Advantages of Using the Internet in Business

This blog is an assignment for my internet marketing class and the topics discussed in class do need to find their way onto the blog at some point or another, which should be easy enough because the internet has been my biggest source of information regarding the preparation of my trip. Whether its lists of possible equipment one may need, suggested itineraries, highlights of various cities, or searching for competitive airfare, the internet has provided me with an infinite amount of information. One of the advantages of doing business online is the ability to compare prices to find the cheapest, which is something I definitely utilized when searching for airfare. Seeing as advantages of conducting business online was the topic my group was assigned for the in class presentation, I have found the following two articles dealing with companies who have benefited greatly from the online marketplace.




Articles on the Advantages of Internet Marketing:


Amazon’s Profit More Than Doubles
http://www.nytimes.com/2008/01/30/technology/30cnd-amazon.html


This article outlines the fact that Amazon’s profits increased dramatically in the fourth quarter of this year. This company has clearly benefited greatly from the increase in business conducted online and the need to create a positive customer experience. They incorporate many of the different aspects of business by allowing consumers to use their site as an open marketplace in which they can buy or sell any goods. Pricing stays competitive because of the existence of various other sites like Amazon including Overstock.com and Yahoo! Shopping. Customers can leave feedback on their purchase or the seller they have dealt with. The CEO of Amazon.com, Jeff Bezos, has contributed their increase in profit to their continued effort to improve the customer experience including adding applications in the past year that allow for users to download mp3’s and e-books.

Dell Shutters Mall Kiosks in U.S.
http://www.informationweek.com/hardware/showArticle.jhtml?articleID=206100535


This article deals with the Dell Company closing its kiosks in various malls in the U.S. They opened the kiosks in various retail locations in 2002 to entice customers who were wary of buying a computer sight unseen. Customers could come to the locations, see the physical product they were interested in and have any lagging questions answered. It acted as more of a reassurance to customers than as an actual retail outlet for the Dell computers. The company did start selling its products in retail outlets such as Best Buy and Staples in recent years as it realized other companies such as Hewlett Packard were buying up the market share in that sector. The company states that a majority of its consumers choose to purchase their computers directly through Dell on the website or via telephone. They also are actively trying to stay competitive with Hewlett Packard’s line of entertainment savvy PC’s by coming out with their own version of high-end entertainment focused personal computers.