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ASSIGNMENT FRONT SHEET

Qualification

Edexcel BTEC Level 5 HND Diploma in Computing and Systems


Development

Unit number and


title

Unit 01: Business Skills for E-Commerce

Assignment due

Assignment submitted

Learners name

Le Phuc Hai GC60371

Assessor name

Nguyen Khuong Bao

Learner declaration:
I certify that the work submitted for this assignment is my own and research sources are fully acknowledged.
Learner signature

Date

Grading grid
P1.
1

P1.
2

P2.
1

P2.
2

P3.
1

P3.
2

P3.
3

P3.
4

P3.
5

M1

M2

M3

D1

D2

D3

Assignment title

ULKOM BICYCLE HIRE

In this assignment, you will have opportunities to provide evidence against the following criteria.
Indicate the page numbers where the evidence can be found.

Assessment criteria

Expected evidence

Task
no.

Assessors Feedback

LO1. Understand the structure and aims of business organisations

1.1 assess an
organisations core
business functions
1.2 evaluate an
organisations business
aims and show how
they relate to
stakeholders

What type of organization


ULKOM is and what is their
main aim?

A full SWOT analysis table.

LO2. Understand the impact of e-Commerce

- The benefits to customers


and to the organization of
introducing the e-Commerce
solution.

2.1 analyse the impact,


including the risks, of
introducing an e- The potential cost of
Commerce system to
implementing the system,
an organisation

2.2 discuss the global


impact of e-Commerce
on society

any support staff that might


be needed and what back-up
Your discussion should
include a comparison of two
countries across the world.
Consider for example, the
impact of e-Commerce in the
US and UK.

LO3. Be able to design e-Commerce solutions

3.1 investigate market


potential for an eCommerce opportunity

3.2 evaluate current eCommerce systems in


use by organisations

You must find organizations


that are involved in the same
kind of business.

3.3 discuss the


financial implications
of an e-Commerce
solution

3.4 design an eCommerce solution


Use block diagrams to fully
design the structure for the
proposed system.

3.5 evaluate the


suitability of an eCommerce solution

Assessment criteria
M1 Analyse concepts,
theories or principles to
formulate own responses to
situations.
M2 Analyse own
knowledge, understanding

Expected Evidence

Feedback
(note on Merit/Distinction if applicable)

and skills to define areas


for development.
M3 Exercise autonomy and
judgement when
implementing established
courses of action.
D1 Evaluate approaches to
develop strategies in
response to actual or
anticipated situations.
D2 Evaluate and apply
strategies to develop own
knowledge, understanding
and skills.
D3 Determine, direct and
communicate new courses
of action.

Summative feedback

Assessors
Signature
IV Grading Check:

Date
Comments if any:

Agree
Disagree

IV Signature

Modify grade to

Date

<ATTACHED EVIDENCE>

ULKOM BICYCLE HIRE- is a bicycle hire business for many years and their main aim
is served precisely the needs of people rent bikes with the unique needs of each
individual or organization. Although small business but with the economic situation
and developing technologies, all business activities of the company are processed
by hand is a pretty big disadvantage for them. They will be very inconvenient in
updating the business situation of their own items, including things like details about
who to hire, the time of hire and return rental bike because they have three branch
and one headquarters at different places, so they would be hard to summarize the
situation to the company's business. On the other hand, each branch had own
database and is operated by the way: when a client hires a bicycle from a branch,
they can pay it at a different branch and companies still can update the status
information about the bicycle's rental was over the phone. With the way on, the
basis of the data of the company will be changed to one manually, so be very
wasting time and easy to encounter errors.
This is SWOT analysis of company:
Strengths:
There are many establishments in big cities like headquartered in
Cambridgeshire and three branches in London, Manchester and Cardiff.
There are many bike rental experience for many years and has a good image
in the market.
Using of multiple vehicles for service such as: road bike, mountain bike,
touring bike, folding bike.
Flexibility in hiring, pay the bike was rented. For example, when a client hires a
bicycle from a branch, they can pay it at a different branch.
There are a certain number of customers in many years.
Weaknesses:
All of its business activities were written by hand.
No clear classification of customers using the service.

