Value Chain

 In question number three it asks us how we would manage an internet company who sells and buys used cds and how we would use the value chain for out products.  The raw materials for my company would have packages and bubble wrap as the majority of materials that we will need.  For the inbound tracking system I would use the concept that Netflix is using.  This would be pre-paid shipping materials so that the customers who are selling their CDs do not feel hassled with the process.  They will simply order a pre-paid package to their house and then simply put the package in the mailbox and the sale is complete.  Warehouse and storage would be another big aspect of the company and the main focus for me would have to be the organization aspect.  Since we are handling such small products that are all different we would have to be very careful with the warehouse operation.  The production aspect would not necessarily produce the cds because they will all be used but to produce the shipping part of the company like boxes, packages and wraps.  The customer service and sales team would be its own necessity where they will have their own office and work together as a team to solve customer problems and to market our website by showing how simple it is to buy and how it’s free to sell. 

Week 1. Task 3

The BIS that I believe is very valuable especially in today’s era is the electronic and mobile commerce.  The amount a company benefits from using this information systems in astounding.  The main reason this information system is so important is because of the technological advances of today and also how everyone is always using their cell phones for every little thing.  E-commerce allows the business to sell at low cost and also becomes part of the global market.  In the manual system and not using e-commerce the time spent talking with people and time wasted is extremely inconvienient other then by ordering it online straight from the vendor.  Another advantage of E-commerce is that it also enhances the company’s stock prices and market value.  When speaking about E-commerce and its relationship with figure 1.3 in the text it is interesting to see how in e-commerce it actually skips some steps that are being shown which is one of the main reasons E-commerce is so important.