Project Jabong PDF

Preview

Summary

hhg...

Description

CHAPTER 1: INTRODUCTION 1.1 Introduction to E-commerce: Ever since internet has been introduced to the world, it has made a huge impact on people; business is one of such example where internet has made the difference. Today there are over 100 popular e-commerce websites are providing online services worldwide. An e-commerce opens the global market to the customer, it helps the customer by providing huge options while buying a product or a service, the online searching and comparing facilities enables customer to select right product or service, another major advantage of e-commerce is that it is 24x7 available to the customer the customer can shop almost anything within his/hers comfort zone just by sitting at home, office, during travel or almost from any place at any time. E-commerce is trading of services and products with the help of internet. E-commerce introduced in the end of 70s and became popular during the 90s in western countries like USA and UK. E-commerce introduced new possibilities in trading and attracted attention of many traders.

1.2 E-commerce in India: The e-commerce introduced to India in mid-1990s, many of them were either matrimonial or job portals, the major reason behind the slow response to e-commerce in India was, 1) Limited availability of internet 2) Weak online payment system 3) Lack of awareness in customers Due to the above reasons the e-commerce progressed very slowly in Indian market. In mid-2000 the ecommerce industry in India grown rapidly offering online services like travelling, many airline companies started providing the travel services online to customers, even today online travel booking holds a major share of ecommerce space. Today almost everything is sold online in India. (Swapnil V. Mishra, 2015)

Figure 1.1: e-commerce industry

Page | 1

1.3 INTRODUCTION OF JABONG 1.3.1 About Jabong.com: Things are easier said than done! To realize our dreams and also in such a grand manner is really a tough task. The founders of Jabong.com have probably conquered their dreams with amazing success of Jabong.com. Jabong.com is something which has really opened up the Indian fashion and lifestyle ecommerce market and that also in a big way. Jabong.com was co-founded by Arun Chandra Mohan, Praveen Sinha, Manu Jain, and Mukul Bafana. It is a young and vibrant company that aims to provide good quality branded products. Jabong.com caters to the fashion needs of men, women and kids across footwear, apparel, jewellery and accessories. Jabong.com employees strive to achieve the highest level of ―Customer Satisfaction‖ possible. Their cutting edge E-commerce platform, highly experienced buying team, agile warehouse systems and state of the art customer care centre provides customer with:  Broader selection of products  Superior buying experience  On-time delivery of products  Quick resolution of any concerns (Jabong.com, 2012)

1.3.2 Mission: Our Customer's favorite lifestyle fashion destination and way to shop that compels them to come back for more. (Jabong.com, 2012)

