State University Graduate school of management E-commerce Website [tetchiness. Rue] final project Denies Vagabonds Alexander Sullen Dashboard Statue 2013 Introduction Techno]test. Rue is the online-shop that sells new mobile and smartness that specializes on the ones that are used before. It provides a good collection of high quality smartness from leading companies. This online-shop got very low price for those who can’t afford new one or Just don’t want to waste money for it. Some of these products are exclusive to Russian market and not available for purchase in a regular shop.

What’s more, our shop got a unique idea that allows not only buying new phone but even selling your old one. Special function on a web-site makes customer able to request his phone by making a description with photos and price suggestion. With competitive pricing strategy along with advanced marketing and excellent delivery service, we believe, we can make our business one of the most successful online business in near future. We strive to be a good specialty on-line retailer inspiring people to buy and use our products to improve their lifestyles through a role and vogue, while creating a world-class business model.

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Our key goal is to be the Saint-Petersburg largest supplier of secondhand mobile phones for our customers through online shopping. 1. Business approach We use the Business to Consumer (BBC) business model to sell our products through online. In order to achieve customer loyalty and reduce the customer dropout, we make sure that each individual customer has an excellent shopping experience. Since we are focusing on long term business, we anticipate to low profits in the coming several months. Our start-up capital will be replaced by entrance amount of products that our supplier will lend to us on terms of contract.

Semaphore business is one of the rapidly expanding industry segments nowadays after Apple revolution in smartness that occurred after Phone output. It expanded rapidly during the boom of the internet age. The main reason was the ability of customers to get the product information and pricing without stepping out. They are used to compare the products and buy them at stores which offer more savings. According to a survey conducted by one tot the marketing trim, teenagers and young adults are the most frequent buyers when it comes to smartness.

Hence, this age group will be our primary target. Also we are planning to have part of customers who prefer exclusive mobile phones from a luxury field. Company advantages and disadvantages The Techno]test. Rue is an online company. The name of web-site is easy to remember because of its “Techno” part that relies to a business sphere and “Jets” that makes for a potential customer an association with something powerful and innovative like ours products. Despite of being priced low, quality of products is constantly being checked. We also give guarantee on each phone that depends on its condition.

Our company plans are to achieve the strategic positioning providing a constant flow of products. Since we designed and developed our web site, we can make faster updates based on any new business decision. Also we can incorporate new business strategies faster than our competitors with less financial impact. Pros We believe we can achieve the competitive advantage over the others because: * Our website is developed keeping in mind the customer satisfaction, and easy to change graphics to raise the instructiveness of the site. * For today if someone wants to buy a second-hand mobile phone, he have to use such a web-site like Ebay. Mom or Vito. Rue. These sites help people to sell their old staff or buy it from money else. However they don’t guarantee any quality because those who sell phones are regular individuals who can trick you or even rob. So using our web-site customers will exclude such risks. * The usage of internet dramatically lowers the transaction and agency costs and organizations. Hence it is possible that we provide low prices. * The usage of internet dramatically lowers the transaction and agency costs and organizations (as learnt in the theory of MIS). Hence it is possible that we provide comparatively low prices. We try to be in contact with our customers by ending them all promotional offers of products that they bought previously. * We will use the customer relationship management system to identify, attract, and retain the most profitable customers; provide better services to existing customers, and increase sales. Cons and risks Despite all positive plans of our e-business model it got some disadvantages and threats: * Business field that we are going to work in has a big amount of competitors and very popular among businesses. So it would be hard to attract customers. Demand on second-hand products is unpredictable so it will lead too problem on planning step. There is a risk that used phones will work faulty too often so it makes bad reputation to our company. * Risk is also contains in constant flow of products that can appear if there will be too less of those who want to sell their old phone to us. This can cause to an overload level of orders that we wouldn’t be able to meet. Competitors Our main competitor is Vito. Rue although it is other type of e-business than ours. The fact that this service is most popular nowadays among customers who prefer used phones.

