what are the advantages and disadvantages to subway’s non traditional location strategy?

Balbharti Maharashtra Land Board Organisation of Commerce and Management 12th Textbook Solutions Chapter 5 Emerging Modes of Business Textbook Exercise Questions and Answers.

Maharashtra State Lath twelfth Organisation of Commerce and Management Solutions Chapter 5 Emerging Modes of Business organization

1. (A) Select the right options and rewrite the sentence

Question 1.
For online transactions ……………… is required.
(a) registration
(b) trading
(c) business organization
Answer:
(a) registration

Question 2.
The term 'eastward-business' is derived from the term ……………….. and east-commerce.
(a) Cash
(b) e-pay
(c) electronic mail
Answer:
(c) east-mail

Question 3.
The transactions under ………………. are between consumers and consumers.
(a) B2B
(b) C2C
(c) B2C
Answer:
(b) C2C

Question 4.
The process of contracting a business function to someone else is called as …………….
(a) Outsourcing
(b) Trading
(c) e-business concern
Respond:
(a) Outsourcing

Question 5.
In online shopping customers put the product in the ……………..
(a) shopping mall
(b) shopping cart
(c) shopping pocketbook
Answer:
(b) shopping cart

1. (B) Friction match the pairs

Question one.

Group A	Group B
(A) E-business	(1) Consumer to consumer
(B) B2C	(2) Exist everywhere
(C) Outsourcing	(3) First stride
(D) Digital cash	(iv) Business to Consumer
(E) Registration	(v) Electronic business concern
	(6) BPO
	(seven) RTO
	(8) Efficient business concern
	(nine) Be only in internet
	(x) Last step

Answer:

Group A	Group B
(A) Eastward-business	(5) Electronic business
(B) B2C	(4) Business to Consumer
(C) Outsourcing	(6) BPO
(D) Digital cash	(nine) Exist only in cyberspace
(E) Registration	(3) First step

1. (C) Requite one word/phrase/term for the following argument

Question one.
The stage where the appurtenances bought are delivered to the customer.
Reply:
delivery stage

Question 2.
The term derived from the terms e-mail service and e-commerce.
Answer:
e-concern

Question 3.
The transaction which is done with the help of the internet.
Answer:
online transactions

Question 4.
The first stride in online transaction.
Answer:
Registration

Question 5.
The process of contracting a business organization function to specialized agencies.
Answer:
outsourcing

Question 6.
Subset of outsourcing.
Reply:
BPO

Question vii.
Sub segment of BPO.
Answer:
KPO

Question viii.
One of the value added BPO service which involves legal work.
Answer:
LPO.

one. (D) State whether following statement are true or false

Question 1.
It is easy to prepare e-business organisation equally compared to traditional business organisation.
Reply:
Truthful

Question 2.
The term e-business is derived from the term e-mail and e-commerce.
Reply:
Truthful

Question iii.
e-business allows you to work across the globe in any field.
Answer:
Truthful

Question 4.
LPO stands for legal product outsourcing.
Answer:
False

Question 5.
KPO requires avant-garde analytical and technical skills.
Answer:
Truthful

Question 6.
With the help of outsourcing, company cannot focus on the core areas.
Reply:
Imitation

one. (E) Find the odd one

Question 1.
BPO, RTO, LPO, KPO
Answer:
RTO

Question 2.
B2B, B2C, A2Z, C2C.
Answer:
A2Z

Question 3.
Debit carte, Credit menu, Aadhar card, ATM card.
Answer:
Aadhaar card

i. (F) Complete the sentences

Question 1.
E-business is an abbreviation for ………………….
Reply:
Electronic concern

Question 2.
The term east-business came into existence in the yr ………………..
Reply:
1997

Question 3.
E-business ways using the …………….. to connect people and process.
Answer:
Net

Question 4.
Eastward-business organisation is …………….. of east-commerce.
Answer:
superset

Question 5.
E-commerce is …………….. of east-business.
Answer:
subset

Question half dozen.
The process of contracting a business role to specialized agencies is known every bit ……………….
Answer:
Outsourcing

one. (G) Select the correct option and complete the following table

(Business to Business organisation, Outset step, e-commerce, Payment mechanism, e-business)

	Group A	Group B
A.	Registration	—————
B.	Superset of e-commerce	————–
C.	——————	Last step
D.	Subset of due east-business	————-
Due east.	—————–	B2B

Answer:

	Group A	Group B
A.	Registration	First pace
B.	Superset of eastward-commerce	e-concern
C.	Payment mechanism	Last stride
D.	Subset of eastward-business	e-commerce
E.	Business organization to Business.	B2B

ane. (H) Answer in 1 sentence

Question i.
What is Eastward-business?
Answer:
Eastward-concern i.due east. electronic business ways and includes ownership and selling of goods and services along with providing technical or consumer support through internet.

Question 2.
What is outsourcing?
Answer:
Outsourcing is the process of contracting (transferring) whatsoever specific business activeness, the non-core functions, of the business concern to specialised agencies to carry out for some coin consideration.

Question three.
What is online transaction?
Reply:
Online transaction refers to a process of ownership and selling of goods and services with the help of cyberspace.

