ABSTRACT
1. Urgency of work
With rapid development of the Internet and electronic commerce new opportunities have opened before modern enterprises of all world at a choice of a wide spectrum of activity kinds, carrying out of marketing researches and expansion of client base, overcoming of borders and reduction of time for international trade. Electronic commerce now is the fastest and economic kind of business which doesn’t know borders. But opportunities can conceal the latent threats and risks in themselves very often. Therefore it is necessary to consider all possible advantages and lacks of use the Internet-resources for the enterprise, qualitative and quantitative character of their influence on efficiency of enterprise activity and to draw a conclusion on expediency of such integration at a choice of optimum model of the enterprise integration in electronic business.
To overestimate value of the Internet for modern business and trade enterprises in particular it is complex enough. Certainly, the Internet-business unlike traditional has essential advantages: interactivity, presence of a feedback between seller and consumer, an opportunity of realization of an individual approach to consumer, higher speed of goods, services and information granting. The organization of an electronic information exchange between managing subjects allows to raise essentially efficiency of their work due to decrease in communication charges, reduction of quantity of the personnel borrowed by processing of entrance and target documents, exceptions of possible mistakes of the personnel, reduction of time for the transaction organization, and also provides speed and accuracy of the information reception and high speed of financial calculations.
By estimations Morgan Dean Witter Internet Research the economy that was Received due to use of the Internet-resources, makes for the companies of different sectors from 15 up to 50 %. In consulting company Prict Waterhause Coopers result such fact: new technologies of conducting trading-purchasing activity in the Internet allow participants of trading platforms to save more than 20 % from the general expenses for supply and service. On-line trade in sector Â2Â has good prospects. By estimations of Boston Consulting Group, volume of intercorporate sales through the Internet has reached 40 % from total amount of sales in corporate sector — both online and offline in 2004.
Principal causes, that reduce efficiency of business models which is guided the end consumer, analysts call: weak development of a telecommunication infrastructure, absence of credit cards in the majority of consumers, absence Ukrainian systems of the express-delivery, a low average level of incomes. Principal causes, that reduce efficiency of business models which is guided the end consumer, analysts call: weak development of a telecommunication infrastructure, absence of credit cards in the majority of consumers, absence of Ukrainian express-delivery system, a low average level of incomes.
Thus, the Internet represents strategically important addition to usual shops now. But traditional shops cannot do without the Internet subsequently. Traditional "real" shops will keep contact, adjust deliveries and to merge about the Internet-companies through a global information network. The Internet will represent a necessary element of business for retail trade and desirable for wholesale trade. Despite of some difficulties of economic development, systems of electronic trade and electronic payment systems take root actively in Ukraine.
2. Review of existing researches
Using of electronic commerce for increase of efficiency of economic activities is actual for many foreign and domestic enterprises, but researches in this sphere, as a rule, conduct the large international organizations. Studying of electronic commerce and its economic aspects in foreign countries is spent basically within the limits of such international organizations, as WTO, OESR, UNKTAD, ATES, MTP, etc. Besides research and statistical work in the given direction is conducted within the limits of the national governments of some countries, the specialized private companies or analytical departments of periodicals.
The problem of electronic commerce receives the increasing development in domestic and foreign literature gradually. The theme master's work close is adjoined with dissertation Kulchenko M. about a role of electronic commerce in modern ÌEO. Among other domestic authors who were deal with problems of electronic commerce, it is necessary to note Balabanov I., Volokitin A., Gurov V., Indzhikjan R., Kurnosov I., Lebedev A., Novomlinskiy L., Otstavnov M., Popov V., Sokolov A., Solovjanenko N., Fortov V., Shamraeva A., etc.
The given theme also concerns works of foreign economists. Speech goes about works of such scientists, as Brin'elfson E., Vudall P., Gryulikh K., P. De Souza, Drayden D., Yensen M., Kaprioli E., Goat's D., Pangariya A., Telcher C., Timmers P., Khaltivanger D., Khenri D., Khyubner D., Choj D., etc. Many of these works have been published abroad in 1998 — 2001. Such known western experts as Kotler P., Evans D., Shmalen H. were engaged in research of marketing questions and also set of domestic experts in marketing — Zav'yalov, Afanas'ev, Golubkov, Khrutskiy, etc.
