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ANSWER SHEET
CSS 301
E Business Principles
(PLEASE PRINT YOUR DETAILS IN CAPITAL LETTERS)

NAME: Muna Al Tarabishi

STUDENT ID: 653

LOCATION: Dubai

GENERAL INSTRUCTIONS

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INTRODUCTION
 BACKGROUND

E-Commerce stands for Electronic Commerce

It initially started during the Berlin Airlift, Germany in 1948 when big corporate started taking
order for goods electronically with the help of telephones and other private networks.

E-Commerce is a very vast field and can be applied in majority of applications and areas.
Hence, there is no agreed upon definition of it. Its definition may vary from context to
context.

It also pertains to “any form of business transaction in which the parties interact electronically
rather than by physical exchanges or direct physical contact “

E-Commerce its refers to aspects of online business involving exchanges among customers,
business partners and vendors. Its encompasses these elements, but also includes operations
that are handle within the business itself.

Electronic commerce or e-commerce refers to a wide range of online business activities for products
and services. It also pertains to “any form of business transaction in which the parties interact
electronically rather than by physical exchanges or direct physical contact.”

E-commerce is usually associated with buying and selling over the Internet, or conducting any
transaction involving the transfer of ownership or rights to use goods or services through a computer-
mediated network. Though popular, this definition is not comprehensive enough to capture recent
developments in this new and revolutionary business phenomenon. A more complete definition is: E-
commerce is the use of electronic communications and digital information processing technology in
business transactions to create, transform, and redefine relationships for value creation between or
among organizations, and between organizations and individuals.

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E-Commerce or Electronic Commerce is trading transactions for products or services


completed remotely using information system. More formally, digitally enabled commercial
transactions between and among organizations and individuals, all transactions mediated by
digital technology, and occur over the internet and the web and may also use other
technologies such as e-mail. Commercial transactions involve the exchange of value (e.g.,
money) across organizational or individual boundaries in return for products and services.

In 1994, Jeff Bezos, read that internet usage was growing at 2,300% per year. To Bezos, that
number represented an extraordinary opportunity. He quit his job and investigated what
products he might be able to sell successfully online. He quickly hit upon books. A “virtual
bookstore” could offer a much greater selection. He also felt consumers would feel less need
to actually “touch and feel” a book before buying it. In July 1995, Amazon.com opened for
business on the web and offered consumers four compelling reasons to shop there by
choosing from millions of book titles, shop anytime, anywhere, with “one-click” ordering.

E-Commerce proved its importance based on the fact time is essence. In the commercial
markets, time plays an important role for both business and consumers. From the business
perspective, with less time spent during each transaction, more transaction can be achieved
on the same-day. As for the consumer, they will save more time during their transaction.
Because of this, E-Commerce stepped in and replaced the traditional commerce method
where a single transaction can cost both parties a lot of valuable time. With just a few clicks in
minutes, a transaction or an order can be placed and completed via the internet with ease.

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 E-business models are useful for:

 Entrepreneurs starting e-businesses


 People interested in e-commerce

 Benefits of E-business

Benefits of organizations

 Global reach
 Reduce transition costs
 Supply chain improvements
 Extended hours : 24/7/365
 Customization
 Improved customer relations

Benefits of consumers

 More products and services


 Cheaper products and services
 Instant delivery
 Information availability
 Participation in auctions

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 HISTORY OF SPINNEYS

For Spinney’s, moving into the E-Commerce business, means that it can expand its market
compared to the conventional business model, the customers can place their orders anytime
while they are waiting in the metro or bus station, this will lead to more transactions and
result in more revenue.

Spinneys were first formed in Alexandria, Egypt in 1924 by Arthur Rawdon Spinney, an officer
in the British army, who identified a need for imported food products. By 1939 Spinney’s
supplied food to more than 20,000 people in Iraq and during World War II the company
catered to all the Allied Forces in North Africa.

Spinney’s started trading in Dubai in 1961 and opened its first supermarket in 1962 in Deira,
today better known as Al Nasr Square. In those days it became locally known as ‘The Frozen
Chicken’ because it was the first retailer in the area to sell frozen chickens from a chiller van.
With a reputation for innovation Spinney’s has been through many changes throughout the
years.

Today, Spinney’s is one of the leading supermarket chains in the UAE. Owned by UAE national,
Mr. Ali Albwardy, Spinney’s Dubai LLC has built a strong and well-deserved reputation for
freshness and customer service. Food safety, quality, freshness and service have been the
main drivers at Spinney’s since the company’s inception and this has translated itself into the
tagline for the brand – The fresher experience.

In 2011, the Spinney’s Group Limited is a premium supermarket retailer in the Middle East,
and operates hypermarkets and supermarkets in one store in Qatar, seven stores in Lebanon,
three stores in Egypt, two in Jordan and through franchise agreements, 30 Spinney’s stores in
the UAE - 21 in Dubai, 5 in Sharjah, 1 in Ajman, 4 in Abu Dhabi, 1 in Al Ain in the United Arab
Emirates. In 2007, the chain announced an "aggressive expansion" programme across the
Middle East, North Africa and South Asia (MENASA) region.

