Chapter 12: Planning for Ecommerce

E3. As manager of networks and computing operations for Fashion Land, a retailer of women’s clothing and accessories, you have seen the business grow from seven stores in Kansas City to over 100 stores located throughout the Midwest. Fashion Land’s marketing research team realizes that the majority of its target customer group— females between the ages of 15 and 35— are regular users of the Web. The researchers have asked you for help in developing an electronic commerce initiative for Fashion Land. Alone, or in a team assigned by your instructor, do the following:

1. Outline a business strategy for Fashion Land’s electronic commerce initiative. The outline should include a list of specific objectives and the costs and benefits of accomplishing each objective. The outline should also include recommendations regarding what to outsource and what staff should be hired.

Objectives:

1)      Build brand

a.      Fashion Land’s brand has the potential to enhance their brand image at a faster rate due to the capabilities of targeting its major customer group via web

·         Create a logo and slogan that to market and advertise

2)      Advertise

a.      Easier and more profitable advertising by publishing ads online instead of paper catalogs

·         Email branding

·         Google Ads

·         Distribution or Download of Web Catalogs

3)      Sell products

a.      Implementation of payment systems will increase revenue at a more productive rate

·         Credit card payments

·         Electronic Cash payments

4)      Enhance customer service

a.      Real-time help increases quality of business and provides customers with assurance in service

·         Customer Service Line

·         Email Representatives

·         Chat Representatives

5)      Improve inventory

a.      Online products are easier to track and manage based on profit sales

·         Easily edit product options

·         Provide tracking systems for product inventory

2. Prepare a memo that lists and briefly describes the major hardware, software, security, payment processing, advertising, international, legal, and ethics issues that might arise in the development of this electronic commerce site.

                First, Fashion Land must ensure trademarks to its name, logo, and slogan. Afterward, it will need a web service or web developer and designer that can publish their website. After the website has been published, it’s imperative that they maintain it so purchasing a company PC is a must. In creating the website, Fashion Land should invest in an SSL Certificate to secure transactions and provide business legitimacy. Transactions can be processed by using a Merchant and Electronic Cash system. Authorize.net is a well-known merchant system and PayPal is the most popular Electronic Cash system. Both systems have safe encryption software to prevent fraud. After the website has been established, Fashion Land can begin advertising by purchasing Google Ads or even establishing a Facebook Group and a advertising through Facebook Ads.