Essay
Level 3 BTEC Business Unit 33 P5,M2,D1 [1st Year]
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Essay of 11 pages for the course Unit 33 - The Impact of Communications Technology on Business at PEARSON (-)
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IntroductionIn this assignment I'll be explaining the competitive pressures on two businesses to
develop their use of e-business. Secondly I'll be explaining how two businesses have
responded to competitive pressures to develop their use of e-business. Lastly I'll be
evaluating how successful my selected business has been in preparing for the
growing use of e-business.
The Five P’s Competitive Pressure Actions taken by the
faced while developing business to respond to
the use of e-business these competitive
(ASDA) pressures
Product The competitive pressure ASDA have taken action
ASDA is facing is pricing by lowering all their
of products. They need to products prices, and
make sure their prices are compared to Tesco they
much more reasonable have over 1000 more
than competitors such as items cheaper at ASDA
Tesco. If Tesco are selling than Tesco. This gives
their products at low them the advantage of
prices, ASDA will need to gaining more customers
either have a similar to shop with them as the
price, or go cheaper or pricing at ASDA is more
offer a good promotion appealing. A also sells
with the product such a items of clothing such as
‘buy one get one free’. school which engages
This will enable ASDA to more parents to shop
gain more customers. Not with them. This also
only do they face the means that not only are
pressure of changing they competing with
their prices but also other brands in the
updating their product. If ‘Supermarket field’ but
Tesco introduces a new also mainstream shops
item on the market ASDA from the ‘clothing
will have to counterattack market.’ This shows that
by doing the same and ASDA are making
doing it better. excellent strategic
decisions and are staying
ahead of the markets.
Place/Physical The pressure ASDA faces The way ASDA has taken
Evidence when operating online is action is by promoting
drawing the customer’s special offers and deals
attention onto their on the homepage of
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