Social Media: Turning Dissatisfied customers into Brand Evangelist

Social media has completely changed the internet from few closed web pages to an orchestra with large number of musicians playing in amplified voices. Social media is an important tool for businesses that allows them to connect, interact, engage and establish trust with the existing customer base plus the prospective clients. In the era of consumer driven marketing we may call word of mouth as the best form of marketing, but we should never lose sight of the fact it is also the worst form of marketing. Connecting and engaging with customers is a great way to present the humanitarian side of the organization and generating trust. But the devastation starts when something goes awry and negative responses starts flooding in. While some might consider it as devastation others might see it as a great opportunity to provide real feedback and resolution. While social media may provide spark to the complaint boxes, responding timely to the complaints can showcase company’s strong commitment towards customer satisfaction and excellence.

There are different ways organizations plan to respond to critical negative feedback, however using the right strategy at the right point of time can do wonders to the image of the organization. On a survey carried out in the hospitality industry it was found that out of the customers who posted a negative feedback; 33% turned around and posted a positive one after a response from the organization and 34 % deleted their original negative remarks.

An ignored customer always gives way to an ignored company. While many managers feel that Head in the Sand approach is the right way to tackle criticism, however neglecting negative feedback never resolves the issues rather poses an image that the organization is not concerned about its customers and their values.

Pressing a “DEL” on a customer feedback, might invoke a counter “Shift+DEL” from the customer towards the companies. Deleting a customer feedback might hide it but it only heightens the anger that the customer has against the organization. It is important for organizations to access what is to be deleted and what is to be not. While popular networking sites have wider reach and heavy traffic so nothing goes unseen; an ignorant attitude on such platforms might cause an exponential increase in the negative responses. Company should have always maintain a proper plan of action; responding to every piece of feedback on the internet might not be the best solution, so organizations would properly access what needs a reply and what can be ignored.

 

Social media represents a real and legitimate customer, one that has raised real concerns based on hardcore realities. The platforms of service might have changed but customer service stills remains as the core nucleus of marketing may it are over a telephone, over a desk or a social media website. Always remember customer is always right- no matter how wrong he is! Be sure to empathise, apologise and offer a resolution.

Apology and a solution; “I apologise for the inconvenience and we will make sure to correct the things immediately. Brands sometimes forget that handling complaints over the internet is more or less similar to handling complaints from an individual over the desk. This approach helps turn a dissatisfied customer into a brand evangelist. An individual who buys a company’s product, connects with the organization on the social networking front is surely the one loyal to the brand. A loyal customer would always want the organization to respect the customer’s needs and emotions. Effective grievance handling procedures provide great word of mouth publicity for the organization presenting its humanitarian side and customer value.

Indian Tourism: Bagging Losses

Ever wondered when asked about the destinations you dream to travel, destinations in India do not come up as the priority options. A country which is undisputed winner when it comes to diversified beauty may it be forests, wildlife, mountains, beaches, architecture, pilgrimage; captivating India can surely outclass the world when it comes to beauty and diversity. With such a big bag of variations, ever wondered why we can’t still hold mere 2% of international tourists and countries like Thailand, Bangkok, Singapore are ahead. Talks about the quality Indian tourism destinations have in offering you have a lot to discuss; the beauty of Himalayas is wilder than the Alps, the beaches of Goa are the undisputed New Year celebration destinations, Scenic beauty of eastern India can by far outclass major tourist destinations across the world.

Dating back to the 17th century when India was considered as an economic powerhouse, the country was the richest economy of the globe handling almost a quarter of the complete international trade. No doubts India is still an economic warhorse, but the country is ranked as 48th as of date on the list of international arrivals. What went wrong that countries like Thailand, Bangkok miniature of our size had 11 million visitors in the year 2010?

Give it a thought, what would you choose a sun bath on the beaches of Goa or a sun bath on the beach of Miami? A walk through the corridors of Himalayas,or a walk through the corridors of Alps?

