Question

In: Operations Management

Dirt Bikes’s management believes that the company could benefit from e-commerce. The company has sold motorcycles...

Dirt Bikes’s management believes that the company could benefit from e-commerce. The company has sold motorcycles and parts primarily through authorized dealers. Dirt Bikes advertises in various magazines catering to dirt bike enthusiasts and maintains booths at important off-road motorcycle racing events. You have been asked to explore how Dirt Bikes could benefit from e-commerce and a Dirt Bikes Web site. Prepare a report for management that answers the following questions:

How could Dirt Bikes benefit from e-commerce? Should it sell motorcycles or parts over the Web? Should it use its Web site primarily to advertise its products and services? Should it use the Web for customer service?

How would a Web site provide value to Dirt Bikes? Use the Web to research the cost of an e-commerce site for a small to medium-sized company. How much revenue or cost savings would the Web site have to produce to make it a worthwhile investment for Dirt Bikes?

Prepare specifications describing the functions that should be performed by Dirt Bikes’s Web site. Include links to other Web sites or other systems in your specifications.

Solutions

Expert Solution

In today's world going e-commerce in any kind of business is a good idea, but in case og Dirt Bike business it can b a great oppertunity for expanding the business reach and overall processing, but before explaining the benefits of e-commerce in Dirt Bike business let us first know what e-commerce is:

E-commerce is the activity of buying or selling of products and services online or over the internet. Electronic commerce draws on technologies such as mobile commerce, electronic funds transfer, supply chain management, Internet marketing, online transaction processing, electronic data interchange (EDI), inventory management systems, and automated data collection systems.

1) How could Dirt Bikes benefit from e-commerce? Should it sell motorcycles or parts over the Web? Should it use its Web site primarily to advertise its products and services? Should it use the Web for customer service?

A business like Dirt Bike can benefit alot from e-commerce in comparison with doing business old style. Most of the customers of the Dirt Bike comes to know about new products and information through magazines, but a website attracts more cutromers then a magazine. A magazine that comes once a month can not hold a candle to a 24/7 fully functional website.

Dirt Bike business should consider selling motorcycle and part online, that way more customers will be able to see and purchase Dirt Bikes.

They should not limite the web site to services and Advertisement only, indeed it is right that the web site can provide services and advertise that no other medium can but thats no reason to limit it to the basic function only.

Apart from selling products online on web site and providing services, Dirt Bike web site should also rovide customer services to make the customer happy and feel cared. A business with good customer service pulls cutomers. Customers are forgiving by nature, if a business reactedon the feedback and make curtomer eel cared the customer will easily ignore the faultsin the product that they might have faced, but that is only possible when the service is fast and the fastest way of receiving complaints, feedback or request for assitance is Web site.

2) How would a Web site provide value to Dirt Bikes? Use the Web to research the cost of an e-commerce site for a small to medium-sized company. How much revenue or cost savings would the Web site have to produce to make it a worthwhile investment for Dirt Bikes?

A web site is not just a mode of doing business, in today's market the web site of the firm or business represents the image and the capacity of the business in whole, customers dont take a brand or a business seriously that does not have a impresive web site.

When a small or a midium-size business thinks of going e-commerce first thought that comes to there mind is is it worthwhile investment and how much will it cost, below is a Traditional e-commerce medium size business web site expense.

Licensing $4,000-$5,000
Hosting (monthly) $350-$500
Design $5,000-$10,000
Custom Development $2,000-$5,000
Setup $2,000-$5,000
Training $500-$2,00
Total Setup* $15,500-$29,000
Total Annual* $18,000-$30,000

* this cost is a rough idea, all developers cost diffrently and cost also depends on the nature of site and business.

3) Prepare specifications describing the functions that should be performed by Dirt Bikes’s Web site. Include links to other Web sites or other systems in your specifications.

