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1.1      Introduction

Nowadays much companies who have businesses and conduct them in the wright order the important part is, competing on price is ultimately a losing proposition. For a company to be good position in the market it needs to handel couple of things wright like knowledge, selection and turnaround without mastering the skills it can’t be profitable. I can give one example from the internet which I found and think that is quite good. For wholesale/distributors, their customers demand a comprehensive. Reliable inventory that they can reach whenever it is convenient. We can realize from this example that is eCommerce or we can say that this means eCommerce.

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It is so important that many companies have accepted eCommerce. I will explain again with an example how this worked. In a survey of wholesale/distribution companies,” improving eCommerce capabilities” beat out the expansion or addition of any other sales channel as a strategy to build revenue over the next 12 months, with over one-third of respondents ready for enhanced eCommerce. Additionally, eCommerce tied with customer relationship management in the top spot in response to a question which asked which “which technologies companies would explore in the next 12 months.

We are trying to think all the time how to move forward. I think this is the solution to move forward by using modern ecommerce platforms is the best way to move forward, because they can be more that static pages of inventory they can provide us with real differentiation. E-commerce can be done for small business but also for big and important business, for example like major trading relationships are being forged and maintained on powerful, yet user friendly sites. If the business big we need to have a good site and we will pay more many for that service, instead if the company is small the we need to pay less money.

In the next chapters I will explain five reasons why companies are turning to innovative eCommerce solutions do thry can establish and maintain in this market which is growing all the time but also about competitive advantages I will explain what will happen if the companies will not try to move to eCommerce. In the next chapter I will explain why I choose this topic


1.2      Why I choose this topic


I want to explain a little bit at the beginning why I choose this topic out of the 6 available topics. I have chosen this topic because many companies fail to understand what can e-commerce make for the, because they don’t see that there can be create a competitive advantage by using this, but also companies which are in business to business think ok e-commerce as something useless and think that they don’t need it, in simple words they think is nuisance. Many people think e-commerce is a not to have thing but actually this is a to have thing.



1.3      eCommerce growing in B2C

What happens when you want to buy a television, mp3, games or any type of machinery. We as buyers prefer to get the use and accessibility conventions which is in eCommerce. eCommerce has grown in the business to consumer and of course not in business to business. With eCommerce there is no need for business to business features but just business to consumer features and functions but also the payment methods and processes of the business to business world like terms and volume discounts. Because Business to business is more complex and also has Business to consumer integrated in it, it is easier to use eCommerce because you only have one step which is Business to consumer. In simple terms eCommerce is the direct way and the simple. And we can say about business to business that is slow and the options are not so many because the area is limited.


1.4      The sky is the limit


Because of eCommerce we don’t have a limit where we can find a product that we want we can find them just by one click. Because of eCommerce we can expand our region of how we can buy stuff or do business, we are not tied only to regional business but now we can use the world as our business area, for the companies which will stay in a regional are this will be a horrible thing because it’s to limited and they will not have the potential to grow.. It happened so that in many cases distributors have loosened or even eliminated their old regional exclusivity pacts for some industries. We can take an important conclusion from here that if companies want a competitive advantage they have to be present in the e-business area also. Now let’s take an example of a company. Monterey Lighting Solutions which is able to compete with much larger business that’s to the flexibility of the cloud. What is a cloud for eCommerce because we will use this feature a lot in the text. A powerful eCommerce solution helps your business reach buyers where they are, without the need t add staff and overhead in satellite office. The feature is used for big business


1.5      What to do and what to not do


It’s not a garrente success if you are in the eCommerce are that you and your company set a site and orders flow and everything is great. No if you don’t put an effective product catalog this will not create the company competitive advantage but it can make your company suffer sevire losses. Building out your eCommerce experience doesn’t mean simply putting up a data sheet and “add to cart button”. If we want to maintain our position in eCommerce we need to give our costumer to choose from different types or merchandise soultions that he needs for himself or for the company which he own it depands  from case to case, our company can make the product how the customer wants by personalize our products to the customers based on the customers profile and describtion which he tells us  and not other way around because that can also lead to a negative impact for the company, different types for paying method or and this is especially nowadays to view the customer history and make decision on what products does he need and even the search terms used to reach our site. This context-sensitive personalization gives companies a chance to demonstrate superior product knowledge and earn loyalty. Let’s not forget that this can also mean that lack of knowledge can bring a downhill for the company eCommerce plans. Here we can give example like Amazon, Zalando , Zara and many other companies who are doing well.