Every 2nd of the 5th tourist who travels to India says there’s sheer lack of infrastructure in the country. The country is lacking basics from the word go. May it be sanitation, housing, hotels or the transport industry; major pitfalls in these basic amenities have turned India into a big NO in terms of travel preference. The major tourist destinations in India which house immense treasure in them are majorly accessible via rail routes. With inefficient railway system and over-crowded trains the journey houses tough competitions for the travellers. With rising disposable incomes and boom in the travel industry the hotel industry needs to catch up fast with the pace. Major travel destinations across the country go unexplored due to lack of hospitality. Due to high hotel to person ratio, travelers avoid travelling to these destinations, making the country loose several dollars.

Sorry pictures of the heritage across the country may it be the Taj Mahal of Agra or the forts of Rajasthan have become a reason of disgust for almost all the visitors. With all the care and handling given to the rodent and the spider department a desolate image is on its cards and speeding up. Majority of the tourist guides are mystery story tellers, a local tourist guide could even guide you the red fort saying its Humayun tomb. Leaving aside the odour one contends with across the country due to freedom of littering and poor sanitation, a visit to majority tourist sites across the country is accompanied with a luxury of beggars, touchers, feelers and the road side vendors.

Derogatory colloquial language is becoming an integral part of the foreign tourist visits to our country. The words like “firangi” and “habshi” are a common sight whenever an overseas individual passes by local residents. Several cases of economic and sexual exploitation against foreign individuals have lead to countries issuing travel advisories to India. The government’s Incredible India campaign and “Atithi -devo-bhavah” seemed to have lost their charm in the exploitation mystery. The management has forgotten the concept of mass tourism across the country. Unless you can shed hefty dollars, dig deep to buy luxury and have a trustable tourist guide, India is a tough job on your own.

With recent advancements in the hospitality sector and the government showing high interest on the security of tourists the tourism sector is showing growth. Services like Metros, improvement of facilities in railways, heavy competition in the airline sector are signs of rising tourism. The country is making efforts but it needs heavy fueling. In the modern era where marketing is becoming a trump card, India should play its aces properly. With vast variety and diversity available all across the country, India should carefully present its brand image to the world. With word of mouth being a great source of marketing the strategy needs to be developed with accuracy and perfection. The country has a major demand-supply setback and is losing heavenly on realizable potential.

From Tragedy to comedy: Indian media

It looks like a box, takes a fixed position in the living room and has the power to hold individuals for enormously long period of times. A box that can completely turn upside down think tank, change perceptions and turn positives to negatives; television nowadays has the ability to make individuals looking west look east.  The spectrum of Indian television is wide and fast growing; from the mega starrer movie channels, to the harmony of saints of god, to the generation X love and spice shows and last but by no means the least the reality shows which have a big question mark always hanging on their reality part. But one thing that has been rock solid and growing exponentially is the Indian comedy industry. From times of jaspal bhatti’s incisive wit in the flop show, to the era of 5th floor cuff parade of sarabhai’s and now the diverse multi-lingual comedy soaps of SAB TV. The Indian media market has never been short of its share of comedy.  The television industry has cut trough social, economic and religious lines and now is a common denominator.

