Million Morons of Flopkart: A Case Study

Abstract

With the advent of the Internet and plenty of web development technologies around the world, e-business is the new mantra of businesses in contemporary world. The internet, intranet, cellular networks and other forms of digital technology have created a niche value chain among stakeholders and traders coordinated in the world of web and mobile marketing. The tools and pillars of e-business strategies include e-payments over the Internet, online advertising, on-line trading and auction (OLX) deals. It is changing the way a relationship between business partners occurs. The size of India’s e-commerce market in 2013 was around $13 billion, according to a joint report of KPMG and IAMAI. There are around 200 million internet users in India currently (Year 2014) and the number could grow to 500 million by 2015, according to McKinsey & Co. The Internet increases the speed and accuracy of communications between suppliers, distributors, and customers. Selling to distant customers using the company web site may allow revenue improvement or generation. To achieve profitability e-business sites position themselves in different parts of the value-chain. The poor ICT infrastructure, lack of services presents enormous challenges to developing countries. What strategies must be adopted to leverage on the potential for e-business? With the current challenges faced by developing countries, how can entrepreneurs take advantage of the benefits of e-business? ―e-Service‖ can be considered to be sea change since the industrial revolution. Developing countries are facing some serious challenges than opportunities. This paper attempts to review how opportunities and challenges could be optimised by developing countries in the context of e-channels. The study proposes e-services strategies aimed at reducing the setup and operational costs for e-businesses.