Question four.
What is Shopping cart?
Reply:
Shopping cart is an online record of what buyer has picked upwards while browsing the online store, i.e. number of units, quantity, price, etc.

Question 5.
What is digital cash?
Reply:
A course of electronic currency that exists only in cyberspace and has no real physical backdrop merely offers the ability to utilize as real currency in am electronic format.

Question vi.
What is BPO?
Respond:
Business Process Outsourcing (BPO) refers to the outsourcing (transferring to perform) of peripheral (not of import) activities (functions) of the organisation to am external organisation or a service provider to minimise cost and increment efficiency.

Question 7.
What is KPO?
Answer:
KPO i.e. Knowledge Procedure Outsourcing ; described as the functions related to knowledge and information outsourced (transferred to perform) to third party which may be in the same country or in an off shore location.

Question 8.
What is LPO?
Answer:
Legal Process Outsourcing (LPO) is a form of outsourcing in which legal services, ranging from drafting legal documents, performing legal research to offering legal communication are hired or obtained from outside police force firm or legal support services company for coin consideration.

1. (I) Correct the underlined word and rewrite the judgement:

Question ane.
E-business is difficult to start.
Answer:
easy

Question 2.
At that place are five stages of online transactions.
Answer:
three

Question three.
Registration is the Last step in online transaction.
Answer:
First

Question 4.
Digital cash is course of plastic currency.
Reply:
electronic currency

Question 5.
KPO includes less knowledge based and specialized piece of work.
Reply:
more

1. (J) Arrange in proper guild

Question 1.
Purchase or auction, Delivery stage, Pre buy or sale.
Reply:
Pre purchase or auction, Purchase or auction, Delivery stage.

Question 2.
Placing an order, Cash on delivery, Registration
Answer:
Registration, Placing an club, cash on commitment

ii. Explain the following term/concept:

Question ane.
E-business organisation.
Answer:
(1) E-business is abbreviated course of electronic business which implies application and use of data and communication technologies (ICT) to conduct and complete all business activities. In 1997, International Concern Machines (IBM) used this term. It refers to the utilise of the web, internet, intranets, extranets, etc. to connect people, process and to conduct business.

(2) The unabridged process of settling up a website, helping the customers navigate through the website, offering available products, discounts, to concenter the prospective buyers, due east-business establishes more closer relationship betwixt partners, employees, suppliers and helps companies to manage their business efficiently.

In India, till today most of the business firms are managed every bit per traditional methods. Now most of the businesses are well aware of benefits of e-business and hence they started incorporating e-business in their business policy and strategy. Google pay, swiggy, ola, ebay are the examples of e-business organization. Diverse types of 'e' business transactions are B2B, B2C, C2B, C2C, B2A, and C2A.

Question 2.
B2B.
Answer:
Business concern to Business (B2B) : The transactions nether B2B include the transactions between one business organisation business firm with other business firms. In this type of transactions individual consumers are not involved. In gild to get raw materials, catering services, manpower, components of machinery, etc., business firms interact with each other. B2B transactions include supplying coincident parts/components to manufacturers, providing value added services like catering, providing man power, etc. The business must depend upon one another in order to survive.

Question 3.
B2C.
Answer:
Business concern to Consumer (B2C) : The transactions under B2C include transactions between business firms and consumers. When consumer identifies a need or requirement, he searches for the production or services to fulfil his need. He then selects a vendor, negotiates the price, receives production or services, makes payment and gets service and warranty claims. The business firms use their website for different range of marketing activities such equally sales or production promotion, product information, reviews about the product or service and delivery of the products at doorstep. In order to get more than response from the customers, the toll of products and services is kept low through this method and the speed of transaction is faster, e.m. world wide web.flipkart.com, www.yebhi.com, etc.

Question 4.
C2C.
Answer:
Consumer to Consumer (C2C) : The transactions under Consumer to Consumer are betwixt two people. Using e-business organization facility on internet, the consumers can buy and sell goods and services to other consumers, through some third party. A common consumer posts the product or services for sale with the cost and other details online and other consumers tries to buy them. The sites are performing the part of intermediaries, but to lucifer the consumers. For ownership and selling, internet allows a lot of space for consumers group to be formed. The consumer forums interact with each other for all-time variety of goods and services. Through such groups redressal of complaints is also possible. One may sell his products through an online retail infinite operated by eBay or Yahoo! shopping, etc.

Question 5.
Outsourcing.
Answer:
(1) Outsourcing is a procedure of resource allotment of specific business processes or functions to a specialist external service provider or agency for certain monetary consideration. In outsourcing, the service provider or contractor enters into an agreement or formal contract with the company or the firm for providing services against sure monetary charges. After this the service provider, will have the responsibleness of carrying out the tasks as per the expectation of the visitor.

(2) When services such equally security, canteen, sanitation, etc. are outsourced by a company, then the security guards, waiters, cooks, sanitation scavangers, etc. are not the employees of the visitor although they piece of work inside the company bounds. They straight work nether the control of service provider or contractor. Many organisations, companies, corporate houses, establishments, hospitals, shops, malls, housing societies, offices, etc. outsource their non-core (less of import) areas of business such equally canteen, sanitation, security services, etc. to outside agencies.

