Choosing E Commerce Strategies A Case Study Of Ebayvn Partnership Case Study Solution


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Background and Facts

Choosing E Commerce Strategies A Case Study Of Ebayvn Partnership a workplace products store for little as well as moderate sized organisations has actually just recently been involved in planning for a merging with its competitor Residence Deport, which has actually impacted performance levels in departmentswith the senior supervisor involved in legal problems presented by the government Trade Payment. With the Marketing Head advancing the news of his departure from the company in one year, Jeannie Lewis, the existing head of operations has actually been asked to take the duty in the near future. With challenges in the kind of a possible cultural adjustment as well as reduced worker spirits, the organization is in need of a total reengineering initiative at the advertising and marketing division.

Problem Declaration
Porter's 5 Forces Analysis
The possible cultural adjustment at the advertising and marketing department of Choosing E Commerce Strategies A Case Study Of Ebayvn Partnership is boosting uncertainty in the workplace leading to numerous challenges for the Jeannie Lewis that would be changing the head of the department in one year. nalysis

PEST analysis

Political Factors: Political factors play a major role in influencing strategic decisions given that Stapes Inc. needed to abandon its strategies of merging with Workplace Deport after the Federal Profession Commission's treatment while doing so. Given the reality that the shop has an international existence with branches in UK, U.S.A., Canada and Germany, political factors in each of these countries might be able to impact efficiency or critical objectives. Federal Profession Commission's antitrust fit versus the merger occupied beneficial time of the company's elderly management suggesting that 'political' factors can have serious ramifications for a global company.

Economic Factors: Economic factors such as the introduction of small companies in the global scenario recommend that Choosing E Commerce Strategies A Case Study Of Ebayvn Partnership is prospering in an atmosphere where there is potential growth of companies. Fact that store consumers are primarily looking for workplace supplies for residence workplaces suggests that the market has a climbing trend of entrepreneurs as well as home based organisations.

Social factors: Social trends in the economic climate reveal that clients are trying to find benefit in addition to attractive prices. Marketing research shows how the consumer for Choosing E Commerce Strategies A Case Study Of Ebayvn Partnership does not have awareness about locating solutions which can offer a combination of convenience and also low costs.

Technical factors: Technology plays a vital duty in Choosing E Commerce Strategies A Case Study Of Ebayvn Partnership's company approach particularly as the organization is piloting Technology centers which would use technology sales and assistance in the kind of memory upgrades, peripheral installations. (Summary of PEST in appendix 2).

OB Issues and also Manifestations.

A number of underlying Business Habits issues can be seen in Choosing E Commerce Strategies A Case Study Of Ebayvn Partnership's case as highlighted in this section.

Worries regarding cultural modification: There is uneasiness concerning a cultural adjustment that would take place when Todd Krasnow leaves from his setting as the Executive Vice President of Advertising And Marketing with a lot of the staff members already showing discontent over this prospective step. This predicted modification has actually created stress and anxiety in the work environment which has been paired with the past stress and anxiety of preparing the company for a prospective merger with Home Deport.
Pest Analysis
Stressful Work Setting for Newcomers: There is shortage of personnel that can match the stressful environment of a busy organization. Not just does this cause difficulty in finding the ideal individuals, it places stress on new hires as can not endure the pace and also pressure that the organization anticipates them to birth.

Twin Coverage Lines: Beginners locate this business culture cumbersome as well as tough to cope with particularly as dotted line relationships are indicated to be weak in general as well as unbiased setup and also performance analysis is still done by the solid line manager. This suggests that newbies might lose clarity regarding their corresponding duties as well as objectives especially as populated line reporting does not maintain them in direct interaction with the strong line supervisors.

Animosity From Cross Departmental Hiring: Krasnow's decision to make Lewis his successor rather than Bridget Coles despite the fact that it had been hypothesized that the latter would certainly take Krasnow's position came as a strike to her spirits. Lewis may have been capable as well as suitable for the work yet the truth that Kransnow's departure would certainly make Coles a direct record to Lewis might have been the factor for Coles' resignation from solutions.

Worry & Job Instability: Anxiety and insecurity can be recognized as two significant problems that Lewis would certainly be managing particularly as the merger has now be cancelled and also two senior executives of the advertising department would be leaving. The whole responsibility of the department would certainly be dropping on Lewis's shoulders that would not simply be in charge of brining concerning a cultural change but would also need to confirm herself in her new function.

Inappropriate Administration Style of Leader: Lewis's management design as well as its conflict with the marketing department's duty can likewise be seen as an OB obstacle particularly as she has actually been made use of to handling issues in the operations division where employees are taught to focus on procedures as well as obtain them right. The advertising division on the various other hand can be viewed as a group of individuals that are used to being nurtured by Krasnow who concentrated much more on output than procedures.

Interdepartmental Disputes: Interdepartmental arguments in between three divisions, advertising, merchandizing and operations respectively over the appropriation of the marketing mix can be determined as another OB problem. The marketing department does not share the exact same vision as the various other two departments pertaining to the aloocation of the advertising mix twoards promotions and also advertsing, the merchandizing and also operations divisions do not concur over the marketing mix allowance among one another either.

Fragmentation in Advertising And Marketing Division: Disintegration in between the advertising and marketing departments can be determined as an additional OB issue which might need further focus. The reality that the marketing and advertising areas in the advertising and marketing department are separated is stopping both departments from gaining from each other's experience and proficiency. Combination of advertising with merchandising and also procedures would end up being harder if the advertising and marketing department itself is degenerated which can be another prospective OB problem.

