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Name Redmond Coulter
NetID rcou200
Group Number: 450
Website Link:
Tutorial Details
Tutor: Day: Time:
Helen Cheng Tuesday 3pm
Time Spent on
14 hours Word Count: 1648 *
*Not including References


We are faced with a very real and pressing problem. Pollution is rife in business and it’s
destroying our planet. The problem is it’s expensive and difficult to go green for many
businesses, so many don’t try. The solution is use technology to make it cheaper and easier
to go green so the companies can save money while they save the planet. We can do this
through a unique website the unites suppliers, companies and consumers in a way that will
help everyone by facillitating decision making.
3.1 Vision
We only have one planet to call home, we aim to keep it clean, green and healthy by helping
busniesses to help us, help it.
3.2 Industry Analysis: Online Brokerage Industry
Industry: We are in the Online Brokerage Industry, we essentially negotiate deals between
suplliers and companies to facillitate the movement to green behaviour. This is the largest
and most important and therefore we will treat this as our industry.
Force: High/Low: Justification:
Buyer power: High There is a very large number of Online Brokerage
firms in this industry, there are 45 listed on alone. (Findthebest, 2008) This
means that the consumer has a great deal of
choice and therefore has high buyer.


Supplier power: Low There are not really suppliers per se in tis
industry, only the suppliers that offer deals
through the industry to buyers, if a supplier does
not wish to use a particular brokerage they will
simply use another supplier meaning the supplier
does not have much power in this industry.
Threat of new entrants: High The only set up necessary to run a company in
this industry, is a website and skill in negotiation.
The costs of starting up a website are very low
(Heng, 2014), the only difficulty would be
acquiring a decent customer base. Consequently
the barriers to entry are very low.
Threat of substitutes: Low There is not much in the way of substitutes for
this industry, customers will only have a choice of
an online brokerage or physically visiting a
broker. Since this is inconvininent and not much
different to simply using an online broker, it is
unlikely people will use this substitute
Rivalry among existing
High There is a very large number of brokerages as
mentioned under buyer power, and therefore
rivalry among existing competitors will be high.
Overall attractiveness of the industry: The Online Brokerage Indsutry appears to be a fairly
unattractive industry. There is a great deal of competition and buyer power is high. This
means it is a very tough industry to thrive. However it is an industry that is cheap and easy
to get into and although this means there is always a threat of new entrants it also means it
not difficult to get into yourself. Furthermore, when a borkerage company grows large the


financial returns are very large and rewarding (Horrowitz, 2013) Overall this industry is
tough and unappealing but offers a good potential return and furthermore sepcifically
speaking about our company, our objective is altruistic in nature and consequently is not
promarily concerned with the attractiveness of the online brokerage indsutry.
3.3 Customers and Thei r Needs
The customers for our company are two distinct groups. Consumers who are
environmentally conscious and wish to support the movement for change in business
approach to the environment by supporting green companies. These customers need to
know which companies use green materials, products and services. There is a growing
demographic of environmentall concious consumers. (ClickMarkets Inc., 2008) The other
target group of customers is businesses with a desire to implement change and become
environmentally friendly. There are so many businesses that wish to go green but are
unable to face the cost or lack the expertise necessary. (Egeland, 2009) These customers
need to have the environmental options clearly laid out in terms they can understand so
they can make an informed choice and make the switch, to this end, they need to know
which products that are available are eco-friendly and how much they cost relative to this.
3.4 The Product and Service
Our proposed solution is this web-service that will compile a list of all available
manufacturers of primary goods and list them according to criteria such as price, how
environmentally friendly they are etc. and also broker deals for large trade agreements that
will offer a discount to companies using the green goods. Companies will have the option to
register with the site so they can receive a rating according to how green their practices are.
This will solve both groups of customers needs. The consumers will be able to visit the
website to find an accurate and reliable list of companies that actually demonstrate
consideration for the environment through their actions and will be able to reward these
companies that rank highly for their eco concern by giving them business. The companies
themselves will be able to make the transition to eco friendly more easily because they will
be able to see what green products are available and get cheaper deals through the
website, thus reducing the cost and difficulty of becoming environmentally friendly.


