Skip to content

ACCA Strategic Professional · Strategic Business Leader · E-business: value chain

Tessaro Outdoor sells camping gear. Its marketing team has started using email campaigns, search engine advertising and social media posts to reach customers, and tracks click-through rates and customer responses. Orders are still taken by telephone. Which term best describes the team's activity?

The activity is e-marketing, which is the use of electronic media such as email, search advertising and social media to meet marketing objectives and build customer relationships. It is not e-commerce because the buying and selling transaction itself still happens by telephone rather than online.

  1. AE-procurement, because it uses electronic channels to link with suppliers
  2. BE-marketing, because it uses electronic media and technologies to achieve marketing objectives and build customer relationshipsCorrect
  3. CE-commerce, because any use of the internet by a seller counts as online trading
  4. DIntranet development, because it supports internal communication among staff

Explanation

E-marketing is the application of digital media and data to achieve marketing objectives, such as communicating and building relationships. No online transaction takes place since orders are by telephone, so it is not e-commerce. The activity is customer-facing, so it is neither e-procurement nor intranet.

Did you get it right without looking?

One question tells you little. A timed set on E-business: value chain shows your real accuracy, how long you take and where you lose marks.

More E-business: value chain questions