Abstract
Technology innovations over the past decade have transformed the business environment and changed the way organisations offer their products and services to their customers. Organisations are looking for innovative ways to make customers’ shopping experiences more convenient. Organisations are changing their business models by providing an alternative channel (e-commerce) through which customers choose and purchase their products to ensure value is created for the organisation.
The research study focuses on a steel manufacturer that wants to target small project customers (house builders), as currently the markets being targeted are experiencing pressure due to the economic decline in the country and intense rivalry between steel manufacturers. The feasibility of implementing an e-commerce system to target the small project customers is examined, as there is significant potential for the steel manufacturer to increase its earnings due to the increase of residential development in South Africa.
The research method utilised during the research process was an exploratory study, as little was known about the e-commerce strategy or activities of the steel manufacturer. A qualitative survey was used to interview employees of the steel manufacturer and the house builders to ascertain the buying process currently in operation and the feasibility of introducing an e-commerce strategy. This study is based on grounded theory and data collected via the interviews was transcribed and analysed to determine the common themes.
It was evident throughout the study that before the steel manufacturer could implement an e-commerce system it needs to improve its internal production capacity and feedback processes to create a positive customer experience. Marketing strategies should be implemented targeting the house builders, thus capitalising on the current growth in residential development...
M.Com. (Business Management)