Jacob M. Flores
University of Phoenix
Accounting Information Systems
February 9, 2009
Brick and Mortar Businesses and E-Business Strategies
Over the past two decades, technological advances in the business world have played an integral part in the success of businesses. The launching of the World Wide Web opened many doors for both consumers and businesses. Suddenly, what seemed impossible for consumers to obtain was merely a click away. Additionally, businesses that operated solely a brick and mortar operation found that they were losing a vast market share of business to the modernized click and mortar businesses that had online operations as well. Best Buy is no stranger when it comes to analyzing the advantages, limitations, and risks of using the Internet for business activities. About Best Buy
Best Buy started as a small store named The Sound of Music in St. Paul, Minnesota in 1966. In 1983, the board of directors of The Sound of Music approved the adoption of the name of the company consumers know today: Best Buy. By 1993, Best Buy had become the second-largest retailer of consumer electronics. And 34 years later, in 2000, Best Buy entered the online retailing business with its launch of www.bestbuy.com. Advantages, Limitations, and Risks
One major advantage of using the Internet for business activities is that studies show that the number of consumers who chose to shop online has increased steadily in recent years. Six months after Best Buy entered the online retailing business the website had not yet become profitable; however, BestBuy.com’s vice president of marketing, Barry Judge, seemed convinced the site was well on its way. Best Buys stores have 200 to 300 million shoppers per year compared to the 100 million online visitors to the website less than 12 months after its launch. Many consumers also enjoy visiting websites from the comfort of their home prior...