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Ecommerce Strategic Plan - Research Proposal Example

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Ecommerce Strategic Plan

Here we are going to look at what is happening in the Electronic Commerce or IT industry of UK since our company is UK based.
73% of businesses were online, 18% of business were with broadband, 62% of businesses have websites, 30% of business selling online and 52% of businesses were buying online. UK also has some online innovators, like Freeserve and QXL.
Economics: As a result of the 2002 Spending Review and the Government's strategy for science, engineering and technology, an additional 1.25bn will be invested by 2006 in science, engineering and technology to boost the UK's economic performance and raise levels of innovation and growth. By 2005/06 an additional 100m a year will be available to help improve the quality of the UK's science and technology skills base.
Demographics: The "Workforce ageing in the new economy: A comparative study of IT employment" report reveals that: More than 80 per cent of UK IT staff are under 45, and more than half are younger than 35, the number of under-25s entering the industry has nearly halved since 1995 - but in Germany it has almost trebled and the number of women in UK IT has dropped from 100,900 in 1999 to just 53,700 in 2003
The environmental analysis of ecommerce industry in UK proves to be favorable for the launching of new website. Since the Easy Group already has a history of other websites which are available for users to see, hence it would not be difficult for them to come up with this new website.
Competitive Environment
The competitive environment derived from the Porter's Five Forces gives us a below average rating. Which means that entering the travel market is neither too good nor too bad. It's how that Easy Group differentiates itself from the others and takes an advantage of the available opportunities.
Threat of new entrants: The threat of new entrants is high because not much of a capital is needed to develop a website and secondly the serviceable equipment is not too expensive. We cannot stop the launching of other websites on traveling.
Bargaining power of buyers: Over here our buyers would be the visitors of our website. Hence the bargaining power is average because the visitor will not face any significant cost in switching on to any other website and secondly yes Easy Group does have an accepted branding with the success of its other websites.
Threat of substitutes: The threat of substitute ...Show more

Summary

The EasyGroup is a private investment by Stelios, a serial entrepreneur. All the Easy brand and licenses like easyJet, easyInternetcaf, easyCar and so on are said to be owned by the EasyGroup. The EasyGroup is said to gain its profits by either selling shares in the business or by licensing or franchising its brand…
Author : qwaelchi
Ecommerce Strategic Plan essay example
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