Importance of Internet in Business Management

Table of contents

Get a price quote
- +

Introduction.............................................................................................3

Literature review........................................................................................3

Research questions, hypotheses, and variables......................................................4

Research population and sample.......................................................................5

Research implementation...............................................................................5

Conclusions and recommendations....................................................................5

References................................................................................................7

Introduction

The appearance of the worldwide web, also known as the Internet, transformed the world in a major way and made many life aspects easier. There is no single person that can claim not to have felt the effects of the Internet in one way or the other. The Internet has had both positive and negative effects in every sector of the society, be it education, production, government and health among others. In management of businesses, the Internet has had valued contributions that have changed the sector tremendously in terms of issues of communication, administration and handling of documents among other aspects. This paper investigates the effect of Internet on business management.

Literature Review

In the current age, it is difficult to imagine a business that does not have its presence on the Internet. As Catherine May Wallace asserts, most businesses

have a brochure-based websites, others have transactional order taking capacities and other have fully integrated database systems linking their web presence to the database and inventory systems of their suppliers (Wallace, 2002 ).

This means that businesses have incorporated Internet as an important tool that is essential in their businesses operations. George J. Avlonitis and Despina A. Karayanni (2000) consider Internet as an information technology platform that diffuses at exponential rates among business organizations. The continued use of Internet has been attributed to two essential factors. The first factor is the interoperable idiosyncrasy that provides an outstanding advantage over competitive information networks because it has lower operational costs. The second factor involves the enhanced informational and interactive communicative capabilities that enable the Internet to be used as a communication and marketing tool (Avlonitis & Karayanni, 2000).

Product management and sales management are two areas that constitute important areas in business-to-business management and marketing strategies. The extent, to which the use of internet affects these two aspects, helps in judging the compatibility of the Internet with business management (Avlonitis & Karayanni, 2000). Diert Ernst states

because of the speed, flexibility, and efficiency that it offers, the Internet has become the means for conducting growing numbers of transactions between suppliers and large international corporations (Ernst, 2001).

As such, the Internet has enabled new markets to open up and accelerated the diffusion of knowledge throughout the world. The Internet has also been a factor that has exacerbated the inequalities that businesses face in the market. Weak knowledge bases means that certain business organizations lack the sophisticated management systems that they need to become equal players in the business environment.

The use of the Internet has enabled introduction of industrial Internet, which refers to the linkage of a variety of certain pieces of machinery including locomotives, planes and networked software and sensors, that brings together different fields to collect data and use it to adjust operations in business organizations (Maric & Ilic, 2012). This has optimized transport and logistical operations in business organizations, such that supply and distribution management and their implementation has become an easy role for businesses that use the Internet. Handling information on supply and distribution has become an on-time issue, which has seen business organizations save large amounts of money (Antich, 2013).

Business management also incorporates an aspect of stakeholder and consumer management in the sense that it does not just deal with issues within an organization but also communicates with other stakeholders and consumers. The Internet has become important as a platform, through which managing consumers feedback on their satisfaction and dissatisfaction with company products and services is easily handled and analyzes. The link between ICT and the importance of competitiveness, growth and development are aspects that the Internet has highly promoted in the current world of business.

Research Questions, Hypotheses, and Variables

Research Questions

1. Does the Internet have an impact on business management?

2. Should business organizations integrate Internet usage in management?

save 25%

Benefit from Our Service: Save 25%

Along with the first order offer - 15% discount (with the code "get15off"), you save extra 10% since we provide 300 words/page instead of 275 words/page

3. How do businesses benefit from the use of Internet?

4. Is there a relationship between organizational management success and the use of Internet?

Hypotheses

Business organizations and their management benefit from the use of Internet.

The use of Internet gives businesses a competitive advantage over those that do not use the Internet.

Variables

Independent variable: use of Internet in business management

Dependent variable: business performance in the business environment

Research Population and Sample

Research population: business organizations.

Sample: business organizations in New York.

Research Implementation

This research study was conducted by reviewing business organizations in New York on their use of the Internet in business management, specifically integrating the Internet in administration, communications, information search and use, marketing and advertising. The research looked into how the business organizations use Internet in management and the effect of the use of Internet in their daily operations. The research included analysis of the communication with customers, suppliers and other stakeholders, the use of Internet in information search, marketing and advertising their products and services, and also establishment and management of websites.

Conclusions and Recommendations

Conclusions

It is evident that the use of Internet influences business management is towards the better future. Business organizations, which have made use of the Internet in their operations over the last couple of decades, have benefited a lot. First, the Internet has helped companies in information management. A company cannot flourish without understanding the business environment because it must develop services and products that are needed by consumers. Today, social platforms help companies collect and manage information received from consumers. Companies also use websites to advertise their services and collect information from consumers and other stakeholders. This has made organizations successful because they act on information provided and respond to the needs of the consumers and other stakeholders. A company like Apple Inc. has benefited from this.

Companies also use the Internet to research things such as new technologies and solutions to problems, to hire experts to handle certain issues within the companies and to find potential suppliers or business partners. Surveys on customer loyalty or product preference can also be done on the Internet

The Internet has helped companies to run their advertising and marketing more effectively. In the current world, many websites and platforms are powered by the Internet that advertise and market various companies products and services. The Internet has promoted connection between company and consumers, as far as getting information on certain products from certain companies is just a click on a button. Companies like Wal-Mart, McDonalds and others from the fortune 500 companies use the Internet to market their products. Some companies like Amazon and Atlantic Express even sell their products and services online. This shows the value that the Internet holds for companies. A company like New York Times publishes its stories on the web daily, proving that the Internet is important to its business management.

Recommendations

Companies must understand new ways of using the Internet in business management, because transformations occur and some aspects become outdated. Today social platforms such as Facebook and Twitter have become important assets for businesses. However, their usefulness in future may fade because of new inventions.

Companies should also take information they get on the Internet seriously and act on it as needed because the information represents the scenario in the business environment. Failure to do this might plunge businesses in trouble as others use that information for their betterment.

Companies should also conduct marketing and align it with privacy protection rights because the Internet could provide a platform for bad business practices, where other companies steal services and products and sell them as their own.

Buy custom Importance of Internet in Business Management essay