Application of mathematical methods and models for researches online will allow to analyze real effect from using of the Internet-resources on trade enterprise in commercial objectives. It is necessary to note, that the degree of scrutiny level of a problem on a lot of questions is insufficient: there are no authentic tools for an estimation of e-commerce scales practically till now in Ukraine that complicates a choice of strategy for its development in modern conditions. Absence of necessary information complicates Ukrainian positions at the international negotiations on a problematic of development and regulation of electronic commerce frequently.
3. List of solving problems in work and their novelty
During of master's work the decision of following problems is planned:
1) analysis of existing marketing models and their features, methods and receptions of carrying out of marketing researches;
2) carrying out of marketing research for the company trading soft toys, SLL "Amigo";
3) analysis of expediency of using the Internet-marketing for research of the soft toys market;
4) carrying out of marketing research online for SLL "Amigo" and comparison of results of two researches;
5) review of existing kinds and models of electronic commerce, development of optimum model for integration process of new information technologies in economic activities of the enterprise and a substantiation of its conformity to needs of the enterprise;
6) creation the Internet-shop for SLL "Amigo" and monitoring of sales statistics in it;
7) analysis of efficiency dynamics of activity of trade enterprise before and after using the Internet-resources;
8) choice of price policy for the Internet-shop on the basis of dynamic pricing model and development of strategy for optimum control SEC;
9) drawing up the system of recommendations concerning work of the investigated enterprise on the basis of the lead analysis.
The list of problems can be modified at the further work above master's work.
Developments in this sphere were conducted by masters DonNTU of the last years. The mathematical device for research of electronic commerce is offered in a number of clauses on the basis of classical methods of the system analysis, the theory of optimization and the theory of optimum control. Unfortunately, these methods yet have not found wide application in considered area. The part of materials on a theme of final work is presented in sections «Library» and «Links» of this site.
4. Modelling of electronic commerce
4.1 Basic forms of interaction in the Internet
As a rule, electronic business means any business activity which is using opportunities of global information networks for transformation of internal and external communications with the purpose of profit reception. The internal organization of the enterprise on the basis of uniform information networks (intranet), external interaction through the Internet with partners, suppliers and clients (extranet) — all these are components of electronic business.
It is accepted to allocate such basic forms of interaction of Internet-market participants:
1) Business-To-Business (B2B) — form of interaction and construction the Internet-business at which the enterprises act as the parties;
2) Business-To-Consumer (B2C) — model of business, at which the retail buyer acts as one of the parties;
3) Business-To-Goverment (B2G) — model of business, in which the enterprises on the one hand and the state with another act as participants.
4.2 Kinds of Internet-shops
The Internet changes ways of promotion of trade marks and creates new marketing approaches. New Internet-technology allow to make not approximate, but full segmentation of the market.There is an opportunity to collect the detailed information on each client, on demand and the market condition by means of interactive access to the information in new models of business. The opportunity of personal dialogue with a feedback does each client by the active supplier of the information about his needs. The enterprise personalizes offered products and services, directing marketing efforts to concrete groups of persons. In this case marketing miscalculations and commercial risk decrease practically to zero.
It is necessary to consider existing basic models of marketing at using the Internet-marketing for the analysis of the market and firm positioning on it. Traditional segmenting marketing now has faded into the background and has made way for younger directions: to network marketing and intramarketing. The attention of experts in marketing moves from search of methods for effective influence on the allocated consumers group to search of methods for development of enterprise identity — interest moves "outside inside".
Depending on functionalities the Internet-shop, which is working in a mode online, can be carried to one of three categories: the Internet-show-window, the trading automatic device or automatic shop.
