Businesses need to communicate with a range of different individuals and organisations. Good communication within a business is essential if the business is to operate effectively. External Communication using ICT

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ICT and communication

Task 5  (A and B)

Businesses need to communicate with a range of different individuals and organisations. Good communication within a business is essential if the business is to operate effectively.

External Communication using ICT

External communication is communication with people outside the organisation. An example could be with customers or suppliers. This type of communication will be formal because the business will want to present a good image for itself. Businesses use ICT in a number of ways. Some businesses use it for online shopping. Here products are ordered online and paid by credit card. The products are then delivered to the customer. Online shopping is used extensively by Tesco’s customers and other grocery businesses. Books, music, and holidays are the most popular purchases made over the Internet.

Boots provide online shopping but it is not used as extensively as Tesco’s is. Whether the kind of products-health and beauty products will become popular is uncertain. The customer for example wanting to buy a lipstick or a perfume may prefer to visit the shop in order to find out and try out a range of products. Pharmaceutical products are also unlikely to be suitable for online shopping and will require customers to visit the shop partly because prescriptions drugs have to be checked by the pharmacist.    

One of the advantages of online shopping is that goods can be sold easily throughout the world. It is a very quick and efficient method. One of the disadvantages for the customer is the possibility of fraud. This could in turn affect businesses because if customers don’t feel happy using credit cards on the internet then online shopping will not expand.  The internet can reduce business cost. It reduces the costs of overheads. However whether this would be the case with Boots plc is not certain as the shops need to be kept open and properly staffed.

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Businesses such as Boots would be able to advertise on the internet and this would reduce the need to produce brochures. It is possible to see how Boots is increasing the use of internet for this purpose. Another area where cost can be saved is by reducing staff as fewer premises are needed.

The businesses that are most likely to benefit from the internet are those whose brand image is known and trusted. From this point of view Boots has an advantage as it is well known and trusted by the public. Businesses that are not known may find ...

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