Business Strategy for Classact



Business Strategy for Classact

Introduction

The emergence of online marketing makes more demands on the work of the marketer. First, it is timeless awareness of global market, which has no government, customs and other boundaries, but with its inherent cultural and national characteristics. One must first understand the basic phenomena that operate in the new environment, its fundamental elements, technology, economics and marketing. There are many reasons why the trend of internet marketing as well as affiliate programs is perceived as a hot commodity in the business world of the internet, especially due to the increased confidence that customers have in online shopping experience, costly methods for traditional advertising, and the growth of the internet. The paper presents an essay with respect to the case of Classact since the company is facing the upcoming threat of online marketing and sales channels. It aims to present the feasibility of adoption of IS/IT structure into the business.

Classact has been a profitable company from past years by its recent business performance has suffered compared to the five other manufacturers who compete in the build-to-order, high-end furniture market. This is of some concern particularly in regard to sales and profitability. After careful observation, it has been found that there are certain problems that are evident in the company. It has been observed that the direct competitors of Classact are even faster at anticipating changes in customer needs and while the build-to-order model gives some protection against this, our business is losing orders when trends change strongly in terms of any new materials that are required and new designs.

In terms of inventory management, competitors have far better system and they also manage their supply chain at greater speed and at less cost than Classact. Production and delivery times at Classact are twice that of competitors and customers are showing impatience with the situation.

Further, market research suggests that with the rise of internet, online channels and incorporation of IS/IT has also resulted in more sales. Classact from long has not given any consideration to the increasing threat and many furniture stores and individual customers are showing a growing preference for using online channels. I believe there is an urgent need for an aggressive use of IS/IT to help turn business performance around.

The objectives of the essay are:

Examination of the above problems and factors closely to eradicate barriers to online trading and promoting drivers with appropriate justification.

Ascertaining the actual state of mind of consumers, opinions. Reactions with regard to complete usage of online business. Shopping or trading.

Ways to eradicate competitors threat also understanding the psychological, demographical and technological trends of consumers and market structure and working on it closely.

Justification from stakeholder's point of view of the complete transformation of the trading online from that of traditional ways.

Creating a balance and relationship between online and virtual shopping practice.

Discussion

In the contemporary world, of burgeoning technological innovation and the consequences, the ever increasing competition in the market, tahe applications and use of Information Technology (IT) has become extremely ...