Task 1: Online Operating

Mrs George has to prepare a lesson for school about shopping on the Internet and discusses it with her family. They have just started to use the online service.

Research and produce a report describing how a family could shop for their groceries using a website and discuss the benefits and limitations this might bring to the family and society. Your report should consider the effects on:

  • The family
  • Supermarket management and their employees

Online Shopping:

Systems that provide a secure environment for browsing and purchasing products over an on-line service, such as America Online or via a Web site like Amazon.com

Shopping on the internet is quick and convenient and should be no riskier than buying by mail order or on the phone. A screenshot of online shopping is shown below.

Companies that have already implemented e-commerce have seen major benefits, experiencing increasing sales and gaining wider market coverage. Although already huge, nearly everyone is in agreement that the amount of purchasing done online will continue to grow for many years to come.

A description of online shopping is shown in the steps below. It also shows screenshots of each click which you must do and instructions to follow.

  • Now click on ‘GO SHOPPING’ which is highlighted on a background of blue.

  • You will now come across the screen which is asking for your postcode if you are a new customer. If you are an existing customer then you need to type in your details in the second box otherwise you type in your details in the first box.

  • When you have typed in your postcode and clicked enter the screen will come across this screen. (This is how the screen looks like if ASDA don’t deliver to your chosen postcode area.

  • If your postcode is an area where ASDA can deliver to then your screen will look like the one shown above. You must fill out all your details and then click on ‘Go Shopping’ at the bottom of the screen. After this screen you are now ready to go shopping.

Discussion of Benefits & Limitations for

  1. The family

Benefits - Women who have got children enjoy the convenience of online shopping. They would rather avoid lifting heavy shopping bags and battling through the crowds in the aisles. Walking through the aisles make them get tired. But the good thing is that even though you might not be tired the fact that someone else is going to run around and get your shopping and deliver it to you is very appealing.

Limitations – Delivery could get mixed up as a lot of people order of the internet. Delays can occur if there are very bad weather conditions or if the company doesn’t have a driver for the day.  This could result in you not receiving your shopping when needed. Delivery is not free and must be paid for. You might receive fault products.

  1. Society generally

Benefits - The consumer can easily 'window shop'. The consumer can easily shop at any time of the day or night and from the comfort of home. Goods are delivered straight to the door without hassle of anyone going to the supermarket. No crowds or queues to contend with.

Limitations – Online shopping is not suitable for bargain hunters. No facility to rummage at the back of the salad selection to haul out one wearing next week's sell-by date or, for that matter, any way of picking the least eccentrically shaped lettuce.

  1. Supermarket management (both in store and head office)

Benefits - The opportunity to extend your customer base. Boosting company sales and increasing profitability. Allows large display of stock (and items that aren't in stock) Cuts down on overheads and administrative costs (sales staff, shop space) Enhancing customer service and increasing customer loyalty (adding convenience) Gaining a better understanding of your customers buying patterns and tailoring your products and services to suit customer demands. Makes it possible to compete on a more level playing field with larger companies.

Limitations – They have to manage all the locations where the products need to be delivered to. They must take into consideration how much they are going to pay the drivers and how many drivers they are going to employ. Road tax, MOT and petrol are also another asset. Fridges will need to be built in their vans to ensure consumer products are not damaged. The Head Office staffs needs to ensure all the drivers have full UK licenses and make sure they are trust worthy.

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  1. Supermarket employees (all types such as trolley pushers, toilet cleaners, warehouse staff)

Benefits – Redundancies would be given out. They won’t have to work anymore as there will be less people coming to the supermarket. Trolley pushers won’t have to work as hard any more because more people are choosing the option to do online shopping.

Limitations – They could lose a job which they enjoyed and would be left without a job. Warehouse staff would have to work harder as they will have to make sure that all online customers’ products are delivered correctly and efficiently.

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