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SPINNEYS SAME-DAY DELIVERY: E-COMMERCE MODEL

 CONVENTIONAL BUSINESS MODEL


Spinney’s provides its services through a leading supermarket chain in UAE, transactions completed
in the same traditional way, where customers need to visit the nearest Spinney’s store for
shopping. Usually, customers prepare their shopping list and start picking items per this list;
occasionally, they could consider other promoted products. At the end of the shopping journey,
the customers move to the cashier station, sometimes they need to wait in the queue to scan the
items in their shopping basket; and finally pay the total amount for the purchased items. Payment
can be accepted using cash, credit cards or by using gift/discount vouchers.

This traditional shopping method hasn’t lost its appeal and is the preferred way by many
customers. One of its disadvantages that it needs to dedicate time for shopping, which could not
be possible especially if the shopping list includes small number of items. Additionally, the
communications and transaction of business depends upon individual skills and is done in a
synchronous way - manual intervention is required for each communication or transaction.

 “SAME-DAY DELIVERY” BUSINESS MODEL


Side by side with the conventional retail business model, Spinney’s, looking to propose “Same-day
Delivery” service to expand its customer outreach in Dubai; the proposed service is not a typical
on-line delivery model where customer places an order and completes the transaction using a web
portal.

In this report, I will suggest, discuss and explore new methods of capturing the customer’s orders
by utilizing the waiting time in metro stations, bus stops and another possible media or places
where customers can place orders. The proposed solution will be built around employing the
power of QR-Codes for this initiative.

Introducing such services requires considering a new business unit that will involve different
entities for capturing customs’ orders, processing, logistics and delivery, and quality assurance to
guarantee processing all received orders, on-time delivery, customer satisfaction and collect
customers feedback for the received service. All these entities require deployment of information
systems that will help track all transactions and all their related activities from the beginning to the
end. IT department should consider some new technologies to build the infrastructure for such
information systems.

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The “Same Day Delivery Concept

In order to ensure the successful operation of the Same Day Delivery the following five thumb rules
should be considered:

1. Have a Solid Plan to Scale: If companies have resources, faster delivery times and efficient
same-day delivery are great ideas. Regardless, plan ahead by forecasting orders by day, week
and month to help secure the resources needed to meet customer expectations.
2. Be Flexible When Setting Holiday Shipping Cutoffs: You can fulfill all of your customers’ needs
by offering shipping options that vary in cost and arrival dates. Give yourself leeway with an
earlier cutoff date to ensure packages arrive on time. A strong logistics partner will help provide
an accurate view of real-time inventory, regardless of location or delivery method.
3. Know Up-To-Date Carrier Cutoffs: Keep open lines of communication with your carriers. Know
the last possible date and time customers can put in orders and use that information to ensure
that packages will arrive on time.
4. Start Negotiations Now for Dimensional Pricing Changes in 2015: Next year, carriers will
determine package pricing based on weight or size. Talk to carriers right away about the pricing
changes to secure terms beneficial to your business and customers.
5. Implement a Vendor Compliance Program: Create a common set of rules to streamline the
internal processes associated with each of your vendors and to eliminate bottlenecks along the
supply chain. Additionally, involve your logistics provider in the quality control process.

A booming concept of the one day deliver/same day delivery concept. Due to the high demand of
users and online shoppers asking speed in delivery of their orders within the same day and specific
time windows. Many companies has already started adopting this concept and start beta services to
gauge the feasibility of this idea however many others have started looking it from a different point of
view by introducing the idea ‘Getting Customers to deliver packages to online buyers’ & ‘Deliv Same
Day Delivery service - Rather than employ an army of third-party couriers to do deliveries, Deliv wants
to hire, well, you.’ However the interesting part is if, anyone actually want same-day delivery in first
place?

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History of QR Code:

The QR code (abbreviated from Quick Response Code) system was invented in 1994 by Denso Wave.
Its purpose was to track vehicles during manufacture; it was designed to allow high-speed component
scanning. Although initially used for tracking parts in vehicle manufacturing, QR codes now are used in
a much broader context, including both commercial tracking applications and convenience-oriented
applications aimed at mobile-phone users (termed mobile tagging). QR codes may be used to display
text to the user, to add a vCard contact to the user's device, to open a Uniform Resource Identifier
(URL), or to compose an e-mail or text message.

Users can generate and print their own QR codes for others to scan and use by visiting one of several
paid and free QR code generating sites or apps. The technology has since become one of the most-
used types of two-dimensional barcode.

QR code (abbreviated from Quick Response Code) is the trademark for a type of matrix barcode (or
two-dimensional barcode) first designed for the automotive industry in Japan. A barcode is a machine-
readable optical label that contains information about the item to which it is attached. A QR code uses
four standardized encoding modes (numeric, alphanumeric, byte / binary, and kanji) to efficiently store
data; extensions may also be used.