3.5 Suppliers and Partners
The first step in creating a successful online brokerage business will be gathering businesses
who are interested in going green. However the most important task is locating
manufacturers who are willing to supply those who use the site. It will be crucial to find
manufacturers who make green products and getting them to agree to provide a discount
for large companies that will use their products. Therefore we will form partnerships with
green manufactures. Two green manufacturers that could be part of the site are ‘EarthTec’
and ‘Greenblendz’ (10 Companies With Eco-Conscious Production Processes, 2014),
supplying various items through the site to companes at a discounted rate to faciliitate the
green movement. Both these companies are comitted to helping make a cleaner world by
protecting the environment and would likely be happy to offer discount to help save the
3.6 Strategy: Focused Low Cost
Although the number is growing, currently and for some time in the future, the segment of
the market concerned with the environment is quite narrow.
We aim to offer business the chance to go green whilst saving money and keeping costs low,
furthermore as an online comppany we will have low costs ourselves, consequently we will
be using a low cost approach. A narrow market and low cost strategy is what we will use
The overall strategy is therefore Focused Low Cost
3.7 Value Chain Activity: Market and sell the product or service
The most important value chain activity for this business is market and sell the product or
We will need lots of suppliers of green products happy to use our site and also offer deals,
this will only happened if many businesses use our site allowing us a position on negotiating
power. Additionally we will need to acquire public notoriety in order for business to become
interested in receiving a positive rating from our site to earn customers. With such a need
for large amounts consumers, suppliers and businesses to all be using this site in order for it


to work, the most important task will be to garner all these people by making them aware of
the service and making them wish to use it. Therefore we will need to market to them and
convince them to use the product.
3.8 Business Processes
The first business process is to determine what our target market of environmentally
concerned companies and consumers is specifically looking for in a green service in order to
tailor our advertising and marketing to appeal to them and demonstrate what we can offer



Once a business has decided to use some green products listed on our website, the next
step as part of marketing and selling the product or service is to actually contact the supplier
of the product they are after and arrange a deal between the companies that leaves both,
satisfied customers of our web service.




3.9 Functionalities
 Allows us to target the market we are interested in specifically
 Allows us to re-engineer current marketing tactics to refelct changing trends
 Allows us to arrange communication between 2 interested parties.
 Allows us negotiate successful deals between companies.
3.10 Systems

3.10. 1. INFROMATION PROCESSI NG SYSTEM- We will need a system the supports the
gathering and storing of information from various sources such as survey’s and feedback
from those who share our companies vision. This will provide us with the raw materials to
transform into trend analysis and tehrefore adjust our marketing approach to best capture
new customers.
3.10. 2. TREND ANALYSIS SYSTEM – In order to determine what is desired and changes in the
market trends, we will need a system that processes the gathered information and analyses
the findings to generate a list of trends that give us insight into how we need to market our
3.10. 3. USER INFORMATI ON DATABASE SYSTEM – In order to arrange communication and
subsequent deals between parties interested in conducting business, we will need to have a
system that keeps track of all the products offered by all the various manufacturers who are
partners with us and that will provide this information to us in order to facilitate us in
brokering a deal between companies


3.11. Summary Table: Value Chain to Systems

Value Chain
Processes Functionalities Specific Information
Broad Information

Make and
sell the
product or
1. Targeted
1. Target the market we are interested in

2. Re-engineer current marketing tactics to
refelct changing trends
Infromation processing

Trend analysis system
Transaction processing
system (TPS)

Decision Suport System
2. Deal
1. Arrange communication between 2
interested parties.

2. Negotiate successful deals between
User information database
Customer Relationship
Management (CRM)


Overall we believe the solution we have proposed will be effective in creating change in the
way businesses approach the environment. By using information technology we can
increase business intelligence and support decision making and assits companies make the
transition to being a green organisiation.
10 Companies With Eco-Conscious Production Processes. (2014). Retrieved May 24, 2014, from
ClickMarkets Inc. (2008). Green Attitudes Survey. GoGreenOnline Inc.
Egeland, B. (2009). 4 Misconceptions about Going Green. Retrieved MAy 24, 2014, from
Findthebest. (2008). Retrieved May 22, 2014, from
Heng, C. (2014, April 7). How much does it cost to set up a website? Retrieved May 22, 2014, from
Horrowitz, J. (2013). Big U.S. brokerage firms are thriving. Retrieved May 23, 2014, from