So the goal is to attract target audience and to make them understand pros of buying smartness from us. If we manage to achieve this, we must built positive image among customers so they will trust us and see as a reliable phone seller. For now several web-sites are working with similar idea as techno]test. Rue. These are Molotov. Rue, Appleby. Rue and predominately. Rue. However the quality of those is not much good and they are hard for perception. What’s more they got too large list of proposals and diversity products that makes process of choosing unpleasant.

Our e- shop unlikely will provide only best variants with the lowest price compared with quality. Also we have enjoyable design that makes customer easy to orientate. So the goal is that out potential client will Just need to make several clicks to find what he want and to order it immediately. 2. Company overview Key people: owners, resellers staff Making money: by internet web-site and different advertisements Core values: Exclusive Virtue phones and in future watches Goal: Provide every human in the city with smartness or other smart device.

Opportunity: Expansion to Moscow and other city in Russia Key strengths: Distribution channels, service and repeated purchases Management plan: 3 owners who make choices and decisions. Let staff: programmer and designer. Resellers:Shops and individual commitments. 3. Market analysis A semaphore is a mobile phone built on a mobile operating system, with more advanced computing capability and connectivity than a feature phone. For several years, the demand for smartness has outpaced the rest of the mobile phone market. According to a 2012 survey, around half of the U. S. Bile consumers own smartness and could account around 70% of all U. S. Mobile devices by 2013. In the 25-34 age range semaphore ownership is reported to be at 62%. NYPD Group reports that the share of handset sales that were smartness in SQ, 2011 reached 59% for nonusers 18 and over in the U. S. The European mobile market, as measured by active subscribers of the top 50 networks is 860 million. According to an Loosing report in early 2011, the rate of semaphore adoption is accelerating: as of March 2011 22% of I-J consumers had a semaphore, with this percentage rising to 31% amongst 24- to 35-year-olds.

In China, smartness represented more than half (51%) of handset shipments in the second quarter of 2012. In profit share, worldwide smartness far exceeds the share of non-smartness. According to a November 2011 research note from Candor Genuine, Apple Inc. Olds 52% of the total mobile industry’s operating profits, while only holding 4. 2% of the global handset market. ETC and RIM similarly only make smartness and their worldwide profit shares are at 9% and 7%, respectively.

Samsung, in second place after Apple at 29%, makes both smartness and feature phones but doesn’t report a breakdown separating their profits between the two kinds of devices. Semaphore sales worldwide overtook older-style phones in early 2013 According to a survey of more than 6,000 semaphore users through 2010 by mobile analytics tall Smoke, the top twelve loyalty cores for semaphore platforms are the phone at 73%, followed by Google’s Android at 40%, Samsung Bad at 33%, RIM’s BlackBerry at 30%, and Simian SIS at 23%.

Windows Mobile and Palm follow at 10% each. Customer loyalty gauges the likelihood that the user of a semaphore platform whose contract has expired or who has broken or lost their phone will repurchase another one that uses that same platform. 4. Assumption Due to market analysis our main list of assumption will look like this: * The most attention we will give to Apple products as the most popular semaphore around the world: * Phone 4 * Phone AS Phone 5 ( all variations with colors and storage memory will be included ) * Next world leading company is Blackberry.

However it is not much popular in Russia, but we are going to introduce it into teenage culture through our marketing campaign to make it more popular: * Blackberry Bold * Blackberry Torch * Blackberry no, QUO * We also believe that Monika is going to rehabilitate and become popular as it used to be. Especially after implementing new SO based on Windows. : * Monika Alumina (all variations) * Monika Ash * Monika NO * And as we have mentioned before, our web-site will suggest luxury type of smartness from the exclusive brand Virtue.

Because of high price on this phones our assumption list will depend on the ones that we got. * Virtue Ascent * Virtue Constellation * Virtue Signature 5. SOOT-analysts Strengths: * Low price * Fast service * Fine web-site design * Guarantee of quality * Best assumptions from the list * Easy to use Weaknesses: * Unpredictable demand * Competitors Opportunities: * Positioning as leader in second-hand smartness supplier among customers, reputation on trust * Good image * Expand to another cities Threats: * Used smartness will break too often – bad reputation reduces – overload 6.

