2.

Analysis of e-business in Singapore for Priceline:

In this present scenario, electronic business industry has not any limitations. Each and every
single industry is establishing or growing their business and services worldwide via the help
of technology. Priceline is international brand it is owned by API. Priceline has more than
390 stores in Australia and New Zealand which is totally owned by the API. Priceline offer
more than 1000 items cosmetics, skincare, careers, fragrances etc. to the people. In this
present era every country opens their gates for investment directly without any restriction.
Priceline can play an important role in the economy of the Singapore. Singapore government
always allow to the foreign investment. Guardian is similar store like to Priceline in
Singapore. Singapore is also a developed country in the world. This report will provide the
competitive environment analysis from the depth of the electronic business in Singapore for
the Priceline.

2.1 Competitive Environment Analysis

Competitive analysis is the heart of every business. Competitive environment
analysis of Singapore leads towards the success of Priceline. Porter’s five forces
model deals with factors outside an industry that influence the nature of competition
within the company. Porter’s model acknowledged five forces which could force on
a business’s behaviour in a competitive market. These include the following.
(Chaffey, 2009)
 Power of Suppliers
 Power of Buyers
 Threats of New Entrants
 Threats of substitute products or services
 Rivalry Among Existing Competitors
http://www.mindtools.com/pages/article/newTMC_08.htm

 Power of Suppliers:
Priceline has partners with over 1000 Australian suppliers. Priceline always seeks
the most innovative and new products available to the Singapore market. For this
purpose, the Priceline team travel to the globe to trade fairs and supplier in several
countries.
Priceline needs to bring new ideas and services to pull the customers. For Priceline,
because of its already global reputation and expansion, the business would be
done with this power.
 Power of Buyers
Buyers are the heart of the every organization. Priceline provides the products
made from natural resources. Priceline presents the opportunity of low price and
better quality to their customer. Reduce, reuse, recycling products and save this the
environment is the main aim of Priceline. That’s why, customers keen to purchase
those types of products. Priceline offers guarantee for security of online services
and products with competitive price, excellent customer service and easy
navigation system on website.
 Threats of New Entrants
Competitors are the key of success of every organization. When Priceline would
start its business in Singapore, it may face threats of new entrants of local or
foreign stores available in the market. There are already some ware houses those
provide the latest products and use advance technology. On the other side,
Priceline business is easy to establish because they are in demand.
Threats of substitute products or services
Some other business such as Guardian is providing the same products like
cosmetics, hair, health, weight and victims etc. That’s why, Priceline needs to do lot
of hard work to provide better quality in comparison with its competitors.
 Rivalry Among Existing Competitors
In Singapore, Priceline would face local as well as foreign competitors such
Guardian that are providing e-business to the people.

In nutshell, Porter model is a simple that supports strategic understanding where

power lies in an e-business situation and with a clear understanding, it will enable
Priceline to take fair advantages of its strengths and improve weaknesses.

2.2 Another organization using e-commerce & e-

business in Canada
The Guardian is established in 1972 in Singapore as a pharmacy. The Guardian
has more than 100000 employees. 20000 products are offered by Guardian in
Singapore. This store is consisted of up to 20,000 different kinds of health and
beauty products. It provides free home delivery and 24 x 7/ 365 from any location to
their new and existing customers. Priceline holds higher rank among the health and
beauty because it provides online purchase to its customers. Payment systems are
safest, fastest and most convenient like as electronic pay, direct deposit. Priceline is
a well established that provide better quality. Priceline warehouse will have to
enhance the quality and service than Guardian.

3. Analysis of suitability of e-commerce implementation

in Singapore
Using internet in Singapore is on the top. Almost All the businesses are running
electronically. 80% population of Singapore is using internet. As technology, skills
and high education is growing, the internet user’s population is also continues to
grow that means the number of internet user will increase too. Internet technology
and higher education let people to have a good opportunity to recognize the terms
of online transactions.
Singapore developed a solid broadband market in order to ensure e-commerce
well. It offers best quality and advance products and services. We can easily judge
from usage of products and services that is 75% of the total population. Singapore
is highly developed and they are open for foreign investment. Payment systems are
credit cards, debit card, master card and so on in order to purchase online. Online
service of the Priceline can be used anytime, anywhere in the whole world.
Customers are capable to select order and buy the product.
 3.1 Impact of Various Factors to implement e-commerce
in Singapore

Social Factor
It is very important for the business or organization to know about the social factor
when the firm is going or to adopt online business activity. Singapore people
believe in individual relationships with others. In Singapore culture, due to privacy
concern, social factor is considerable most than the other factors. In business
cases, Singapore always allows the business discussion. As I mention above that
In Singapore culture, due to privacy concern, social factor is considerable most than
the other factors, so that every business in Singapore offer respect to privacy of
their new and existing customers.

Regional Differences
Singapore is a developed country in the Asia continent. Singapore is known for its
multicultural society. Singapore has population together with Buddhist (33.9%),
Muslim (14.3%), Hindu (5.2%), Taoist (11.3$), Catholic (7.1%), and other. Each and
every in this world has its own beliefs, customs and religious values. So to enter in
multicultural countries it is very important for every business to give respect to the
all the culture and also to their cultural values.
http://www.factmonster.com/country/singapore.html
Legal Factors:
Singapore’s legal system is similar to many other western democracies. In
Singapore, three civil law codes are present
 Stable legal system
 Liberal Immigration polices
 Attractive tax scheme

3.2 Barriers and Constraints to e-Business and e-

Commerce
Barriers are compared to traditional business but there are number of risk and
barriers which are faced by every electronic business. Some common barriers are
 Initial set-up and maintenance cost: There is a need to spend millions of
dollar not only to set up e-business and architecture of the website but also spend
on further improvements foreign country. Business operating in Singapore, there is
a need for both languages. In order to do updates, there is requirement to hire
educated staff which is more expensive.
 Lack of Skills: Skills are important for e-business. Lack of skills leads to
failure of business. For this reason, Priceline staff should have excellent
communication skill and computer knowledge.
 Security: protecting the privacy of the customers and the business from the
hackers and the outsider is the primary function for every business specially who is
doing online business or going to adopt electronic commerce. For security purpose
Priceline needs to develop a platform which would be secured for the privacy of the
customers.

3.3 Challenges:
Challenges are the major part of every business. Culture, language, competition
and speed of the internet are possible challenges that can be faced by Priceline.

Singapore. (n.d.). Retrieved May 26, 2015, from

http://www.factmonster.com/country/singapore.html