 The last decade of Indian television has seen some of the very famous comedy shows that went on-air. While the oldies like sarabhai vs. sarabhai or shriman shrimati have their own remembrance the new shows have created an intense new market for themselves. The stand up comedy which was really not much into liking of the Indian society has now become the dinner time sweet without which the dinner almost feels incomplete. Those stand-up comedians who barely got a gig on the television now have weekly running soaps with TRP’s increasing quicker than the dollar price. While channels like SAB branding themselves as an all comedy channel we can be rest assured that comedy in Indian television media is not stopping. Different viewers have different reasons for their thrust towards these comedy shows. The basic silver lining is the aam aadmi is relating himself easily to these kinds of shows rather than the INR 29 figure of poverty line of the government. Whether we talk about the days of Taarak Mehta acting like a true Indian bride, or the babuji of the chidiya ghar with his true gandhigiri the comedy connection is running big guns. The society which used to see themselves in the kahani or kyunki of kapoors has started relating themselves to the daya or bakula of sab TV. With a confirmed happy ending always, the fear of failure is completely wiped out from the minds of the individuals and the audience prefers the linkage. While the kyunki of Kapoor’s had all the masala spices to induce a negative rani laxmi bai in all the married females, flip side the laughter of adhikari brothers has got the orthodox solution to almost all the major family problems. With less popular or almost new characters and little or no past media rumors about the character; the character image becomes more like one from the public. The sense of humour in country has changed. From the days of slapstick humour we have changed to an era where people have started laughing on themselves. The liking of comedian like Russel petters has grown and we are becoming more or less ready for the silent or the observational comedy. The same skewness towards comedy can be observed on other medias also. With the dismal economy condition Mrs. Gandhi and Mr. Singh have become the undisputed cartoon characters for the media. Comedy which used to cover a side block in the middle section of the newspaper can find itself some space in the front page also.

The great words of Sir Lewis black “It’s absolutely stupid that we live without an ozone layer. We have men, we’ve got rockets, and we’ve got saran wrap – FIX IT!!!”  

Vlogging-The new face of Blogging

All of you would be aware about blogging and bloggers, but trust me Vlogging/Vidding is the latest On-line social media tool to communicate with the end customer. This started way back in 2002 when one of the bloggers by name Adam Kontras, in an attempt to increase readership for his blog about his company, included a video where along with the written part he himself explained about his company operations to his users.

Hardly then he realised that it will become a path breaking tool for interacting with the companies who are always on their toes to look out for new ways to make more customer base.Ever realised while reading about a company, or going through its website you always want to know how the employees working there think about it ? What is the future goal of the company, values driving force, when all of it comes from the people who are running the business themselves it makes more sense and is anytime more interacting. Today Vlogging is being used for not only depicting company profiles but even companies are using this tool for communicating with their target customer ranging from students to old age people. Vlogs today revolve around anything and everything, from a day in a person’s life to Vlog channels that cover electronics, video games or beauty products.

Among different advantage of Vlogs over conventional add it helps you give the personalised touch to your products for customers who really want to know about the products. Many people are taking up Vlogging as a serious profession too because of so much of  money involved into it. Unlike Ad scene by google where in a blog there is very less chance of any advertisement being intercepted by the reader, an Vlog is catered specifically for people who are really interested in it. Anyone can become a Vlogger today what it requires most is some creativity, good content and theme about any product or company and good amount of viewership. If you want to make a career in Vlogging you need to be patient enough for viewers to come towards your videos which is not very difficult in today’s facebook era. Companies are providing good amount of money to regular Vloggers and most of them left their regular profession to become a full time Vlogger. Yan Higa a Japanese-American comedian from Hawaii, is currently the most subscribed to YouTube channel. Ryan, who broke 2,000,000 subscribers last month, Vlogs in the form of humorous sketches, rants and music videos. Names like Shane Dawson, Lucas Cruikshank are today very well know names in among companies who prefer to go for Vlogs rather than sticking to conventional marketing techniques.

According to an article published in The Telegraph At least 10 independent Vloggers on YouTube are earning over $100,000 (£65,000) a year in advertising revenue from the video-sharing site alone.

Contributed by SHARIQUE MANAZIR ( Class of 2013, IBS Hyderabad)

Do you think inviting business houses to set up higher education institutions in India will help better the higher education scenario?

Business Standard poses a question and solicits responses from students across India for their weekly column “ Student’s Corner”

The topic for last week was “Do you think inviting business houses to set up higher education institutions in India will help better the higher education scenario?”

