E-Business Case

In today’s complex business world electronic business or e-business is a major industry for businesses. E-business for some companies actually keeps them in business. In this paper this student will explain how e-business has affected Gamestop corporation’s business processes. This student will analyze the advantages, limitations, and risks of using or not using the internet for business activities. Gamestop Corporation is an American video game and entertainment software retailer. The company’s headquarters is in Grapevine Texas, and operates 6,700 retail stores worldwide. They also have one of the best electronic business sites that allows users to purchase, and pre-order video games. Gamestop.com also allows users to purchase accessories and strategy guides that may not be available at their brick and mortar locations.

Advantages of E-Business

According to Small Business Chron.com (2014) “The Internet has been a door to a myriad new business opportunities. Business owners of e-businesses and their customers find advantages in Internet transactions as opposed to brick-and-mortar operations. If you are thinking about starting an e-business or adding an online component to your existing business, discover some of the advantages e-business offers”. Some of the advantages are cost effective marketing, flexible business hours, eliminates geographic boundaries, reduces transaction cost, and low overhead cost. Physical retail is driven by branding and relationships. In addition to these two drivers, online retail is also driven by traffic from search engines. It is not unusual for customers to follow a link in search engine results, and land up on an ecommerce website that they have never heard of. This additional source of traffic can be the tipping point for some ecommerce businesses. Lower cost is one of the most tangible positives of ecommerce. A part of these lowered costs could be passed on to customers in the form of discounted prices. Some of the ways that costs can be reduced are advertising and marketing, personnel, and real estate. Another way gamestop.com allows the company to succeed is 24/7/365 you can purchase new and used products. All of these advantages allow Gamestop.com to be an industry leader in electronic business. Gamestop uses their brick and mortar locations to support their electronic business website. When a customer is looking for a specific game if the store does not have it, the customer can order the game from Gamestop.com and have it shipped to their home with free shipping. Gamestop likes