The updated information about the vehicle is leased from the branch by
telephone will waste time and easy to encounter errors.
Opportunities:
Have a central database with a web-based solution, will improve performance
and reduce encounter errors.
Expand brands to other city.
Bicycles is a common vehicle for travelling in UK. Nowadays, it becomes
popular trend to all students because it's convenient and cycling is also help to save
environment, your money pocket...especially keep fit.
Tourism development will promote service users increased.
Threats:
Easy to lose customers information because the database has not been
finalized.
Facing extremely competition by competitors working together the same
services. In UK, there have a lot of companies which also have the service-hiring like
British Bike Hire, Malvern Bike Hire Company, New Forest Cycle Hire, etc.
Easy to happen lose bikes with many different reasons.
After hiring bike, the bike may be damaged or lost.
Strengths - Opportunities:
Expanding more branches will help to enlarge business operations and raise
the market share.
Organizing some programs to instruct about bicycle-renting process to make
customers feel convenient when using. Beside, that will make friendliness between
customers and the company.
Strengths - Threats:
Set up database systems and decentralize the security of data for the leader
of each branch.
Build the database-backed up systems in case any worse situation occurs.
Weaknesses - Threats:

Co-operate to the developed companies to overcome technical problems and


reduce competition with others companies.
Weaknesses - Opportunities:
Enhance and improve equipment.
Organize some training courses for all staffs about database and database
management.
With them have many branches in different cities so their market has been
expanded, the number of potential customers and sales at each branch will also
increase. Attached to it, they have been trading for many years, so it has been a
large amount of regular customers, which is also seen as a form of advertising used
by the person making the items of business, so that when the old customers or their
friend in need, they immediately think of the company's services.
The company offers a variety of services for their vehicles is to diversify its users, so
they came up with the vehicles for students, tourists, workers with different prices to
conform with the above objects and purposes of each type of vehicle such as going
to school, traveling, hiking, sports, etc.
The further development will require less investment than for bikes with no high
amount of investment as other items, so the company can focus capital for
investment in other services.
One e-commerce solutions for ULKOM to implement the objectives has
some specific impacts:
Set up a data system about the companys business activities especially the
strong point of renting-services, so customers will be easy to find out necessary
information about hiring such as kind of bicycles, features and rental specifically and
particularly.
Between each branch has a connection through an official web page. All data
of each branch will be updated continuously and accurately. Therefore, customers

can hire a bicycles in one branch and return it to another branch. Beside, it will be
updated instantly.
By customers renting registers, company can grasp the demand of customers
in concrete places, so they can arrange necessary quality of vehicles for each
branch and ensure the timely supply for them.
A customer can book to hire a bicycle through online web page and they must
be paid 20% in advance. That will save time and make sure that customers will use
services of company.
With the consequences of business processes which is restored and totalized
in many periods, company can draw experiences and make plans for the next
development trends.
When the customers information is available, the company will be easy to
inform the promotions for them early and effectively.
Some risks relate to the implementation of the system:
Risks about data:
Secret information of company can be lost.
Some webpages forge the prestigious of company.
The online payment system could be attacked by hackers.
Virus can break into, destroy and reverse data totally.
Sometimes, there has some fake registers.
Risks about technology:
The technique carelessness of the staffs when transmitting data or clicking
mouse by accidentally could make all data be abolished and cause serious damages.
Risks by objective factors like broken machines, bad weathercan paralyze the
activities of company.
E-commerce has a wide and deep impact to society by two aspects: positive and
negative. However, the nucleus is still the benefit it brings. E-commerce mark the

