, which the customers aren’t aware of. The suppliers are doing a better job thanks to the ERP system. An ERP system stands for “Enterprise recourse planning,” it’s a system which helps integrate internal and external management of information across the entire organization (Bodnar & Hopwood, 2009).
With the help of this system, companies can make better decision of shipping products, what products to keep in their shelves and so on. This approach helps companies to save money on inventory, provide a better customer service and also a better sales.
The Term Paper on Toyota Product Development System
Toyota’s LPDS starts with the customer who is represented by the Chief Engineer. Toyota uses the Chief Engineer’s concept paper as a guiding tool to align thinking on the planning process. They very efficiently use the Obeya (big room) to bring together the members of divergent teams and allows them to function as a unit. The teams are structured so that all of the voices that need to be heard, ...
The father of Economics Adam Smith argued that specialization leads to a better economy. Developed countries are in their position today because they lack in specialization. A couple of centuries ago, before industrialization, people were far away from each other, so they tended to their jobs on their own, just like a one man, band man, this led to lack of specialization. Specialization lead to Globalization, and globalization really has saved a lot of money for many industries and is a key component of our rapid change economically (Dhamee, 1995).
The three main points I that from a consumers point of view that the most significant changes were saving time, more knowledge about our products and better service .In my opinion, ecommerce is just the next level of business which is leading our world to a better economy and a better way for our lives. In short, Ecommerce has led us to a better, easier and very comfortable life.
Reference:
Bodnar, G. H., & Hopwood, W. S. (2009).
Accounting information systems. (10 ed.).
Upper Saddle River, NJ: Prentice Hall. Dhamee, Y. (1995).
Adam smith and the division of labor. Retrieved from http://www.victorianweb.org/economics/division.html