The current scenario of higher education in India has become a mere game of money. Inviting business houses will worsen the situation, for they will look forward to money making for which again seats will be sold. Surely India lacks in opportunity and infrastructure but inviting business hubs won’t solve the problem. In last couple of years many engineering colleges have cropped up and still the quality has not increased. India surely needs quantity for its huge population but not at the cost of quality.

– Nishita Verma, IBS Mumbai.

Indian institutions has been delivering best quality of higher education for the students. Students who go for higher education outside India also been drastically decreasing .By inviting business houses to setup in India, it will cause a huge difference in cost for the same courses providing by our institutions. It will not improve the quality education, rather it will improve only the essence of a foreigner in the minds of Indian students.

– Vinod PV, ICFAI, Kerala.

While inviting business houses to set up higher education institutes would surely improve the quality of higher education, it is necessary to ensure equity by providing financial support to the weaker sections of the society. Business houses are more concerned with profit maximisation as they charge exorbitant amounts in the name of course fee. Moreover as ‘education is for all’ so quality and equity both have to be looked at before increasingly allowing the business houses to step into the field of education, which provide a better learning in a global context through international collaborations with universities abroad.

– Devika Singhal, IBS Gurgaon

Institutions should be invited because in India the need for education is changing with time . The pressure on private schools to take and provide for students of less privileged backgrounds means the students are increasingly diverse. Private schools are institutionalized, but this need not necessarily be a bad thing.Many opportunities are available through a private education which a state school will not provide, sport, music etc. Exploring beyond the curriculum is a key part of the ethos and can help expand student’s minds.

– Ketan Thakur, IBS Pune.

Companies have a lot of power in the community and the economy. The capital required to set up or fund institutes of higher education is in plenty with the business houses. It is a win-win situation for both students and the companies, the students get the best of infrastructure, education and guidance in form of guest lectures by corporate leaders running these institutions. On the other hand business houses get a good chance to build their brand much stronger by opening these institutes under CSR initiatives and in turn get skilled human resource needed to run their companies.

– Varun Kapoor, IBS Hyderabad.

If a corporate sets up an educational institute, one may get 2 years of full time education – cum – training. The office would be merged with the institute. A special department where the seniors and on field officers give us lecturers. Specialization is from beginning and every student is given a tiny work or other. For instance, students are asked to sell a pen worth Rs. 500 by the organization and the lecturer teaches us about differential pricing and market segmentation then. This could be encouraged.

– Vivek Kumar Debuka, IBS Kolkata.

The corporate world plays a major role in providing the right feedback and requirement for today’s managers. How well they need to be trained and be prepared for the challenges of localisation and globalisation in today’s corporate industry and amidst stiff competition. Big business houses ultimately know their own requirement and accordingly they play a major role in shaping the managers who will lead tomorrow. Therefore, it is very important to have the involvement of business houses to set up higher education institutions in India and it will also definitely improve the higher education scenario in the right context.

– Stephan Rodrigues, IBS Mumbai.

In India, corporate sector is the biggest user of educated manpower but very few are ready to contribute in the educational sector. Inviting them to set up higher educational institutions will not only create healthy competition among students but also encourage them to take higher education. Moreover, quality of education provided in private colleges is way better than any government college. Establishment and expansion of educational institutions have been mainly shouldered by state. So inviting business houses to set up educational institutions will expand the horizons of knowledge to meet the demand of resources in various sectors.

– Abhishek Fanse, IBS Hyderabad.

India at present is facing a opacity in education sector. For instance, if an MBA aspirant wants to get enrolled himself into a premier B-school, he/she has to pay high capitation fees, unless he is able to secure a seat through merits. So if business houses setup their institution, there would be augmentation in the this opaqueness and thus would accelerate the burden on these students. The possible solution to this standpoint is that if government, in consensus with these companies, start institutes with lateral funding to them then it can reduce students’ burden.

– Vivek Kamalia, IBS Mumbai.