Question 6.
BPO.
Answer:
(ane) BPO stands for Business concern Procedure Outsourcing. BPO basically refers to the outsourcing of some piece of work or functions of the organisation to tertiary party or service provider to save overall cost of the system. In other words, BPO is a business organisation in which one company hires another company or service provider to practise certain process of piece of work (or job) for certain coin consideration.

(2) In cursory, BPO is a subset of outsourcing that involves the contracting of the operations and responsibilities to a 3rd political party to minimise cost and increment efficiency.

Question vii.
LPO.
Answer:
(ane) LPO stands for Legal Process Outsourcing. LPO is a blazon of KPO that renders legal services ranging from drafting legal documents, performing legal research to offer legal communication. LPO implies practice of police firm. It refers to obtaining legal services from outside legal support service company or law firm for certain consideration.

(ii) In some industry or organization in house legal department or a company outsourced legal work to such police force firms where it can be done or performed at less toll. For example, many companies in Europe or U.s.a. outsource their legal work to Indian law firms where it tin exist done at considerably lower cost.

Question eight.
KPO.
Answer:
(one) KPO stands for Knowledge Process Outsourcing. In KPO, the important functions related to knowledge and data are outsourced (assigned to perform) to third party service providers. KPO is the sub-part (Department) of BPO in which services of outside or third party service provider are hired not merely for its power to practise particular business process or function but besides to provide expertise it has.

(2) KPO is goose egg but the allocation of more important or relatively high level tasks or functions to an exterior organisation or to a different grouping specially in a different geographic location. KPO is a subset of Concern Process Outsourcing (BPO). KPO implies outsource of more important or core functions or business process to tertiary political party service provider or organisation to perform which may or may not reduce its cost of the parent company only surely assists in value add-on.

three. Report the post-obit case/state of affairs and limited your opinion

Question 1.
Abhay purchases some gift articles online from www.flipkart.com. At the aforementioned time Sheetal purchased gift from eastward-bay.com.

(i) Which website is related to C2C?
(ii) Which website is related to B2C?
(iii) What first footstep does Abhay need to follow?
Respond:
(i) eBay.com website is related to Consumer to Consumer (C2C).
(ii) www.flipkart.com website is related to Business to Consumer (B2C).
(iii) Before online shopping, Abhay has to register with the www.flipkart.com by filling up a registration form. Registration is the first step in online transaction. Abhay needs to login a particular website to buy detail souvenir articles.

Question ii.
Satvik purchases watch from Titan store and his friend Shambhavi purchases picket from online shopping site.

(i) Which shopping is from traditional business?
(two) Which shopping is from e-concern?
(iii) Which business organization involved high risk ?
Answer:
(i) Purchase of watch by Satvik from Titan shop is an case of traditional business.
(ii) Buy of picket past Shambhavi from online shopping site is an example of e-business organisation.
(iii) e-business organization i.e. purchase of watch from online shopping site involves loftier hazard every bit there is no direct contact between Shambhavi and due east-business organization owner.

Question 3.
Mr. Ved made his payment by cheque at the aforementioned time Mr. Shlok fabricated his payment by fund transfer.

(i) Whose payment is faster?
(ii) Whose payment is related to traditional business?
(iii) Whose payment is related to e-business organization?
Answer:
(i) The payment made by Mr. Shlok by fund transfer is faster than payment made past Mr. Ved through bank check.
(ii) The payment fabricated past Mr. Ved by check is related to traditional business.
(three) The payment made by Mr. Shlok by fund transfer is related to eastward-concern.

four. Distinguish between

Question one.
Traditional business and Eastward-business
Answer:

	Traditional business	E-business
one. Significant	Business which is managed and carried out in accordance with specific custom or a trading practice for long time is called traditional business organisation.	Business concern which is managed and carried out by using it i.east. the internet is called e-business.
2. Formation	Traditional business is comparatively difficult to grade as it requires lengthy and complicated procedure to kickoff.	E-business is insufficiently like shooting fish in a barrel to form.
3. Setting upwardly cost	To outset, plant and manage traditional business big corporeality of capital is required.	To start, establish and manage eastward-business very less amount of capital is required.
iv. Risk involved	In traditional business, less take a chance is involved as interaction between parties is possible due to personal contact.	In e-business, high take a chance is involved as there is no direct contract between the parties.
5. Scope of business	Traditional concern is limited to specific area so its scope is limited.	E-business covers the entire world and so its telescopic is vast and unlimited.
half-dozen. Physical inspection and delivery of appurtenances	In traditional concern, goods tin be inspected physically before they are purchased and their delivery is instant.	In e-business organisation, goods cannot be inspected physically earlier they are purchased and their delivery takes time.

Question two.
Due east-business and East-commerce
Respond:

	E-business	E-commerce
one. Meaning	East-business means ownership and selling of goods or services along with providing technical or customer support through the cyberspace.	E-commerce is the trading aspect of e-business organisation where commercial transaction are done over internet.
2. What is information technology?	E-business organization is superset of Due east-commerce.	East-commerce is subset of Due east-business
3. Features	E-business involves all types of re-sale and post¬sale efforts.	E-commerce just involves buying and selling of products and services.
4. Concept	Eastward-business is broader concept. This is because it involves market surveying, supply chain, logistic management and using determining.	E-commerce has narrow scope. This is because information technology is restricted to buying and selling of production and services.
five. Transaction	E-business organization is used in the context of Business to Business organisation (B2B) transactions.	Eastward-commerce is more suitable in Business organisation to Consumer (B2C) transactions.
half dozen. Which network is used?	E-business includes the use of cyberspace, intranet or extranet.	E-commerce involves the compulsory use of cyberspace.

