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Online Shopping

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Submitted By bearzoo
Words 1616
Pages 7
1. Identify the industry, value chain industry segment
The industry is the Australian shopping centre industry. Core activities cover building, developing and managing shopping centres in Australia.

2. Value chain
Design S/C Project management Leasing & sales Property Management Refurbishment & redevelopment (Renovation of the shopping centre or optimise the building structure to better suit customers’ need )

3. What is the current life cycle position of the industry?
Maturity to shake-out
• Within few years, it’s expected about 12% US retailing is done online or via mobile device, and this figure will be higher in Australia.
• There will be fewer physical stores, which means less demand on shopping centres

4. Key issues influencing industry growth using TEMPLES model – historical

Factor Issue Nature of impact
(+/=/-) Assessment of impact
Technology • Development of internet technology has enabled consumers’ to shop online, providing a global network that enables cross-border trading activities.
• Mobile commerce provides consumers large convenience to shopping via mobile phone
• Online shopping nullified the constraints of business location, scale and time zone and enable business expansion at much lower costs
• Retail stores able to meld online shops with physical shops and use search engines and online tools to serve customers instead of relying on the funnelling of broad consumer traffic through shopping centre (funnelling happened in the online world)
• National Broad Band enables even quicker flow of online data -

-

-

-

- M

M

M

L

L
Overall impact of Tech Retailers are keen to set up their online shop - M
Economy • Slowdown in economic growth, increasing unemployment rate, decline in disposable income
• Strong Australian dollar stimulate customer to purchase

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