In case of the Internet-show-window, it represents logic expansion usual web-site when all necessary information on the goods, which is as required updated, gives simply on it. The Internet--show-window realizes only advertising function. A lot of time passes from readiness of the consumer to get the goods to actual purchase. Expenses for creation and administration the Internet-show-window are insignificant.
The trading automatic device, unlike the Internet-show-window, carries out real trade. The system of conducting trading operations is integrated with business-processes of the organization. The information on the made orders can be processed differently: automatically or manually by the manager. Internet-shop of this type is the most preferable to pilot and test projects with a small number of consumers.
The automatic shop generally allows to accept the order in an automatic mode, to draw the account, to accept payment, and also to form the application for delivery of the goods to the consumer. Degree of integration of trading operations with business-processes is high. The manager carries out only the general control over work of system. Internet-shops of this type are complex enough, demand considerable expenses for development, but at the same time, can essentially increase sales volumes.
4.3 Models for electronic commerce
Modeling of electronic commerce and using of economic-mathematical methods for studying the Internet-business is young enough direction. In it allocate such models of e-commerce system as:
1. Model of SEC as "black box".
2. Model of the stochastic automat for the applications processing in SEC and others.
It is possible to calculate an average of visitings for certain time, the average price of purchase, the attitude of number of consumers to the general number of visitors during some moment of time in statistical model. It is possible to do forecasts on sales volumes, a parity of consumers in relation to visitors at any moment work of SEC on the basis of these characteristics.
The second model, which allows to develop strategy of optimum control for SEC, will be in more details disassembled and modified in the given work. Given model and lemma about optimum control for SEC are stated in more detail in article of Kolesov I., Skvortsova A. "Optimum control of electronic commerce system".
There is a case seldom in practice when all applications are processed, and the maximum of purchases number is reached. Usually it is observed in conditions of B2B systems as the companies-partners, which are working in SEC, agree about the transaction necessarily. There is some average empirical threshold value, being the attitude of number of consumers to number of visitors usually in B2B systems.
The optimum price policy will be developed for pricing in the Internet-shop in master's work. One of key stages of price policy formation is the choice of marketing strategy of the prices. The basic kinds of marketing strategy of the prices include:
1) strategy of high prices;
2) strategy of average prices;
3) strategy of low prices;
4) strategy of reduced prices;
5) strategy of prices in view of the goods quality;
6) strategy of discounts from prices;
7) strategy of prices in view of geographical factor;
8) strategy of the discrimination prices.
Following step is direct definition of the goods or service price after definition of the company purposes and a choice of the price strategy corresponding them. Procedure of initial price definition consists of several stages: definition of demand and its characteristics, the analysis of costs, the analysis of expenses, the prices and competitors offers , definition of the price by means of pricing methods; a final price establishment in view of additional factors: psychologies of price perception, influences on the price of other elements of marketing complex , influence of the price on other participants of market activity.
4.3 Choice of optimum model of the enterprise integration in electronic business
Depending on degree of the enterprise integration in electronic business allocate some models:
1. Model of the intranet (model B0) — at a stage the Internet is used as the tool for realization of effective system of internal communications at the enterprise.
2. Model of the card (model B1) — transparent for partners, but the system of servicing closed for strangers, works as the card or the directory of the enterprise: contains the information on assortment, the prices for goods, about discounts and privileges, the client database.
3. Model of the electronic order (model B2) — in this model of Internet-technology allow to connect in a uniform chain of the supplier — the manufacturer and the manufacturer — the consumer. The user of such electronic system can be both corporate client B2B and end user B2C.
4. Model of full automation (model B3) combines system of the electronic order, purchases process automation and promotion of the goods to the end user through own electronic shops.
5. Model of outsourcing (model B4) — full automation of many business-processes, simplification of interaction schemes, expansion of opportunities and increase of speed and quality of works coordination change functions structure and the enterprise configuration.
