Question 1

Your sister started a bakery early last year. Her bakery sells various types of cakes and desserts. She has a shop in Ar Rawdah area. Her small business is becoming quite successful and she has a total of six (6) employees now. She has recently started thinking about using e-commerce for her business.

You should ensure that your answers are logical for the bakery based on this brief scenario, rather than to suit any businesses. Also, when you write your explanations, make sure your answers are related to the bakery.

a) You suggest that she uses social commerce for her business.

i- Provide and explain two benefits that her bakery will gain by employing social commerce for her bakery?

ii- Provide and explain two benefits that her customers will gain when
she employs social commerce for her bakery?

b) For her e-commerce efforts to be successful,

• would you suggest that she uses insourcing or outsourcing? Why do you say this?
• explain the specific insourcing or outsourcing solution (one only) that you envision she will have in her company. Why would this be the best for her?

Question 2

Your brother is a manager at a tamar (dates) company in Jeddah. The company has been established 20 years ago. The company, called Jeddah Dates, has stores all over the Kingdom. The company has started employing e-commerce three years ago.

You should ensure that the answers are logical for the dates/tamar company based on the brief scenario, rather than just that can suit any businesses. Also, when you write your explanations, make sure your answers are related to this company.

(a) From your conversations with your brother, you know that his company has never encountered any fraud or security problems in their e-commerce operations. Your brother wants to learn more about security and fraud issues that his company could face. Explain to him two possible problems that the company could face within e-commerce.

(b) The company is thinking to expand globally via e-commerce. They are considering several countries including Indonesia as there is a big Muslim population there and they know it is sunnah to eat dates. Another country they are thinking to enter is China as the people in China are health conscious and have recently discovered the health benefits of dates.

Your brother thinks this is a great idea, but you prefer for him to consider this move properly as he will be the person the company will blame if it is not successful.

• Provide and explain two reasons that this global expansion might not be successful.
• Provide and explain two possible solutions to the challenges that you mentioned in 2(b)(i) above.