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Exposing My Small Business to the World

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Submitted By hotdogg23
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In this paper I will cover the various elements, policies and procedures to taking a business online. Inside this paper I will conduct a SWOT analysis, show how I plan to overcome any cultural barrier that may be presented and how I maintain compliance with our stringent federal trade laws. Exposing My Small Business to the World
The possibilities for expanding and increasing your business in today’s times are endless. The World Wide Web allows us small business owners opportunities that we have never had before with these increased opportunities, there are also increased problems. I will outline how I took my business online and combatted these underlying issues.
Identify the advantages and disadvantages of taking your small business online by performing a SWOT analysis. Include 2-4 items in each category.
The New Jersey shore boardwalk is a tourist haven. A small business owner can make a considerable profit if they have a product that the consumers want at a price they love. My clothing store NEW Images opened last year. In this failing economy it was often discouraging to sit in the store for days at a time with only a few sales and many “window shoppers”. I decided quickly that if I want to survive I must take this business online. The thought of exposing my business to millions of new customers was euphoric. I could literally taste the profits. I put my plan into effect by first taking note of the advantages. The first advantage was the cost of advertising versus the exposure.
The sign on the front of my building cost me $4500 after all the permits and licenses were signed. For roughly 1/3 of that amount I could have a nice virtual website created displaying all my products. The second advantage was, once the online sales became consistent, I could close the physical location.
There I go again, saving money. I then wouldn’t have to keep inventory on hand. There I would be again saving money. Then I wrote down some of the disadvantages. The website could be hacked and a virus planted shutting down my site. Uh oh, customers would temporarily lose access to the site and I’d lose money.
Someone from an embargoed country could attempt to purchase in bulk, if the sale went through I’d have hefty fines or I could be shut down completely. If I stopped keeping stock on hand, one of my online distributors could run out the product or discontinue something that I sent back. The list could go on and on so I performed what is known as a SWOT analysis to see if I should make that leap.
“SWOT Analysis is a strategic method for identifying your small business' Strengths and Weaknesses, and to examine the Opportunities and Threats in the wider environment (market, industry, global situation.)” ("Swot analysis tool,”) My Strengths: Strong Business plan, minimal overhead, good looking physical location, and the actual physical location. Weaknesses: Minimal advertising budget, too many suppliers to keep up with, this is a new business.
The Opportunities: exposure to a wider market, potential for new consumers, making more money. The Threats: strict federal trade laws, hackers, identity theft situations. After performing the analysis I decided to take my business online.
Because the internet connects computers all over the world, any business that engages in e-Commerce instantly becomes an international business. The key issues that any company faces when it conducts international commerce include trust, culture, language, government and infrastructure. Explain how you would address each of these issues.
Trust is built by building relationships. With a single person managed company there are no real trust issues. I have no employees to watch and I could conduct business from the comfort of my office. The cultural boundaries are numerous but I planned to stick to the moral guidelines that I have always used. I will not sell any lewd or outright offensive clothing, we could argue all day about the unknown but that would get us nowhere.
My moral guidelines are if it does not contain any foul language or images on it or will not leave any of the main sexual parts exposed. I’ll sell it. To get around the language issues, I’ll wait until one presents itself then use an online translator, no sense creating a problem where no exists.
The government is a huge one but I’ll just adhere to their guidelines by the letter. If you follow the government’s rules you generally fly under the radar. Infrastructure, this is where I’ll put the most money. I’ll use antivirus programs, captchas and firewalls.
“First, small businesses' bank accounts have more transactions and hold more money than those of large businesses, so they're bigger and easier targets. Second, small companies do business with big organizations, and while the big organizations have security and IT infrastructure experts, the small companies don't, so hackers use them as their vehicles to attack the larger enterprise.” (Adhikari, 2010)
Businesses that operate on the Web must comply with the same laws and regulations that govern the operations of all businesses, but they face 2 additional complicating factors as they try to comply with the law. First the Web extends a company’s reach beyond traditional boundaries. Secondly, the Web increases the speed and efficiency of business communications. Explain how you would overcome these complicating factors that come with e-Commerce in order to comply with the law.
This actually was my easiest challenge. To deal with these issues I just take my time when processing orders. This allows me to see where the order originates from and I can then see if they are embargoed. If I continue doing that I stay within the law.

Law enforcement agencies have difficulty combating many types of online crime. Describe 2 crimes prevalent in e-Commerce and what you would do to prevent these crimes.
“ Malware comes in a variety of forms that can search computers for bank information and personal details for identity theft, or hijack computers to become foot soldiers in a spamming army of zombie "botnets" -- often unbeknownst to the owner.” (Voigt, 2009) Identity theft is a huge problem online, to combat this I use multiple methods of verification and IP address tracking. I always ask for a contact number, so that I may follow up with my clients also. Viruses are another huge problem. I do not download any programs or files sent to my business computer. I use the most up-to date-anti-virus programs and I perform weekly checks and backups to keep my system fresh.
Conclusion
Running an online business can be a rewarding experience. If you adhere to all laws and treat your clients as top priority you will be successful. There are risks associated with any business venture but you can minimize those with careful planning and preparation.

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