The corporate sector should set up educational institutions because the amount of public resources available for health and education is limited. The working group on higher and technical education for the 12th plan projected a resource requirement of Rs 4,13,368 crore. So allowing funds from business houses will initiate improvement in quality education with technological up-gradation. However, these houses should not make the institutes another business ventures like their factories. They have to think of the social and service aspects. Monetary returns should not occupy their minds while providing education to the society.

– Devang P Gandhi, IBS Mumbai.

It’s never too late…

I don’t understand why this much needed bold step of petrol price rise is drawing howls of protest from every corner of this country?  I believe that had we taken this step a while back, we would not have been in this mess today.

Although this bad situation is fully sponsored by the UPA-2, it is a much needed step to curb the over-excited depreciating currency, which is swallowing industry’s growth prospects like a hungry shark.

We cannot ignore the fact that the burden which a common man has to face by this step would be irreparable, but in economics as they say… ‘All other things being constant’ only then the arms of economic prosperity works. The only way out is to keep trying different permutations and combinations of the available economic tools.

Let’s accept the fact that we are suffering because we made a choice, a choice of electing and believing the current government and nothing here is by chance.

The easiest question a common man like you, me or anyone can ask is… Why always petrol? Why not cigarette, diamonds, alcohol or any other tool altogether? That is because of the simple reason that India imports a major chunk of its oil requirements. On top of that we are obsessed with gold like anything. Clubbing together both these commodities constitute 42% of the total imports. These imports have to be paid for in Dollars which is actually creating a double whammy for India, in the sense that on the one hand, the fiscal and trade deficits are widening sharply and on the other the Indian Inc. is posting losses after losses.

I see four potential benefits arising out of this move.

1.) It will significantly reduce the mounting losses of oil PSU’s which will subsequently become the sources of profits for government. So the governments need not to borrow or print, which makes more money available for common man and companies at cheaper interest rates.

2.) Government does not need to set aside money for subsidies which it normally does, to compensate oil companies for their losses.

3.) It’s another positive  outcome would be a long due correction in Indian currency which will be very helpful to the corporate India.

4.) Last but not the least, I feel this steep rise in prices will prompt us to use petrol in a more judicious manner, which in turn later on could lead to a fall in the prices automatically, due to the fall in demand.

In the end, I contradict my above view by saying that…What is the guarantee that the revenues earned through above measures will not go to a politician’s bank account?

But Sadly Nothing in this life comes with a guarantee!

Contributed by Vijil Jain ( Class of 2013, IBS Hyderabad)

Do you think fee waiver should be made mandatory for B-schools to help economically backward students?

Business Standard poses a question and solicits responses from students across India for their weekly column “ Student’s Corner”

The topic for last week was Do you think fee waiver should be made mandatory for B-schools to help economically backward students?

Here are all the responses sent by IBS students:

Fee waivers would not only bring a sigh of relief for many deserving students but also a ray of hope and motivation for many. But the challenge for the B-schools is to clearly and correctly identify the criteria of for the waiver, because of the immense variation in the fee structure across the nation. This makes the economic inability of a student a relative concept. If this challenge is subjugated, fee waiver would be welcomed by all management aspirants.

– Rhiva Singh, IBS Gurgaon.

Winning Entry

It’s difficult for students belonging to middle class families to afford a B-school without a loan, let alone economically backward students. A mandatory fee waiver to such students will not only provide support to their families but will also benefit B-schools by providing them a bigger pool of talent. It’s better to provide a poor but deserving student rather than providing for undeserving students based merely on their communities. Such waivers will provide equal opportunities to all students in real sense and will be a correct means to insure a growth towards a less divided India.

– Neha Singh, IBS Gurgaon.

Fee waiver should be given to those who ‘fall under economically backward student category’. There are so many potential students who can’t afford fees to study in top ranks B-schools in India. As a result, those potentials remain constant and can’t get the proper nutrition (knowledge and experience) to grow much more. Students belonging to backward classes by availing such facility can achieve more and such facility is also a big help to the parents. Students will feel less financial burden and they can freely concentrate on their academics. So, it should be given to economically backward student.

