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INFOSYS.110 BUSINESS SYSTEMS:
DELIVERABLE 2: BUSINESS SECTION
2014

Name Huihui Yang
NetID 5591380
Group Number: 24
Website Link:
http://infosys110group024.blogspot.co.nz/
Tutorial Details
Tutor: Day: Time:
Claris Chung Saturday 5:30pm
Time Spent on Assign-
ment:
30 hours Word Count: 1440



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ISSUE WITH DAILY SHOPPING ACTIVITY
INTRODUCTION
Time and money costing daily shopping activity is the fundamental problem
we want to solve. This problem can be solved by providing an efficient and
accessible shopping guide. Our best solution is to create a mobile applica-
tion which intends to make our customer’s daily shopping easier and more
efficient.
3. BUSINESS SECTION
3.1 VISION
To provide a useful, convenient and accessible service for all New Zea-
landers to shopping easily and effectively.
Force: High/Low: Justification:
Buyer power: High
Customers have many choices as many mobile
shopping apps are available to offer services, such
as shopping savvy, Buzzillions Shop Nearby, Red-
Laser. we will provide our customers with unique
experience and keep our information update in real
time, which would reduce buyer power
Supplier power: Low
There are plenty of mobile app developers in NZ,
such as Mobile Apps New Zealand, MentorMate and
The Oxagile mobile app developers. We can choose
any one of them freely based on the price and the
support it offers.(Webhosting)& (Web Search Direc-
tor, 2014)
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Threat of new en-
trants:
Low
It is not easy for new competitors to enter the mar-
ket as lots of time and money needed for develop-
ing and supporting the apps. There are more than
16 well established mobile shopping applications
existed in the market which is a barrier for new en-
trants to enter.(Truong, 2010)
Threat of substitutes: High
There are many substitutes to mobile shopping
guide, such as newspapers, magazines and coupons.
Rivalry among existing
competitors:
High
Competition is fierce in this market as there are
many substitutes to the online shopping guide ser-
vice, and most of the biggest retailers in NZ have or
are developing their own mobile apps, such as
Warehouse, CountDown, etc. We will offer a unique
experience which fits good with our customers’
needs in order to reduce the rivals.(Truong, 2010)


3.2 INDUSTRY ANALYSIS: NZ ONLINE SHOPPING GUIDE INDUSTRY
Overall attractiveness of the industry: Obviously, this is a relatively higher
competitive market, however, we would provide our customers with a unique and
high value services which would help us to gain comparative advantage.
3.3 CUSTOMERS AND THEIR NEEDS
We provide service for all New Zealanders.
• Real and accessible shopping information
• well compared goods prices
• time and money saving support
• Mobile app is easy to use
• Information is updated in real time
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3.4 THE PRODUCT AND SERVICE
With the aim to help all New Zealander to shop effectively and easily, we will create a mo-
bile application which is easy to use and presents the most relevant sales information.

Information will be updated in real time and all goods information are well processed and
compared based on prices from various retailers in NZ.
We will keep improving and updating our services based on customers’ interests and needs.
3.5 SUPPLIERS AND PARTNERS
Our suppliers include:
Mobile app developer who fits our needs and add value to our service
Internet service company such that Vodafone will be our idea internet supplier because of
its adaptable and widespread service
TradeMe may be our potential supplier as we may want them to do advertise for our app
Our partners include most of the retailers and supermarkets in NZ as we are running a
shopping guide business.

3.6 STRATEGY: COST LEADERSHIP
Our business strategy follows a cost leadership strategy.
1. Since our business focus on all New Zealanders it is a broad market.
2.Saving money and time is the real needs of our customers, therefore we will offer our cus-
tomers the most effective shopping guide and only charge each customer $1.88 per
year without any additional charge for further service.
3.7 VALUE CHAIN ACTIVITY: MAKE THE PRODUCT OR SERVICE
The most important value chain activity for this business is making the product and
service. It will be the most valuable activity of our business as it directly influ-
ences what service will come to our customers and whether it fits customers’
need. It support our business vision of providing a service that all New Zealanders
love.

3.8 Business Processes
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3.8.1. PRODUCTS DESIGNING PROCESS - Products designing process is the first
and the most valuable process of our business. It enable us to make a product
which fits customers’ need. It determine whether our product will help customer
save money and time. Providing the useful and effective information with unique
experience will add value to our customers and which could help us to gain com-
parative advantage.







PRODUCTS DESIGNING PROCESS MODEL:





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3.8.2. INFORMATION UPDATING PROCESS: The information updating process
ensures the quality of our products, which checks and updates information in real
time. It is important as it is a real and close connection between us and the retail-
ers who provides us sales information. It will reduce the time and efforts in infor-
mation updating and improve customers’ satisfaction. From the view of long term
operation it will help us to build a good business reputation.





