Question

Discuss the advantages and disadvantages of outsourcing global e-commerce activities to enablers. Have you been affected by outsourcing? How so?

Discuss the characteristics of a successful multinational web page. Provide example.

Answer 1

Advantage and disadvantage of outsourcing global E-Commerce activities to to enablers.  

Outsourcing is the business practice of hiring a party outside a company to perform services and create good that traditionally where performed in house by the companies on employees and staff.business activities that are outsourced include information technology, human resources, customer support and call centre services and at time also manufacturing and engineering.

There are various advantage and disadvantage of outsourcing

Advantages are as follows:-
Improved focus on core business activities:- outsourcing can free up businesses to focus on its strengths allowing there staff to concentrate on there main tasks and on the the future strategy.

Increased efficiency:-choosing an outsourcing company that specialises in the process of service you want them to carry out for you can help you achieve a more productive efficient services orphan of greater quality.

Controlled cost:- cost saving achieved by outsourcing can help you release capital for investment in other areas of your business.

Increased reach:- outsourcing can give you except to capabilities and facilities otherwise not accessible or affordable.

Greater competitive advantages:-outsourcing can help you leverage knowledge and skills along with your complete supply chain. It can also help to make your business more flexible and agile, able to to adapt to changing market conditions and challenges while providing cost savings and service level improvements.

Disadvantages of outsourcing:-

Outsourcing involves handing over direct control over a business function or process to a third party. Such as it come with certain ways when outsourcing you may experience problems with service delivery, confidentiality and security, management difficulties, instability etc.

Hidden cost although outsourcing most of the time is cost effective at time the hidden cost involved in assigning a contract while signing a contract across international boundaries may pose a serious threats.

Lack of customer focus:- an outsourced vendor may be creating to the expertise needs of multiple organisation at a time. In such situations vendors may lack complete focus on your organisations tasks.

Outsourcing brings opportunities to the developing countries like India, and other southeast Asian countries,alarm with that it brings out its own set of challenges which needs to be tackled by the policy makers.