Question three.
BPO and KPO
Answer:

	BPO	KPO
i. Meaning	BPO implies the outsourcing of not-primary peripheral activities of the organisation to an external organisation to decrease cost and increase efficiency of parent system.	KPO is a form of outsourcing in which knowledge related and data related work are outsourced to 3rd party service providers to help in value addition and to get price benefits.
2. Degree of complexity	BPO is insufficiently less complex.	KPO is relatively more circuitous.
3. Requirement	BPO requires process expertise.	KPO requires cognition expertise.
iv. Talent required in employees	BPO requires personnel having good communication skills.	KPO requires professional qualified personnel.
5. Focus on	BPO focus on low level process.	KPO focus on high level procedure.

five. Answer in brief

Question one.
What is Outsourcing? Illustrate with suitable example.
Answer:
(1) Outsourcing is a process of allocation of specific business processes or functions to a specialist external service provider or agency for sure budgetary consideration. In outsourcing, the service provider or contractor enters into an understanding or formal contract with the company or the firm for providing services confronting certain budgetary charges. Later on this the service provider, will take the responsibility of conveying out the tasks as per the expectation of the company.

(2) When services such as security, canteen, sanitation, etc. are outsourced past a company, then the security guards, waiters, cooks, sanitation scavangers, etc. are not the employees of the company although they work inside the company premises. They directly work under the control of service provider or contractor. Many organisations, companies, corporate houses, establishments, hospitals, shops, malls, housing societies, offices, etc. outsource their not-core (less important) areas of business such equally canteen, sanitation, security services, etc. to outside agencies.

(3) Similarly arrangements for hymeneals, anniversary, birthday celebration, etc. can also be outsourced to such agencies. This is because many a time an organisation cannot handle all the functions or aspects of business organisation process internally. Some processes are temporarily required to be performed. In such cases, organisation does not want to recruit and appoint professionals to perform such tasks. Almost of the services crave finely tuned skills which organisation cannot provide. With increasing global competition, most of the companies are focussing their attention on the improvement of quality of their products. Hence, they outsource their non-core business areas and then that they can concentrate fully on their cadre business concern activities.

(4) Outsourcing benefits the organisation in two ways, viz. (i) It helps to reduce overall costs and (two) It tin use the expertise of the specialised agencies to perform certain tasks more efficiently.

Question ii.
What is BPO? Explain in detail.
Answer:
(1) BPO stands for Business Procedure Outsourcing. BPO basically refers to the outsourcing of some work or functions of the system to third party or service provider to save overall price of the organisation. In other words, BPO is a concern system in which one company hires another company or service provider to do certain procedure of work (or chore) for certain money consideration.

(2) In cursory, BPO is a subset of outsourcing that involves the contracting of the operations and responsibilities to a third party to minimise price and increase efficiency.

(3) It refers to the outsourcing of less important (not-cadre) or non-primary activities of the arrangement to an external organisation or service provider to minimise the cost and increase efficiency of the organisation.

(4) For instance, client care centres for various banks, service providers, etc. BPO is less complex and requires process expertise. Information technology also requires skillful advice skills. It focuses on low level process.

Question iii.
What is KPO? Explicate in detail.
Reply:
(1) KPO stands for Knowledge Process Outsourcing. In KPO, the of import functions related to cognition and information are outsourced (assigned to perform) to tertiary political party service providers. KPO is the sub-part (Section) of BPO in which services of exterior or tertiary party service provider are hired non only for its ability to do detail business process or function only as well to provide expertise it has.

(2) KPO is nothing simply the resource allotment of more important or relatively high level tasks or functions to an outside organisation or to a different group specially in a dissimilar geographic location. KPO is a subset of Business concern Procedure Outsourcing (BPO). KPO implies outsource of more of import or core functions or business organisation process to tertiary party service provider or organisation to perform which may or may not reduce its cost of the parent company just surely assists in value addition.

(3) Thus, in KPO the business organisation processes which are outsourced are exceptionally more specialised and knowledge based in comparing to Business concern Process Outsourcings. In brief, KPO is a form of outsourcing in which noesis related and data related piece of work is done or carried out by the workers working in unlike company or by a subsidiary of the some arrangement which may be in the same country or on off shore location to save cost.

(four) In KPO, both core also as non-cadre activities are performed. It requires avant-garde analytical and technical skills and high degree of specialist expertise. Margarent Rouse defines KPO as, "KPO is the resource allotment of relatively high- level tasks to an outside organisation or a dissimilar group within the aforementioned organization''

Question 4.
What is LPO? Explain in item.
Answer:
(1) LPO stands for Legal Process Outsourcing. LPO is a type of KPO that renders legal services ranging from drafting legal documents, performing legal research to offering legal communication. LPO implies exercise of constabulary business firm. It refers to obtaining legal services from outside legal support service company or law house for certain consideration.

