Key words: E-commerce Service Model, Management Performance, B2C platform, Empirical Study

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1 doi: / An Empirical Study on B2C E-commerce Service Model and Management Performance in Small and Medium Sized Enterprises Haiyong Yu * School of Business Administration, University of Science and Technology Liaoning, Anshan, , China Corresponding author ( haiyong_1977@163.com) Abstract: Electronic commerce, as a new trade mode, has changed the traditional trading mode and circulation technology. Through the use of e-commerce service platform, small and medium enterprises can strengthen the contact with customers, optimize business processes and reduce management costs. In this paper, the author makes an empirical study on B2C E-commerce service model and analyzes the management performance in small and medium sized enterprises. Based on the empirical analysis, we find out the main factors that influence the electronic commerce enterprise performance, and get the important degree of each index on the common factor through factor analysis. E-commerce services can provide a higher quality of value-added services, which has an important significance for the survival and development of SMEs. Key words: E-commerce Service Model, Management Performance, B2C platform, Empirical Study 1. INTRODUCTION From the beginning of the last century in 90s, the network into people's lives. After entering the twenty-first Century, the rapid development of the network economy, e-commerce is to make the traditional business model of the revolution in the form of. Electronic commerce as a new trade mode, is rapidly changing the traditional way of trade and circulation technology in people's economic activities, it breaks the boundaries of time and space(kim,2009). It has greatly promoted the rapid development of the global economy and trade, but also is changing people's life style and idea. Our country's small and medium-sized enterprise develops rapidly, but the small and medium-sized enterprise electronic commerce is still in the import period(park,2003). After several years of development, the network user group is rapidly expanding, because of China's small and medium-sized enterprises are mainly labor-intensive, low value-added production, information and equipment usage is low, about 90% of small and medium enterprises have not really use e-commerce operations. The current development status of e-commerce services for small and medium-sized enterprises in China is mainly reflected in the following aspects: compared with large enterprises around the slow development, large difference; due to the small and medium-sized enterprises lack of funds, so in the information technology investment funds rarely, lack of information technology, e-commerce is the development of small and medium-sized enterprises are required to combine online and offline. Most small and medium-sized e-commerce is still in the information release, collection, exchange phase, the formal signing of the contract and the contract, payment and distribution and other activities basically can only be carried out under the net. Most small and medium-sized enterprises want to use the Internet to carry out e-commerce, but the actual application of the smaller, the lack of a clear strategic planning(cattani,2006; Huang,2013). E-commerce market service quality is not optimistic. Now the e-commerce market trading environment, accompanied by the separation of the logistics and information flow, currency flow, diversified business model development, the emergence of a variety of forms of payment, and the transfer of ownership of the goods and logistics is not synchronous, the flow of Commerce and logistics are independent of each other. This will bring new risks: logistics, business flow and money flow may not be consistent. The factors that affect the service quality of e-commerce platform include security, trust, availability, responsiveness, delivery, collaborative communication, customer care, customization, and many other aspects(jutla,1999). It is because B2C is in a stage of rapid development of e-commerce market, some businesses experience enough, consumer demand is not fully understood, including inadequate logistics industry and developed a variety of electronic payment instruments in terms of financial security inadequate protection. 2. B2C E-COMMERCE SERVICES 2.1. Electronic commerce value chain Value chain refers to the process of converting raw materials into products or services that meet the needs of customers through a series of value added activities. These activities are closely linked, so that the logistics and information flow smoothly and effectively, and each activity and its convergence should emphasize the value of the customer, the entire value chain becomes a value added chain. The value chain has 3 characteristics: one is resource sharing mode, breaking the traditional corporate pyramid structure; two is the efficient 150

2 management mechanism; the three is to emphasize the active strain(yao,2005). The characteristic of value chain is helpful for the small and medium-sized enterprises to establish a scientific value system and form an effective mechanism to promote the rapid and healthy growth of SMEs. Figure 1. E-business value chain Value chain is divided into physical value chain and virtual value chain. In the form of information, the real value chain is reflected in the information value chain formed by the virtual information world, which is the virtual value chain of the enterprise(anand,2010). Virtual value chain is a kind of information reflected in the value chain, which is different from the value chain of virtual enterprise. Although the virtual value chain is based on the real value chain, but it is higher than the physical value chain(niklas,2003). Traditional managers believe that: the virtual value chain is just a tool to help managers to manage the real value chain, but to create additional value. However, the modern information economy and people's demand for data information goods, so that the virtual value chain management not only create value-added, but also can create value. Unlike in the physical value chain, it can create value, which can bring the competitive advantage to the enterprise E-commerce service model E-commerce services to help online transactions, even if the product is purchased offline, can also provide online customer service. It provides search and comparison functions, and provides specialized information and services. The service tools provided include tracking tools, chat rooms, and automatic response, help system and call center, etc.. From the perspective of modern service industry, e-commerce service model is the extension and integration of traditional electronic services, e-commerce service model is based on the Internet and other computer network based tools to create a business environment, promote business activities as the basic function, is a new form of Xing business service based on network, located in the new modern service industry. E-commerce transaction service model: It provides online marketing, online sales, online procurement and transaction information publishing and other trading services, such as Alibaba. E-commerce business service model: It is based on the network of R&D design, modern logistics, financial management, human resources, management consulting and skills training and other services, such as the full e-commerce services, etc.. Figure 2. E-commerce business service model 151