– Vishal Vijayan, IBS Ahmedabad.

Many eligible students do not go for higher studies like MBA because of exorbitant fees. So providing a relief in monetary term is very good option for them. But waiving the fee could be a major step. B-school can give the option to payback the fees after joining the job. Because of that student also take studies seriously and chances of having dispute among other people also stop. The major task is selecting right candidate for such a precious option.

– Manish Kumar K Gupta, IBS Mumbai.

IIM-A said that it educated 41 students for free in 2009-10. Definitely it was free for IIM because the burden of fee waived, was borne by remaining students in form of fee hike. Fee waiver is not borne by the institutions but is passed on to other students who manage to get fund through loans and other means. But in the end everyone gets same opportunity to sit for placements but while one has everything at stake the other nothing. Instead there should be a contractual agreement between the institutes and economically backward students to repay their fees when they earn.

– Anoop Periwal, IBS Mumbai.

Fee waiver should be made compulsory for under privileged students as many of them fail to make it to their dream campuses for want of finance. Instead of reserving seats for students ,which in many cases the students dont need as they come from affluent background, the primary focus should be on the family income. If a student’s family income is less than Rs 1.5 -2.0 lakh/year, he/she should be made eligible for a fee waiver. This might even create a wave and help to abolish reservation system which is being misused.

– Saurabh Saxena, IBS Mumbai.

While economically backward students could realize their dreams, fees need not be waived but could be sponsored by Government/Government banks/companies/large tax payers. Government could give an option for large companies or large tax payers to waive the sponsored amount in the tax. In this case, corporates have an added advantage by sponsoring such students by providing employment to them upon completion of their programme as well as save taxes.

– Divya Srinivasan, IBS Bengaluru.

To promote higher education at the lowest level, B-schools should mandate fee waiver to help and motivate economically backward students. Poverty is becoming hereditary in India, at least for a sizeable population and if youth are not well educated, then country growth is at stake. In India majority of people are not financially sound and with the increasing fees of B-schools, they cannot afford for higher education and remain incompetent. Not only B-schools but even banks can provide some facilities like education loan at low rates to support economically backward students.

– Chirag Kriplani, IBS Mumbai.

Implementation of fee waiver at B-schools will come only in fruition when students from economically weaker societies participate in these programs. The entrance examination fee, college form fee are also a matter of concern for these students. Also the numbers of students eligible to B-schools are puny. Hence government of India must run some program to educate weaker societies to let their children go for higher studies. Scholarships, funds and other help at school and graduation level must be provided to ease financial burden.

– Sandeep Guleria, IBS Gurgaon.

Putting the burden on the shoulder of educational institutions to provide cheap education by means of fee waiver for poor students might not be an effective and the right step. Such a step might serve the purpose to an extent but at the cost of quality of the education. Also, the effectiveness of such a system can not be guaranteed. Instead, the government should directly fund the education of poor students, being the most responsible and capable body.

– Kushal Bhadani, IBS Mumbai

Unemployment Benefits: From Facebook to increasing Crime Rate

I was always fascinated with watching young guys and girls from USA and other countries visiting Delhi for vacations as if it was their second home. Last week I got a chance to meet Jack through one of our mutual friend Prashant and after some formal discussion I asked him how come he was in India since the last 4 months. So Jack narrated his sad yet astonishing story, how in his state Pennsylvania crime is at an all time high so he is taking Unemployment Benefits there and working back here in India, “just for a change of air” and once the tenure ends he will return back home but he will make sure that he makes enough money over here. Now what the hell does that mean…!