It is probable, that there is a question on expediency and an opportunity of expansion to electronic business now before a management of many enterprises. Absence of standard techniques and experience of business dealing in electronic space creates a problem of a choice of optimum integration model for the concrete enterprise. Key element of a choice optimum business-model is positioning the chosen model of integration in a matrix of successful realization of the project probability. The appeal of Internet-market for the enterprise and a degree of enterprise to integration are used as criteria of an estimation of an optimum choice.
Process of a choice of optimum integration model for the enterprise consists in the analysis and ranging various business-models of integration from the point of view of successful realization probability for each of them. On the basis of these estimations optimum strategy of integration it is formulated if integration in general is necessary. Weak places of the given approach are: absence of experience in carrying out of researches the Internet-market in Ukraine, absence qualified the Internet-experts and high enough subjectivity of estimations.
5. Review of results and conclusions
For successful realization of the integration model, that was chosen for trade enterprise, in conditions of Ukrainian consumer sector it is necessary performance of some important conditions:
1. Strategy "offline plus online" is most effective for the enterprises having "real" shops. The charges connected with an output on the Internet-market (in online business), in this case less felt, than in case of about the Internet-projects, developing without support of offline business. Successful "real" shops have the generated attitudes with the suppliers, the recognized trade mark, extensive client base, know needs of the market, have organized transport and warehouse a network — that while are not present at cleanly online enterprises.
2. Focusing on need solvent the Internet-audience.
3. Carrying out of active marketing.
4. Good speed of sites loading, high speed of the data exchange, convenient navigation, the low prices on provider services.
5. The developed system of distribution and delivery of the goods.
6. Creation of regional partner alliances: the Internet-shop plus the provider of high-speed access plus express service.
Internet-resources can be potentially used in intrafirm processes and communications as the tool of virtual marketing, and also as the interactive tool in advertising and some kinds of commercial activity of the enterprise. Areas of using the Internet-technologies in economic activities of the enterprise are various: from creation of the uniform internal information environment before full integration of business into the Internet and external interaction with subjects of the market through a global information network. The Internet-technology become the effective tool of business, connecting in a uniform chain of the supplier, the manufacturer and the consumer.
6. Prospects of the further researches
Now lack of the economic-mathematical worked methodological base of construction of electronic commerce systems is felt. The given direction only starts to develop in Ukraine and in CIS. This master’s work becomes one more stone for construction of the base in research of electronic commerce value for modern trade enterprises.
During final work it has been carried out marketing research of the soft toys market for SLL "Amigo" which has shown, that the enterprise has a stable position and the confident parameters of growth in the given sphere of light industry. Most expediently for the given enterprise to use model of the electronic order (model B2). For the given enterprise the Internet-shop will be developed for realization of strategy “offline plus online” first of all for B2C trade, and dispatch of offers by e-mail to wholesale buyers for B2B trade has already successfully proved.
For the analysis of influence the Internet-resources on a level of efficiency of economic activities of trade enterprise the system of efficiency parameters will be generated and comparison of calculation results be lead before and after application the Internet-resources in enterprise activity.
List of the literature
1. Kolesov I., Skvortsova A. Optimum control of electronic commerce system. — Bulletin of Tomsk state university, # 275, 2002
2. Rublevskaja J., Popov E. Modelling of business in the Internet-environment. — Magazine "Marketing in Russia and abroad", # 2, 2001.
3. Carev V., Kantarovich A. Electronic commerce: textbook for the high school. — SPb.: Piter, 2004.
4. Balabanov I. Electronic commerce. — SPb.: Piter, 2001.
5. Golubkov E. Marketing Bases: Textbook. — M.: Finpress, 1999.
6. Goldshteyn G., Kataeva A. Marketing: Train aid for magistrantov. — T.: TRTU, 1999.
7. Katalano F., Smit B. Internet-marketing for tea-pots. — M.: Williams, 2005.
8. Kotler F. Bases of marketing. — M.: Progress, 1990.
9. Afanasev M. Marketing: strategy and practice of firm. — M.: Finstatinform, 1995.
10. Orlov A. Basic ideas of the modern marketing. — Magazine «Marketing of success». # 12, 2000.
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