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Ehobby Asia discussion question answers

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Marketing

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Study Guide

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Part One:
Question 1
eHobby Asia’s is primarily an internet based company situated in Hong Kong. It also has its
local store located in Hong Kong. So, it’s a Click andMortar Business.
Business Model –
eHobby has been focusing on one industry only – the airsoft industry. It offers various products
in this industry and uses differentiation strategies to promote its brand. In order to distinguish
itself, it has been trying to provide consumers with an overall positive experience with airsoft
products, instead of merely selling airsoft products. It has also been focusing on low cost
strategy by minimizing investment in infrastructure and avoiding the maintenance costs
associated with physical infrastructure. It has been investing in the electronic medium and
strengthening its e-business model to address speed and safety concerns of the consumers. It
can be regarded as an e-mall website that’s offers latest & top rated quality airsoft products to
its customers located in various parts of the world.
eHobby Asia was founded in 2003 by its current managing director named Joseph Chai. The
company aims to target the global audience through the online medium. All those people who
prefer to buy latest & top rated quality airsoft products online are the target customers of
eHobby Asia. The product line comprises of spring gun, Combat Gear, Gas Blowback guns
Automatic Electric guns, Japan’s Airsoft publications & diverse array of accessories. Its
operations are guided by the mission of enriching the overall customer experience, rather than
making sales only. Online purchases are made on the basis of export price while offline
purchases are done in terms of Hong Kong dollars. It has been using the strategies of low cost
as well as differentiation to attract consumers. The products meet the stringent safety criteria
to ensure safety of the consumers. Some of its consumer friendly services include money back
guarantee in cases when the product is confiscated & seized during the shipment to any
country, performing required work at no extra cost to ensure that the shipment meets all local
custom regulations like Trademark removal and Blaze Marketing for US buyers.
Customers
Its customers are all those people who prefer to buylatest & top rated quality airsoft products
online. On the basis of geographical location, its target customer base comes from the
developed markets since 80% of the site’s traffic is due to European and American customers,
while 20% is from people of Hong Kong.
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Services-
eHobby Asia aims to deliver wholesale services on global level with respect to airsoft products
which takes into account after sales services including replacement & RMA services insuring
customer satisfaction. The repair & professional airsoft modification service provides services
mainly upgrade & repair for most airsoft guns which include replacement of broken/worn
internal parts & installation of accessories & upgraded parts.
Products-
The company has been dealing in high quality products which have passed stringent quality
standards to ensure no death of Auto-Tune. Auto-Tune can automatically rectify poor wavering
pitch. It has a diversified product line which provides several products in the airsoft industry
such as:
Spring gun
Combat Gear
Gas Blowback guns Automatic Electric guns
Japan’s Airsoft publications &diverse array of accessories
The primary source of revenue for the company has been the sales made to customers over the
online medium. It sells various products online.eHobby provides a secure and safe online
buying environment for its customers.To stay on the top of today’s competitive business
market it providestop quality and competitive prices to its customers. It has also been aiming
to increase its presence across the world by wholesaling its products to wholesalers and
retailers. It offers expertise to small businesses who want to operate as wholesalers of the
company to further increase its total revenues.
eHobby Asia applies various strategies to attracting more customers to its online store such as-
maximizing search engine visibility, creating remarkable content, leveraging social media,
extending reach through advertisements, engaging affiliate networks, hiring an inbound
marketer etc. to name a few.
Question 2
The business model of eHobbyAsia is viable in the long run as it is structured around the
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concept of Internet and virtual marketing medium, which represents the future markets. With
the power of Internet, consumers can compare products and buy them from sites where they
are cheaply available. As eHobbyAsia has been operating in Asia, it can also take advantage of
the low cost of Asian labor to produce its products and pass on the cost benefits to consumers
in the form of lower prices. Value seeking consumers want to buy from companies which
provide high value for the prices charged.
this answer is not related to eHobbyAisa SPECFICIALLY
Question 3
eHobby Asia is based on the Internet model and its site represents its primary infrastructure
and mode of communicating with the customers. It has used different servers to automate
operations and store data. It has been using Web server to store HTML images & documents.
Web server helps to exchange data and information with other computer systems which access
the site through the Internet. It has used database server to store product details & buyers
information. It uses the Transaction server to process money transactions and help customers
make payment through Net banking and credit card facilities. Currently the company is using 4
servers from Rackspace.
The company has been using 3-tier architecture as its operations involve at least 3 layers.
These layers are client's side presentation layer, transaction layer & database layer in the
server side. There are several monetary transactions which are processed. This can lead to
dispersion of the business processes in small parts running on various servers. The database
utilizes its power and programs to process and locate the requested data. It can be said to
provide the basis for DSS (decision support system) which assists in making flexible-reports &
ad-hoc queries. It also plays the main role in data warehousing and helps the servers to handle
the buyer details separately in a successful manner.
Question 4
The primary problem which was faced by eHobbyAsia was the longer time taken by the local
company to streamline the operations. The local company lacked the expertise and the
resources which are needed to host a global website. As such, its efficiency was lower when
compare to global providers such as Rackspace. The site was experiencing distributed denial of
services on a daily basis and the local company took longer times to restore the server, which
led to irritation on the part of the consumer and longer waiting times for the consumer. They
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Part One:Question 1eHobby Asia's is primarily an internet based company situated in Hong Kong. It also has its local store located in Hong Kong. So, it's a Click andMortar Business.Business Model -eHobby has been focusing on one industry only - the airsoft industry. It offers various products in this industry and uses differentiation strategies to promote its brand. In order to distinguish itself, it has been trying to provide consumers with an overall positive experience with airsoft products, instead of merely selling airsoft products. It has also been focusing on low cost strategy by minimizing investment in infrastructure and avoiding the maintenance costs associated with physical infrastructure. It has been investing in the electronic medium and strengthening its e-business model to address speed and safety concerns of the consumers. It can be regarded as an e-mall website that's offers latest & top rated quality airsoft products to its customers located in various parts of the world.eHobby Asia was founded in 2003 by its current managing director named Joseph Chai. The company aims to target the global audience through the online medium. All those people who prefer to buy latest & top rated quality airsoft products online are the target customers of eHobby Asia. The product line comprises of spring gun, Combat Gear, Gas Blowback guns Automatic Electric guns, Japan's Airsoft publications & diverse array of accessories. Its operations are guided by the mission of enr ...
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