Financial overview 7. Sales and Marketing strategy Naming option * Inconstant flow of Company: Internet catalog of various equipment offering latest models of model of smartness of 21 eyelids, laptops,tablets, various prefixes and accessories, and exclusive Virtue phones We have a long-term experience in trade in goods of a various class. We are proud of a large number of regular customers not only in Russia, but also in the Baltic countries, and in Germany Great Britain, France, Spain, and in the Scandinavian countries. The TECHNOCRATS. RUE company is in the former capital of Russia, SST. Petersburg.

Our company gives the chance to all society to get a brand new equipment of our time at the acceptable prices and to save by meaner of any number of special offers. We try to go on a meeting to the client and to pick up for him more pleasant and comfortable place for a meeting. Products: consoles,tablets and other Electronics Service: service,repayment,delivery Marketing proposition Value : various measures of the benefit that technocrats can gain from either a good or service Positioning: 1. Functional positions * Solve problems * Provide benefits to customers Get favorable perception by investors and lenders 2.

Symbolic positions * Self-image enhancement * Ego identification * Belongingness and social meaningfulness * Affective fulfillment 3. Experiential positions * Provide sensory stimulation * Provide cognitive stimulation Unique value proposition: Sale of used Electronics Customers SST. Petersburg ? the third on number the city of Europe (after Moscow and London) , the city of Europe which isn’t the capital of the state first on population, and the most northern city with the population more than one million people ; center of the SST. Petersburg city agglomeration. Population of the city according to Roast makes 5 028000 people (2013).

Population density ? 3594,00 people/sq. Km (2013). Following the results of census of 2010, the population of SST. Petersburg made 4848,7 thousand persons, from which 2209,6 (45,57 %) thousands ? men and 2639,1 thousand (54. 43 %) ? women . Following the results tot population census tot 2 2 (data don’t coincide with tabular), the population of SST. Petersburg made 4 661 219 people, including: 449% of men and 55,1% of women. In the second half of the 19th years the population of the city exceeded five million people, but considerably decreased cause of depopulation.

On September 22, 2012 again the optimizations resident was born. On a number of estimates, in view of a large number of unregistered migrants guest workers, the actual number of the cash population of the city is half a million higher ? one million . About 40% of citizens have the higher education. Trends: in this sphere can be seen a lot of bull trends because in Russia everyday is some celebrations of anything,that’s why people always want to buy some presents. Usually before new year or some other common holidays can be seen incurring trend of demand. Industry threats

Emerging technology: Emerging technology I Status I Potentially marginalia technologies I Potential applications I Related articles I Flexible electronics I Research, development, some prototypes I I Flexible and folding electronic devices (such as smartness), Flexible solar childish are lightweight, can be rolled up for launch, and are easily deployable I Monika,Apple,Blackberry I Regulations: Basic import regulations Although most products can be freely imported into and exported from Russia, some products such as pesticides, weapons, self-defense items, explosives, precious metals ND stones, radioactive materials, narcotics and psychotropic substances require a license.

For all other products, customs regulations and tariffs are one of the first and main concerns performances doing business in the Russian Federation. Goods must be declared upon import to Russia in accordance with the customs regime selected (e. G. Import for internal consumption, temporary import, etc. ) As a rule the goods are declared by the Russian importer or a customs broker. When the goods cross the Russian border the carrier submits to the border authorities basic documentation on the goods. Following this, internal transit of the goods continues on under customs control to the customs terminal at the final destination where they are cleared through customs.

The list of documents required can be impressive and their correct preparation requires experience. Economic changes: There is no aspect of contemporary Russia that has changed more rapidly and unexpectedly than its economic situation. When Vladimir Putting became President, Russia was effectively bankrupt as it owed more money to the International Monetary Fund (MIFF) than it had in foreign currency reserves. Since then, Russia has achieved a ritual macroeconomic revolution to the point where it is one of the largest creditors of U. S. Debt in the world. Its nominal dollar GAP has increased by more than a factor of six, and has the potential to reach more than $2 trillion by 2010.

