Ebusiness

The SSL technology ensures that sensitive information being sent to the sever is secure and has not been altered. Through encryption, confidential information such as name, address and credit card details cannot be read by anyone other than the authorised party (Is it safe to order online? , 2013). With the help of SSL, it enhances security and users are less prone to encounter phishing attacks. 4 ASOS’s e-business system 4. 1 Tangible benefits 4. 1. 1 Enhance customer relationship With the use of social networking sites and internet, it increases awareness to large amounts of consumers in a short period of time.ASOS makes full use of this method with blogs, Facebook, Twitter, Youtube to premote its products. With the growing use of internet and social media, ASOS advertises its products and promotions online which increases customer base and brand identity. It also helps customers to give feedback or make complaints which help establish a sthronger relationship between busine ss and consumers. Therefore social media and internet are priceless resources for ASOS to increase customer base and profits. 4. 1. 2 Improve time management and cost efficiencyAs ASOS uses a pure e-commerce system, customers need not move around to select products which show there is a huge gain over physical stores. The costs of products are cheaper compared to physical stores because extra manpower is not needed to operate the physical store which mearns ASOS saves on wages and rent for physical stores. Thanks to internet marketing through Facebook or within ASOS website, it is more targeted than traditional media. It is cost efficient and recognized by millions of people. ASOS applies e-commerce systems which improves the efficiency of logistics and inventory management.With the help of e-commerce, order fulfillment is accomplished quickly, more accurately and cost effectively. There is no need for phone calls to clarify and confirm purchases. This improves the efficiency of ord er fulfilment and improves the speed of delivery which surpasses customer expectations. 4. 2Intangible Benefits 4. 2. 1Improved strategic position of company As one of the leading online fashion store, ASOS has gained a competitive advantage in the fashion industry (Greenblat, 2013). ASOS were able to implement strategic plans earlier than its competitors and managed to gain a better position in the market.As a pure online retailer, ASOS must focus on maintaining and ensuring their website is constantly updated and managed professionally. In contrary to ASOS, competitors whom are click-and-mortar based have to emphasise more towards maintaining their physical store as well as their website. 4. 2. 2Increasing customer loyalty E-commerce businesses can face problems since they are not able to communicate directly with their customers but ASOS has managed to continuously increase customer loyalty by providing excellent customer services to its customers such as ensuring efficient and e ffective payment and delivery of goods to customers.ASOS also makes sure of the convenience in finding items, comparing and checking them out. Customers who are highly satisfied with the services provided would have increased loyalty and will give positive testimonials and word of mouth to other consumers. 4. 2. 3 Vision, Mission and Strategy ASOS’s vision is to create a unique multi-channel shopping experience where twenty-something fashion lovers can network, share ideas, create their own styles and shop together. (Home – ASOS Plc. , n. d. ). Conducting their business online plays an important role in achieving their vision. With the advancement of Web 2. , ASOS websites and their participation in social network accounts not only facilitates customers to interact with one another and the company, but also encourages them the share and spread their fashion ideas and knowledge, which relates to their vision. This would then lead to achieving the company’s missio n which is â€Å"to lead the fashion revolution† (ASOS – Next Generation Pledge, 2010). With the help of the e-business systems, ASOS is able to continue to ensure all participants of the system stay connected through online network, to continue to share and grow business ideas together, since ASOS is a virtual organization. . e-Business Issues 5. 1 Security and Privacy Issues Security is crucial in every organization. Since ASOS is an online based organization there are various types of attack that they can encounter. Identity theft is one of the main problems faced which prevents consumers purchasing from ASOS. New born sites usually are not trusted by first time online purchasers. To avoid this, ASOS uses Comodo SSL certificate which help in securing online payment system and reduce identity theft. The most basic protection against technical attacks is firewalls and antivirus.These basic protections should be implemented in every e-business as even small viruses may cause websites to crash which would require a significant time to recover. This also affects the reputation of ASOS. In order to have an improved, more efficient and effective security in the long run, ASOS should invest in security to enhance pproduactivity. 5. 2 Marketing Issues One of the marketing issues ASOS face is trust issues on online shopping. Constant phishing attack on e-commerce sites make customers more aware of the risks of providing personal information online.Therefore, building trust is a crucial key to promoting products online. ASOS iintegrates the latest privacy and security technologies to enhance security online. As ASOS being a pure play organization, it faces a tough competition in the virtual business platform. Today, many organizations perform businesses online. To increase market share, ASOS have to set themselves apart from the competition by being more creative and innovative, such as providing more product or service than other competitors which in re turn attracts more customers. Another way to attract customers is to offer discounts or coupons to hike sales.