Write On The Potential of Fruit and Vegetable E-Tailing in Indian Metro Cities?

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Q 2. Write on the potential of fruit and vegetable e-tailing in Indian metro cities?

E-business/ e-tailing is a concept that has been given many definitions. In India e tailing growth is slow,
due to less awareness of e transactions and not shore of quality of products. In general it is used for
improving the efficiency of established supply chains or for creation of new supply chain networks.
Recently, new information and communication technology have emerged to support e-tailing and e-
sourcing. E- business has the potential to change currently ways of doing business.

For example: By implementing electronic data interchange systems, the internet is the most power full
tool available today for enhancing operational effectiveness. By easing and speeding the exchange
operational effectiveness. By easy and speed the exchange of real time information, it is I mportant
through entire chain of any company and industry. It establish new partnerships and new ways of
working via the internet.

At the movement , it is unclear for managers what e-business can do for their organizations and what
kind of e-tail is applicable to what activities in their specific situation. E-tailing offers direct sales to
customers. speeding up time to market. Implementing flexible pricing and reducing product handling
with a short supply chain. It improves supply chain co-ordination through information sharing.

Establishing new business models towards dynamic supply chain. e tailing starts new business roles of
B2B, B2C.This business model co-ordinates and simplification of logistics. The characteristics of e-tailing
of Agri and food industry.

Supply chain for fresh agricultural products:

In general these chains growers, auctions, whole salers , importers and exporters of retailers and
specialty shops. Basically all of these stages leave the intrinsic characteristics of the products grow or
produced in countryside un touched. The main processes are the handling, storing,
packing,transportation and specially trading of these goods. The chains of agriculture products are used
as raw material for food industry. They is no shelf life expanses of agriculture products. In agribusiness
about 70% of the production value is accountant for by the costs of raw materials. It sis vital for
industrial producers to contract suppliers to guarantee the supply of raw materials.

(1) Network differentiation and market segmentation. The target here is to differentiate as a b-web
to meet the specific demands of customers .

(2) Integrated quality. The target here is to meet the increasing demand of consumers and
governments for safe and environmentally friendly produced products.

(3) Network optimisation. The target here is cost reduction through a streamlined chain with
rational information supply.

Marketing and sales d Customer demand and behaviour monitoring


1. Co-promotion

2.Co-design

Quality control d Tracking and tracing (product quality related)

3.Recall management

4.Benchmarking

5.Product data management

Procurement d Catalogues

a. Forward auction

b .Reverse auction

c.Exchange

Supply chain planning d Tracking and tracing

Co-forecasting, traceability, packaging originate from calves raised according to peters farm.

It provides open information and quality and safety.

Co-operation type Multi-actor horizontal approach (multiple farmers are included but

work independently). Value integration High, the activities of all participants are a prerequisite for

successfulness Economic control Medium, the Alpuro Group co-ordinates the system but all actors

manage their own business Network effect Medium, the more farmers the more known the brand will
be.However, the benefits per farmer will probably not changeE-business Initiatives Typology of
Business-webs After all 16 e-business initiatives were analysed and described in detail (analogous
to Peter’s Farm) we searched for clusters of cases to provide insight into the opportunities of e-
business for food industry and agribusiness (see the Appendix for a description of the cases). In
general, the following conclusions could be drawn.

 The value propositions of most cases relate to the specific characteristics of

the food industry and agribusiness. Nowadays, customers are very

sensitive to food safety and environmentally friendly produced products;

they prefer certified products. Furthermore, the variability in quality,

quantity and timing of agricultural products makes buyers search for ways
to reduce supply risks. Both these characteristics are incentives for parties

to set up e-business-driven supply chains.

 Related to the previous point, most initiatives are instigated via the processes

quality control (food safety) or purchasing (reduction of supply risks). The

ability to track and trace goods is a definite order winner in food supply

chains. When these processes are implemented and function well, the

initiative is often expanded with the processes supply chain planing and

marketing and sales.

 Overlooking the purchasing functionalities of all cases, several levels of the

e-business hubs can be identified:

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