beginning of new system with high productivity. It is also great chance of trading to
develop economy. That is the reason why most people invest a lot to E-commerce.
Change society:
Consumers these days are able to use the online shopping to buy all their
needs such as: books, clothes or even services.., and all are responded immediately.
As a result, the society become modern and improved. In addition, the concept of ecommerce has brought a significant influence to the labour market. It creates job
opportunities and the requirement of a high knowledge of technology such as:
website designing, credit card deal, internet security, online marketing, etc...
Impact to the economic:
E-commerce brings a diversified and plentiful commodity economic. A lot of
different goods and services are provided when buying online.
Through the habit when buying or ordering of customers, inventory items can
be controlled than traditional shopping. In addition, businesses are easy to grasp
shopping trends of customers to produce more effectively. Beside positive points, ecommerce also brings many challenges. Growing up strongly of e-commerce in
global market is required managers must have development trends which is suitable
with the changing of customers demand, respond to the ability of connection and
trade quickly, If not, the company will be omitted.
Impact to behavior of consumers:
In past, it took a certain time when consumers want to buy something. But
now, they can buy online by their phone or laptop. It helps to limit time and the
distance between the consumers and sellers. Therefore, E-commerce has changed
the face of economy, it brings many new ideas in business and will also affect to
customers behavior when shopping online in future.
Internet sales by UK business had expanded from just 18.6 billion in 2002 to
125.2 billion in 2006 and by the following year had increased 30% to 163 billion;

of which the wholesale, retail, catering and travel sector was the largest at 79.4
billion.
The 2007 e-commerce survey also showed a significant increase in the value of
internet trades.
Other findings were:
Internet sales represented 7.7% all sales (39.3% by value) by non-financial
sector businesses.
Internet purchases by all non-financial sector businesses had risen to 30.4%.
70.3% of businesses had a website 15% of businesses were selling online.
(http://www.e-service-expert.com/e-Commerce-UK.html)
E-commerce brings many benefits, however, there are still considerable problems.
First is the customer's personal information. Until now, many people are still afraid of
dealing via website. They are scared that their personal information will be
transferred from one service supplier to others because they dont want to be
gathered in mail lists of businesses or annoying and time-consuming advertisement.
They worry about details in their credit card will be released so money can easily be
taken away due to the increase of cyberattacks even network with high security.
Through analyzing, to guarantee the customers' information by e-commerce is a
very important. Therefore, businesses must develop many solutions to secure
information in economical efficient and appropriate way.

Present day, bicycles are a popular means to travel within the UK, and it is becoming
common trend for people. This is quite understandable because cycling helps
protect environment, save your money, and also very good for health. With
population about 63.7 million people, internet usage per year up to 82%, profit from
online sales about 110.5 billion in 2013 according to IMRG/Capgemini, this is big
market for e-commerce business in general and in particular for ULKOM. Internet has
growth in insane speed for several years in UK, so all transactions and payments

have been changed into online. Data is stored in the same online system and all the
parts almost depend on Internet. Therefore everyone can find out any information
about "ULKOM BICYCLE HIRE Company" easily and quickly, it is the best way to
approach to customer now. On the other hand, with e-commerce solution, customers
can consult in detail all the services of company, then, they can book to hire a
bicycle through online web page, and, all procedures will be completed in a few
clicks, it is useful for everyone use services and save their time. So, ordering online
will attract more people from every components in every ages, etc. Especially, to
whom are busy with their schedule, finding information or ordering service online is
first choice to save time and expenses, example: finding out information about kind
of bicycles at store, booking and paying rental is completed easily by internet
without coming to store. It is very convenient for customer could return bicycles in
any branches. With all of the above, UK has great potential market for e-commerce
business, especially for ULKOM.
The business always comes with competition, the following are the comparison of
three companies which also use e-commerce for business.
British Bike Hire:
They have a suitable ecommerce solution. In their website, we can see all the
needs to hire a bicycle that one company should have. Moreover, they use the site
to organize the event for bikers to take part in, it is useful to make up their own
brands to compete and attract a lot of people. One of their strengths is that they can
put the bike with one group of people at the same time, it is no in ULKOM, that help
companies classify users to easily manage and delivery services fittingly.
Malvern Bike Hire Company:
Different with British Bike Hire, Malvern Bike Hire Company has a traditional
business, but they have been optimized enterprise by focusing on key functions is
bicycle renting. And, consultants use the service by introducing some places which