Page | 2

1.3.3 Product Categories: Product Categories

Men

Women

Clothing

Ethnic Wear

Bags

Kurtas & Kurtis Tops, Tees,& Shirts

Suit Sets

Dresses Sweaters

Sarees & Dress Material

Jackets

Salwars & Churidars

Sweatshirts

Totes Sling Bags Wallets

Flats Sandals Bellies

Home Furnishing

Sports

Beauty Products

Accessories

Shoes

Handbags Clutches

Kids

Fashion Jewellery Earrings

Make Up Skin Care

Necklaces

Eye Glasses

Hair Care

Bracelets

Belts

Bath & Body

Rings Pendents

Watches Sunglasses

Boots Heels Wedges

Trousers & Jeans Shorts & Skirts

Stilettos

Leggings & Jeggings

Peep Toes

Tunics

Flip Flops Sport Shoes

Winter Accessories

Sneakers Loafers

Men

Clothing

Shoes

Accessories

Groomins

Polos & Tees

Sport Shoes

Watches

Casual Shirts Jeans

Sneakers

Hair Care

Belts Sunglasses

Bath & Body

Casual Trousers

Casual Shoes Loafers

Shorts & 3/4ths Formal Shirts

Formal Shoes

Formal Trousers

Outdoor & Hiking Floaters

Suits & Blazers Ethnic Wear Inner Wear

Boots

Bags

Backpacks Wallets Travel Bags

Eye Glasses

Laptop Bags

Pens Tech Accessories

Messenger Bags

Flip Flop

Track Wear Winter Wear

Page | 3

Kids

Boy's Clothing

Boy's Shoes

Girls Clothing

Accessories

Girl's Shoes

Polos & Tees Shirts Jeans & Trousers

Tops & Tunics Shorts & Capris Twin Sets

Sneakers Sports Shoes Sandals

Shorts & 3/4ths Jackets Infant Wear Twin Sets

Jeans & Trousers Leggings & Jeggings Skirts Jumpsuits

Flip Flops Floaters Loafers

Ethnic Wear Inner Wear Track Wear

Casual Dresses Ethnic Wear Infant Wear Track Wear Party Frocks & Dresses

Kids Home Fashion

Bags

Sandals Sneakers Bellies

Watches Sunglasses Jewellery

Sports Shoes Flip Flops Floaters

Bed Linen Cushion Covers Towel & Bath Robes

Sports Wear

Running Football Basketball Training Sneakers Skateboarding Floaters Flip Flop

Women Clothings

Women Shoes

Men Clothing

Men Shoes

Polo's & Tees Jerseys Shorts & 3/4ths Track Pants & Track Wear Winter Wear Socks

Running Sneakers Flip Flops Floaters Slippers & Flats

Kids

Tees & Tanks Capris, Shorts & Skirts Tights & Track Pants Jackets & Hoodies Sports Bra

Accessories

Boy Tees Boy Shorts Boy Tracks Girls Sports Wear Kid Bags Sport Shoes Sneakers

Bags Headwear Sippers Run Accessories

Floaters

Home Furnishing

Bedsheets & Bed Linen

Curtains & Sheers

Cushions & Covers

Carpets & Rugs

Towels & Bath Mats

Kitchen & Table Linen

Blankets & Quilts

(Jabong.com, 2012)

Page | 4

1.3.4 Major Customers: Their major customers are between the age group of 20-35 years of age and the traffic come from tierII cities which form a significant part of their revenue, mostly because they don‘t have access to big brands. (Singh, 2016)

1.3.5 Major Brands:

(Jabong, 2016)

Page | 5

1.3.6 Organisation Structure:

Arun Chandra Mohan Founder

Praveen Sinha Founder

Lakshmi Potluri Founder

Sanjeev Mohanty CEO

Deepa Chadha Chief Human Resources Officer

Muralikrishnan B Divya Gupta Punit Chahar Chief Operating Marketing Head Deputy General Officer Manager Products

Aminesh Singh Soumava Pearl Shah Naskar VP- Business Head of Senior Brand Communication Head Manager & Content

Ranjan Kant Kalyan Kumar Head of Chief Marketplace Merchandise Officer

Sachin Sinha Vinod Abrol Chief Chief Technology Finance Officer Officer

Vidya Sagar Jitendra Kumar Naveen Garg Singh Category Head Director Men’s Apparel AVP & Brand Acquisition Head

Saurabh Srivastava Chief Marketing Officer

Kaushik Mukherjee SVP Customer Experience

Chiranjeevi Gautam Malik Head of Design Naik Pricing Head

(Singh, 2016)

Page | 6

1.3.7 Department Structure: International Business Team (Jabongworld.com):

International Business Head of Department Naresh Gunda

Senior ManagerAssortment Head Pankaj Bansal

Senior Executive Latika Gupta

Buying & Sourcing

Purva Goyal

Inventory Management

Ruhi Rukmin

Assistant Manager Anindita Handique

(Bansal, 2016)

About Jabongworld.com: Jabong.com had launched another portal called JabongWorld.com to cater to the global market. The sister concern offered a wide range of Indian ethnic wear for women such as sarees, lehengas, salwar suits and dress materials, and products are priced in foreign currencies like euro, UAE dirham, US dollar, Canadian dollar and Sri Lakan rupee. The store claimed that it delivers to all countries in the world. But due to financial reasons they closed their services by the end of March 2016. (Gulati, 2013)

Page | 7

Women’s Apparel Buying & Sourcing Team: Women's Apparel Head of Department Amrita Singh