In United States of America as soon as you become unemployed, you need to contact your state’s Unemployment Office to check your benefits eligibility. Maximum number of weeks that a US citizen can get unemployment benefits in New York itself is 79 which were earlier up to 93 weeks. You should not be surprised if the unemployment eligibility appears either generous or scanty .You can find little variations in laws in different states of America but the benefits could be extremely high for workers and the civilian labour force 97 percent and 89 percent respectively.

In Texas anyone can get Unemployment benefits based on factors like laid off, fired without misconduct, quit for medical reasons, quit for stalking and the list goes on which includes Unemployment Benefits if your employee reduces your working hours. In Pennsylvania  the Unemployment Benefit are controlled by Department of Labour and Industry  and is described under Special Session number 2 Article 1 “Unemployment Compensation law”. Here as well the laws are based more or less on similar parameters; which includes factors like last four quarter earning details, motivation to work, mandatory registration with job portal.

Now take a look at these figures among world’s top 10 cities offering best Unemployment Benefits Pennsylvania comes in top ten twice with its cities Pittsburgh on first rank and Philadelphia at sixth position with a weekly unemployment benefit up to $550.So they are earning almost 30,800 per week for not working in America, and in India this is what is offered to a Trainee MBA graduate for a whole month. There are other cities like San Antonio, Texas at 8th rank, Charlotte and Raleigh, North Carolina at 3rd and 5th spot.

Some more research and you will come to know that out of   top 25 global cities with highest number of Facebook users US cities occupy six different slots which includes New York, Los Angeles ,Dallas, Philadelphia.

Going by the crime rate in USA these are the same cities which are either hub for Gambling and Prostitutions or suffer from the epidemics of extremely high crime rates in the whole USA. According to the FBI reports on crime occurrence in difference cities of USA only in California state its cities like Los Angeles, San Francisco and Oakland were the chart toppers with highest number of Violent Crime reported, the point worth mentioning here is that Texas is the second state with highest number of such violent crime reported.

Now the question is it just by sheer luck that same city posses all these three features of high Crime Rates, largest Number of Facebook Users and highest and best Unemployment Benefits. According to my analysis it is a chain process. Someone who just left his job after working for one year is getting $550 for free, so why will he/she even think of working? Now he/she is free the whole day with his wallet full so he is online, being party to the increasing “online culture” trying out his/her hands at cyber crime, pornography and at the end, once they lose track completely they turn towards crime in real life. At the end of the day after they realise they want a change of air they do visit our beloved country.

Contributed by SHARIQUE MANAZIR ( Class of 2013, IBS Hyderabad)

Changing world of E-Commerce and Security Threats

E-Commerce unlike the common myth is not only about buying and selling of products and services over electronic system such as internet but includes wide range of functionalities like Electronic Fund Transfer, Supply Chain Management, Online Marketing, Online Transaction Processing and Inventory Management. Looking at the future roles and prospects of internet Mr. Michael Aldrich in the year 1979 invented online shopping through the assembling of T.V, telephone connection all together with a real time transaction processing system. The whole idea behind online shopping at that time was to gain higher market penetration in the highly competitive market and to provide ease of shopping.

But at that time hardly anyone had realised that the E-Commerce that started from a basic Electronic Data Interchange meant for B2B processes will expand its roots in almost all business processes. Forrestor Research estimates the USA online retail industry will be worth 279 billion $ in 2015. According to Mr. Rajan Anandan MD Google India the expected India E-Commerce industry is of net worth 7billion $ and is expected to go up to 40 billion $ in the next 5 years.

E-Commerce in various businesses

Under the B2C marketing the E-Commerce has its presence from a pin to Mercedes. We can buy goods and service ranging from fashion, accessories, books, furniture’s, cars etc. It includes the resale market, Matrimonial Sites, Tours and travel and fund transfer. E-payment of bills and E-ticketing in India is serving millions of customers every day.

Under B2B models firms are looking for electronic gateways for making all the contact in terms of dealings information exchange with vendors, suppliers, their corporate clients with the help of E-Commerce only.

