This is further encouraged due to the fact that there is cheap labour in LEDC’s so TNC’s are likely to move over there. They then need communications to contact HQ in a MEDC. This also increases shrinking world. The invention of the internet as allowed large amounts of information to be stored and distributed across the world. The internet is much quicker than any other form of communication and is also very cheap.
The internet has three main advantages compared with traditional retail outfits- these are: 1. Convenience- shopping online saves time including travel time, the cost of the park charges and the hassle of standing in the queue at the checkout. 2. Choice – have the ability to access to a massive range of products and services from all over the world, this can be gained through using the internet for shopping. This is the by the far the biggest advantage over the internet.
 First, large variety of unique items attracts large volumn of minority tastes. The larger availability of choice, the greater the chance that will be able to tap potential demand for minority tastes  Second, internet business with the low distribution and inventory costs allows them to access the global market and earn significant profit out of selling small volumes of hard-to-find items to many customers. It also help to centralize the inventory in order to minimise the delivery cost directly from warehouse to the end-user.  Third, low cost for searching relevant products due to the wealth of information sources available online and therefore people can easily and quickly find what they want. Intermediaries such as ebay shows that there are sellers of any number of weird, wonderful and obscure items who find buyers
Renting a web hosting space is more reliable and fast connections to the Internet and also have backup power and high security 2. What is "server co-location" and what are some associated advantages and disadvantages? What size businesses use this service?" Server colocation means a server store data of different parties and these parties share the server bandwidth. Advantage: - save cost of bandwidth - Better outage protection and security– colocation provider will manage and maintain the server.
The nature of their business model enabled them to enter the fairly new online market and compete based on lower prices. Because of their low prices,
The development of technology like the internet has most probably had the biggest impact on the travel and tourism industry. The internet has decreased the need for independent travel agents now as the internet provides people with a means of booking their own holidays online, as well as being able to use comparison websites such as Expedia, or directly with the holiday providers and transport services. Now even the smallest of travel and tourism providers have responded to technological developments so that they have their own websites and email addresses, online booking, and payment methods. When the recession hit, the number of business travellers declined, as they were trying to find cheaper ways of communicating with fellow business relations by using methods such as telephone and video conferencing instead of paying to book flights and accommodation. These methods have increased because it helps the business to reduce their expenses and watch their budget more carefully.
Explain why economies of scale are important to companies such as McDonald’s and GBK. Economies of scale gives big companies access to a larger market by allowing them to operate with greater geographical reach. Often, large firms in industries with high fixed costs can take advantage of savings that smaller firms cannot. Economies of scale characterizes a production process in which an increase in the scale of the firm causes a decrease in the long run average cost per unit. Economies of scale can be enjoyed by any size firm expanding its scale of operation.
My suggestion: In order to attract more customers and improve their financial performance, Calyx Flowers (“Calyx”) should increase internet advertising. Argument in support: • The internet advertising requires less capital than other options do • Internet advertising allows a more targeted market segmenting and higher target reach. • Online advertising avoids expensive long-term contracts, can be placed in a short amount of time, and can be launched on demand. i.e. Calyx can run a mass of online ads in a short period of time such as before busy holidays like Valentine’s Day and Christmas even on a relatively tight budget.
Through the use of the internet, email has became increaseingly popular because of its low cost benefit and its method of reaching mass customers, but like telemarketing there are laws and regulation that must followed to ensure people are not receiving spam email. Sales promotion is a tool used by organizations based on a short term objective that provides the potential customer with extra incentives that come in the form of savings, rebates and coupons that are consumer oriented promotions. Sales promotions use promotional efforts that are designed to have an immediate impact on sales and are media and non-media marketing communications used for a limited time to increase demand, stimulate market demand. Sales promotion techniques include promotional mix, personal selling, advertising, and public and publicity relations. There are three types of sales promotion strategies: Push, Pull, or a combination of the two: A push strategy involves convincing trade intermediary channel members to "push" the product through the distribution channels to the ultimate consumer via promotions and personal selling
Outsourcing brings proven benefits in the form of economic leveraging, increase in the quality of products and it provides a number of opportunities to less developed countries. For example in recent times, Americans are overwhelmingly supporting the major retail stores like Wal-Mart, Target and K-Mart. The reason behind this consumer loyalty is that it has become much easier to shop at these locations rather than the local mom and pop stores located on the corner of most neighborhoods. The benefit is that you can purchase everything on your shopping list from one location, saving you time, money and gasoline. In a highly competitive business world, on a firm’s priority list is the subject of increasing profit and reducing cost.