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Prospect of online sales in the future.

Extracts from this document...

Introduction

Prospect of Online Sales In The Future Abstract The emergence of interactive home shopping is changing the shopping patterns of consumers. With the arrival of digital television and Internet, Teleshopping is going to exceed the sales performance of traditional shopping. Innovative technologies threaten the security of retailers that are reluctant to accept them. Industry watchers believe that Teleshopping may affect the distribution, structure and staffing of retailers. They will change the way that retailers have done, but will not totally replace traditional, location-based commerce. The aim of this research paper is to provide a guide to the future retail scene: why the traditional organisation structure will change; What the new structure will look like; How to manage the workers; What the working environment will like and what impacts it will have. Introduction People usually go to High Street for shopping in their leisure time, because the shops there offer them various selections. With the popularisation of Internet, consumers only need stay at home, get connected, and click the mouse, and then they can get a lot of information about merchandises. As a result, the way that consumers' pursuit the latest news will become more diversified. Now they are not only enabled to select all kinds of products at the same time, but also can save energy and time to do other jobs. As our life going busier and faster, this newly developed way of shopping is warmly accepted by people in an amazing speed. Over the next decade sales through television and the Internet will grow by upwards of 30 percent per annum. Technological improvements, lower equipment costs, a wider choice of products and an increasing computer-literate population will all help to boost the online retail market in the UK to at least 21 billion a year.1 We will have an online High Street in the very near future! 1. THE STRUCTURE OF TELESHOPPING ORGANISATION Retailers are perhaps the most important types of intermediary, situated at the point of direct contact with customers. ...read more.

Middle

requires that businesses in large cities employing more than 100 people in one location reduce their employees' commute time by 25 percent. Furthermore, in Southern California, each company's impact on air pollution is monitored, and those that exceed the limit are fined up to $25,000. These measures are expected to create about 15 million teleworking jobs in California alone. With telecommuting, employees can work at home so you're not totally without their services, and they will receive a pay check (Markham, 1998) * Productivity Many companies are finding that a teleworking program can greatly improve productivity and reduce overhead costs. They can increase productivity by saving workers the time it takes to commute and work from the office. They can use this time attending to customer service or other business-related tasks. Companies save the cost of office space, heating, air conditioning, electricity, water, and so on. (Anon, 1998b) * Teleworkers located in other states Many situations make teleworking a good choice for employer and employee. For example, you may want to retain an experienced employee who has relocated. Or you may want to attract knowledge workers who don't want to move to your location. FedEx, for example, has opened several regional data centres so that worker doesn't have to move to Tennessee. (Johnson, 1997) * Teleworkers located in other countries With teleworking, you can even employ workers living in other countries. (Vanderwielen, 1998) 3. MANAGEMENT ISSUES The nature of work and the workplace has changed dramatically over the last two decades. These changes evolutionary from a technological standpoint and revolutionary in creating a new realm of management issues have resulted in both the opportunity and the need for flexible work arrangements. (Johnson, 1997) The new management challenges management traditions. It means a significant change in how we think about work and supervising employees. (Johnson, 1997) Teleworking moves the work to wherever the people are giving the term office' new meaning. ...read more.

Conclusion

(Kare-Silver, 1998) Increases in leisure activities may have far-reaching social and environmental effects. Previously mentioned reductions in activity space, combined with increases in pedestrian and bicycle travel may make neighbourhood attractions more popular. Family ties may regain importance and discretionary time will be spent at home. Either way, increases in discretionary time will likely boost the economy as spending on leisure activities increases (Markham, 1998). If families and individuals use their new free time to go for drives in the country, we may see a reverse congestion problem, where roads are clear during the week and crowded on the weekends. Overall, the effects of discretionary time changes are very difficult to predict. Such changes may not produce any noticeable changes in our society or environment for a very long time. 5. CONCLUSION A revolution in the shopping environment is about to take place. But it won't affect all consumers and impact all retailers immediately. And it will not replace the traditional shopping completely, because there are still many traditional social shoppers. Such as women, to go window-shopping is one of their natural instincts. It is impossible for them to do shopping at home always. What they enjoyed most are the social atmospheres of the malls. They like to have a chat with the sales people, they like to try the clothes on and then do some compare. This is what Teleshopping can not satisfy them. However, the shopping scene is changing, retailers will need to develop. Standing still carries a high risk of being disintermediated, cut out of the supply chain as Teleshopping grows. As they move into the next century retailers will have a range of options. At one extreme they could transfer their business to become a full electronic home-delivery operation gradually moving out of their physical retail estate. And an alternative they could look to revitalise their physical presence and evolve the store proposition to meet some of the changing consumer demands. 1 Anon (1998a) UK retail sales 160 billion pounds sterling by year 2000. Searchbank 2 Gingh G et al The Information Age IM3007 Participants Pack (1999) p9 1 ...read more.

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