e-Commerce
I would not sell the domain name. There are no ethical dilemmas involved at all here. It is simply a business decision, and does not meet the criteria for an ethical dilemma. An ethical dilemma arises when an actor must choose between one or more mutually exclusive options (the dilemma) with conflicting ethical outcomes. Thus, the dilemma arise when there is no clear choice between options, because to take one of the options means creating a negative action. The conflicting requirements of the options cannot easily be overridden, hence the dilemma (McConnell, 2010). In this case, there is no such dilemma. The two options are mutually exclusive, yes, but there is no need to do both. The actor can easily choose to do one or to do the other. Moreover, committing one act over the other does not require overriding one set of duties with another. So there is no ethical dilemma here at all.
As for whether I would sell the domain for $1,000, this is a business transaction. I have to evaluate it on business terms. Thus, I need to evaluate it on the basis of financial terms. I first need to set aside sunk costs, as they are not relevant, and make this decision solely on the basis of which option -- selling the domain or keeping it -- delivers the better financial return for my company. There is not enough information in the case to answer the question, but if I were to guess I would say that it is probably not a good deal to sell. If I sell, I have to find a new domain and change all of my signage and business cards. I also need to factor in the lost customers who can no longer find my business online because they do not know the new URL. Furthermore, my site has been accruing SEO (search engine optimization) since I started it, which means that a) I need to start that process from scratch and b) I need to price that SEO into the value of the property. Furthermore to do all of this is going to take time out of my day that I could be using to build my business in other ways. All told, I would be surprised if $1,000 was fair value for all of that trouble. I am fairly confident that when all the costs have been considered I would not sell my domain for anything close to $1,000.
2. Every function that adds value to the customer adds value to the business. These three features -- a catalog display, a shopping cart and transaction processing, are essential elements to an e-commerce site. Without them, you are not an e-commerce site, since you cannot transaction business electronically, the most fundamental definition of e-commerce.
The catalog display is essential because it encourages browsing. While a search function is good for some online shoppers, with clothing in particular browsing must be encouraged. The catalog allows users to shop as they would a store, going through the individual items to see what they like. The catalog encourages people to spend more time on the site, click more often, and buy more items. Overall, having a catalog improves the user experience and results in increased sales.
The shopping cart is essential for encouraging multiple purchases at once. To put an item in the cart with a click makes for an easy user experience. It also allows the custom to continue browsing, which encourages multiple purchases. Without a cart the customer would have to purchase every item individually, so the cart greatly increases revenues. Even better is a cart that works with cookies, so that it remains populated post-session. This way, even if the customer leaves the online shop, when he or she returns the shopping cart will still be full. This has a positive effect on the number of items purchased.
Lastly, transaction processing is the barest essential component of e-commerce. Without the ability to make sales, revenues are not going to be very high. It is a good idea to optimize the capabilities of the transaction processing as well. For example, the site should be able to take a variety of different cards, plus PayPal as well. The objective here is to make it easy for customers to buy things. The easier we make the site with respect to buying things -- multiple items, preferably -- the more revenue the site will be able to generate.
3. There a lot of ways to create a strong presence on the web. In a sense, the same underlying principles apply as they do offline...
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