(2) In some industry or arrangement in house legal department or a visitor outsourced legal work to such police force firms where it tin can be done or performed at less toll. For instance, many companies in Europe or US outsource their legal work to Indian police force firms where it tin can be done at considerably lower cost.

(iii) In contempo years, LPO an loftier stop manufacture has been growing rapidly in India. LPO is superficially a media invention which is derived from BPO. LPO has made tremendous progress in Republic of india in past few years.

(four) LPO gained success by producing and rendering services such as document review, legal research and writing, drafting of briefings, etc. Important benefits of outsourcing legal functions is toll savings and to access high level talent and niche expertise that may not exist within the house or company.

6. Justify the following statements

Question i.
It is piece of cake to fix due east-business equally compared to traditional business,
Answer:
(1) east-business concern is run, managed and carried out with the help of data engineering science, i.e. web (net). However, traditional business is run, managed and carried out in accordance with specific erstwhile custom or a trading practices of long lasting.

(2) In traditional business large, physical space is needed, to arrange and display the variety of appurtenances. It needs large amount of capital to have infrastructure, staff and other required facilities, e-business concern can be started, managed and operated with the help of the internet from any place or even from one'south own abode. Naturally, it requires very less majuscule. It is also easy to set up.

(iii) In traditional concern, time is required to travel, to convince, to negotiate and to collaborate with the customers. In such process lot of time, energy and coin are wasted. While in e-business required data is provided and accepted with terms and conditions more than instantly.

(4) east-business concern is besides free from most of the problems equally faced by the traditional business. Thus, information technology is piece of cake to ready e-business.

Question 2.
E-business organisation allows user to work beyond the globe in whatever field.
Answer:
(1) eastward-business i.e. electronic business organization may be defined equally the application of data and technologies to support all the activities of business. It involves electronic ownership and supply, chain direction, processing orders electronically, online payments via debit or credit cards, handling customer service, etc.

(2) In lodge to begin with e-business, a business possessor must take an cyberspace presence. He has to obtain an e-mail address for communicating the same to the customers and other business organization associates. This helps speedy communication between business firms and customers. Communication is easy as in that location is no face to face interaction.

(3) One time the possessor of e-business concern has acquired an electronic means of contact, he may sell goods to the customers residing in whatever part of the world. There is no need of whatever wholesalers, retailers, etc. This reduces costs and increases turn a profit. In e-business, goods can exist purchased on internet from any place beyond the globe, payments can exist made with the help of debit, credit carte, internet banking and the goods are physically delivered at the doorstep of the buyer.

(4) Similarly, he can exercise trading in any field, eastward-business uses cyberspace to connect people and processes. The Earth Wide Web (World wide web) offers lot of exposure to eastward-business on a global platform. International relationship is very strong in e-business. The Government also offers lot of support to e-concern. Thus, information technology allows i to work across the globe in any field he likes.

Question iii.
Online transaction is washed with the assist of the internet.
Answer:
(1) Online transactions take place when a process of buying and selling are completed through the cyberspace. For online transaction, registration is required. The consumer needs to login a particular website to buy a particular article or service. The customer's email ID, name, address and other details are saved and condom with the website for further contact.

(2) When a client likes a product or service, he/she selects, option ups and drops the items or things in the shopping cart. The shopping cart keeps the systematic and detail record of what items take been picked up while browsing the online store.

(iii) The buyer and then gain to the payment option after selecting all the products. Payment can be fabricated by accepting greenbacks on delivery mode of payment, after receiving physical delivery of goods. The client may pay in cash or past debit or credit card. The buyer likewise sends a cheque to the seller and the seller sends the products later on the realisation of the cheque.

(four) If the payment is transferred by the heir-apparent from his account to the seller's account electronically, so subsequently the payment is received by the seller, he sends the appurtenances to heir-apparent. The credit menu or debit card is also used past the carte holder for. making payment of purchases. The amount gets immediately transferred to vendor's bank account. Subsequently the successful transfer of funds, goods are delivered by the vendor to buyer. Thus, all the aspects of online transaction are completed with the help of the internet.

seven. Attempt the following

Question one.
What are the advantages and disadvantages of e-business organisation?
Answer:
[A] Advantages of e-business : The advantages of e-business are explained as follows:
(i) Ease of formation : In comparison to the traditional method of business, e-business is very piece of cake to fix. The advent of net has afforded entrepreneurs the power to open modest businesses with a minimal overhead.

(2) Lower investment requirements : As compared to traditional business concern, the investment requirements of e-business are very depression. This is because for conducting due east-business concern, the entrepreneurs do not need a big store or professional person space, e-business concern can be managed with minimum manpower. If entrepreneurs have good contact (network), they tin can practice extremely good business with less investments.

(3) Convenience : In east-business, seller and heir-apparent get advantages of net platform. Internet offers the convenience of 24 × 7 × 365 days a twelvemonth to both buyer and seller. Business organisation can be washed any fourth dimension with great flexibility. Truly speaking, due east-business has enabled and enhanced by electronics. It offers benefits of accessing anything, anytime and from anywhere.

(4) Speed : Spider web facilitates direct communication between the seller and buyer. It helps the client to direct or point out his needs and expectation. Similarly, using website seller tin show the available products, offer discount and do everything 1 possible to sell his products. Thus, much of buying or selling involves exchange of information through internet at the click of mouse.

