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XYZ Plc.

is a well reputated company of manufacturing cell phones and memory cards,which


works in canada from many years and make own goodwill and market value in the market and
customer all around the canada and some europian country where canada has free trade
agreements FTA.

Reason for XYZ Plc. Market value are it core products are only cell phone and memory card.Its
main focus on only their major products.Secondly they use latest technology for making their
products which attract the customers in the market.last but least main reason for XYZ Plc
reputation in the market is the cost of their products,they provide their mobile phones and
memory card on reasonable price in the market.Apart from all these things latest feature,phone
look and service after sale which also attract the customer for purchasing that products.

At the present movement XYZ Plc. Company chief excecutive is plan to extand their business
and want to invest in Asian & amp ,Middle eastern markets.Their are two kind of possibilies for
starting their business in asian market one is open their physical store in the market and other one
is go for E-commerce.Both the strategy have its pro and cons.Upcoming paragraph will discuss
advantages and disadvanges of both strategies

On the one hand,if we consider the advantages of E-commerce advantages they are both obvious
and real.list of advanges if company go with e-commerce are mention below.

Advantages of E-commerece

1) Low cost for enter in new market-Lower cost is one of the most obvious advantages of e-
commerce.because it doesn’t require physical sturcture and another basic things such as
land,building,maintainance etc. which amount XYZ Plc company can utilize for imporve their
products and provide services to their valuable customers.Company can provide free
shipment.discount on their products which also a good way to enhance company market value.

2) Easy to find new customer through search engine- Physical retail is driven by utilizing
marking and connections. Notwithstanding those two drivers, on-line retail is additionally
determined by method of guests from web indexes like google and yahoo. In online business we
can easily findout target customer rather the physical store
3) Eliminate Cost and Travel Time-According to current scenario customer doent want to
travel long distance for purchase their product from physical store due to busy schedule and life.
E-commerce provide them service to visit the same store virtually, with just a few mouse clicks.

4) Give Comparison Shopping -Internet business encourages examination shopping. There are
many online administrations that permit clients to peruse different internet business shippers and
locate the best costs.

5) Give Abundant Information -There are lacking to the measure and collection of data that
can be shown in a physical store. It is hard to prepare workers to react to clients who require data
across product offerings. Internet business sites can make extra data effectively accessible to
clients. A large portion of this data is given by sellers and doesn't cost anything to make or keep
up.

6) Stay Open All the Time-Stores timings are presently day in and day out/365. Internet
business sites can run constantly. From the shipper's perspective, this expands the quantity of
requests they get. From the client's perspective, a "consistently open" store is progressively
advantageous

7) Find the Product Quicker-One of the most important benefit of e-commerce from the point
of customer is it is very easy find out any specific product with in few second on just one click
throug search engine as compare to visit to the physical store in the market.

8)Diminish Geographical Limitations -On the off chance that you have a physical store, you
are constrained by the geological territory that you can support. With a web based business site,
the entire world is your play area. Also, the coming of m-business, i.e., web based business on
cell phones, has disintegrated each outstanding restriction of geography.

On the other hand if we discuss disadvantages of they are also both predictable and
unpredictable.There are number of disadvantages of E-commerce business which explain below.
Disadvantages of e-commerce-

1) Absence Of Personal Touch -A few customers esteem the individual touch they get from
visiting a physical store and connecting with deals partners. Such close to home touch is
especially significant for organizations selling top of the line items as clients need to purchase
the product as well as have an extraordinary encounter during the procedure.

2) Absence Of Tactile Experience -Regardless of how well a video is made, customers despite
everything can't contact and feel an item. Also, it is anything but a simple accomplishment to
convey a brand understanding, which could frequently incorporate the feeling of touch, smell,
taste, and sound, through the two-dimensionality of a screen.

3)Cost And Product Comparison -With web based shopping, customers can think about
numerous items and locate the most minimal cost. This powers numerous traders to contend on
cost and lessen their net revenue.

4)Requirement For Internet Access -This is truly self-evident, however remember that your
clients do require Internet access before they can buy from you! Since numerous eCommerce
stages have highlights and functionalities that require rapid Internet access for an ideal client
experience, there's an opportunity you're barring guests who have moderate associations.

5)Online Fraud -Visa extortion is a genuine and developing issue for online organizations. It
can prompt chargebacks that bring about the loss of income, punishments, and awful notoriety.

6. IT Security Issues -An ever increasing number of organizations and associations have fallen
prey to pernicious programmers who have taken client data from their database. Not exclusively
could this have legitimate and money related ramifications yet in addition reduce the trust clients
have in the organization.

On the other hand if we consider about traditional way of selling products,it have also its own
advantages and disadvantages.which are explian below.
  Advantages:
1)Shoppers can test the item before buy-In traditional sale buyer can visit to store and can
check their product physically,which give a special kind of satisfaction to the customer.which is
one of the best advantage of traditional sale.

2) Protect from cyber crime- Now a day cyber crime is one of the major problem world wide.In
online shopping there are chances of hacking accounts and transaction of amount,which is risk
for both customer as well as company.while in traditonal sale buyer and seller interact face to
face and deal at real time physically.

3)Internet access not require-Under e-commerce customer does not require any kind of internet
access and electronic euipment.because in asian contenent there are number of place where there
is no internet access.so for those are physical sale is best area to invest.
4)Make healthy relation between buyer and seller-In traditional sale customer meet with
owner of shop,which make healthy relation between both

Disadvantages:

1) Geographical barrier-one of the major disadvantages of traditional sale is geographical


location.because it is difficult for both company as well as for customer to togeter on a same
platform for purchase and sale of products at the same time.Asia and middle east country have a
huge market so it become very hard for xyz plc. To open their store all around the asia and it also
expensive also for company.

2)Very expensive to build new store-Another factor is cost.To build outlet in the asian market
is very expansive for company.because of huge market it become very difficult to open and
handle all store.because for traditional sale company doesn’t require open new outlet but they
have to hire staff also and other utilities expenses also include in it.

3)Limited time for for open and close store- In physical sale another barrier is timimg of
provide service to their valuable customer because most of the retail store and outlets are close
on weekend which also create problem for sale of products and interation.
4)Lack of professional personnel-In physical sale every outlet require a perfect staff whom
have all information about all products of company and can provide all information about
company cell phone products and memory card.

Overall,although both have their pros and cons but in my opinion e-commerce is more beneficial
rather than physical distribution.because its pros overcome its cons because it is helpful for
company in many aspects such as less expensive,easy to manage
Refferences
https://sites.google.com/site/theaspectsofecommerce/advanta
ges-and-disadvantages-of-traditional-selling
https://blog.apruve.com/e-commerce-advantages-and-
disadvantages
https://www.thebalancesmb.com/advantages-of-ecommerce-

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