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Impact of it on marketing in Mexico

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This article analyzes what aspects of information technology have contributed to change the traditional way of marketing of Mexican companies, the way in which they have had to adjust their business model to integrate what we know as E-Business and the new requirements they face, highlighting the impact on Mexican companies that focus on survival without being able to assign a percentage of investment in information technology.

Introduction

Information Technologies (IT) is the term that refers to the technologies that jointly facilitate the construction and maintenance of information systems. Information is the lifeblood of any organization, commercial or non-profit, it is the key point to solve problems and make decisions that lead to the success of the company.

That is why every company must be at the forefront in terms of IT solutions, technologies that allow the different forms and types of information to be processed, transmitted, manipulated, stored and retrieved quickly, safely and efficiently. Among these technologies we can mention: Telecommunications, electronic commerce, Web marketing, management information systems among many others.

In general terms, there are four ways in which information technologies normally affect companies: impact on efficiency, impact on effectiveness, creation of synergies, and changes in the definition of the business itself.

When a company adopts IT, the ability to achieve its objectives increases, it becomes an efficient entity due to the ability to automate processes that are routine, the different functional areas that make it up give better results because communication and information exchange necessary between them is streamlined with IT and finally the way of operating internally, the way of performing their procedures must be adapted and aligned with IT.

In this article we are only going to focus on electronic commerce, E-Business, Web marketing, as information technologies that have given a turn to the way of marketing a company, companies traditionally carried out the exchange of products only physically and with a geographically limited scope of markets, only products were traded. Now with IT, the market for a company is no longer limited geographically, it not only sells products, it also sells services, services that are not only face-to-face but also remotely and that the customer can receive the product they purchase at their doorstep. House.

But, what really happens with Mexican companies? They are open to adopt these technologies, this article is based on the study carried out by AMIPCI (Asociación Mexicana de Internet) on electronic commerce in Mexico 2006, but before showing the trends Let's review some background on the subject.

1. Business models with E-Business

E-business concept

"E-Business is a term that is called a new way of carrying out the business process by electronic means."

Talking about this concept does not mean talking about software or a specific technological infrastructure, but rather about the way in which these two elements are adapted to the internal processes carried out by a company in order to offer its products and / or services, that is, to market them.

Therefore we can say that E-business is all the activities that a company previously carried out on paper, manually, some companies empirically, others already using modern administrative theories, but all aimed at the interaction of the same company, customers, employees, distributors and suppliers, but now electronically using Web marketing and electronic transmission technologies.

E-business models

A business model is the way of doing business by which a company can support itself, that is, make a profit. The business model explains how a company generates its income and what its cost structure is.

Although Internet businesses evolve almost daily, we can categorize the main businesses that are carried out on the Internet, according to what is published by:

  • Company - Company (B2B): This model is characterized because the electronic transactions that are carried out are between companies, some examples of Web sites under this model are: GemKey.com, PlasticsNet.com, Neoforma.com, MetalSitio.com, Chemdex. com, Zapanet.com, MultiStock.com, Legazpi.com, Mercatflor.com Company - Client (B2C): Perhaps it is the best known model, and consists of the type of company that offers its product and / or service on the Internet, the customer accesses the website, chooses the products that meet their needs and is attached to the electronic cart, makes their payment and then the customer receives their purchase by parcel. The main advantage of this model is the market coverage that it can have, in my opinion the disadvantage is in the form of payment,because in our country electronic frauds generate distrust in people to make purchases on these sites, they still prefer to go in person and have better control of their acquisition.Administration - Company (A2B): This model is the one incorporated by the governments of the different countries mainly to facilitate the procedures, applications, tenders that the government requires for companies. Likewise, the information Client - Client (C2C): These are sites such as online auctions, where any individual can place a product for sale on a special site, a private individual can arrive and purchase the items offered there, an example of this model the mercadolibre.com space known as deremate.comThey still prefer to go personally and have better control of their acquisition.Administration - Company (A2B): This model is the one incorporated by the governments of the different countries mainly to facilitate the procedures, requests, and tenders that the government requires for companies. Likewise, the information Client - Client (C2C): These are those sites such as online auctions, where any individual can place a product for sale in a special site, a private individual can arrive and purchase the items offered there, an example of this model the mercadolibre.com space known as deremate.comThey still prefer to go personally and have better control of their acquisition.Administration - Company (A2B): This model is the one incorporated by the governments of the different countries mainly to facilitate the procedures, requests, and tenders that the government requires for companies. Likewise, the information Client - Client (C2C): These are those sites such as online auctions, where any individual can place a product for sale in a special site, a private individual can arrive and purchase the items offered there, an example of this model the mercadolibre.com space known as deremate.comtenders that the government requires for companies. Likewise, the information Client - Client (C2C): These are sites such as online auctions, where any individual can place a product for sale on a special site, a private individual can arrive and purchase the items offered there, an example of this model the mercadolibre.com space known as deremate.comtenders that the government requires for companies. Likewise, the information Client - Client (C2C): These are those sites such as online auctions, where any individual can place a product for sale in a special site, a private individual can arrive and purchase the items offered there, an example of this model the mercadolibre.com space known as deremate.com