have beautiful scenery and fascinating for those traveling with a reasonable price.
They were voted "Best View in Britain" by Rambling Association.
New Forest Cycle Hire:
Each competitor has their own primary function and New Forest Cycle Hire too.
They have a special function than the other sites, it is "routine". This function can
help people to make a suitable schedule for all the activities they want to do in and
type of bike. Follow that the company will send the kind of bike that suits their plans.
E-commerce is the process of managing online financial transactions by individuals
and companies. This includes business-to-business (B2B), business-to-consumer
(B2C) and business-to-government (B2G) transactions. The focus of e-commerce is
on the systems and procedures whereby all the types of financial documents and
information are exchanged. This includes online credit card transactions, e-cash, ebilling, e-cheque, electronic invoices, purchase order and financial statements. Ecommerce is particularly concerned with the technologies that enable EDI-type
functionality on the Internet. (http://www.ukessays.com/). Transparent finance will
help E-commerce work better. When selling and buying is performed easily, a lot of
e-commerce transactions will be created. But e-commerce business is not that much
easy as it seems, it still has several challenges for carrying out. E-commerce
business will be profitable if company have a large amount of customers. Ecommerce have to focus on quantity, it requires the company have to always
enhance modern equipment and concentrate on the quality of service. And it is also
depend on customers pocket money. To make customer willing to spend their
money to use companys service, ULKOM need to provide best services for all
customer and give them some lucrative offers likes with ten bicycles rent they will
be free of charge one bike, round price tagging, bonus card, special home service
delivery or company. ULKOM follows the hybrid model, which helps to increase their
sales and overall revenues. The company can provide a new offer, like free credit
system for its customers. The credit will be provided according to their credit score

or credit history and they will payback just a little bit money by weekly or bi-weekly
or monthly. Collecting payment is very important in e-commerce. For making
payment, customer can use their visa, master card or maybe use their Paypal
account because it is quite safe. After making payment they will get free home
service delivery in UK.
Based on the information analysis and research above, as well as the needs of
company owners, I will design an e-commerce solution for ULKOM, we have to
propose a strategy business, which make us superior to its competitors, hiringservice will be available for 24 hours per week, 365 days a year.
The design of an e-commerce solution:
Database of
ULKOM

Website of ULKOM

London

Manchester

Cardiff

branch

branch

branch

Information of each bike

Order

Payment
Domain name
The first solution of e-commerce is a set domain name for the company. First,
use name or brand name of the company such as ULKOM.com, ULKOM.co.uk, etc.
Without own domain name will restrict the business of participating companies
exploiting customers on the Internet.
Web hosting
We must choose a web hosting with stability, speed and safety. Speed,
reliability is extremely important for the success of any online business. Each vendor
web hosting packages with different capacities. Therefore, we must choose suppliers
with the hosting package meets your needs. When we have need of expansion, we
will easily upgrade them.
Web Design
Beautiful interface, innovative, modern, consistent with the brand identity of
the business.
Integrated automatic functions on the site such as ordering, billing, reporting
and management processes.
Create a login account for the customer to rent a bike.
Provides detailed information about these products help customers to easily
choose suitable products.
Online Marketing
Use the strength of social network to advertise about website, for example:
facebook, twitter, ...
Leveraging customer information, and use email marketing for advertise.

Business analytics to support marketing decision making (including


statistics/econometrics, sales response models, operational planning).
Built-in features of website promotion on the Internet, allowing optimization of
product image promotions and enterprise.
Payment method
Optimize hiring-bike button for customer to do anything easier.
Providing diverse payment methods, flexible directly or indirectly through
prestigious partners such as Paypal, Gateway, etc.
Customer Relationship Management (CRM) is a set includes: management, caring
and set up the relationship between customers and businesses. Nowadays, every
enterprises and most people are agreed that the way you treat to customer is the
determining factor to the future destiny of the organization. So, similar to other
companies who also have hiring-services, they need CRM solution appropriately and
effectively.
According to me, taking customer's belief and increasing sale, CRM of
company includes these factors:
Put the quality of service and vehicles to the top. Follow and check its quality
regularly.
Create the prestigious about companys brand name to customer who had or
have been using the bicycle renting service by providing timely, quickly and fully
with customers demand. Having special promotions for customers who have been
using services regularly.
Look for, attract and take belief of new customer by studying the demand
which is more and more diversified of customer to carry out new vehicles more
suitable as well as some attractive promotions.

Based on customers data available, enterprise can analyze, build list of


potential customers and longtime customers so that propose the caring strategy
properly for customers.
Solving problems of customers arose fast and efficiently.
Receiving feedbacks of customers to improve services better.
Follow the strategy of rivals in order to put forward solutions rightly and
efficiently.

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