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

e-Business Strategies for Virtual Organizations
Questions
252
would depend on the knowledge base about the e-business
environment and is the basis of selecting an appropriate
e-business model. In the case of LRW there is a clear vision to
adopt the Internet infrastructure to support the company export
strategy, especially since the local market in Western Australia is
very small. The company sees the Internet as a means to market
and advertise its products to other Australian states and to its
international targeted markets especially the UK and Japan.
According to the CEO, Western Australian, through its commissioned
retail agents, represented only 5–10% of the total, while
NSW provide up to 40–50% of sales.
Appropriate choice of e-business format
Employing a virtual face business model enabled the company
to reach the potential clients in other Australian states, especially
in Sydney, NSW. In the UK, the company’s online ordering
facilities enable it to effectively manage orders from its customers
of its premium product range. Participation in the online
wine clearing house is further facilitated by the ability to check
and process orders electronically and relay purchase information
directly to the clearing house for fulfilment. Recent
developments within the entire Swan Valley region point to a
potential reorganization of its e-business around a virtual
alliance in the long term.
You have been asked to advise the owner and managing director
of Little River Winery in the Swan Valley with regard to a
strategic plan for e-business. What advice would you offer and
how should he proceed to develop his business on the Web?