3 Create value for the enterprise is the fundamental of the electronic commerce mode, the electronic business service model is the form of service to create value for the enterprise. It has the following 3 characteristics: the first is the characteristics of e-commerce and digital service process, on the one hand, the electronic flow instead of the logistics, can reduce a lot of manpower and material resources, thereby reducing the cost; on the other hand, break through the limits of time and space, so that the trading activities can be carried out at any time and any the place, thus greatly improving the efficiency. The second is open, global business services, to create more trade opportunities for small and medium-sized enterprises, small and medium-sized enterprise can enter the global electronic market at a similar cost, that the small and medium-sized enterprises and large enterprises may have the same information resources, improve the competitive ability of small and medium enterprises. The third feature is interactive, B2B services for small and medium sized enterprises and individual consumption oriented C2C services mutual penetration, mutual integration, mutual promotion. 3. E-COMMERCE SERVICE MODE IN SMES 3.1. Problems of e-commerce service in small and medium sized enterprises Compared with developed countries, there is a certain gap between the development of electronic commerce in china. In the legal standardization, payment of security credit, logistics and distribution and personnel training and other aspects of the problem. (1) lack of e-commerce law: In the electronic commerce activity process will often encounter some obstacles, these obstacles or from technical operations, or from Internet viruses or other unpredictable and sometimes can not be excluded, resulting in electronic commerce transaction interruption, thus bring losses to both parties. Due to network communication interruption or due to the intrusion of hackers make the network paralyzed, or because of credit problems, make the sale performance problems between the two sides, because of the above reasons lead to the loss of what to who should be responsible, is a network service provider, or by the sale of which party has no clear laws and regulations. (2) payment security and credit: In the enterprise to carry out the first and second stages of e-commerce, enterprise e-commerce application in online information release, and collected through the Create Company website, enterprise mailbox to build network brand, Internet security is not very important. But if the small and medium-sized enterprises have begun to e-commerce business, through the network to realize the electronic transactions, such as the signing of the contract, order confirmation, payment of funds, so that the whole enterprise management, security management and information network is particularly important. (3) logistics and distribution problems: In our country the logistics system of the Communist Party of China has 4 aspects: one is the logistics platform based on existing problems, the main problem is the system defects caused by segmentation; second, the level of logistics information is not enough; third, the logistics service level and scale is insufficient; fourth, production level of the logistics industry is not high, small production is very common. The logistics of our country is not a link, but lies in the link and the link between the collaborative approach, in the whole logistics operation mode, the whole process of the logistics. So, should the construction of basic logistics platform system, domestic and international trade and e-commerce supporting logistics distribution, distribution service system, gradually improve our logistics platform and logistics operation, to really form a logistics system of industrialization. Figure 3. E-commerce payment security (4) the lack of e-commerce professionals: In the construction and implementation of electronic commerce, communication is a great obstacle, and the development of e-commerce in small and medium enterprises is 152

