A vindictive list of the problems encountered by the eCommerce service providers and their solutions are mentioned below:
1.Unable to understand what the customer needs. Their buying patterns and techniques. Their habits, lifestyle, expectations etc.
This can be mitigated by proactive and focused marketing research.
2.Hiring wrong people. People who have absolutely no idea, how to utilize the internet technology to its maximum use. Ones who come up with crazy ideas which are technologically impossible.
Employing net savvy people irrespective of their qualification as long as they are able to do the work and give the company a successful business.
3.Incapability to predict the competitive situation. What strategies they will introduce in the market? Which new brands they will introduce? What price games they will play? What role will the Government play?
Starting a well constructed, well functional eCommerce site is great but totally useless if you can't market it better than the competitors. Using better marketing strategies which will give you an edge over your competitor. Extensive research into the competitor's background their way of functioning etc could help you in planning your strategies accordingly.
4.The infrastructure should be viable to the strategy planned for the eCommerce venture. Don't over estimate your resources like your systems your manpower etc. The chosen team should be able to handle the work.
You can mitigate these shortcomings by resource planning and employee training.
5.Unable to manage and co-ordinate. No senior management commitment which results in the failure to achieve sufficient corporate resources to complete a project or a task. Unable to obtain employee commitment which is very likely when the planners are not able to explain the project strategy properly to the employees.
These problems can be solved by using a flexible organizational structure, by involving the senior management right at the beginning and explaining the project strategies in details to the employees.
6.Establishing an eCommerce site can be time and money consuming Under-estimating these two factors will lead to over expenditure and mental unrest.
Well defined plan with proper time management and buffer zone will help in overcoming these hurdles.
7.Getting victimized by organized crime like phishing which leads to identity theft, extortion by using a network of compromised ?zombie? computers to engage in distributed denial of service attacks against target Web Site until it starts paying protection money.
These can be avoided by keeping a strict vigil on your processing and extensive customer care.
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