1.6      What do organization need?


Organizations need reliable and real time links between heir eCommerce front-end and the equally powerful inventory management, order management, CRM, Financials, marketing and reporting systems that power the back office. If a company has only a stand alone store this can’t make the necessary insight to efficiently run and grow in business. Whit out this 4 key components we can’t have a strong position in the market. First we need to determine our unique selling proposition, in fact this is “the factor or consideration presented by a seller as the reason that one product or service is different from and better than of the competition” if the company doesn’t understand this well it can be a huge minus part for it. Second offer a superior eCommerce experience like better navigation, integration and personalization don’t be same like the competition, be different bring something new into the market, make the customers more intrested about this new feature but this can have again a negative impact because people don’t like everything what’s new. Third implement a content marketing strategy, like for example keep in mind when you make the site for search engine algorithms, Google’s require high-quality, relevant content, eCommerce sites are being forced to reassess their content strategy in order to rank in searches. Fourth the company needs to earn customer trust, how can a eCommerce company do that? It’s simple the company needs to have a reputable payment portal, prominently, displaying honest reviews it can be positive and negative, easily accessible customer service. Implementing a successful digital eCommerce strategy can be complex and time consuming. If it’s done in the right way digital commerce offers tremendous opportunities for business growth but if done in the wrong way it can lead into a disaster even closing of the factory.






1.7      Suppliers and customers having one system

If the company has a single eCommerce system that can facilitate supplier purchases and management as well as sell to end customer this can be described as a business which can operate in an efficient, making the delivery time more faster and keeping the facilities in order. If this line between suppliers and customer blur, having one system to manage them all, will help a company to react more faster to difficult situation by reacting swiftly to changing business conditions. Now let us see how do companies need to react to changes and what are these changes? Consumers shift to more sophisticated queries, the company need to adapt fast to this because if the don’t do that they will loses their competitive advantages; for example is the trend moves from an overall product like a television to a brand name like Sony the company need to change there search engine key words. Second the customer embrace a visual culture, for example the sites needs to continuslly change the pictures and try to make the more simple so customer can understand. Third customer rely on the opinions of others, reviews and recommendations validate the quality of the product, people are more willing to by based on specific details about products quickly. Moreover, they want data-not marketing spin.


1.8      Why companies don’t want to go in eCommerce

There is couple of reasons why companies don’t want to go online and now I will explain some of them. Much competition in the internet, the internet is a land where any company can enter making it the land of opportunities for some companies but also for other companies make it a living nightmare. Companies who have a good position in business to business they don’t want to go on the internet and get new challenges they stay in there are because is good and safe. But also no start up can survive in the face of significant competition which is establish in the ecommerce. No patience because an eCommerce business takes time to grow. Many time people think that if you have an eCommerce business that you got rich over night and they don’t understand that you can’t do that immediately. People when here how much you needed to struggle, put effort in the work they immediately back down and are not interested in eCommerce. No real investment, people tend to think that opening and online store doesn’t cost anything or maybe just 1000$. But that can be just the start up money for the online store after is opened it’s might need several infusions of capital and a significant amount of labour and when people here that they won’t ten to open a online store.Daydreaming on a good position in the market in business to business and failing to want to see the opportunities. Companies tend to stay in one position if they fell that is safe, don’t try to look outside the box but this is not ok because we are living in an era which is fast moving forward and eventually that thing will chance up with every business.

1.9      Example of companies which done good in eCommerce(they are from the internet)
1 improved its cart abandonment emails, going from a single reminder to a series of engaging emails that were divided into audience segments, based on user behaviour leading up to abandonment. As a result of this new strategy, reduced cart abandonment and achieved a cart recovery rate of 40%. Sometimes, even the simples approach to content can hace an enormous impact

2 EasyDNS

While on the subject of content marketing via email, I have to mention EasyDNS. EasyDNS is a domain name and DNS provider that competes with companies like GoDaddy. By setting up a series of triggered emails, the company was able to improve revenue by 10%, we can thig that this is almost nothing but actually that meant bringing in millions of dollars in sales each year.