4 blind and backward, which seems to be the problem of consciousness, but the essence is the talent problem. The influence factors of the traditional concept of employment and wages, many college students and technical personnel are not willing to go to small and medium-sized enterprises of small and medium-sized enterprises, resulting in lower quality of personnel, to comprehend and master degree in information technology, have little or no professional information technology personnel, which is caused by the difficulties of small and mediumsized enterprises implementing e-commerce and information network construction E-commerce service model ASP is a new service agent that provides services for business, individuals and customers through the Internet. Manufacturing oriented ASP application service is not just a simple technical support, but also includes the design, processing, management, marketing and other application services, including the lack of design, processing and management capabilities of the user to provide the corresponding service manufacturing capacity. The ASP service platform, the enterprise can be entrusted to have corresponding capability of the manufacturing service providers for the product design, process planning and NC program of complex parts processing, providing processing equipment, human resources, project management, order, and provide product maintenance services. In addition, ASP application services also include the establishment and maintenance of data centers for business or industry, corporate post office, office system operation and maintenance management and other information services, as well as online training and other technical support. ASP platform for small and medium sized manufacturing enterprises to provide covering planning, procurement, design, manufacturing, management, marketing services for enterprises and other aspects of business services, the implementation of enterprise information and relates to all aspects of the application. In view layer, along the business process, supplier analysis, domain specific consulting, enterprise status and information level diagnosis, information planning and construction, as well as for the global market strategy analysis. Because the ASP enterprise to bring convenience, economy and applicability, which makes a lot of enterprises accept the information business operation mode of ASP, and the ASP market has expanded rapidly, carry out the ASP service company is also growing rapidly. However, our country small and medium-sized enterprise should implement the operation mode of ASP, not be accomplished in one move, it needs the cooperation of various factors to build. From a single technology, with respect to the client / server (Client/Server) technology, computer technology based on the network and the Internet to make information more easily dominated and more economical. However, for customers, security issues more attention, and now can be through data encryption, IP tunnel technology and other network security technology to be addressed, so that enterprises to reduce concerns. At present, the service content, ASP services is still in the exploratory stage, the enterprise resource management (ERP), mobile sales system (SFA), call center, supply chain management, data warehouse, and the working group on the application level, such as collaboration, desktop application suite and project management services are still to be developed and perfect. Figure 4. E-commerce service platform 3.3. Electronic commerce logistics The electronic commerce logistics service platform refers to the various activities and processes of the whole logistics system planning, coordination, operation and optimization, the goal is to in the modern network information technology and logistics management system, establish the integration between the core enterprise in the supply chain with suppliers and distributors, until the user interest sharing logistics the League, through the integrated management mode of the service, and ultimately achieve JIT production, shorten the product from concept to the user in the hands of time, reduce logistics costs, to meet the diverse needs of users to. Through 153

5 the construction of logistics information, can effectively realize the seamless connection between the internal and external logistics integration and integration of internal and external, this will create conditions for the flow of information and the value of resource accessibility, but also build a technology platform for enterprises to adopt agile manufacturing, lean production, flexible management of modern production technology. The implementation of electronic commerce management logistics service platform has its great advantages, mainly reflected in the following aspects: first, can save a lot of transaction cost, using modern Internet integrated logistics, can greatly reduce the transaction cost of logistics within the different links, save transaction time and win. Second, the use of enterprises to establish a strategic cooperative relations, is conducive to play their respective advantages, reduce production costs. Only do part of the work of different enterprises, key business development is better than competitors, for rapid response to market demand, improve product quality, reduce production cost, realize the complementary advantages, to enhance the competitive strength, create conditions for enterprises to achieve "win-win". Third, can reduce the procurement costs, suppliers to facilitate quick access to inventory and procurement information. Procurement managers can be freed from this low value labor, engaged in the work of higher value. Fourth, to reduce the inventory level, through the expansion of organizational boundaries, the supplier can accurately grasp the inventory information at any time, organization of production, timely supplement, so vendors can reasonably maintain inventory, the high inventory can be reduced, no doubt on the supplier cost saving is good. Figure 5. E-commerce logistics service platform 4. PERFORMANCE EVALUATION OF ELECTRONIC COMMERCE ENTERPRISE 4.1. Evaluation index system The theory of enterprise performance based on the domestic and foreign scholars, especially based on the e- commerce service industry enterprise performance evaluation summary and review and analysis of the e- commerce service industry characteristics, this paper based on the balanced scorecard, from 5 aspects of internal management ability, enterprise customers, learning and growth, financial ability and collaborative innovation to evaluate the ability of electronic commerce service industry enterprise performance. According to the principle of systematic, scientific and operational, the index system of evaluating the performance of electronic commerce service industry (see Table 1) was selected and determined. First, under the guidance of the overall level of further decomposition of each of the two indicators, so as to get the three level indicators. Accordingly, the performance evaluation index system of e-commerce service industry consists of 3 layers: the first layer is the target layer; second layer, namely element layer, including the enterprise internal management capacity (B1) and customer (B2), learning and growth (B3), financial capacity (B4). Table 1. Enterprise E-commerce performance evaluation index system Target layer First order index Second order index Performance evaluation of enterprise electronic commerce Internal management ability (B1) Customer relationship (B2) Business learning and growth (B3) Financial capacity (B4) Information collection capability (X11) Processing capacity (X12) Supply chain efficiency (X13) Customer retention rate (X21) Customer satisfaction (X22) Customer trust (X23) Interaction times (X31) Employee training (X32) Adoption rate (X33) Operational capability (X41) Profitability (X42) Development capability (X43) 154

