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Entrepreneurship Chap 10

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  • 1. Developing a E-Business Strategy Patterns of Entrepreneurship Chapter 10
  • 2. copyright 2003 Jack M. Kaplan Crafting a Customer Strategy Prepare a strategy plan to acquire and retain customers, determine customer needs, value, and requirements. Key Questions 1. How will e-business target the customers? 2. What are the customer buying habits? 3. What demographics are needed to track customer performance? 4. What database requirements are needed for analysis?
  • 3. copyright 2003 Jack M. Kaplan Key E- Business Components Enterprise Resources Planning, Supply Chain Management, Customer Relationship Management and e-procurement,
  • 4. copyright 2003 Jack M. Kaplan Enterprise Resource Planning ERP provides the architecture to gather information among the different functions, units and locations. The system allows entrepreneurs to get the information they need on a timely, reliable and consistent method. 1.
  • 5. copyright 2003 Jack M. Kaplan Supply Chain Management The supply chain is a “process” by which products are delivered to customers. A supply chain refers to the network of relationships that companies use with suppliers to purchase, manufacture, and deliver and fulfill products
  • 6. copyright 2003 Jack M. Kaplan Supply Chain Examples Examples can be material, information or financial flows. • Material flows- involve product flows from suppliers to customers as well as product returns. • Information flows- involves forecasts and orders transmissions. • Financial flows - involve credit card information, credit terms, payment schedules,
  • 7. copyright 2003 Jack M. Kaplan SCM Questions Use these key SCM questions to get started. • How to define supply chain problems and issues? • How is a business case justified • Should the business build or buy?
  • 8. copyright 2003 Jack M. Kaplan Examples of SCM • Dell Computers, custom assembly and distribution of personal computers. Dell sells direct to end customers and avoids having to estimate demand by producing to order. Dell can customize the product to what the customer wants and eliminates finished goods inventories throughout the supply chain. • Wal-Mart, they transmit point of sale information to their suppliers so they can use the data to forecast sales and inventories. • For some items that sell well, a electronic replenishment scheme automatically generates electronic orders to replenish the depleted stock items.
  • 9. copyright 2003 Jack M. Kaplan Customer Relationship Management • Timely delivery of excellent service. • The CRM system is the heart of e-business. It can include gathering marketing data such as industry and pricing forecasts that help to adjust selling strategies, and/or information on how to best select and manage customers.
  • 10. copyright 2003 Jack M. Kaplan CRM Goals • Using existing relationships to grow revenue. customer relationships through up selling and identifying and retaining the best customers. • Using customer information for excellent service. savings can be realized in customer time and increasing productivity. • For example, customers shouldn’t have to repeat information to various customer service personnel when calling for information
  • 11. copyright 2003 Jack M. Kaplan On Line E- Procurement Online procurement can eliminate manual paper based procedures, and automate the order to receipt cycle time and improve productivity
  • 12. copyright 2003 Jack M. Kaplan