Choosing E Commerce Strategies A Case Study Of Ebayvn Partnership Analysis

Different theories have been utilized to clarify the circumstances to obtain further clarity concerning the scenario handy.
Swot Analysis
McGregor's Theory X & Y: According to Douglas McGregor's Theory X, most supervisors believe that subordinates are passive as well as lazy, have little aspiration and withstand adjustment. The tough variation of this theory stressed coercion, tight controls, dangers and punishments. Gradually it creates low productivity, refined sabotage and also competition (Deal, 2003). The circumstance at Choosing E Commerce Strategies A Case Study Of Ebayvn Partnership is not completely complying with Concept X, it can be seen that brand-new hires are discovering this atmosphere instead stressful which may eventually lead to a better disposition of the management towards Theory X. As per McGregor's promoted sight, which he called Concept Y, the crucial job of the administration is to set up organizational conditions to make sure that people can attain their very own goals best by directing their efforts in the direction of business benefits. If people find no fulfillment in their work, the monitoring would certainly have little choice but to rely on theory X and external control (Deal, 2003). Also while analyzing Lewis's management style, theory X may have appropriated in the operations department somewhat however the Marketing division would need dependence on Theory Y in order to get the creative thinking and also originality from the groups.

Tuckman's Teamwork Theory: As far as Lewis's concern regarding bringing harmony in between the advertising and advertising and marketing division is concerned, this would originally lead to contrast as talked about by Bruce Tuckman in his 'Synergy Theory'. By integrating the advertising and also marketing division's work, there might be the very same preliminary detach which could lead to the second phase of 'storming' where the groups challenge one an additional.

When individuals are presented with adjustment, they go into stage one as well as so there might be emotions like unhappiness, unpredictability, stress, anger, worry, denial as well as disorientation.The situation at the advertising division of Choosing E Commerce Strategies A Case Study Of Ebayvn Partnership is comparable so Lewis can obtain comfortable with the idea that it is not amazing behavior. It is during this phase that Lewis will certainly have to give support to the division so that they can find a feeling of direction. It can be seen exactly how Krasnow has actually currently made this change less complicated by making Lewis get involved in the department a year prior to his real separation.
Vrio Analysis
Abraham Maslow in his Concept of 'Demands Pecking order' (appendix 5) has goes over the relevance of 'safety and security needs as being a lower level need of a human for setting off motivation. As seen in the pyramid shared in appendix 3, we can see how 'the need to really feel protected and also out of threat' is at the second level of demands. Before a staff member can be made to develop psychologically, he needs to have his 'Physical 'as well as 'Security' needs met.

SWOT Analysis for Choosing E Commerce Strategies A Case Study Of Ebayvn Partnership Case Study

Implication of Analysis.

The OB analysis has taken a look at different concepts to comprehend how to manage the existing situation handy. The complying with 3 choices have been proposed to assist Lewis deal with the business difficulties in the advertising and marketing division. Each of these choices has been proposed for reducing the shift needed to bring the marketing department according to the requirements of the marketplace and for making the social change that would follow as soon as the present leader leaves.

Combination of advertising and marketing functions. Separating Adverting and Manufacturing functions. Assimilation of Marketing with Workflow.

Assessment of Alternatives.

Judith Shapiro who has actually earlier been talked to by Lewis throughout the earlier merger days has proficiency in business-to-business advertising along with agency as well as retail advertising and marketing experience. When Krasnow leaves, Lewis can work with Shapiro as an EVP for advertising to manage both advertising and marketing as well as advertising and marketing features.

The advantage of this technique is that it will certainly integrate the two features while decreasing the requirement for hiring an extra source for advertising and marketing. Lewis would certainly be heading the advertising division and also in any case her substitute would certainly be needed for the present function that she is executing. The negative aspect of this alternative is that exterior hiring might cause animosity from internal workers that may be eying the setting of EVP after Lewis takes control of Krasnow's setting.

Dividing Adverting as well as Manufacturing: Given the affordable pressures and high top quality job required from the advertising agency, it is recommended that Lewis ought to enable the production system to be a different function from the advertising and marketing system. Given that most advertising firms had these 2 functions as separate systems, it makes even more feeling to comply with the norm.

Integration of Advertising with Procedures: Since Lewis is currently taking care of the advertising and marketing and also operations departments concurrently; it makes feeling to incorporate the two features given that she has actually been successfully taking care of both ends. The fact that Lewis has to adapt her monitoring style for the advertising division recommends that these 2 departments would certainly be culturally diverse.


An evaluation of the three alternatives suggests that assimilation of marketing and also operations would not be a possible action as a result of the large distinctions between both divisions although that currently Lewis is dealing with both. While splitting up of the production function may have been a beneficial step for the advertising division, the reality that it would certainly imply putting a third function under Lewis's wing suggests this must be avoided. The integration of the marketing department is the very best alternative in terms of getting the optimum results from the division. An action prepare for this choice is talked about listed below.

Activity Strategy.
Lewis will take over the function of EVP Advertising and marketing after Krasnow leaves.

Marketing and advertising features would certainly be combined.

Judith Shapiro will certainly be hired to take Lewis's area as SVP of advertising and marketing.

Production function will certainly remain part of marketing under advertising feature.

Lewis will certainly divide herself from procedures.

An autonomous leadership style with employee empowerment will certainly be used in advertising and marketing division.

Open door plan and also focus on cross department interaction will be aimed at getting rid of dissonance.

Contingency plan.

If the integration does not exercise as intended, a contingency plan would adhere to which would separate the manufacturing function from the advertising function to reduce the lots on the SVP of marketing and advertising. In case Judith Shapiro does not get hired, Lewis will certainly be heading the advertising division without an SVP. In that case the production feature will certainly be divided by positioning it under an SVP manufacturing.