6 4.2. Empirical research This paper shows that the data of enterprise performance includes both financial data and non-financial data. Among them, the enterprise customer dimensions, enterprise internal management ability dimensions and enterprise learning and growth dimensions of the data through the questionnaire survey, browse enterprise web site. First, the factor analysis based on the survey data, extract the main factor of a few from constructing the evaluation index and the name, as the main influence factors of e-commerce service industry enterprise performance evaluation (the main index); then, according to the contribution rate of each factor to the electronic commerce service industry enterprise performance evaluation model; finally and through the correlation analysis shows that the important degree of each factor for the electronic commerce service industry enterprise performance evaluation index system, which verifies the rationality of e-commerce service industry enterprise performance in this paper. Table 2 shows the KMO test statistic is 0.741; Bartlett test of sphericity approximate chi square value is , degrees of freedom 120, with a probability of 0, lower than the significance level Therefore, factor analysis can be carried out. Table 2. KMO test Kaiser-Miyer-Olkin.741 Bartlett Sphericity test Approximate chi square Degree of freedom 120 Significant.000 First of all, using the SPSS17.0 software to obtain the characteristic root and variance contribution rate of each factor, the eigenvalues of 4 factors is greater than 1, the cumulative variance contribution rate of 81.30%, and then, establish the factor loading matrix and naming and interpretation of factors. In this paper, the method of variance maximum rotation is used to make the orthogonal rotation of the factor load matrix to make the common factor more practical. After a number of orthogonal rotation of the factor load matrix as shown in table 3. The evaluation index system of e-commerce service industry enterprise performance is constructed in this paper consists of 12 indicators, obtained by factor analysis, each index on the common factor accordingly: ability of information collection, information processing ability, and the efficiency of the supply chain management of internal capacity factor composed of 3 indicators; customer retention, customer satisfaction and customer trust customer factors 3 indicators, financial ability and operation ability, profitability and development capacity of 3 indicators; communication times, staff training and recommend the adoption rate of the 3 indicators of enterprise learning and growth factor. These 4 factors to the e-commerce service industry enterprise performance evaluation of the importance of the degree of sorting, followed by the internal management capabilities, customers, financial capacity, enterprise learning and growth, as well as the ability to work together. Table 3. Factor load matrix after rotation variable Common factor F1 F2 F3 F4 Information collection capability (X11) Processing capacity (X12) Supply chain efficiency (X13) Customer retention rate (X21) Customer satisfaction (X22) Customer trust (X23) Interaction times (X31) Employee training (X32) Adoption rate (X33) Operational capability (X41) Profitability (X42) Development capability (X43) CONCLUSION For small businesses, the development of e-commerce service platform based on value chain, the integration of business is the only way to carry out e-commerce applications. Through updating management ideas, optimizing business processes, reducing management costs, to achieve a more comprehensive, more timely and effective monitoring, analysis and utilization of the sales system. Enable enterprises to quickly grasp the information, and respond to changes in market demand. In order to improve the company and subordinate dealer and customer relationships, to shorten the supply chain, fast reaction speed, the lowest cost, personalized 155

7 products, solutions and services, improve customer satisfaction, improve market conditions, effectively reduce channel costs, improve enterprise profitability. With the continuous deepening of e-commerce applications, e-commerce services to provide a higher quality of value-added services, which has an important significance for the survival and development of small and medium enterprises. The government should play a guiding and promoting role in the process of e- commerce service model development, to create a good policy environment and infrastructure for the implementation of e-commerce for small and medium enterprises, and as a new economic growth point. REFERENCES A.Enders, T.Jelassi (2000) The converging business models of Internet and bricks-and retailers, European Management Journal, 18, pp A.Niklas and S.Fredrik (2003) Electronic commerce, marketing channels and logistics platform-a wholesaler perspective,european Journal of Operational Research, 144(2), pp C.Druehl, E. Porteus (2001) Price competition between an Internet firm and a bricks and mortar firm, Working Paper, pp D.Jutla and P.Bodorik (1999) Developing internet e-commerce benchmarks, Information Systems, 24(6), pp D.Yao, Q.Liu, (2005) Competitive pricing of mixed retail and e-tail distribution channels, Omega, 33, pp J.Kim (2009) The role of etail quality, e-satisfaction and e-trust in online loyalty development process, Journal of Retailing and Consumer Services, 16(4), pp K.Anand (2010) Context-general and Context-specific Determinants of Online Satisfaction and Loyalty for Commerce and Content Sites,Journal of Interactive Marketing, 24(3), pp K.Cattani, W.Gilland (2006) pricing strategies for amanufacturer adding a direct channel that competes with the traditional channel, Productionand Operations Management,15, pp S.Park, H.Keh (2003) Modeling hybrid distribution channels: a game-theoretic analysis, Journal of Retailing and Consumer Services, 10, pp Z.Huang and M.Benyoucef (2013) From e-commerce to social commerce: A close look at design features,electronic Commerce Research and Applications, 12(4), pp