Business Research regarding current scenario of Traditional Commerce V/S E-Commerce
Research Includes:
Exploratory Research and Descriptive Research
(Quantitative data and Qualitative Data)
Problem Discovery &Definition,
Research Design, Sampling,
Survey(Secondary Survey and Primary Survey),
Data Analysis and Interpretation
3. Traditional Commerce
• Traditional commerce refers to the practice of selling products
and services within a single industry and in some cases, within
a specific geographical area.
E-Commerce
• E-commerce (electronic commerce or EC) is the buying and
selling of goods and services, or the transmitting of funds or
data, over an electronic network, primarily the internet.
4. Steps In Business Research
Problem
Discovery
&Definition
Research
Design
Sampling
Data
Gathering
Conclusions and
Report
Discovery and
Definition
And So On…
Data Processing
and Analysis
5. Problem Discovery and Definition
• Traditional brick and mortar retailers face considerable challenges in coming years
due to the rapid growth of online sales.
• Customers are Preferring E commerce over Traditional Commerce
6. Key Elements Traditional commerce E-commerce
Value Creation Product/Service Information
Strategy Classical Sense and respond
Simple rules
Competitive edge Quality/Cost Speed
Competitive force Power of suppliers
Product substitution
Low barriers of entry
Power of customers
Resource focus Supply side Demand side
Customer interface Face-to-face Screen-to-face
Communication Personal Technology-mediated
channels
Accessibility Limited time 24 x 7
Customer interaction Seller influenced Self-service
Consumer behavior Standardization
Mass/one-way marketing
Personalization
One-to-one marketing
Promotion Merchandising Word of mouth
Product Perishables, feel & touch Commodity
7. Why do customers prefer online stores to
brick and mortar locations?
• Convenience
Over the past decade, online sales have skyrocketed into the retail
marketplace, bringing along with it a healthy dose of competition
to the brick and mortar stores of old. As digital content replaces
physical and Amazon is more frequently chosen over the local
mall, it might be worth taking a closer look at what makes cyber
shopping so much more popular than the old fashioned way.
21. Observation
According to Survey it is clear that E commerce had a very good
future in India
Confirm that E commerce as commercial means has its advantage
over the traditional commercial methods
22. Sampling
• Target Population- Smart phone Users
• Sample includes: Students, Working people
• Sample size: 90 Respondents
Target Population
21 to 30
31 to 40
40 and above
23. Data Analysis and Interpretation
Hypothesis
• H0: E commerce will have good future in India
• H1: E commerce does not have future in India
24. Sample Data
Age Very
Good
Good Not so
Good
Do not
have
Future in
India
Do not
know/
Can not
say
Total
21-30 30 10 2 1 2 45
31-40 22 9 2 1 1 35
41 and
above
6 3 1 0 1 10
90
25. Testing method: ANOVA ONE WAY
Groups Count Sum Average Variance
Row 1 5 45 9 151
Row 2 5 35 7 81.5
2
30 21 441
10 1 1
2 -7 49
1 -8 64
2 -7 49
45 604
XX )( XX X
1
)2
2
n
XX
S
26. ANOVA Table
Source of
Variation
SS DF MSS F F-crit
Between
Groups
130 2 65 1.2269
d.f=(12,2)
3.89
Within
Groups
957 12 79.75
Total 1087 14
27. Results
• Calculated value is Smaller than tabulated value, hence H0
accepted and H1 rejected.
• F(Calculated) < F
• Therefore E commerce will have good future in India.
Region of
Acceptance
Critical Region
F= 3.89F(Calculated)= 1.2269
5% of
Significance
28. Conclusion
• E commerce will have good future in India.
• In Competition with Traditional Commerce, E- commerce
is more preferable by customers.
• In some case the future of ecommerce is uncertain, but
some things remain constant – delivery times will
improve, customer service will get increasingly better,
and product selection will become ever greater. Example
–Amazon GO https://youtu.be/NrmMk1Myrxc
• Amazon's flying warehouse to launch drones for fast
delivery
http://economictimes.indiatimes.com/articleshow/5625
6549.cms?utm_source=contentofinterest&utm_medium
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