Critical analysis on potential benefit of using CRM in organization Essay - 1

Critical analysis on potential benefit of using CRM in organization - Essay Example grating effective customer relationship management into business strategy, with a contextual focus and comparative analysis of the retail sector and tourism industry. The digitisation of business through the Internet has expedited novel business opportunities through the piecemeal development of e-commerce, thereby culminating in an unfamiliar business paradigm. However, the rapid pace of online business activity has led to ad hoc responsive retail strategy measures in an attempt to balance the interests and protection of consumers, whilst simultaneously facilitating market growth. Furthermore, a central business strategy mantra of conventional businesses is â€Å"location, location, location† as being imperative to profitability and commercial prosperity; however the e-commerce paradigm arguably renders physical location irrelevant (Lloyd, 2004). As such, the traditional emphasis on â€Å"location† has created an inherent contradiction, where â€Å"location returns very much to the forefront† (Lloyd, 2004). To this end, it has been argued that the common issues deriving from e-commerce are contractual jurisdiction, applicable law, tax and and consumer protection (Lloyd, 2004). This in itself highlights the multifarious complex issues pertaining to contemporary retail management strategy as a result of the e-commerce business model. For example, the internet business model reduces overheads and provides increased anonymity with regard to customer interaction as a result of globalisation. Indeed, Brah et al, further highlight the instantaneous nature of globalisation as highlighted by the increased internet usage and wide dissemination of information (Brah et al, 1999: 3). They further posit that a crucial element is movement of capital, commodities, cultural imaginations and practices (Brah et al, 1999:3). Moreover, Tomlinson posits that globalisation culturally impacts the contemporary social and cultural framework, arguably creating a fragmentation of the