E-business benefits

Now, according to what has been published by the DEMA company on its website, if a company adopts any of the models described, it will have the following benefits:

• Improvement in business management, which allows greater profitability and growth of the company.

• Technologies allow the company to grow efficiently, sustainably and scalable within its environment.

• Greater participation by customers in the business process is achieved, and automation is gained in internal company processes, thus substantially reducing paperwork and time spent.

• Strengthening customer service, optimizing supply chains and accessing new and known customers.

• Increase in the transparency of the processes and their visibility, the information must be available to all the users of the process (external and internal).

• Integrated corporate applications.

• Business process transformed into digital format, there is nothing on paper that is not electronic.

• Digital information is more efficient to create and maintain, easier to search, analyze and share.

2. Impact of electronic commerce on the marketing department.

Marketing in a company is one of the main engines for its operation, through the marketing department a company knows its market and its customers with respect to their needs, desires and behaviors.

In this way, a company can position itself in certain market segments and offer the products that people or other companies demand.

Marketing with the evolution of IT and specifically with the arrival of the Internet becomes a strategy that every company regardless of size must include as part of its operations. As a fusion of the network of networks (Internet) and marketing, Web marketing arises, which is nothing more than the promotional strategies of the company on the Internet.

These strategies must be fully aligned with the mission and objectives of the company and design a functional Web marketing plan according to the current vision of the business, this plan is the decision of each company, which leads to four behaviors:

  1. NOTHING. The company waits to see how the sector evolves. PRESENCE. Create your informative website.EXPLOITATION. Offer some transactional content, sell on the Internet, after-sales service, quality service to current customers. TRANSFORMATION. Reorient all current business of the company.

Under the previous behaviors, a company should not limit itself to just having a presence, but go to the transformation part.

According to the studies of "Electronic Commerce in Mexico 2006" of the AMIPCI (Mexican Internet Association), 51% of sales are generated on consumer items, a figure that is very encouraging for Mexican companies to invest in the information technology based on an electronic business model.

Now based on the study "On the habits of Internet users in Mexico 2006" of the same Association, we find that 60% of computers in Mexico are found in homes and 58.5% have Internet access, percentages that become potential customers if Mexican companies design their business model oriented towards the habits of use of this information technology, which is the network of networks.

Conclusions

Personally, I consider that Mexican companies must TRANSFORM and integrate E-Business as part of their vision, even small companies so that they can have the competitive level that our country needs.

Ravi Kalakota, one of the world's most prestigious specialists in e-Business, commented:

“Abandoning paper-based production processes and adopting information technologies to raise productivity rates is not an easy task, but it is a necessary one. The adoption and use of e-Business will have a great impact on the economy in Mexico »

But for what the specialist comments to have effect it is necessary to change visions and ways of undertaking business, it is necessary that companies change their form of administration traditional, I totally agree that if the company finds the e-commerce strategy it will impact in the sense that they can become exporting companies.

I firmly believe that there are no limits in this and IT is not only for large companies but also for you small entrepreneurs.

References

E. Oz, Information Systems Management, Second Edition ed. Mexico: THOMSON, 2001.

A. Cornella, «Information technology: The return on investment depends on the intelligence of companies,» p. 20, 1998.

DEMA, «E-business and New Technologies«, 2006.

JC Ferreiro, «Online businesses,» p. 47, 2007.

D. Touche, «E-business for business,» Montevideo 2003.

AMIPCI, «Study of Electronic Commerce in Mexico 2006,» 2006.

AMIPCI, «Habits of Internet users in Mexico 2006,» 2006.

Impact of it on marketing in Mexico