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E Business Paper

946 words - 4 pages

E-BUSINESS PAPER 1E-business PaperJohn DepakakiboACC/34005/26/2014Sara CarpenterE-business is doing business over the internet and selling their products through e-commerce opposed to buying and selling in a brick and mortar business with only a physical storefront. The online storefront allows customers to shop online while checking emails or doing other business. Toys 'R' Us was previously just a brick and mortar company with no online storefront. Now, Toys 'R' Us is engaged in e-business including e-commerce. Entering into the e-business forum is risky and there are many barriers to entry. The funds needed to put up an online storefront are less than a brick and mortar store. The internet has decreased the barriers of starting up a new business. Unfortunately, there can still be many problems with e-commerce as there are problems with any business. E-business with a focus on e-commerce is the main topic of this paper.Toys 'R' Us made many attempts to enter into the e-business and e-commerce realm. The first time they entered into the realm, they encountered many problems. The first site crashed very often, made errors in orders, etc. Because of all of the hardship, Toys 'R' Us decided to partner with Amazon.com to build its online storefront with some stability of using an online store that was already successful. Together, Toys 'R' Us and Amazon built an online toy store. Toys 'R' Us made this decision because it could not stand on its own yet. It could not handle having an online storefront and a brick and mortar storefront. The partnership with Amazon was to last ten years. Four years into the partnership, Toys 'R' Us held a lawsuit against Amazon stating that Amazon was not using Toys 'R' Us as the exclusive provider of toy. In 2006, Toys 'R' Us won the lawsuit and established its own online storefront without all of the problems.Business processes for e-business and e-commerce are a lot different from the business processes of a brick and mortar business. Many of the business processes that are different include the business processes dealing with inventory and the shipping of online purchases to customers. The shipment of goods to customers must be done well. Inventory must be increased greatly to make sure there are enough products for both online customers and brick and mortar customers. The stock must be increased due to the online storefront. The way inventories are organized would need to be analyzed to verify that the vendors can maintain the supply with the demand of products sold on the online storefront. More storage space is necessary to store the extra stock for the online customers. A business process would need to be put in place to make sure the correct orders go to the correct customer. Transactions online are made electronically instead of in person like in brick and mortar...

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