 Static QR codes the most common type, are used to disseminate information to the general
public. They are often displayed in advertising materials in the environment (such as billboards
and posters), on television and in newspapers and magazines. The code’s creator can track
information about the number of times a code was scanned and its associated action taken,
along with the times of scans and the operating system of the devices that scanned it.

 Dynamic QR codes (sometimes referred to as unique QR codes) offer more functionality.


The owner can edit the code at any time and can target a specific individual for personalized
marketing. Such codes can track more specific information, including the scanners names and
email address, how many times they scanned the code and, in conjunction with tracking codes
on a website, conversion rates.

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QR codes have become common in consumer advertising. Typically, a Smartphone is used as a QR code
scanner, displaying the code and converting it to some useful form (such as a standard URL for a
website, thereby obviating the need for a user to type it into a web browser). The QR code has become
a focus of advertising strategy, since it provides a way to access a brand's website more quickly than by
manually entering a URL.

Beyond mere convenience to the consumer, the importance of this capability is that it increases the
conversion rate (the chance that contact with the advertisement will convert to a sale), by coaxing
interested prospects further down the conversion funnel with little delay or effort, bringing the viewer
to the advertiser's website immediately, where a longer and more targeted sales pitch may lose the
viewer's interest.

Although initially used to track parts in vehicle manufacturing, QR codes are now (as of 2012[update])
used over a much wider range of applications, including commercial tracking, entertainment and
transport ticketing, product/loyalty marketing (examples: mobile couponing where a company's
discounted and percent discount can be captured using a QR code decoder which is a mobile app, or
storing a company's information such as address and related information alongside its alpha-numeric
text data as can be seen in Yellow Pages directory), and in-store product labeling. It can also be used in
storing personal information for use by organizations.

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QR Codes can be used in the followings:

 Mobile operating systems:


QR codes can be used on various mobile device operating systems. These devices support URL
redirection, which allows QR codes to send metadata to existing applications on the device. Many paid
or free apps are available with the ability to scan the codes and hard-link to an external URL.
 URLs
URLs aided marketing conversion rates even in the pre-Smartphone era, but during those years faced
several limitations: ad viewers usually had to type the URL and often did not have a web browser in
front of them when they first viewed the ad. The chances were high that they would forget to visit the
site later, not bother to type a URL, or forget what URL to type. Semantic URLs decreased these risks
but did not eliminate them. Some of these disadvantages to URL conversion rates are fading away now
that Smartphone’s are putting web access and voice recognition in constant reach, with QR code
providing the URL for instant access.
 Virtual stores
During the month of June 2011, according to one study, 14 million mobile users scanned a QR code.
Some 58% of those users scanned a barcode from their homes, while 39% scanned from retail stores;
53% of the 14 million users were men between the ages of 18 and 34. The use of QR codes for "virtual
store" formats started in South Korea, and Argentina, but is currently expanding globally.
 Code payments
QR codes can be used to store bank account information or credit card information, or they can be
specifically designed to work with particular payment provider applications. There are several trial
applications of QR code payments across the world.
In November 2012, QR code payments were deployed on a larger scale in the Czech Republic when an
open format for payment information exchange - a Short Payment Descriptor - was introduced and
endorsed by the Czech Banking Association as the official local solution for QR payments.
QR codes are commonly used in the field of cryptographic currencies, particularly those based off and
including Bitcoin. Payment addresses, cryptographic keys and transaction information are often shared
between digital wallets in this way.
 Website login
QR codes can be used to log in into websites: a QR code is shown on the login page on a computer
screen, and when a registered user scans it with a verified Smartphone, they will automatically be
logged in. Authentication is performed by the Smartphone which contacts the server. Google tested
such a login method in January 2012. (Wikipedia)

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Advantage of QR codes

There is no need to write vital details down. A simple scan captures the desired information. We will
be talking about the System design and the process of defining the elements for the system such as the
architecture, modules and components, the different interfaces of those components and the data
that will go through that system. Once implemented, it will be meant to satisfy specific needs and
requirements of Spinney’s and their organization through the engineering of a coherent and well-
running system.

One of the most interesting, and most difficult, of the tasks that we may undertake is the design of an
entire systems. We will need a system which will be a set of interacting parts, generally not too large
but can be built by a single person, created for some particular purpose. We will need to work with
systems all the time. The operating systems that will control our machines today are systems and help
us in implementing the QR codes as desired by Spinney’s.

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QR code on the Technology Hype Cycle

Gartner Hype Cycle


Gartner's 2014 Hype Cycle Special Report provides strategists and planners with an assessment of the
maturity, business benefit and future direction of more than 2,000 technologies, grouped into 119
areas. New Hype Cycles this year include Digital Workplace, Connected Homes, Enterprise Mobile
Security, 3D Printing & Smart Machines.

Trend Analysis
Based on the latest trends report, the QR codes Innovation Trigger was in the early 2007 and has
withstood the Peak of Inflated Expectations. A forecast also indicates a growing interest up to Q2 of
2016 and beyond.

