Question

How do you think the Internet and mobile-enabled technology rates in terms of creating utility (time, form, place, and possession)?

Shop for a product at an online-only retailer of your choice. Then, compare the utility provided by that retailer to the utility provided by the experience of shopping non-electronically for the same product.

In a post of 200 Words. Do not copy from other sources.

Answer 1

An e commerce entity provides the customer with convenience of shopping from the comfort of his /her home /office at the time suitable to him /her.

The four types of utilities are created by the e commerce companies in following manner.

(a) Form utility is same for the customer in both formats, as the customer's convenience is taken care of by online /conventional entities in eual manner. In sime products, the form might be a compromising factor for e commerce entities.

(b) Time utility is more in e commerce as the customer can order the product at the time of its convenience.However, the customer willing to have instant availability would find the conventional format more useful.

(c) Place - The place utility is more in e commerce, where the goods can be delivered to the customer at his /her location. Some conventional players also offer this facility, but not all of them.

(d) Possession - It is more in e commrce, where one can conveniently buy the commodity through easy financing with partners to the e commerce entity. They can also facilitate exchange of goods, which is rare in conventional commerece, except huge superstores.

For purchase of a shirt, electronic means is better as one can order it at anytime from the comfort of home, get it at the place of convenience, and can pay for it through credit card, debit card or other convenient methods of payment, either in full or in installments. The form remains same for both formats. However, if one wants the shirt within two hours to wear in a friend's marriage, the conventional stores have edge over e commerce.