Notesale: Turn your study into money

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Contents

Page

Introduction

2

Main Body

3-5

Conclusion

6

List of References

7-8

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Introduction
Internet shopping is becoming a trend where many businesses are constructing their
own websites to sell products and increase sales revenue through the internet
...
A new study claims that the internet contributes to
approximately 8% of the United Kingdom’s economy (BBC News, 2012a)
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This shows that the United Kingdom’s shopping habits are changing, thus
forcing businesses to start offering online shopping
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However, others feel that increasing online shopping will lead to the extinction of
high street and mall shopping
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Main Body
E-commerce is using electronic networks such as the internet in the buying and
selling of products
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B2B is when one firm sells to another firm and B2C is
when a business sells to a customer (Clark et al
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222)
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Distribution channels are how a business delivers its product to
its customers (Clark et al
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219)
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Tesco’s online sales in the United Kingdom grew by approximately
14% in 2011 (BBC News, 2012b)
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In addition, it proves that internet
shopping is increasing
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Conversely, traditional mall
shopping is limited to only the geographical location of a mall or street
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d
...
, 2009, p
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, 2009, p
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However, mall shopping requires the customer to go to each shop
physically and check the prices, and that is time consuming
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By using the internet, firms have the ability to tailor products to consumers’ specific
needs, which can potentially increase sales
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The products that can be ordered from
Dell’s website are directly linked to its production facility (Clark et al
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223)
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For example, the price of a 30 second Super Bowl advertisement can reach $2
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However, promotion through the internet can be viral and cheap
(Clark et al
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223)
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Promotion
through the internet is more efficient and targeted because online surveys can create
consumer profiles
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, 2009, p
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With this increase of internet shopping, some people still prefer to shop
traditionally
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An example of a high street is the famous Oxford Street in London
where many world-famous shops are located
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6%
in 2011 (BBC News, 2012c)
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Some
consumers prefer to buy from a retail shop because they lack trust in the internet due to
security issues such as fraud and scams (Clark et al
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223)
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4 million by selling fictional goods on famous sites
such as eBay and Craiglist
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Even though the use of the internet has increased there are people who still have no
access to the internet or find it difficult to access, meaning that they are unable to buy
products through the internet
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Additionally, for some tangible products such as clothes and shoes, people want to test
them before purchasing (Clark et al
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223)
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Also, retail shops can create consumer confidence because
the customers can return their goods
...
, 2009, p
...
223)
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Businesses who own high street retail shops have the advantage over
online retailers because their presence adds to the firm’s reputation and allows it to sell to
consumers that prefer traditional shopping (Clark et al
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223)
...
, 2009, p
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Brand awareness helps
consumers to become more aware of the brand’s name and the products it is offering to its
consumers
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Online shopping lacks the social aspects of traditional shopping where consumers
can talk or ask the sales staff for help
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This shows that there are some consumers who prefer
the mall experience over shopping at home
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These inconsistencies may
make consumers prefer traditional shopping over internet shopping (GCSE, 2009)
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Moreover,
consumers can take advantage of the one day sales promotions, and in-store sales
promotions (DeFranco, 2008)
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This means that some small businesses may
not survive due to the intensity of the competition
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This
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means that the startup costs of e-commerce can be high (GCSE, 2009)
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Thus, some firms such as Argos allow consumers to reserve goods and
collect them in-store (Mintel, 2010)
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5|Page

Conclusion
In conclusion, e-commerce is very unlikely to destroy traditional shopping due many
factors such as the social aspects of traditional shopping
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However, e-commerce will have a great
impact on markets as it may alter how businesses operate
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Businesses should try to fix the
disadvantages of e-commerce and benefit from the advantages of e-commerce in order to
increase sales revenue and profit in the future
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6|Page

List of References
BBC News (2012a) UK is the ‘most internet-based major economy’
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Retrieved 14
April, 2012 from http://www
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co
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BBC News
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bbc
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uk/news/business-16524387
BBC News (2012c) UK retail sales rise 0
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BBC News
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bbc
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uk/news/business-16644596
BBC News (2011) Romanian police investigating internet fraud arrest 90
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Retrieved 6 May, 2012 from http://www
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co
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, Golden, P
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, Weiner, J
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, and Olmos, J
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Oxford: Oxford University Press
DeFranco, L
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mall shopping
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Retrieved 6 May, 2012 from
http://abclocal
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com/wabc/story?section=news/consumer&id=6513977
eCommerce Optimization (n
...
) eCommerce, eBusiness, Marketing & Design Overview
eCommerce Optimization, Retrieved 29 April, 2012 from
http://www
...
com/ecommerce-introduction/
GCSE (2009) Business Studies E-Commerce
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Retrieved 8 May, 2012 from
http://www
...
co
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rewardinglearning
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uk%2Fcommon%2Finclud
es%2Fmicrosite_doc_link
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(2007) Are Super Bowl ads worth the money?
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Retrieved 7 May,
2012 from
http://money
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com/2007/01/24/news/companies/superbowlads/index
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Mintel
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mintel

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