INFORMATION UPDATING PROCESS MODEL
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3.9 Functionalities
3.9.1. PRODUCT DESIGNING PROCESS
• Support us to make product which fits customer needs
• Support for providing customers a unique experience
3.9.2. INFORMATION UPDATING PROCESS
• Support the capturing and updating of information
• Ensure the quality of information
3.10 Systems

3.10.1. PRODUCT PLANNING SYSTEM - It supports products designing activities
through a systematic formulation. The system first captures the data from the
market research, then analyses the data to generate the possible product modules
and automatically send to the design team and other relevant departments. Each
one of them will then communicate and provide ideas through the system. The sys-
tem would help us to create most effective and valuable products by supporting
products planning process.(Microsoft Dynamics AX 2012)

3.10.2. INFORMATION UPDATING SYSTEM – Information updating is quite im-
portant to our business as it ensures that our information are newest and correct.
It would reduce the costs of date collection by supporting connection with the re-
tailers and supermarkets in NZ, in other words, as long as the new prices or infor-
mation were updated in retailers database it will be captured immediately by our
system. The information updating system ensures the quality of our information,
which would help us to improve customers’ satisfaction.
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3.10.3. MARKETING CAMPAIGN SYSTEM-The marketing campaign system is
used to support campaign planning, budgeting, and segmentation formulation. It
helps to generate possible campaign model, target group and a budget. It reduce
the cost and time to look for the new customers and rather help us to improve cus-
tomers’ satisfaction with the effective planning, execution, evaluation process-
es.(Microsoft, 2013)


















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3.11. Summary Table: Value Chain to Systems

Value
Chain
Activity
Processes Functionalities Specific Infor-
mation Sys-
tem(s)
Broad Infor-
mation Sys-
tem(s)

make
the
product
and
service
1. Products de-
signing pro-
cess
1. support us to make
product which fits
customers’ needs

2. support for provid-
ing customers a
unique experience
Product planning
system

Marketing cam-
paign system
Enterprise Re-
source Planning
System

Customer Rela-
tionship Manage-
ment System
2. Information
updating
process
1. support the captur-
ing and updating of
information

2. ensure the quality
of information
Information up-
dating system
Supply Chain
Management Sys-
tem




CONCLUSION
With the arm to solve the problem of inconvenient and time costing daily shopping, we will
create a mobile application based on the idea of making shopping easier and more effective.
We provide real time updated Information and represent them based on customers’ inter-
ests and locations, charge the lower annual fee of $1.88 per person.
Making the product or service is our core business activity as it helps us to make product fits
customers’ need. The activities are supported by product planning system, information up-
dating system and marketing campaign system which works together will help us to gain
competitive advantages.
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REFERENCES

• Liz MacPherson. (2014, March 20). Statistics New Zealand. Gross Domestic Prod-
uct: December 2013 quarter – Media Release. Retrieved from
http://www.stats.govt.nz/
• Statistics New Zealand. (2013, November 28). Household Economic Survey: Year
ended June 2013 Retrieved from http://www.stats.govt.nz/
• Matt & Sum. (2013, January 5). Higher cost of living expected. Retrieved from
http://www.stuff.co.nz/business/money/8144999/Higher-cost-of-living-expected
• Constantinou, Andreas. (14 November 2008). The Mobile Application Store Phe-
nomenon. Retrieved from http://www.visionmobile.com/blog/2008/11/the-
mobile-application-store-phenomenon/
• Consumer reports, 2013. Consumer union of United States.
• John Albertson. (May 2013). New Zealand Retailer Association. The Retail Market
in New Zealand---An Analysis
• Truong, L. (2010). 16 Best Mobile Shopping Apps for Your Phone. Retrieved from
http://www.wisebread.com/16-best-mobile-shopping-apps-for-your-phone
• Webhosting Search. (2014). Retrieved from http://www.webhostingsearch.com
• Microsoft. (2013). Microsoft Dynamics CRM 2013.Retrieved from
http://www.microsoft.com/en-gb/dynamics/crm.aspx
• Microsoft Dynamics AX 2012 R3. Retrieved from http://www.microsoft.com/en-
gb/dynamics/erp-ax-overview.aspx
• Statistics NZ. Innovation in New Zealand: 2013 – tables. Retrieved from
http://www.stats.govt.nz. Business Operations SurveyHOTP2013.aspx
• Shop savvy (2014). Online shopping guide for factory products. Retrieved from
http://www.bargainshopping.co.nz
• Web Search Director. (2014). New Zealand Internet Providers. Retrieved from
http://www.nzsearch.co.nz/category.aspx?id=705