What impact does the development of e-commerce have on the traditional business model?

Characteristics of traditional business model

1, profit increased. All enterprises are for profit. Since the business model is a value orientation, the increase in profits it brings to the company will definitely have a qualitative leap.

2. Deepening management. The innovation of business model makes the management level from. Let the management mode of enterprises be more people-oriented. It has strong adaptability. Make enterprises consider human factors more than product factors.

The disadvantages of traditional business model

Not all business models are successful, and not all business models can bring profits to enterprises.

Specifically, the business models considered by SMEs are generally located in marketing strategy, technological innovation, product strategy, price strategy,

Tactical innovation such as management strategy, while large enterprises often consider the innovation of big strategy.

1, inventory disadvantage. What e-commerce needs most is zero inventory management mode. Through the e-commerce platform, the supply and demand systems of suppliers and buyers are connected to realize automatic procurement, automatic order generation and automatic information exchange, effectively speeding up the flow of materials and funds. So as to achieve "zero inventory". Under the traditional business model, enterprises often have to set up large warehouses. Huge management costs and storage costs bring great pressure to enterprises. On the other hand, if there is a problem in the sales process, a large inventory backlog will bring a lot of trouble to the enterprise.

2. Price disadvantage. The response speed of e-commerce is very fast. Through the internet, the communication between enterprises and consumers can interact through the network, and the communication speed and response speed are much faster than the traditional business model. On the other hand, e-commerce model can obtain first-hand market information and make a response. However, due to the lack of a good control mechanism, the traditional business model often exposes many problems.

Because the price is affected by the relationship between supply and demand, but there are many factors affecting the relationship between supply and demand, such as climate, production, geographical factors, time factors, etc., the traditional business response speed is slow, and market information can not be obtained in time, so it has a great impact on the price. It is not conducive to the sustainable development of enterprises.

3. publicize the disadvantages. The promotion of e-commerce mode often depends on the promotion of search engines, the use of online advertisements and the use of friendly connections. The overall advantage lies in the wide publicity, and marketing information can be transmitted to consumers through viral marketing. ) achieve the purpose of website coverage marketing. Secondly, the price is very low, and the Internet provides this cross-border, cross-time and cross-regional communication mode for this model. Compared with this propaganda method of e-commerce, traditional business models often need productive propaganda methods such as telemarketing, TV marketing and product placement. This kind of propaganda mode not only consumes a lot of human and financial resources of enterprises, but also has extremely low propaganda intensity. High cost has become a stumbling block to the development of enterprises.

The influence of e-commerce on enterprise procurement: the traditional commercial procurement model is a relatively passive model. For example, in the late 1980s and 1990s, the purchase of raw materials or semi-finished products in towns and villages often had to wait until the market, and more or less farmers and business owners or businessmen got together to bargain and buy and sell. The advantage of this is that merchants can fully compare the advantages and disadvantages of goods and make reasonable choices. And there are many shortcomings, which are easy to cause unfair competition. After 90' s, there appeared a mode of supply and marketing department which combined the sales function with the purchasing function. The general process of this kind of purchase order is that the demand department puts forward the demand, and the purchasing department makes the purchase plan, processes the quotation, sends out the transportation notice, checks the warehousing and notifies the financial payment. The disadvantage is that raw materials, finished products and suppliers are all managed by one department (supply and marketing department), which is very unsafe and lacks control mechanism. Another traditional way of buying is in the form of exhibition. This is very popular in many cities. The most famous one should be the Canton Fair. The Canton Fair is held twice a year for three times each time, providing businesses with unlimited business opportunities. Compared with traditional procurement, the openness of the network and the diversity of information make procurement more open, transparent, fast and low-cost.

Different from traditional enterprise procurement, e-commerce procurement can bring more convenience to enterprises:

(1) invisibly expanded the source of suppliers, and many enterprises promoted themselves and provided information on some portals. For example, Alibaba website is a good B2B trading platform.