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Spinney’s E-Commerce 3Cs

 Content
 Community
 Commerce

These are the building blocks of successful e-marketing. How it can be linked to Spinney’s and what
they need to do apply the following.

If you imagine a successful web store is just converting a catalogue to an electronic page/mobile app,
think again. Just slapping pages of product listings together connected to an online shopping cart
integrated into a mobile app/website might get you sales, but today’s customers don’t live on offers
alone. Any solution put in place for e-Commerce has to be very interactive and innovative.

Several factors are driving innovation and growth in today's e-commerce environment and eventually
it becomes imperative for any business analyst or e-player to understand the dynamics and
fundamentals of a typical e-commerce business and its elements of change. In the everyday evolving
technology landscape, a typical e-commerce business can be broadly broken down in terms of:

 The services it provides.


 The interface it uses to interact with the market and clients.
 The commerce it generates out of the business.

Of course, there would be other factors like geography, fixed investments, etc. but they are secondary
in consideration as they have only one-time fixed-point impact on the business. Let us then analyze
these three factors one by one to understand their impacts on typical e-commerce business.

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There are three C's Spinney’s must consider to their online store a success:

Content
Advertising or selling the product(s) and service in a framework that's pertinent to the target audience.
Tailored marketing is a need here!
Content is king on the Net. People use the Net to learn. That's what drives visitors to a web site.
Content can consist of information and community participation, and even your e-commerce offers are
considered content. Your site's content—whether its information, community participation, or a
product or service offer—must be interesting enough (innovative, flashy) to make visitors come to
your site, stay, and keep coming back for more

Community
Creating an online environment that site visitors and your customers can participate in and feel part of.
People go online not just to be informed but also to interact with other people. Filling this need at your
web store will help you turn shoppers into customers and customers into repeat buyers. Content can
attract shoppers to your site. But to generate a continuous flow of repeat visitors, you need to provide
access to an interactive community. Communities can build your business. Think about it. The more
times shoppers visit your site, the more familiar they are with it. The more familiar they are, the more
comfortable they might be in making a purchase from you instead of some unknown merchant just a
click away. Look at it this way. Communities are sticky. Visitors tend to spend longer periods of time at
your site than before. The stickier the site, the more loyal the customer becomes. Loyalty builds trust
and trust is the currency of business. You should include as many interactive community tools as
possible on your web site

Commerce
The actual offers and revenue-generating streams of your web site.
Unlike discussion boards, chat rooms, and discussion lists, a newsletter is a one-way communication
device that doesn't allow interaction. But it's a very good way to stay in touch with your visitors and
keeps your company in the front of their minds. With the typical newsletter, members can subscribe
and unsubscribe freely. You need a listserv software such as Majordomo to manage the list and send
out your electronic newsletter.

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An electronic newsletter can be used in a number of ways:

 The most basic use of a newsletter is to keep your subscribers informed about what's new
on your site. You can announce new features, new products, or new promotions that can
be used to drive subscribers back to your site on a regular basis. Use your newsletter to
nurture potential customers until they're ready to purchase a product from you or sign a
contract.

 Use your newsletter to send out information that subscribers can use, such as movie, book,
or music reviews, or upcoming updates to software they've purchased.

 Enhance your reputation—and get business—through well-written articles in your product


or service subject area. You can archive these information-type newsletters on your site,
adding more content for shoppers to view when they visit.

 There's even a revenue-generating opportunity with electronic newsletters. If your


newsletter is unique and offers information or even support that consumers can't get
anywhere else, you can solicit paid subscriptions. Or you can ask the manufacturers of your
products to sponsor your newsletter—in effect, selling advertising space.

Spinneys should not be shy about asking visitors to your site to subscribe. One of the best ways to
obtain subscribers is to ask visitors to sign up when they first enter your web site. Place your
subscription offer on your home page and tell them what they'll receive as a subscriber.
According to Siegel, the most popular sites on the Net are learning fountains: Yahoo!, The Motley Fool,
Consumer World—even Amazon.com, an e-commerce site—are all learning fountains.
Your ecommerce site should be a learning fountain, too.

Siegel’s content of learning fountains into four types:

1. Referrer
2. Informer
3. Advisor
4. Context provider

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The next four sections describe these content types.

The Referrer
No one knows the product or service you're selling better than you do. So use this knowledge to help
your visitors understand all aspects of your product or service. You might not have all the information
they need, but with a little research, you can create a directory of sites on the Net that can provide the
information consumers need and refer them to it.
For example, suppose you sell computer products. On your site you could provide a long list of product
reviews comparing one product you sell to another. That would be a very time-consuming task.
Instead, you could refer your customers to sites that specialize in these reviews, such as ZDNet and
Tech TV.
Or suppose you sell tools for do-it-yourself home improvement. You can refer customers to Improve
Net, which in turn directs customers to design ideas and project estimators. Another idea is to refer
shoppers to places where they can find free stuff, such as at Free Forum Network or Free-Stuff.com.
Shoppers will come to your site just to see your latest links to free stuff on the Net. If you get into the
habit of refreshing your links, shoppers will return again and again for fresh referrals.