(5) Global admission : Truly speaking, cyberspace is boundaryless. Internet facilitates and allows the seller an access to the national as well equally global market. Internet besides offers freedom to buyer to select products from whatever part of world. There is no demand of face to face interaction between buyer and seller. All the things are completed past using cyberspace.

(6) Movement towards a paperless lodge : Use of net has considerably reduced its dependence on the paperwork. Due to utilize of internet, recording and referencing of information are very like shooting fish in a barrel and less time consuming.

(7) Government back up : In e-business organization transactions, price reduction and availability of products at relatively low prices are possible. This is benign to society at large. Hence, government ever supports or favours e-business organisation past providing favourable environment for establishing e-business. This support facilitates maximum transparency in the business concern.

(eight) Like shooting fish in a barrel payment : The payment in e-business concern can be done by credit bill of fare, debit carte du jour, fund transfer, etc. These facilities are available round the clock.

[B] Disadvantages of e-business concern : The disadvantages of e-business are explained as follows:
(ane) Lack of personal impact : Earlier buying the products nearly of the customers want to encounter, handle, touch, inspect or test the products which is not possible in e-business system. Considering of this reasons, most of the customers do not wait for online purchase of products on the internet.

(2) Delivery time : In eastward-business, the commitment of products takes considerable time. In traditional business, immediate delivery of products is given to buyer after he buys the products. The considerable time lag discourages the customer to purchase products from east-business. Now a days nearly of the e-business assures ane twenty-four hours delivery. This improvement does non solve the issue completely.

(iii) Security issues : The scam through online business by many people cannot be denied. It is also easier for hackers to obtain ane'due south financial details which can be misused for their personal gain. Thus, online concern has less security and integrity bug. Because of these reasons the potential buyers are likewise discouraged to buy anything from e-business.

(4) Government interference : Many a time, the government monitors, interferes and controls the e-business organization organization. This may put a bully hurdle on its growth and prosperity.

(5) High gamble : In east-business organization, transaction risks such equally supply of junior quality of goods, supplied products do not lucifer with the sample shown, high prices, defects in products, adulterous, etc. cannot be denied. In example of any fraud, it becomes very difficult to take legal activity due to lack of directly contact betwixt the parties.

Question 2.
What are the types of e-buslness? Explain.
Answer:
The types of e-concern is shown in the post-obit:
e-business concern-

1. Business concern to Business organisation (B2B)
2. Business organization to Consumer (B2C)
3. Consumer to Business (C2B)
4. Consumer to Consumer (C2C)
5. Concern to Administration (B2A)
6. Consumer to Administration (C2A)

The type of e-business are explained equally follows:
(1) Business concern to Business (B2B) : The transactions under B2B include the transactions between one business business firm with other business firms. In this blazon of transactions individual consumers are not involved. In lodge to get raw materials, catering services, manpower, components of machinery, etc., business firms interact with each other. B2B transactions include supplying ancillary parts/components to manufacturers, providing value added services like catering, providing homo ability, etc. The business must depend upon one another in order to survive.

(2) Business to Consumer (B2C) : The transactions under B2C include transactions between business organisation firms and consumers. When consumer identifies a need or requirement, he searches for the product or services to fulfil his demand. He then selects a vendor, negotiates the price, receives production or services, makes payment and gets service and warranty claims.

The business firms utilize their website for unlike range of marketing activities such as sales or production promotion, product data, reviews near the product or service and delivery of the products at doorstep. In social club to go more response from the customers, the cost of products and services is kept depression through this method and the speed of transaction is faster, e.one thousand. www.flipkart.com, www.yebhi.com, etc.

(iii) Consumer to Business (C2B) : Consumer to Concern is quickly growing where the consumer demands or requests a specific service from the business lender. In this transaction, buyers quote their ain price for specific product or services. A consumer who is in demand of product or services posts his request with a specific budget. The companies interested in providing services or products review the customer'southward requirement, negotiate price and finalise the deal. Pest control service, doorstep nutrient delivery, taxi services, etc. are the examples of Consumer to Business transaction.

(4) Consumer to Consumer (C2C) : The transactions under Consumer to Consumer are between 2 people. Using e-business facility on cyberspace, the consumers can buy and sell goods and services to other consumers, through some third political party. A mutual consumer posts the product or services for sale with the price and other details online and other consumers tries to buy them. The sites are performing the function of intermediaries, just to friction match the consumers.

For ownership and selling, internet allows a lot of infinite for consumers group to be formed. The consumer forums interact with each other for all-time variety of goods and services. Through such groups redressal of complaints is also possible. One may sell his products through an online retail space operated past eBay or Yahoo! shopping, etc.

(5) Business concern to Administration (B2A) : The transactions nether Business organisation to Administration are betwixt the business and public administration. This part of e-commerce entirely includes all transactions conducted online between business firm at ane finish and public administration on the other stop. For case, registration of companies, filing returns, payment of taxes, getting permits, etc.

(six) Consumer to Administration (C2A) : The transactions under Consumer to Administration are between the Consumer and Public Administration. This role of eastward-commerce includes entirely all transactions conducted online betwixt consumer at one end and public administration on the other end. For case, obtaining passport, aadhaar card, licenses, etc.

