e-Business Strategies for Virtual Organizations

6.10: Developing a Strategic Plan

6.10 Developing a Strategic Plan

Cragg (1998) identified four components of Internet strategy that may be useful for SMEs to consider when engaging in online commerce (see Table 6.5). The four components are goals, content, process and functional.

Table 6.5: SME internet strategy (after Cragg 1998)

Goal

Example

primary

secondary

to reach an international market

to market site to potential customers

Content

started with

major use

WWW site for

future plans

e-mail, catalogue, order form

marketing/promotion

product distribution

introduce new functions

Process

led by

whose initiative

built

owner/manager

internal

external

Function

functions of site

business-to-business, business-to-consumer

The goals component of an Internet strategy is sub-categorized into primary and secondary goals. An SME should incorporate both primary and secondary goals within the overall Internet strategy, in order to identify exactly what they expect from an online presence. The benefit of incorporating primary and secondary goals is a method for SMEs to recognize potential economic benefits, and to indicate that increased sales can only be considered as one indicator of success.

The content dimension of an Internet strategy identifies the main uses of an SME website. This component enables an SME to clarify what the site started with; its current major uses, what the site is for and future plans for the site.

The process component is basically a method to identify whether the initiation and leadership of the strategy was from the CEO level or further down the chain of command and whether the...

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