3 Beardband

Beardbrand focused on storytelling to form close emotional and psychological connections with its audience. The brand’s unique storytelling encouraged customers to identify as urban beardsmen and come together as a community. The emphasis on storytelling, which Beardband maintained consistently throughout is branding and promotional efforts, helped the company reach $120,000 in sales per monthwithin the first year.

1.10   Examples of companies which fail to adapt(from the internet)
Netflix killed Blockbuster

I guess that this is one of the most iconic disaster because of the eCommerce development. Many people say that blockbuster killed itself and that is true. Blockbuster was video-rental chain the biggest in America. Reed Hastings wanted to sell Netflix to Blockbuster CEO John Antioco and asked for $50 million to give away the company. But this didn’t happened because Blockbuster didn’t see the potential in Netflix and the internet. Nowadays Netflix is one of the biggest companies and Blockbuster is no more. Because of bad management and not investing into the eCommerce lead the company to go banckroupt.
 UK entertainment retailer HMV launched in 1921. At its peak it have had 400 shops and was the country’s biggest entertainment retailer. However Amazon stole its crown in 2012, Spotify and other music streaming services arrived, and the firm entered administration a year later. It was bought our of administration a few moths later but had to fire staff and shut shops to survive.The company didn’t move to eCommerce when it was the right time becase they didn’t see that as an important fact, but instead preferred to stay in the business to business sector.

Jessops, a UK photo retailer, launched in 1935 and peaked with almost 200 shops and 1,370 staff. It was caught out by the smartphone revolution but it also couldn’t keep up with online retailers like Amazon. Nowadays Jessops remain to be seen if it can be brought back to full health because is not banckroupt yet and entrepreneur Peter Jones is trying to bring it back.


US photo film giant Kodak was founded in 1888. When it reached its peak in the 1980s and 1990s it had 145,300 staff and two-thirds of global market share. However it struggled to compete in a world of digital cameras, Instagram and smartphones and went bankrupt in January 2012. The thought that staying in the normal market will last forever, well that forever didn’t last long did it. Kodak is till operating but at a very low area.

1.11   What I see a great idea for eCommerce
Nowadays we have everything on the internet. We can buy anything we want easy, from any place in the world. There is a lot of pictures, videos which let’s us know how the product looks and explain in videos what the product does. Now let me explain why I see Virtual Reality as the new thing for eCommerce. Because in picture we can see how a t-shirt looks but we can’t try it how it will look in an mirror on a person. I this with the help of Virtual Realty we can make this happen, by using the headset to make a program for the companies to have a Virtual Reality Shop. I think for my own point of view that this is the next future. If we think outside the box companies which are in the eCommerce side can make shops, where people can walk through the store from hoe with the Virtual Reality headset. People can go in the shop and talk with special artificial intelligence which can help them choose the right product by describing it to the costumer and recommending it. I think this is the next step in creating competitive advantage for companies which are in the eCommerce side, because now nobody has this feature in their gamma. This was just my own point of view and I have develop this idea by playing job simulator on Virtual Reality and realizing that business to business can be also made in eCommerce.

1.12   Conclusions
Even companies still don’t want to get in eCommerce side, they will have to do that eventually, because is who the future is moving ahead. Business to business is less and less practiced because of the eCommerce, and people like to tend and go more in to business to consumer because is easy and a much more faster way to conduct business. I have notice that the companies which are in eCommerce side and are well establish have a big competitive advantage from the companies which are not. Me a business student think that companies which are not in eCommerce side should find a way to get in as soon as possible because if they will be to late the competition will catch up with them and then even if they want they will not be able to fight the companies which are already in the eCommerce side, their companies will suffer a huge loss financial. This can also lead to bankruptcy. My point of view is for some companies it might be already late, it is just a matter of month until the competition will catch up. This is what I could find on: A must have competitive edge or a useless nuisance.

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