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E-Business Analysis

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E-Business Website Analysis Paper

E-Business Website Analysis Paper

For the purpose of this paper we have selected Joe's Place Fine Wine & Spirits, New Beer Distributors, and of the adult beverage industry to analyze how each of these sites differ in terms of navigation, supply chain, marketing, legal, ethical, and regulatory issues. As we evaluate each of these web sites you will see the ease in navigation, the customer service provided from each website, and how each handles security, confidentiality, and globalization issues.

Consumers can purchase many adult beverages online that are not available in nearby brick-and-mortar stores. Depending on the beverage's price, the quantity purchased, and the method of delivery, consumers can sometimes save money by purchasing their adult beverages online. Since shipping costs do not vary with adult beverage prices, consumers experience the greatest savings on expensive adult beverages; while brick-and-mortar stores may offer better prices on less expensive beverages. An empirical study of the adult beverage market was conducted in McLean, Virginia that showed if consumers would use the least expensive shipping method, they could save an average of 8-13 percent on adult beverages costing more than $20 per bottle, and an average of 20-21 percent on adult beverages costing more than $40 per bottle. (Federal Trade Commission, 2003)

State bans on interstate direct shipping represent the single largest regulatory barrier to expanded e-commerce in adult beverages. More than half the states prohibit or severely restrict out-of-state suppliers from shipping adult beverages directly to consumers. Many of these same states, however, allow intrastate direct shipping, such as from in-state wineries and retailers. According to the Federal Trade Commission, at least seven states have filed lawsuits regarding the direct shipment of alcohol between states. Texas, North Carolina and Virginia struck down the suits thus making it illegal for a manufacturer or distributor to ship liquor out of state. Other lawsuits are still pending. Rather than risk illegal activities, and other online liquor vendors are skirting the issue, making deals with off-shore distributors to keep politically powerful wholesalers happy and comply with liquor regulations.

An upstart company, processes orders and allow another licensed liquor retailer licensed in 30 states, Drinks America, fulfill the rest of the orders. Because Drinks America distribution centers in each state buy their supplies from wholesalers in those states, everything is completely legal. Another company, has an affiliate network of licensed retailers. They offer delivery normally between three to five days, but do offer same-day or next-day delivery in many areas. It depends on the location of the customer (O'Brien, 2000).


In today's competitive business market it is essential for supply chain managers to develop and recognize a sound strategic plan which captures the opportunities to use Internet-based technology.

Organizational change is required and sometime presents a challenge in the work environment for adapting to a new technology. If people and the way their traditional vertical accountability and authority are organized throughout supply chains do not adapt to the potential offered by the Internet and Business to Business technology, the savings expected by this change will continue to remain unrealized (Bednarz A, 2005).

For any business working hard is important but there is one thing more important working smart. Joe's like many other business turned to technology to help them reach customers that other wise it will be impossible to reach.

The presence of technology in business in today's society, brings with it new challenge for ensuring confidentiality. In today's society where legal and ethical issues are pushed to the maximum limits, for daily business operations it becomes very clear how the attitude pervades around us, that if there are no rules against something then it must be ok to do it.

Businesses often tend to forget that these ethics and values also apply on the internet. We need to understand that this can affect you and your business practices as a whole.

Joe's Place website is geared to the "everyman". It offers specific product information, a recipe and food guide, current product specials as well as links to other related businesses and organizations.

Product information includes a description of the region the beverage is produced, winery details and different types of wine. The user can move easily from one page to another on this site without opening other pages. It has a friendly look and feel, offering wine tasting and recipes for cocktails for every taste.

Located in Norman, Oklahoma, Joe's Place also has a "webtender" where the user can type in the name of a drink and the "webtender" will provide the ingredients and instructions to make the mixed drink. .

Joe's place can be consider a "click and mortar" (part physical and part Internet) business, but it follows the complains of legal, ethical an regulatory status of the alcoholic beverage industry by posting right in their front page that State Law requires all retail package alcohol sales to take place in the licensed premises. The buyer must remove the goods from the premises. They are not permitted to ship alcoholic beverages. They also make sure right from the beginning that Oklahoma State Law does not allow any person under the age of 21 to enter premises that are licensed for the retail of alcohol. Alcoholic beverages may not be sold to anyone who is not 21 years of age an older.

At Joe's place personal security of Joe's customers is taking very seriously. Joe's uses many of the accepted encrypted internet technology to safe guard its client's personal information, credit card numbers or banking information in a secure manner. Joe's web site is continuously updated with this web technology.

They may use E-mail to communicate with the customer to inform them about events and topics that may be interested to them. Joe's place also may solicit the customer feedback and opinion, in order to help the store



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