Under the G2B models now the state and central government is using E-commerce as a platform for assigning tenders, licences , work permits etc to their potential customer. It not only makes the whole process hassle free but brings transparency along with it too.

Security Risk Involved

According to an estimate 57% of US businesses say that they are losing more  money through computer hacking than through regular crime, which amounts to a total figure of 559 million US $ last year itself. In USA total number of internet user are almost 24.5 crores while in India this figure goes to 10 crore. Countries like USA and UK have got stringent Cyber Laws to safeguard businesses and customers from any kind of malpractice while in India we are still in initial stage as a result of which we still do not have any exact figure of money drain happening because of lacunas in Indian Cyber Laws. Today Britain leads Europe as the heaviest users of Internet banking services, with over a third of the UK population visiting e-banks. Traffic has grown by over 27 per cent in the last six months alone, and the growth in Internet banking is increasingly spilling over into business banking too. The surge in the popularity of these e-banks is not without its problems however, as most of the larger enterprises have, at one time or another suffered some sort of a security glitch. Most of the online systems now boast 128 bit encryption with SSL (secure socket layer) which is as secure as it gets, provided that the bank side security systems have not been compromised. But this trend is far from being inevitable or even undisputed, as a recent survey from Datamonitor showed when it revealed that in the UK, 63 percent of those polled said that they preferred to visit the bank branch, 25 per cent favoured telephone banking, and only five per cent cited the Internet as their favourite way of interacting with their bank. Moreover there is no bad apprehension regarding success of E-Commerce in India which is very much visible from the success of business models like Flip-Kart and e-bay. We can say that even the online banking is preferable among young generations but are we still ready for a E-Banking is still a questionable looking at the lack of Special Cyber Laws for E-commerce in India.

(All data given above is from published sources)

Contributed by SHARIQUE MANAZIR ( Class of 2013, IBS Hyderabad)

 

Leadership: Debugging Failures

Leadership is putting your plan of actions into the right direction and encouraging others to implement those actions with zeal and vigour. It is nothing more than convincing someone to do a task with a feeling of involvement rather than a burden. If the 10 letter word was as simple as that, what could have been the reason of public failures of leadership in almost all fields? You name it politics, sports, science even the Holy Guru’s also which some of the general Indian public seems to believe more than anything else in this world; there has been a complete downfall in almost all industries.  Here I present few of the pitfalls which if not corrected can lead to the downfall of a leader exponentially.

  Vision: if there is anything that brings the leader to the top is the vision he had once. A clear, passionate, straightforward yet vivacious vision should be clear in the mind of the leader. If   the vision loses its clinch of a laser you might see a disappearing leader. A dedicated leader with a clear path can think of defeating the obstacles, however If a leader cannot code or decode the vision with clarity, the leadership skills are in the shades of gray. A leader as a top notch individual should have confidence in his abilities.

 Communication: having a vision will be of no use in case a leader cannot transfer the vision to the people. A leader who can transfer “what he meant” to the followers with a clear motive can expect the people to sense the goals; it removes the misunderstanding and ambiguity part from all the tasks and conversations. Communication is of great importance if a leader is to drive people towards the goal and get the tasks accomplished.

People are not Resources: The biggest misconception with today’s business freak world is the interchangeable use of the word people and exchangeable item.  The biggest quality a leader can have in him is seeing people like a valuable resource rather than interchangeable piece of machinery.  A leader is always the one who focuses on strengths of others rather than their weaknesses. A leader who imbalances the importance of the path to be followed with the result that is the time a leader can expect to be running a one man army.

An individual who cannot manage himself can never manage others.  If there is ever a task of prime importance in the career of leader it is self management. A leader who leads a lot of people is always expected to be above all of the others. A leader, who cannot manage the hormonal balance of his DNA properly, will never present an image to convince others of success.

Leaders driven by fear of failures can never sound the bugle of success.

History will always remain a book of record and life will always be a free frolic like a feather.