Growth of this magnitude would equate to nearly a ten fold increase in GAP over the course of a decade. Competition We are the only one web store which sale used Electronics. Len future we will add our personal line of clothes called ћJet life” and more things will be done by the process of development. We will be connected to different social networks and will make anger of advertisement in internet. At the moment we have client base which was created among years of existent. Also we sell products in bulk,we are interested in repeated purchase that’s why we provide different discounts to potential clients. So,even if we don’t have no sales on retail market still we can survive by making stable bulk sales to different shops in Russia.

Messaging and Communications Core message: We provide cheapest prices on market for different range of Electronics. We make it possible for everybody to have smart phone. We have available prices for every social layer. It is 21 century and Electronics make our life easier and a lot of functions are necessary in every day life. So our message is that people in 21 century need to have some device to keep up to date. Propositions: Our propositions work because we have always used phones in mint condition because of our service which make every device look better and more accurate than it was before. And those devices in mint condition have available price and better then in whole retail market. Benefits: Benefits are half divided for 3 persons.

Customers target: Customer want mint condition or new with warranty and after archiving service. Customer reaches its target by making purchase in our shop. Web-site: www. technocrats. Rue Logotype: Social Media: In future we will work with different artist and famous people in Russia for advertisement and media. We will sponsor making of official video clip for hip-hop artists. Those video will be putted in youth. Com and different internet sources. Pricing Price list will be provided on our website. Stay toned. Distribution Direct and retail sales will be made by the help of different advertisement web-site like Vito. Rue ,Molotov. Rue. Internet sales will be made by social networks. Also we have resellers whom we provide bulk sales.

Those are different electronic shops and people who are interested in sailing devices by their own. Conclusion Like a conclusion we will provide information about us. Technocrats. Rue is a new website which not working nowadays because it is still under construction. But our company works without it with advertisements which is putted in different sources. Len future we plan to sell not only Electronics but big range of products like our exclusive clothes,watches. In future we will create line with partners and each client which will cake deal with our partners who noticed them by using our website ,we will get percentage for the deal from our partners.

About us Internet catalog of various equipment offering latest models of model of exclusive Virtue phones We nave a long-term experience in trade in goods tot a various him more pleasant and comfortable place for a meeting. Guarantees TECHNOCRATS. RUE guarantees that all goods of 100% sold by us new (if it isn’t specified differently). All goods acquired from TECHNOCRATS. RUE, guaranteed original and original subjects. Our production is delivered from official dealers, and each new reduce is packed into an original box with original documentation and the international warranty card. Delivery Your order can be delivered by the courier or is sent to the address specified by you. For goods transportation we use the best delivery services: DEL and DOC. All products from TECHNOCRATS.

RUE are professionally packed (in original packing with all documentation and the international guarantee from the producer) that provides strong safe delivery of goods to your doors. The cost of all delivery depends on a place and the cost of contents of the order. Standard delivery on the territory of the European Union and Russia occupies 3-4 working days. Special number that will help to trace goods delivery will be attached to your purchase. All orders are sent at once when receiving payment confirmation of goods. TECHNOCRATS. RUE doesn’t assume responsibility for any requested taxes and customs contributions in the countries out of the European Union. In case you have any questions of transportation and expenses, please, contact us.

Payment You can make goods payment the next ways: Cash payment; Payment, by meaner of systems of money transfers of Western Union, Lieder, Contact All prices are specified in Rubles and Euro Techno]test. Rue offers the following options for the goods order: To order by phone To write to us on e-mail: info@technoJets. Rue To order from the electronic catalog: www. technocrats. Rue having filled an order form under the goods chosen by you; If the goods ordered by you aren’t in a warehouse and have to be ordered specially, you need to bring the guarantee deposit if the price of goods exceeds IPPP. The rest of cost of the acquired goods has to be paid on delivery the order.

It is possible to make the order in the Latvia, Russian and English languages. Techno]test. Rue isn’t the official dealer of any of the presented brands. Yours faithfully, TECHNOCRATS. RUE company Reticence Every customer can make response on our website to let us work better and to make people read about our company and how we make business in general. Special response and reference button you can see on main page of website. Also on our main page you can see products which we reference because of it is brand new or because of its mint condition or best price on market. Len reference line you can see products which will be on sale. So,customer can be sure by the purchase of product under reference line.