The Informer
Providing regular updated information on your site that is of practical use to your visitor will bring him
to your site and entice him to make repeat visits. Include access to the latest news—especially news in
your product area—articles, and reminder services.
YellowBrix aggregates free content from more than 500 different providers in categories such as Top
News and Weather, Sports News, Business and Finance, Entertainment and Lifestyles, Technology, and
Health News—even Fun and Games. News providers include CNet, Rolling Stone magazine, CBS Market
Watch, and Sporting News. And most of the content is free to use on your web site.
Another site similar to iSyndicate is Screaming Media. With Screaming Media, you can display news
stories based on any keyword that you choose. The story headlines and full stories are integrated into
your site pages.

The Advisor
Many shoppers need advice to make a buying decision. By making product advice available to your
shoppers, you increase the possibility of making a sale. For advice to work, however, it must be trusted
and credible. A good example of this kind of advice can be found at Amazon.com. They pioneered the
concept of reader reviews for the books they sell and video reviews for their videos. Anyone who has
purchased the product can write his or her own review. A peer review looks more objective to a
potential customer and increases the possibility of a purchase; shoppers trust other consumers'
opinions more than they trust advertisers.
Although not real peer reviews like those on Amazon.com, CDNOW offers CD reviews from noted
music critics and writers. CNet not only reviews hardware products, but advises you on the best places
to buy them. TechTV also gives you help on how to use your computer once you've brought it home.

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The Context Provider


Providing informational tools to help shoppers make buying decisions is another important content
feature for your web store. Consider giving shoppers the capability of solving a problem or determining
their shopping needs in the context of your site using online tools such as checklists, calculators,
evaluators, and simulators.
Context-specific information can be either product-specific or shopping-specific.
First, let's look at the product-specific tools. Suppose you have a mortgage brokerage service on the
web. To help potential customers make a buying decision at your site, you might offer a mortgage
calculator. The customer can calculate a monthly mortgage payment based on the type of mortgage he
wants, the interest rate, and any other options that would be available with the service. An example of
this kind of shopping tool can be found at Bloomberg.com. Investors who visit The League of American
Investors can run a simulation game that teaches a potential investor how to invest wisely.
Your context-specific information need not be product-specific. You could provide some useful general
tools at your web store, such as links to currency exchanges, international holiday listings, and a world
time calculator. Or you could offer several shopping tools at your site that make the shopping
experience for consumers more helpful. One of the best shopping tools that you can provide your
customers is a link to a package-tracking service, and the FedEx web site has an excellent one. From
their Multi-Carrier Track page, a customer can track a package after it has been shipped by specifying
the shipping company (several are listed) and the tracking number. Another great service tool to offer
your customers is called LifeMinders. The LifeMinders program enables web site visitors to sign up to
receive timely, relevant tips and reminders each week about their home and garden, family, auto,
entertainment, personal finance, personal events, health, and pets.

System Integration

System Research/Investigation
Return on Investment (ROI)

Would applying this new e-Commerce solution be worthwhile?


The answer to it comes through statistics from reliable sources, which states tremendous increment in
online sales globally over the couple of last years. The estimation says, that the revenue of a business
can be boomed by up to 250% incorporating e-Commerce platform. This is qualified to several aspects
that comes with e-Commerce platforms which most prefer, they are;

 Accessibility – ease of access


 Convenience – how handy it is?
 Quick – Transactions process time
 Availability – Increased business reach
 Optimization – Least operation cost

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Virtualization has a great impact on overall business as it optimizes the use of existing resources;
streamlines infrastructure and software administration, maintenance; deployment and reduces
hardware needs resulting in less power consumption, less space requirement and lowering cooling
costs.
Instead of a model many men running the show to few men running the show would of course cut on
overall business cost. So as you can see, even if you are running a successful physical storefront, it
would be wise to consider building an online shop as well considering the profusion of Smartphone’s &
Internet in the UAE.

 Resources
In terms of resources, the current web administrators within Spinney’s can be utilized to accommodate
this solution. The resources required for delivery are discussed in the below topic.

 Logistics

More feasible & cost efficient solution is to have an agreement with one/two local couriers/logistics
companies to fulfil the orders for the “same day delivery”, instead of going through the hassle of on
boarding new delivery employees, experienced drivers and fleet of vehicles which would again require
momentous capital, (although a more logical solution in long term run when you consider to
implement the same throughout the country). Moreover, dedicated courier/logistics representation
serving as distribution centres at all Spinneys’ store would be required.

