Changing face of E-Commerce

The concept of online stores or e-commerce market place has matured over the passage of time with the advent of Internet. The virtual stores are turning out to be the business model for the millennium. As per the general perception, the pace with which the e-commerce is growing, it might outpace the business of physical stores one day. However, the recent report published by Forrester suggests that the presence of location of a physical store online enhances the total sales of the online stores. The estimated sales value of physical stores alone is calculated to be the 45% of the total sales value.

In general, the franchisee and franchiser relationship in the online business is maintained by the constant flow of information for the availability and replenishments of goods and services by a concrete enterprise resource planning and a supply chain tool. This tool enables franchiser to know the inventory status of the franchisee once they update their sales data regularly. Subsequently franchiser can plan to replenish the goods and materials in the franchisee’s stores if it has come down to a minimum storage level. All this franchiser can do by monitoring the data of all the franchisee stores because all their data are stored in the central server or monitoring server administered by the franchiser.

The location of different franchisers in different region is aimed to cater the need of the customer by shipping to reach the goods and materials faster with minimum turn around time of 24 hours. The encouragement of buying online largely is because of the great ranges of choices and heavy discounts. No heavy operating cost involve on maintaining the outlets and retail establishments, make e-commerce a profitable proposition for the customers.

As the volume of sales grow, the e-commerce company benefits enormously by selling virtually online with operating and shipping stores at different locations. The mode of reaching goods to the customer remains on shipping by courier in minimum time.

The recent trend which allows the customer to fetch the materials directly from the physical stores at the same price makes huge savings on shipping and handling and in turn increases the profits of the online stores. In the bargain franchisee, franchiser and customer are in benefit.

Franchisers sees the greater sales volume, franchisee makes a cost savings by handling and shipping and customer gets the goods and materials faster without any hassles.

Think of a scenario, Mr. Murthy is a book lover and day after tomorrow happens to be his son’s birthday. As a gift, he wants to presents his son a full set of R K Narayan’s book which is available on www.flipkart.com at 30% discounts rate with payment on arrival. But the minimum shipping time required is 3 days and Mr.Murthy is not sure if he places the order it will be delivered to his son on his birthday. Ironically, the flikart store is located a kilometer away from Mr.Murthy’s house and eventually he passes the stores everyday while going to his office.

If the flipkart allows Mr.Murthy to pay and pick the books from the stores, he would be able to ensure that his son gets the birthday gift what he planned; in addition to that he makes a cost savings too. Therefore, the current model of adding physical stores location online and allowing customers to fetch goods and materials directly helps e-commerce grow their business at a faster rate and maximize their profits.

Facing Recession

Recession is just like natural disaster and calamities which can leave you reckless, broken, bewildered, and unbelievably put you on your toes to face it, whether you like it or not. This is not a phenomenon in reality yet it keeps on happening. Who is responsible for the recession? Difficult to answer because as every time a disaster hits the reason is different. Similarly the cause analysis spells different stories about recession too. But the worst hits are the people who are at bottom, last in the ladder of hierarchy in the job, and the menials who make their living by earning their daily wages.

There are many reasons which attribute to the recession but one thing which is in centre of all recession is the ‘greed’. Comparing recession with disaster is not even correct in proper terms but to some extent the aftermath of both is quite similar. Natural disaster is the cause of man made reckless use of resources without caring about the nature, which ultimately leads to the ill effect bringing tsunami, heavy storm, flood, famine, and loss of life and property. Till the time a balance is maintain the nature acts judiciously avoiding any ruthless attack on the human life but when the greed supersedes the law of the nature, it goes beyond the control, and then the repercussion is seen. Similarly, in the economic terms the act of human greed which breaks the rule of business brings recession.

For the seer profiteering if the businesses continue creating false markets, false promises and the inflated market prices, it is bound to fall. Most of the recession had similar reasons in the past yet we have not learnt the lesson from it. May be the major contributor of the recession are not the people who support the business empire as the workforce. It is the workforce because of whom product and service flourishes and the few in the commanding position earn in millions and billions of dollars. For these people making millions and billions is like enjoying the horse race and business is like the race course. Their passion of enjoying race and earning is the hard work and toil of the jockeys and the horses yet when the recession hits, it’s the horses and jockeys who are deprive of their job and face the challenge of even feeding themselves. At the time of recession, the so called business stalwarts are ready to steal the oats of the horse and deny the rides to the jockey.

The ethics and business principles what these business tycoons talk during the good times to tame their workforce does not have value when they are pushed to the wall. Recession over the period of time has become enigma within an enigma. Common people do not know what to do and how to avoid the recession. The best is to face it. How to face the recession? No proven rules or methodologies are at place which can teach you the velour of a warrior.

The present situation is no different. Western world’s economic crises have grappled us too. Our jobs are at stake. Every day some or the others are losing the job. Even if you are the smartest of the lot, if your position is scraped or the business is termed sick you are ought to lose your job. The day you lose your job, you definitely ask this question, “why me?” But its not only you alone. There could be larger queue about which you are not aware of.

Many people do suggest and even news articles keep on pouring in the internet media and the print media that if you have more skills perhaps you can save your job. Its all about multi-tasking. At confused state it sounds feasible. But remember, when good times are there in the business it requires specialist to be at place who could drive the business in a profitable direction. Suddenly the scenario changes and the specialist role becomes the generalist. It sounds little ambiguous. When there is tough time, the people who are specialist they only can fight it better and improve the situation rather than becoming generalist. Yes! The specialists will have to work with higher precision without committing silly errors. It requires hard and consistent approach to come out of it.

Merely advising the workforce to acquire many skills will make them jack of all trades but master of none. Yes! Additional skills might help you do your job better but it is never easier or rather appropriate to deviate from your current role to a different role. Such suggestions can only ruin your career. If you want to help yourself during recession, armed yourself with more job knowledge and equip yourself with better handling of the job which can make you winner even at bad times. You require to put not only the hard work but the smart work. The greater part of the avoiding recession might not be at hand for the simple people like us who are the part of task force. But definitely we have some role to play which can help recession diminish faster. The greater insight about your role, planning about your own progress at job, and bringing new dimension to optimize time and effort could be few things which could help you stay in your job even during recession.

Ultimately, the recession is more like a low tide of the business and naturally a high tide is expected. If it is sooner, it is better. But that is something which is beyond our control. Let us make use of the things which are under our control to tackle recession. Again how you address your problem and figure out the possible solution is the personal challenge. And you are the best judge of yourself; someone else can just lend you a helping hand but can not fight your battle. Hold your breath to run a marathon but be wishful to cross the milestone. If you have it in you, you would fare better even in the bad weather.