Question iii.
What are the advantages of outsourcing?
Reply:
Advantages : The advantages of outsourcing are explained as follows:
(i) Overall price advantages : Outsourcing reduces price. Outsourcing avoids the need to hire employees in houses. Hence, recruitment and training costs can be eliminated or minimised. Information technology South besides saves time and efforts on grooming the employees. Similarly, cost of outsourcing services is much less than recruiting work force for the visitor.

(ii) Stimulates entrepreneurship, employment and experts : Outsourcing encourages and stimulates entrepreneurship, employment and expertness in the country from where outsourcing is done.

(3) Low manpower cost : In every organisation manpower is required to operate machineries, to do routine work, to perform jobs, to administrate and manage business affairs. Recruitment and date of personnel on permanent basis are costly. Manpower through outsourcing is bachelor at a lower cost. Outsourcing is beneficial in some portions of business process.

(4) Access to professional, good and loftier quality services : Unremarkably the non-core areas or tasks are given to the people who are expert, specialised and skilled in that particular field. These people provide improve level of services. They commit less errors and avoid wastage and misuse.

(five) Emphasis on core process rather than the supporting ones : Outsourcing supporting the business organisation processes, facilitates the system to concentration on its cadre (more than important) areas to meliorate the quality of its products and services. This in turn leads to better profits and increase output and turnover.

(6) Investment requirements are reduced : By outsourcing the non-core areas, the organisation tin can easily save on investing in the latest technology. These organisation permit the outsourcing partners to handle the unabridged infrastructure. Thus, the organisation itself is required to manage merely remaining portion of business process. Hence, investment requirements of the organisation are very less.

(vii) Increased efficiency and productivity : Many a fourth dimension tasks are outsourced to the vendors who are specialised in their fields. Outsourced vendors take deep knowledge, experience, specific equipment and technical expertise. They give performance or do assigned task much better than the ones at the outsourcing organisation. As a result the tasks tin be completed faster, with greater efficiency and with better quality output.

(eight) Knowledge sharing : Most of the times tasks are outsourced to the vendors who are specialised and expert in their fields. While working together outsourced partners (vendors) share their knowledge, experience, technical expertise, etc. with the employees of the arrangement. This is 1 of the prime number advantages of outsourcing. Organisation also uses and shares particular kind of service. Thus, outsourcing helps to develop both the companies and likewise boosts goodwill in the industry.

Question 4.
What are the disadvantages of outsourcing ?
Answer:
Disadvantages of outsourcing : The disadvantages of outsourcing are explained as follows:
(i) Lack of customer focus : An outsourced vendor may be catering to the expertise needs of several companies at a time. In such cases, the vendors may lack complete focus on outsourcing company's needs or tasks. Every bit a effect, the quality of the outsourced service may not be up to the mark.

(2) A threat to security and confidentiality : When an organisation outsources some portions of business process, it involves a risk of exposing its confidential information to a third party. Similarly, there is danger of the misuse of company's confidential information by the contractors. And then outsourcing involves security issues.
(3) Dissatisfactory services : In case the organisation does not select correct partner for outsourcing, it has to face several issues such every bit substandard quality output, delayed delivery, inappropriate categorisation of responsibilities, etc. It has to compromise on the quality of outsourcing.

(4) Ethical bug : In some cases, the company outsourcing its non-core areas, ignores ethical issues related to outsourcing. When the functions of the organisation are outsourced to a company from some other country, the employment opportunities from one's own country go reduced, which in plow aggravates the unemployment problem.

(v) Other disadvantages :

1. Misunderstanding of contracts ultimately creates many bug for the organisations.
2. Lack of constructive advice too creates many bug to the organisations outsourcing their functions.
3. Some times the quality of the outsourced service is non upwards to the marker, poor and delayed services. In such cases company has to suffer heavy loss on account of wastage.

8. Answer the following

Question i.
Explain the steps involved in online transaction.
Answer:
In online transaction there are 3 stages, viz. pre-purchase/auction, bodily purchase/ sale and delivery stage. Online transaction involves the following steps:
(one) Registration : Registration is compulsory for online transactions. One who wants to practice online shopping is required to annals his proper name with online vendor by filling upwards a registration form. The consumer is required to login a particular website. The customer'southward details such as email ID, proper name, address and other information are saved and are safe with the website along with a 'Password' relating to the registered 'account' and 'Shopping cart'. To avoid misuse by anyone 'Account' and 'Shopping Cart' are password protected.

(2) Placing an order : The online shopper can select, choice upwards and driblet the items or things in the shopping cart. The shopping cart keeps the systematic and detail record of what items or things have been picked up, quantity to be bought, the price of each product while browsing the online store. Subsequently confirmation, the client or shopper has to cull a payment pick.

(three) Payment : Making payment is the last step in online transaction. The buyer is required to select the payment choice. The payment systems in online transactions are secured with very high level encryption. Because of these arrangements, the personal financial information gets completely secured. Payment can be made in 1 of the following ways:
(i) Cash on Delivery (COD) : According to Greenbacks on Delivery mode of payment, afterward receiving concrete delivery of goods, payments is effected at the doorstep of the customer. The customer can make payment in greenbacks or through debit or credit card.