(2) It can greatly reduce the inventory shortening cycle. Traditional enterprise procurement is very troublesome, and many products and raw materials are often hoarded for one reason or another, which greatly increases management costs and inventory pressure. However, e-commerce procurement makes it possible to purchase as many orders as possible. You can quickly understand inventory information and order information through the e-commerce website.

(3) To realize the transformation from localized procurement to global procurement, the traditional procurement is seriously restricted by the region, while e-commerce procurement allows merchants to shop around and shop around, opening up the global market, which not only has multiple comparisons in quality, but also has great maneuverability in price.

The influence of e-commerce on enterprise production: Generally speaking, the production scale of traditional enterprises is large. Limited by the spontaneity, blindness and lag of market economy. This will cause unsalable products to a great extent, and excessive inventory pressure will lead to the failure of normal business activities. China's early traditional mode of production was single variety and large quantity, which was not only easy to imitate, but also caused a large inventory backlog once the market demand decreased. Therefore, the early solution is usually to monitor the inventory and reorder or re-produce once there is a gap in raw materials or products. This mode of production will be very complicated for all kinds of large enterprises, not only the storage cost is high, but also the management cost is not so convenient.

The production management mode brought by e-commerce has brought great convenience to enterprises:

1, the network information transmission speed is fast. Through the network, manufacturers can know the needs of consumers in time and quickly, and then produce products that satisfy consumers according to their needs. In order to meet the different needs of different customers, we can diversify our production. There is customization of personalized service. What I want to talk about here is dell model, which sells directly to customers, directly bypasses dealers, and consumers choose the parts they need. This concept of Dell shifts the value from the product itself to the service.

2. E-commerce greatly shortens the speed of withdrawing funds, thus greatly reducing risks, improving work efficiency and shortening the production cycle. The development of network enables enterprises to find their own partners all over the world, not only for raw materials, but also for new technologies, so as to reduce production costs and expensive R&D funds.

3. Reduce enterprise inventory. Inventory is very important for an enterprise. Traditional manufacturing enterprises often put their machines and equipment in warehouses until buyers appear. This intangible increase in inventory cost is immeasurable. By adopting direct selling mode and customizing according to customer's needs, the inventory is basically zero.

The influence of e-commerce on enterprise sales: In the traditional sense, direct selling is often in the form of some exhibitions, such as in which big square to hold commodity fairs and new year fairs. The advantage of this is that businesses can directly show their products to consumers, eliminating many intermediate links, and businesses can publicize their company brands and expand their popularity through exhibitions. According to statistics, trade shows are the best-selling marketing intermediaries superior to professional magazines, direct mail, salesman promotion, public relations, newspapers, television and conferences. However, this exhibition form is severely restricted by the region. And the cost is very expensive. Another mode is chain operation. There are many chain stores around us, such as supermarket chains and drugstore chains. The advantage of this chain store is obvious, that is, it solves the problem of regional restrictions. It can operate across regions through chain stores, and various physical stores can replenish goods well through a few distribution methods. The disadvantage is that the cost is relatively high, and the store rent and transportation expenses are relatively expensive.

Network marketing is becoming an increasingly important sales model with its rapid response and relatively low cost. As mentioned above, the DELL-as-a-model, that is, the online direct selling model, has been used for reference by more and more enterprises and businesses. Another model is the online retail model, and Amazon does the best. It only took them three years to make the turnover reach $65.438+0.5 billion, while it took Wal-Mart 654.38+02 years to reach this height. The advantages of online retailing are as follows: firstly, the commodity classification catalogue is complete, with a good distribution mechanism and environment; Secondly, the products of online retailing are relatively simple. The business scope is also relatively small and easy to manage. Third, the range of suitable people is relatively wide. Anyone who knows a little about computers and networks can open their own online stores through the platform, such as Taobao and WeChat. The initial investment cost is small, the funds are withdrawn quickly and the income is considerable. Online retailing is becoming a spreading trend among ordinary people.