Ethnic Wear Category Head

Western Wear Category Head

Kritika Malviya

Anuja Saini

Buyer

Buyer

Nikita Sinha

MIS Arvind Kumar

International Brand Category Head

Mahima Singh

MIS Dimple Gola

Pritha Dutta

Buyer Tejaswi Pant

MIS Kamal Kant

Lingerie Wear Category Head Pulkit Jain

Buyer Tanveer Kaur

MIS Kamal Kant (Kumar, 2016)

About Buying & Sourcing: The buying and sourcing team‘s sole aim is to selects what items will be stocked in a store, based on his or her predictions about what will be popular with shoppers. One of the main roles of a buyer is to negotiate with the clothing vendors. Buyers may negotiate with vendors on a regular, sometimes daily, basis. It is important for a buyer to establish a strong relationship with the vendors since it will be beneficial to both parties. Inventory Models Jabong.com follows three types of inventory models: a) Outright or bought out- In the outright or bought out model, products are availed from various brands and stored in the Jabong warehouse. b) Managed marketplace model- In the managed marketplace model, Jabong doesn‘t keep the inventory but takes care of service and returns for the consumers. c) Sell or Return- In the sell or return model, goods will be shipped or sent or transferred to jabong by the supplier. However, Jabong will pay for these goods only when these goods are sold by the company or used by them. If these goods are not sold then they will be returned back to the supplier. (Dutta, 2016)

Page | 8

1.3.8 Compliance and CSR practices: Jabong undertake to ensure: Child Labour: Employment of children in any form is strictly prohibited. Business partners and suppliers shall employ only those workers, who meet the minimum age criterion of 14 years or legal minimum age for working in any specific country, whichever is greater. Further, workers below 18 years of age should not be employed in hazardous conditions. All applicable laws relating to child labour including employment, wages, working hours, overtime and working conditions shall be complied with. Forced Labour: All forms of forced and bonded labour are prohibited including compulsory overtime. Workers should be able to voluntarily end their employment without any restrictions. Any restrictions on employees to voluntarily end their employment, such as excessive notice periods or substantial fines for terminating their employment contracts, are prohibited. Harassment & Abuse: Employees should be treated with respect and dignity and should not be subjected to any form of physical abuse or discipline, the threat of physical abuse, sexual or other harassment and verbal abuse or other forms of intimidation. Discrimination: Employees should not be subjected to discrimination in employment, including hiring, compensation, promotion or discipline, on the basis of gender, race, religion, caste, age, disability, sexual orientation, pregnancy, marital status, nationality, political opinion, trade union affiliation, social or ethnic origin or other status protected by law. Freedom of Association and Right to Collective Bargaining: The rights of employees to lawfully associate or not to associate with groups of their choosing shall be respected, as per applicable laws. The right of employees to engage in collective bargaining as permissible by law shall also be recognised. Regular Employment: To every extent possible work performed should be on the basis of recognised employment relationship established through national law and practice. Wages & Benefits: Employees should be paid in a timely manner and at a rate not less than the minimum wage as required by State & Regional laws. Employees should also be provided with legally-mandated benefits, including holidays and leaves, and statutory compensations at the time of ending employment. There should not be any disciplinary deductions from their pay. Working Hours: The duration of working hours including overtime shall not exceed 60 hours per week. Suppliers should comply with applicable laws governing regular working hours and overtime hours. All overtime hours are voluntary and should be compensated as per legal requirements. Employees should be provided with at least 24 consecutive hours of rest in every 7 day periods.

Page | 9

Health & Safety: Employees should be provided with safe and healthy working conditions including first aid, fire safety, emergency evacuation and other basic requirements such as canteen / dining area, drinking water, sanitation etc. Environment: Environmental initiatives are considered an integral part of responsible manufacturing. Reasonable measures should be taken to avoid any adverse impact on human health and/or the environment by avoiding or minimizing pollution from manufacturing activities, and promoting sustainable use of such resources as energy and water. Compliance with Local Law: Business partners & Suppliers shall comply with all local and national laws and regulations of the jurisdictions in which the suppliers are doing business as well as the practices of their industry. Business partners and suppliers shall further work with suppliers who are committed to meeting required standards as per local & national laws. Right of Inspection: JADE e-Services Pvt. Ltd. or a third party designated by ―JADE‖ will take certain actions, such as announced or unannounced inspection of production facilities, to implement and monitor these standards. Business Integrity, Anti Bribery: Business must be carried out with a high degree of ethics, honesty and fair dealings; ensuring staff is familiar with the ― JADE‖ Supporting Guidelines and does not engage in threats, bribery or corruption practices. The offering, paying, soliciting or accepting of bribes or kick-backs, including facilitation payments, is strictly prohibited. (Jabong.com, 2012)

