730 Strategic E-Business Assignment
18 Oct 2014 LIBEI 1406221
Question 1 Answer: There are four steps for developing a new strategy as following:
Step 1: Strategic Analysis. City Flowers should analysis external and internal environment and first. By collecting and reviewing of information about firm’s internal processes and resources and external marketplace factors, firm can understand the situation and position well. By using PESTLE to analysis external environment and SWOT to analysis internal environment are efficient.
City Flowers currently meet the 40% customer needs as the standing order from commercial clients for company reception and executive offices. 30% from individual purchasing, another 30% are orders to be
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By expand e-channel, the flower shop can save order cost and arrange procurement efficiently. Second is organizational restructuring. The flower shop may joint with other company to expand their business or adjust personnel arrangement such as lay off the employees whose work is not saturated and hire experienced e-business technicians. And the flower shop can consider to make strategic partnership with restaurants and hotels. Third is learn from competitor innovations and review new revenue opportunities. Fourth is marketplace restructuring. The flower shop may consider whether expand the business by middleman or not. Middleman may bring more distribution way. Fifth are market and product development strategies. The flower shop should decide on which market to target on. Base on the case, we target the commercial market. Analysis by Ansoff Matrix, we are in the existing products of existing market, we need to grab more market share and be more effectively online and developing new selling ways. Sixth are positioning and differentiation strategies. The flower shop need to define how to best position their online services relative to competitors according to product quality, service quality, price and fulfillment time. Also to decide what image we should create in consumer’s mind. Strategies should find a balance between increased product & service quality and decreased price & time.
Step 4 Strategic