Nama : Diaz Villa Nauthica

NIM : 180412620117
PADP OFFERING M
1. What kind of business is presenting in the video?
It is a dropshipping
2. What do you think about that business performance? Please explain
I think dropshipping is a one of simplest business which the seller only acts as a
middleman without ever touching the merchandise. Dropshipping is still worth if we
want to earn a decent income by starting our side business, but if we want to make a lot
of money in a short time, well dropshipping is definitely not worth. The performance of
dropshipping is depend on how success we have to invest our time, money and effort, it
also depends on our marketing branding, advertising, social media, customer
engagement, etc. I think the performance of business are much better in a past few years,
let’s say 2019, 2020 and 2021 because the world has just embraced e commerce and more
people are buying online than ever before, especially when the pandemics are going on.
Dropshipping also have an easiest way in payments because its online. In 2020
dropshipping is still profitable because the number of e commerce activities. So I think
the dropshipping business performance is really good but they also a big problem like
false advertising that can detrimental to customers.
3. Give your opinion about the strengths, weakness, opportunities and threats of that
business?
a. Strengths
 Dropshipping in its simplest form is when the seller acts as a middleman without
ever touching the merchandise
 We don’t have to worry about storing, packaging, or shipping our products
 We have to testing our new products without a risk
 Have a low startup costs, low cost of inventory nd low order fulfillment costs
 Dropshipping offers flexibility. Buyers can directly communicate with
manufacturers at the same time with customer only with the internet
b. Weakness
 Usually have false advertising that make a big problem in the dropshipping world
 There’s no quality control since we cant see or use the products before it comes to
the customer
 Less profit
 Have a poorer customer service, if the supplier delivers the product late or
delivers wring items, the customer will take the problem on us
c. Opportunities
 E commerce industry has just growth, online shopping is the most common
activities through internet
 The audience demand for high quality products from online marketplace will keep
rising
  Retailers are learning that establishing relationships with drop ship companies is a
great way to manage their own inventory risk
d. Threats
 Expensive fulfillment errors, when fulfillment errors occur, like overselling of
outdated stock levels, its often the merchant who has to pay for it
 Dropshipping vendors make less profit per sale because they do less work,
however is the competitive pricing of dropshipped goods
 There’s a lot of fake dropshipping suppliers who prey on inexperienced vendors