Functions that should be performed by Dirt Bike web site includes:

  • Crucial business information: Depending on Dirt Bike business, they should have a few thing on their website that fall into realm of "information". Some business history, product infromation, images, etc.
  • Contact Information: The site must contain the in information related to the contacts, not just in the bottom of the site, contact information should be on the top with other menu.
  • Security: If Dirt Bike decides to sell motorcycles and parts online then they must arrange for the security of their cutomers bank details and personal information.
  • Social Media Integration: The site should contain all the social media handles and should have easy and fast reconnection to them so that the customer can see Dirt Bike's profile on them.
  • A mobile-ready version: THe site should be compatible for mobiles and other devices, and application would be even better.
  • FAQs, Feedback and Complains: The site should option of asking quesion, ption of giving feedbacks, and option of linf complaints. Apart from havinf these options, the site should have a quick and user friendly interface so custmers dont get irritated.
  • Product and Services Cattegorisation: There should be option for corting products for easily finding the correct product and availing the right service.

Related Solutions

e-commerce what could be an online business which could be started or already running but notnin...
e-commerce what could be an online business which could be started or already running but notnin everypart of the world( not that famous)? include business model and cost included. consider and examine business opportunities online thanks
A company selling licenses of new e-commerce software advertised that firms using this software could obtain,...
A company selling licenses of new e-commerce software advertised that firms using this software could obtain, on average during the first year, a minimum yield (in cost savings) of 20 percent on average on their software investment. To disprove the claim, we checked with 10 different firms which used the software. These firms reported the following cost-saving yields (in percent) during the first year of their operations: {17.0, 19.2, 21.5, 18.6, 22.1, 14.9, 18.4, 20.1, 19.4, 18.9}. A. Do we...
Amazon started as an e-commerce book site and has now become agiant e-commerce retailer with...
Amazon started as an e-commerce book site and has now become a giant e-commerce retailer with wide range of product offerings including music/movie, toys, electronics, software, and home improvement equipment among others. Amazon's analytics team develops state-ofthe-art analytical solutions (predictive and prescriptive) to maintain customer relations by recommending books based on customer purchase history, sending reminders at holiday time, and permitting customers to review and comment on books. To ensure market share while keeping inventory cost low, Amazon has done...
Motorcycles USA is a company that manufactures and sells motorcycles in North America. It has the...
Motorcycles USA is a company that manufactures and sells motorcycles in North America. It has the following demand function for its motorcycles: P = 30,000 – 100Q Motorcycles USA has a marginal cost (MC) that is constant and equal to $4,000. What will Motorcycles USA’s price be if it decides to sell the motorcycles by itself? What will the price be if it sells them though MC Dealership, LLC an independent distributor? (10 points) Consider that when Motorcycles USA contracts...
How E - commerce is different from traditional commerce? Describe four differences with example.
How E - commerce is different from traditional commerce? Describe four differences with example.
How critical has e-commerce and internet technologies be for international management? What do you think of...
How critical has e-commerce and internet technologies be for international management? What do you think of the many barriers to international e-commerce? What do you think of the cross-cultural differences in terms of how web pages are designed/constructed?
could anyone make a php code for a cart page for an e commerce website?? just...
could anyone make a php code for a cart page for an e commerce website?? just the cart page not the whole website
List a minimum of three (3) management recommendations you believe the multinational corporation could benefit from...
List a minimum of three (3) management recommendations you believe the multinational corporation could benefit from the successful implementation of planning process in the future.
This being for an online apparel E-Commerce business Describe ethical issues that could arise with your...
This being for an online apparel E-Commerce business Describe ethical issues that could arise with your company conducting electronic commerce. Make sure to include those that could occur in your relationship with vendors or other partners as well as with your customers. What steps would you take to ensure that the ethical issues that you identified would not occur in your company? Explore the taxes that are potentially levied on your company’s activities. For the purposes of this question, assume...
A small company involved in​ e-commerce is interested in statistics concerning the use of​ e-mail. A...
A small company involved in​ e-commerce is interested in statistics concerning the use of​ e-mail. A poll found that 37% of a random sample of 1122 adults, who use a computer at their​ home, work, or​ school, said they do not send or receive​ e-mail. Complete parts a through e. ​a) Find the margin of error for this poll if we want 90​% confidence in our estimate of the percent of American adults who do not use​ e-mail. b.) Explain...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT