[8] 2002 e-business-strategies-for-virtual-organizations

e-Business Strategies for Virtual Organizations
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develop a global SME based on the Internet. Particularly, Evans
plans to develop a niche business in strategic management
consulting for SMEs in Australia. Product offerings of the
company would include electronic market research, infrastructure
management solutions and business alliance brokering.
Evans is keen to learn about the appropriate strategies with
respect to aspects such as the business location, number of branch
offices across the country, IT equipment and online infrastructure,
and the types of alliances to form in order to make his
business successful. He is also interested in developing a business
value chain that is effectively aligned with the chosen industry
and the electronic market environment from the beginning.
They plan to run the business from Melbourne, Australia, where
in their estimation there exists a vibrant e-commerce industry and
therefore cheaper access to Internet resources. They also planned
to work with a team of about eight persons, mainly with
backgrounds in information systems, technology management,
and finance. They intend to recruit a couple of others for routine
administrative support. In the bid to get going, Evans has already
applied for a website address with the international Internet
registrar, InterNic. That means that very soon the company must
decide on a web hosting service provider with the possibility of
providing a total e-business infrastructure solution.
Questions
1 Briefly outline the opportunities in the chosen industry for the
prospective enterprise.
2 What opportunities can the company take advantage of in
developing some Internet presence and later exploiting some
online infrastructure as part of its routine business?
3 State with appropriate examples the key issues associated
with an online business in the chosen area, specifying what
must be considered as core competencies of the start-up
firm.
4 Using the five attributes of a typical SME, discuss the relative
merits of (a) doubling the proposed number of staff, (b)
having employees working from locations in three states –
WA, SA and ACT – and (c) increasing the number and
complexity of business relationships within industry.
5 What Internet technologies and systems would you recommend
to form the core of the start-up business. What are some
of the foreseeable developments in infrastructure as the
business grows.