Page | 10

CHAPTER 2: ENVIRONMENTAL ANALYSIS Environmental analysis is a strategic tool. It is a process to identify all the external and internal elements, which can affect the organization‘s performance. The analysis entails assessing the level of threat or opportunity the factors might present. The most used detailed analysis of the environment is the PEST analysis. (Makos, 2015)

2.1 PEST ANALYSIS: 2.1.1 Political Factors: The government has allowed 100% foreign direct investment (FDI) in online retail of goods and services under the so-called ―marketplace model‖ through the automatic route, seeking to legitimize existing businesses of e-commerce companies operating in India. By this, the running online marketplaces are not only barred from giving discounts directly according to new rules but they may not be able to offer promotional programmes such as ca sh-back offers to lure shoppers. The government wants etailers to have the same level of disengagement as in the case of a physical marketplace, such as a mall, where the operator has no interaction with the consumer. Another factor affecting online retail is high government investment in National IT infrastructure which will result in faster, better and more reliable internet access for national users. (Chitravanshi, 2016)

2.1.2 Economic Factors: The e-commerce market will account for 2.5 per cent of the India's GDP by 2030, growing 15 times and reaching USD 300 billion, a report said today. The current market size of e-commerce is USD 20 billion. The report by Goldman Sachs cited the "hyper growth in affordable smartphones, improving infrastructure, and a propensity to transact online," as key growth factors. Though the country‘s retail sector is highly unorganized, organized retailing is growing at a rapid pace to grab a considerable market share. According to the new research report, with the growth in organized retailing, the online retail segment is emerging as a new platform in the market. It is estimated that the online retail market is expected to grow at a compound annual rate of around 43.8% during FY 2013 to FY 2017. The report, ―Indian Online Retail Market Analysis‖, finds that online retail has been growing in the country at an unprecedented rate. With the rising internet penetration and broadband availability, and growing culture of Smartphones and tablets, people have started buying products online. As per our study, the major reasons driving the online buying is cash-ondelivery facility, and discounts & offers provided by the online retailers. The busy lifestyle in metros is also propelling people to buy products online. As per my research, online retail account for less than 1% of the total retail market in India, and thus, presents a huge growth potential for international retailers. Domestic players are also expanding their reach to the online customers. According to a survey on consumer behavior towards online shopping. It revealed that metros or tier-I cities have more awareness about online retailing as compared to tier-II & III cities. It was also found that electronic products are most popular among online buyers. The survey also analyzed buying habits, major reasons for online shopping, purchase preferences, and spending patterns under different price bands. (PTI, 2015)

Page | 11

2.1.3 Socio-Cultural Factors: Culturally, Indians tend to buy the products in physical stores. They want to touch, feel the product before buying. If the risk associated with product is very high, like in purchase of Television, Laptop, Washing Machine etc., they tend to go to physical store, then see the features and if satisfied, will buy the products. Indians will mostly influence by peers, friends while purchasing the products. They will ask their friends or peers suggestions and only will buy the product. So, these factors are negatively affecting online retail industry. But slowly, culture of buying is changing. They are going for online purchases but this rate is less when compared to offline purchase. But with 30 day replacement guarantee, if the product is not functioning properly, by E-commerce companies, and with the availability of peer‘s or friend‘s feedback about products online, they are slowly moving from offline to online purchases.

2.1.4 Technological Factors: With the advancement of technology at a rapid pace, online retail industry is going to benefit a lot. Several technological devices like smart phones, laptops, tablets etc. are going to help this online retail Industry because with the penetration of these devices, Indian consumers are going to purchase their products online. Even Smart phone market is growing at a very rapid rate in India. People in India are going to smart phones as these phones provide various features when compared to traditional phone models. Other technolo...