Submarino.Com: The Challenges of B2C E-Commerce in Latin America Essay Sample

are generated from selling ware purchased from providers. held in stock list and shipped to consumers.

Fiscal support from investors bing US $ 108. 1 million. including “seed capitol” provided by GP Investments. was generated from June 1999 through February 2001.

5. Marketing Strategy – Submarino’s mission is “to be the preferable online shop by transcending customers’ outlooks in an advanced and profitable way” .

The end of the selling scheme is to be cost effectual and construct a immense community. Relationships with web-portals. marketer spouses. local intelligence beginnings. transporting spouses.

major providers and local merchandisers were developed to make cost-efficient selling plans.

6. Technology – A centralized. yet regionally customized. front terminal web-site was created to keep consistence of its trade name. Back terminal systems are managed by each state and include the electronic catalog.

ERP system and a warehouse direction system.

Recommemdations:

1. Focus on a individual market or similar group of markets. Cultural. economic and regulative differences between each state prevent company-wide standardisations that can impact the focal point on the mark.

Continue to construct the client service theoretical account and heighten the client experience through extra services. payment options and content.

Continue to construct the community with enhanced understandings. partnerships and confederations with portals marketer spouses local intelligence beginnings transporting spouses major providers and local merchandisers.

Decision:

The attempt to turn an e-commerce company in the thick of the dot-com flop of 2000 was a daunting undertaking. While capital was traditionally scarce in Latin America. it became non-existent after the NASDAQ clang. Bonchristiano was able to obtain capital but faced aggressive marks for gross revenues and profitableness from his investors. Bonchristiano’sstrong direction squad and committedness to client service were critical to his success

in spread outing the company internationally within five states. The community that he built added value to the company every bit good as client.Traversing international boundaries brought extra challenges that impacted Bonchristiano’s original vision of an international online shop.

Disparate linguistic communication cultural and regulative factors prohibited company-wide standardisation an increased operating costs. In concentrating on a individual state or group of states that have similar linguistic communication cultural and regulative factors criterions can be maintained operating costs decreased and the aggressive gross revenues and net income marks achieved.