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System Analysis
 On-Site Infrastructure

Seeing the fact of technologies like server utilization, there are still real and higher cost associated with
deploying on-site servers. The costs are way beyond the licensing costs, however costs associated with
the support function to keep things running smooth, hardware maintenance costs, hardware resource
consumption costs etc. also comes along with the package.
Looking at the in trend approach of resource utilization and framework of organization, outsourcing
server’s data/ functionality to the cloud comes to mind as a first more viable and cost saving solution.
Outsourcing server’s data/functionality to the cloud may mean abandoning your on premises
investment unless an on-premises server can be repurposed.
No matter how good it is, for any hardware wear and tear is very natural which eventually becomes
obsolete. Enterprise-class organizations have traditionally coped with this expected obsolescence by
adopting a hardware lifecycle policy. This is also one of the need in today’s date where everything in
technology is so dynamic, to keep up the pace of competition organizations has live with this policy
willingly/unwillingly.
Most valuable feature of on-site server/ hardware is its ability to swiftly troubleshoot, mitigate
solution, deploy crucial updates and the most important security of data or information is vital
considering its sensitivity. However the technology is already exploring solutions to overcome these
challenges of structuring off-site server function.

 The Cloud
Cloud is a change in technology aiming to reduce the complexities of Information Technology making it
simple and easy to use. It covers the principle and vision of broad IT infrastructure merging and sharing
of services and resources with the addition of saving on cost of owning own hardware and
maintenance of it. It’s as simple as renting a car or owning your own, with the fact that you don’t have
to worry about servicing!
Using the cloud can reduce total cost of owning an infrastructure significantly. Some clients report
savings of fifty to seventy-five percent. Because each client is unique, the potential savings achieved by
leveraging cloud technologies or services will vary.
“When we think about information technology and the potential of cloud computing to lower the cost
of government operations, drive innovation, and fundamentally change the way we deliver technology
services across the board, we recognize that this is an amazing time in the very early days of cloud
computing,” Federal CIO Vivek Kundra said at a Brookings event in April 2010.
Cloud computing enables savings in many areas, however the primary areas where all types of cloud
solutions offer the highest cost savings are hardware, end-user productivity, software and labor.

 Labor: By off-loading software, applications or a platform to a private cloud platform, less


time is required upgrade, troubleshoot / maintain the technologies. Instead of a system
administer in charge of 100s servers traditionally, the same administer can be in charge of
1000s of cloud based servers.

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 End-user Productivity: As important as other factors, productivity improves in cloud


environments for many reasons. An end-user is able to obtain services directly from the
cloud providers, this approach reduces IT department services by tenfold or more.
 Reduced Upfront Costs: Minimizing capital investment while having varied options for your
business service needs. One can save investing in expensive hardware or software by using
the cloud to change or improve your internal computing resources.
 Organizational Agility: Increasing capacity to accommodate the needs of a new project or
accommodate the requirements of a new department or addition of full time head counts.
 Pay Per Use Policy: Only pay for what you utilize. Flexibility to change your utilization
requirement to the month of a year, a day in a month or a week, an hour in a day.
 Virtualization: The feature of using visualization technology, enables creating multiple
virtual machines on a single physical machine can significantly reduce the hardware and
power costs.
 Scalability on a Corporate Level - The cloud is infinitely scalable, which is essential for the
changing data storage needs of the corporate environment.

S.W.O.T Analysis on Cloud Computing

S (Strengths) W(Weaknesses)
 Shared computer resources - Instead of  Legacy systems - Small and medium-sized
wasting precious and costly computing power, an organizations are more likely to embrace the
inherent drawback of the current client server benefits of the cloud than larger companies
model, cloud computing allows for a more efficient which may have complicated legacy systems.
and affordable use of computing resources.  User attitude and control - Organizations will
 Cost savings - The end user is no longer still need to have 'control' over data and
burdened with the expense of maintaining and information to meet business, legal and
updating servers, data centres and software. regulatory requirements. For many, the idea of
Instead, the cloud computing provider carries giving up control of the hardware that carries
these IT costs, while organisations simply pay a low business critical data and outsourcing
monthly subscription fee. confidential customer data to a third party is
 No licensing - The all-in one package based upon a an unsettling concept.
subscription fee does away with complicated and  Global economy - All segments of the cloud
expensive software licences that need managing computing market - Software as a Service
and updating regularly. (SaaS), Infrastructure-as-a-service (IaaS) and
 Reduced reliance on external consultants - The Platform as a Service (PaaS) - will be influenced
provider now handles the updates and installation by the overall state of the economy and global
of software patches - dangerous security loop demand for IT services.
holes. Conflicts in software incompatibility is no
longer your problem so there's no need for
external IT consultants to troubleshoot your

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business systems.
 Mobility - Data stored in the cloud can be accessed
from virtually anywhere with an internet
connection.

O(Opportunities) T(Threats)
 Agility and flexibility - Smaller firms are nimble  In house IT Personnel - Many IT professionals
and thus more easily able to move to the cloud will need to re-invent themselves as
and take advantage of cloud computing’s many organisations do away with expensive IT
cost-saving benefits. Departments.
 Growth in cloud services - Cloud services will  Data Protection - European Union (EU) law
continue to grow with increasing competition from states that organisations can only transfer data
both established players and new entrants. Some outside the EU if that country's data protection
observers estimate that the cloud market will top laws are adequate (to European standards).
$270 billion in 2020 with SaaS offering more With cloud computing, you don't know where in
growth opportunities than any other segment the world your data is held even though you are
 Consolidation in legal and regulatory still liable for it.
environment - We will see the publication of more  eDiscovery - Should a court or tribunal require
business guidance from law makers and regulators your organisation to produce data or
over the next few years. The UK Information information (e.g. to defend allegations of
Commissioner has already published his Guide to breach of contract or for an employment
Keeping Personal Information Online and the disciplinary), can it retrieve them easily and
European Commission is currently looking into guarantee that they meet evidential standards?
providing standard contracts for cloud services.  Security - How secure is your data? What track
record does you cloud supplier have in the
technology markets. No type of data storage
system is risk free and for that reason, absolute
security is impossible.