(ii) Cheque : Under this mode of payment, the Due south vendor collects the cheque from the customer and j later on realisation of the check, delivery of the goods is given to the heir-apparent.

(iii) Net banking transfer : Nether this fashion, the payment is fabricated by buyer to vendor past transfer of funds through the cyberspace. The buyer transfers the agreed buy amount to the online vendor'southward account. It is an electronic facility i of transferring funds though the internet. After receiving the amount, the vendor delivers the goods to the heir-apparent.

(iv) Credit or Debit Cards : Credit menu and Debit card are also called Plastic Money. The vendor gets the amount from the buyer through credit or debit bill of fare. The amount gets immediately transferred to vendor's banking company account. After the successful transfer of funds, goods are delivered past the vendor to buyer.

(v) Digital Cash : Digital cash is a form of electronic currency which has no reed physical properties. However, digital greenbacks offers the ability to use real currency in an electronic format.

Question 2.
What is Outsourcing? Explain the advantages and disadvantages of outsourcing.
Respond:
[A] Meaning : Outsourcing is a process of allocation of specific business organization processes or functions to a specialist external service provider or agency for certain monetary consideration. In outsourcing, the service provider or contractor enters into an agreement or formal contract with the company or the house for providing services against certain monetary charges. After this the service provider, will accept the responsibleness of carrying out the tasks as per the expectation of the company.

[B] Advantages : The advantages of outsourcing are explained as follows:
(i) Overall cost advantages : Outsourcing reduces cost. Outsourcing avoids the need to hire employees in houses. Hence, recruitment and training costs can be eliminated or minimised. It is likewise saves time and efforts on grooming the employees. Similarly, price of outsourcing services is much less than recruiting work forcefulness for the visitor.

(2) Stimulates entrepreneurship, employment and experts : Outsourcing encourages and stimulates entrepreneurship, employment and expertness in the land from where outsourcing is washed.

(3) Low manpower cost : In every organisation manpower is required to operate machineries, to exercise routine work, to perform jobs, to administer and manage business diplomacy. Recruitment and appointment of personnel on permanent basis are costly. Manpower through outsourcing is bachelor at a lower cost. Outsourcing is beneficial in some portions of business procedure.

(iv) Access to professional person, expert and high quality services : Usually the non-core areas or tasks are given to the people who are good, specialised and skilled in that detail field. These people provide amend level of services. They commit less errors and avert wastage and misuse.

(5) Emphasis on cadre procedure rather than the supporting ones : Outsourcing supporting the business processes, facilitates the organization to concentration on its cadre (more than important) areas to improve the quality of its products and services. This in turn leads to better profits and increase output and turnover.

(half-dozen) Investment requirements are reduced : By outsourcing the not-core areas, the system can easily save on investing in the latest technology. These arrangement allow the outsourcing partners to handle the entire infrastructure. Thus, the organisation itself is required to manage just remaining portion of business procedure. Hence, investment requirements of the organisation are very less.

(7) Increased efficiency and productivity : Many a time tasks are outsourced to the vendors who are specialised in their fields. Outsourced vendors accept deep noesis, feel, specific equipment and technical expertise. They give performance or do assigned task much ameliorate than the ones at the outsourcing organisation. Equally a upshot the tasks can be completed faster, with greater efficiency and with better quality output.

(eight) Knowledge sharing : Nigh of the times tasks are outsourced to the vendors who are specialised and practiced in their fields. While working together outsourced partners (vendors) share their noesis, experience, technical expertise, etc. with the employees of the arrangement. This is ane of the prime advantages of outsourcing. Organisation also uses and shares particular kind of service. Thus, outsourcing helps to develop both the companies and also boosts goodwill in the industry.

[C] Disadvantages of outsourcing : The disadvantages of outsourcing are explained as follows:
(i) Lack of customer focus : An outsourced vendor may exist catering to the expertise needs of several companies at a time. In such cases, the vendors may lack complete focus on outsourcing company'due south needs or tasks. As a consequence, the quality of the outsourced service may not be upward to the marker.

(2) A threat to security and confidentiality : When an organisation outsources some portions of business process, information technology involves a risk of exposing its confidential information to a 3rd political party. Similarly, there is danger of the misuse of company's confidential information by the contractors. Then outsourcing involves security issues.
(3) Dissatisfactory services : In case the organisation does not select correct partner for outsourcing, it has to face several bug such every bit substandard quality output, delayed delivery, inappropriate categorisation of responsibilities, etc. It has to compromise on the quality of outsourcing.

(4) Ethical issues : In some cases, the visitor outsourcing its non-cadre areas, ignores upstanding problems related to outsourcing. When the functions of the organisation are outsourced to a company from another country, the employment opportunities from i's own country get reduced, which in plow aggravates the unemployment problem.

(5) Other disadvantages :

1. Misunderstanding of contracts ultimately creates many problems for the organisations.
2. Lack of effective communication also creates many problems to the organisations outsourcing their functions.
3. Some times the quality of the outsourced service is not upward to the marking, poor and delayed services. In such cases company has to suffer heavy loss on business relationship of wastage.

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Source: https://maharashtraboardsolutions.guru/maharashtra-board-ocm-12th-commerce-solutions-chapter-5/

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