Page 239 - Business Principles and Management

Unit 3

9.3 Establishing an E-Commerce Business

Goals Terms
• Outline the steps for starting a • social networking • electronic shopping
new e-commerce business. • Web-hosting service carts
• Describe the technology needed • domain name
to run an e-commerce business.
• Describe promotional strategies
for an e-commerce business.

E-Commerce Business Planning

Developing an effective e-business requires careful planning. It is not easy to
get people to buy from an online business, especially if it is a new business
with which customers are not familiar. Large businesses invest millions of dol-
lars in creating and managing their Internet operations. Small businesses can
create attractive, professional-looking Web sites themselves for much less, us-
ing commercially available Web authoring software. Whether businesses create
their sites themselves or hire professional Web designers to do it, they must
still carefully plan the design and content of their site and update it regularly
to keep customers coming back.
Three major tasks must be completed if you own a small business and want
to establish an e-commerce Web site: business planning, technology develop-
ment, and site promotion. Following these steps will help ensure the success of
your site.

Business planning
1. Determine the purpose of your Web site.
2. Study your customers, their needs, and their Internet experience.
3. Plan your online business.
Technology development
4. Obtain a Web server and a domain name.
5. Develop order processing and customer service procedures.
6. Design the Web site.
Site promotion
7. Advertise your online business.
8. Open for business.

DETERMINE THE PURPOSE OF YOUR WEB SITE
You may want to have your entire business on the Internet or you may want to
use it only to promote your bricks-and-mortar business and provide information

226