S.W.O.T. Analysis on QR Codes:

QR code is the mostly liked way of advertising by marketers and retailers due to its benefits in terms of
cost reduction and easy implementation. However the question which hovers on every body’s mind is
if it’s liked by the end users in a similar manner? Its presence certainly have seemed to be increased,
but does that means it should be used? How will we be able to define the easiness of its usage from a
user’s point of view? Below provided is the SWOT analysis on the usage of QR code;

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S (Strength) W(Weakness)
 Quickly connect the online and offline together by  Scanning requires slow speed or stopping,
simply scanning the code with your mobile devices. sometimes requires waiting to connect to the
 Free and open platform, everyone can develop their internet making it inconvenient.
own QR Code  Anti-counterfeiting issues. QR Code is easy to be
 Low on cost, compared to other advertising methods copied or duplicated
 Vast and diversified usage, can be imprinted on all  Privacy and security issue. It’s difficult to identify the
sorts of products user’s identities. Users are unable to distinguish
 Experience given to customers are possibly more between real and fake products information.
memorable than traditional add, enabling revisiting
and generations of sales

O (Opportunities) T(Threats)
 QR Code scanning is rising at an alarming rate.  It’s difficult to change user’s preferences and
 Growing popularity of smart phones consumer behavior within short period.
 Increasing utilization of debris time on mobile  QR code doesn’t carry out direct visual information,
devices among young people such as image or texts. Customer can’t know the
 Consumers getting more interested in two-direction information contained inside the code unless scan it.
interaction.  Promotion costs are still relatively high. Many
customers don’t care about what’s the information
inside the code/s; neither do they bother to
download an app to scan it.
 Not bringing gain in profit actually leads this
innovated marketing approach at a higher /
additional cost

Current Solution
Presently Spinney’s has their own website (www.spinneys-dubai.com) which is hosted by Webfusion.
The same site can be developed to implement/launch the proposed e-Commerce site, as the hosting
capabilities & pricing provided by Webfusion are ideal.

Mobile App
This is the most innovation in trend and solution, by building a smartphone app, it can be easily
integrated on any latest smart phone platform with its content being hosted on an internal server or
cloud. The app can also provide various capabilities to enhance the overall customer experience.
Mobile app usage in business is a more convenient idea in terms of customer experience as it’s always
convenient, on hands, reference back is always easier due to which customers are never lost.

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System Design
The top 3 cloud providers from the top list are Amazon, Google & Microsoft. Below is a competitive
comparison of the 3:

AWS GCE Azure


Features
Instances: families 5 families 4 families 2 families
and types 23 types 15 types 13 types

Load balancer Elastic LB (internal) DNS service Combined Traffic


(internal) Auto-scaler (external) solution management
combined solution

I/O speeds Second place First place Third place


Block storage 1 TB Up to 10 TB 1 TB
Global network Wide regional offering, most Narrower regions, Global datacenter
data centers and access points centers infrastructure
and access, faster
per
connection

Connection Open Internet Regional fiber Open Internet


network
Billing
Pricing Per hour – rounded up Per minute – Per minute –
rounded up rounded
(minimum 10 up commitments
minutes) (prepaid
or monthly)

Models On-demand, Reserved, Spot On-demand, On-demand, short


sustained-use term
commitments
(pre-paid
or monthly)

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System Implementation

 Developing a Website

To set up an online business, you naturally need to prepare a website. The following steps need to be
taken when establishing your web presence:

 Registering a new domain name; or


 The use of an existing website

The second option is the most feasible as an already registered website will save cost on domain name
and webhosting charges. Although there is a requirement to have this e-commerce site registered
through the Dubai Economic Department (DED).
This website will not only act as an E-Commerce portal but will also be the backend information bank
for all the product(s)/offers listing which will be replicated on the mobile app, hence allowing it to
display up-to-date information of products.

 Developing a Mobile App

As discussed earlier, the most convenient in trend solution of running business in today’s IT era is to
provide choices to consumers/customers in their hands on their fingers, which is not much difficult in
today’s age of smartphone users. This convenient technology will provide an e-Commerce app which
can be downloaded to the customer’s smartphone (handset), with the feature of integrating the
product listing from the website, enabling sales for Spinney’s.
Many aspects can be looked into while designing the app while targeting customers in Dubai, like
customizing it to cater to different languages/locations and communities. You can even enhance your
app with complex gamification designed to increase engagement.
Another beauty of Mobile App is, you can always engage with customer through push notifications and
keep them updated on new offers and product discounts. Referring back to you (Spinney’s) is always
very easy and guaranteed as the e-Commerce app is always there in the customer’s smartphone, so no
customer is lost.

