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Subject of Course Project
The subject of this course project is an online shopping platform for La Donna boutique. The boutique has no online marketing services. I will carry out investigations on this course project and my findings will provide solutions and create opportunities for La Donna boutique on using online services.
Business problem statement
La Donna boutique lacks online services. This has made its customer to be physically going to the boutique to purchase goods. La Donna competitors are 15th Street boutique and Echoes boutique. Both boutiques use online services. Most of their customers purchase their products using online services.
We are living in a world of technology and most people would prefer to look for the product online which will be delivered on their doorstep instead of wasting time going for the product (Chan, Cheng, & Hsu, 2007). La Donna competitors make their sales using online services because they aggressively market themselves making their products available on internet.
This is a great challenge to La Donna boutique because they are losing customers to their competitors’. They are waiting for customers’ consultations in order for them to give details about their product, unlike competitors who go for the customers by providing full details of their product on the internet (Klett, 2000).
Name of the company
La Donna is a boutique which is located in La Jolla in San Diego. It is highly known for providing classy fashions made by designers from all over the world. Their products include clothing, shoes, jewelries and accessories.
General benefits it will provide the organization
By using online services, La Donna cost of production will be reduced because it will be selling goods directly to the customers and this will make producers to get rid of costly intermediaries. This will result to improved services from the boutique to the customer. Interacting costs will also be lowered since communication will be via internet.
Internet interactions with the customer will give the boutique a better chance of negotiating the actual and final price of the product (Figiel, 2005). Good negotiations lead to increase of sale. Interactions will also help the boutique get ideas from customers and this will make the company improve on its products and services. La Donna will also cut costs of keeping stock due to increase in demand.
The boutique will save more profits due to reduced cost but it will be a great disadvantage to the employees. Their services will no longer be required by the boutique because most of their tasks will be done via online services.
La Donna will be able to acquire new markets and maintain its current customers because its goods will gain quality exposure. Exposure will earn the boutique a better marketing position that will enable it stand the competition (Chan, Cheng, & Hsu, 2007).
High level approach (es)
E-commerce is the ideal technology that will be used in this project. The e-commerce that will suit La Donna boutique is business to consumer marketing. Amazon is the e-commerce business model that La Donna boutique will use.
Amazon is a well-established online merchant. Amazon enjoys economies of scale and this makes it become a great competitor. Amazon will market the products and services of La Donna aggressively in terms of price, service and delivery. Amazon is a committed e-commerce business model and it offers its services at the lowest cost as compared to its competitors (Ziener, 2001).
Chan, C., Cheng, C., & Hsu, C. (2007). Bargaining strategy formulation with CRM for an e-commerce agent. Electronic Commerce Research and Applications, 6(4), 490 – 498.
Figiel, V. (2005). A Strategy Typology and Application to E-commerce. Journal of Applied Management and Entrepreneurship, 10(1), 139.
Klett, R. (2000). La Donna Detroit. Library Journal, 125(10), 210.
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Ziener, C. (2001). Developing E-Business Systems and Architectures: A Manager’s Guide / Electronic Commerce: Online Ordering & Digital Money. Library Journal, 126(8), 123.