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Online Payment Gateways

Any solution if deployed to enable product sales online (whether tangible or intangible) you need to
set a Secure Payment Gateway Options include credit card payment, cash on delivery and pre-paid
card systems like;

 PayPal - is one of the world's largest internet payment companies & the most growing online
payment option in the GCC. Customer’s credit card details are linked to their PayPal account and
transaction at E-Commerce sites are completed without sharing any financial information.

 MiGS PAYMENT GATEWAY (EmiratesNBD & Mashreq Bank) - Network International, with
MasterCard International, has implemented a “best-in class” Payment Gateway facility service
known as the MasterCard Internet Gateway Service (MiGS). MiGS switches merchant payment
transactions directly to the card issuer for MasterCard, Visa card types and non-bank card issuers
such as JCB, and supports MasterCard Secure code, Verified by Visa for Visa and J-Secure for JCB
transactions.

 Amazon payment is a service launched in 2007 by Amazon. I’m sure one thing everyone knows is
Amazon is one of the biggest retailers on the Web. This powerful and flexible payment engine
allows users who are already familiar with and trust the Amazon brand to purchase goods from
your web site using their Amazon customer ID. You and your customers may well feel more secure
as a result of an association with the prestigious Amazon brand.

Once a customer has entered the checkout process the objective should be to help them get through
as easily as possible without distractions or confusion. This means removing any on-screen elements
that are not part of the process: headers, footers, general site navigation. Make the page as clean and
straightforward as you can. We usually recommend reiterating your accepted payment methods and
your trust seals, but keep everything else to a minimum, especially links that allow the customer to
leave the checkout process.

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Customer Feedback

Listen to your customers

As an Online business, you will hear from your customers the very day you launch. This doesn’t mean
you consider or change according to whatever they say, but you definitely listen and consider all logical
comments.
Your customers would give you feedback data which you might not have through of earlier. After
evaluation of their suggestions, react quickly to build something even better than what you own or
what you have live currently. As soon as you implement to what your customer say, you will start
building loyalty with your customers enabling deeper ties and positive word of mouth.

Here the Spinney’s mobile app will replicate all the products listed on the web portal. The product
information will be categorized based on product type and customer will choose what they want,
wherever they are. Everything selected will be added to the cart, once finalized customer will choose
the mode of payment from the enlisted secured payment options (Online Payment Gateways).and will
have the items delivered on the same day.
Purchases by scanning QR Code

Here we replicate the retail experience whereby a large display area or large digital screens can be
used to showcase all products. Consumer finds a branded “virtual shop” looking exactly like shelves in
the retail space. The virtual shop shelves display actual purchasable goods, their prices and QR codes.
When consumer wishes to purchase a product, they simply scan the attached QR code using the
Spinney’s mobile app integrated QR scanner and the item gets transferred directly to their shopping
cart. Payment is simple & safe made through the enlisted secured payment options ( Online Payment
Gateways).

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SUMMARY AND CONCLUSION

As a conclusion & considering the above indications, the QR code is currently in the Slope of
Enlightenment stage where there is a potential for further application becomes more broadly
understood by educating both the consumer and companies about the functionality of QR Codes, not
only can QR Codes proceed towards mainstream adoption, but they can also garner significant results.

The Internet has lead to the birth and evolution E-commerce.


E-commerce has now become a key component of many organizations in the daily running of
their business.

As the internet and in turn E-commerce has developed and continues to evolve and grow, it is
vital that any organization, in any particular industry must base its strategic planning around
such a rapidly growing medium.

We are on the verge of a technological era, with new technology booms and new innovations,
Spinney’s wants to keep up with the change and give innovative and creative ideas to their
customers today with more ease and convenience and not just the contemporary way of walk-
in shopping.

Looking forward as everyone starts getting familiar with the current idea in mind, we are
looking at a huge fan following and diversifying our mediums customers can shop with
Spinney’s! Truly a FRESHER EXPERIENCE.

REFERENCES
http://www.spinneys-dubai.com/index.php/spinneys-history
https://en.wikipedia.org/wiki/Spinneys
http://www.indivirtualdubai.com/news/state-of-ecommerce-in-the-middle-east
https://en.wikipedia.org/wiki/QR_code
http://eradar.eu/cloud-computing-swot/
https://www.cloudyn.com
http://www.gartner.com/newsroom/id/2819918
https://www.google.com/trends/explore#q=QR%20Codes&cmpt=q&tz=Etc%2FGMT-4
http://www.peachpit.com/articles/article.aspx?p=23997
https://www.10gea.org/articles/disaster-recovery-cost-of-downtime/
https://blog.bufferapp.com
http://www.dubaichamber.com/alibaba/UAE-e-commerce-market-growing-rapidly
http://www.internetworldstats.com/emarketing.htm

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