Intro IT/IS Report

Kunyamas Chokchindachai #6348006726

Nichapatra Teerapatum #6348093226

Chawin Vorakulsathien #6348027926

Supanut Chavanothai #6348166426

Nathan Chawawatnapong #6348044526

Name #

Social/ Ethical Issues(Globalization) & E-commerce

Aj. Mongkolchai

4th December, 2020

 Impact of Covid 19 on Globalization

Introduction
Globalization has modified the way we live and acquire an occupation. Thus, exchange
and travel have been perceived as huge determinants of the spread of illness. Furthermore, the
ascent in urbanization and the closer combination of the world economy have encouraged
worldwide interconnectedness. Along these lines, globalization has arisen as a fundamental
instrument of sickness transmission. This paper means to look at the expected effect of
COVID-19 on globalization and worldwide wellbeing as far as versatility, exchange, travel, and
nations generally affected. In terms of mobility, economics, and health systems, the influence of
globalization has been operationalized. Using airline and seaport trade data and travel statistics,
the mobility of individuals and their magnitude was evaluated. Based on the workforce, event
cancellations, food and agriculture, research institutions, and the supply chain, the economic
effect was calculated. Healthcare capacity was assessed by considering indicators of the
healthcare system and countries' preparedness.

Summary

Fuelled by decades of bad trade policies, the current regime of Hyperglobalization has
left people more vulnerable to the COVID-19 crisis in the United States and around the world.
We can't make or get critical goods that people need to fight COVID-19, and as a result, we're
losing lives. In a never-ending race to exploit the cheapest labor and lowest environmental
standards, twenty-five years of corporate-rigged trade policies have encouraged corporations to
move production overseas..Hundreds of official U.S. corporate leaders who act as

Corporate lobbyists are pushing for more of the same trade policies that have hacked the
unreliable, hyper globalized supply chains with policymakers and the public distracted, now
failing us all. For more people, the objectives should be healthy, resilient communities and
economic well-being, not the current priority of maximizing corporate profits.

Analysis
1) Impact on mobility

Air Travel In terms of passengers transported, ten major airlines covering more than 50
countries presented a large coverage. includes relevant airline information. In 2018-2019, airlines
like Turkish, Delta, and Lufthansa Group each carried more than 5 million passengers a month.
By implementing international travel bans from affected countries, most airline nations have
responded to COVID-19. On average, major airlines have seen a reduction in stock prices of
about 30 percent.

During the pandemic, sea travel and commerce, the three main cruise lines, and their
standing. The Carnival Company, with over 100 vessels carrying around one million passengers
monthly through its various cruise ships, is one of the largest cruise ship companies. By
suspending cruises from March 13–April 9, 2020, the company responded to the COVID-19
pandemic. About a 60 percent drop in stock prices was witnessed by this cruise line. Los Angeles
saw a decrease of over 22 percent in overall trade volume, while Shanghai seaport saw a
decrease of 20 percent in weekly vessel calls from January 2020, resulting in increased spillover
in nearby Singapore and South Korea. In 2018, Los Angeles treated 9.46 million TEU in the
United States (US), and a decline in the trade volume of over 22 percent has been observed since
the pandemic. Likewise, in Long Beach, where over 8 million TEU vessels were handled, there
was a 17 percent decrease in imports.

2) Impact on major industries

Cancellation of events Since the pandemic broke out, social distancing has been
introduced, leading to the cancellation of many events around the world. For example, it was
rescheduled for 2021 for the 2020 Summer Olympics to be held in Japan. Sports competitions
have been canceled or postponed, such as athletics, cycling, soccer, golf, car racing, baseball,
cricket, badminton, football, and basketball.

3) Impact on workforce

With lockdowns and limits on movement, the workforce has been universally affected.
The informal economy, marked by a lack of social insurance, benefits, access to health care,
income security or the opportunity to operate remotely, accounts for about 62 percent of global
jobs, thus exposing the most vulnerable group. Among the most marginalized in the labor
market, almost 1.6 billion informal economy jobs are greatly affected by the lockdown measures.
The most affected industries such as manufacturing, accommodation, food services, and retail
include about 54% of employers worldwide and account for 30% of the average GDP. It is
estimated that for these industries to recover, a substantial amount of time and effort is needed.
Compared to the quarter before the pandemic, which accounted for 305 million full-time jobs,
working hours are projected to decrease by 10.5 percent. A major loss of working hours is
expected to be seen in the Americas, Europe, and Central Asia. In low- and middle-income
nations, the largest loss in working hours is expected.

4) Impact on the healthcare capacity

The unforeseen pandemic has challenged the healthcare systems worldwide. As

illustrated by country-specific fatality rates, some nations are affected less than others. This
shows the COVID-19 cases, rehabilitation, and fatality rates in countries with developed
healthcare systems. The UK, led by the Netherlands, has the highest fatality rate. In this list of
the top 10 developed health systems, Canada has a high number of cases and a low fatality rate
of 2.46 percent. In major countries that were affected as of June 20, 2020, the latest confirmed
cases . . As of November 7, 2020, over 157 million COVID-19 diagnostic tests have been
performed by the US and over 10 million cases and 0.23 million deaths have been reported.
There are actually 2.9 hospital beds per 1000 people and 34.7 ICU beds per 100,000 inhabitants.
In the US, the number of available ventilators is 177,000.
5) Impact on food and agriculture industries
 The effect of COVID-19 on the food and agriculture industries. Disruptions in production
and supply have had a strong effect on the United Kingdom, the United States, Australia, Canada
and New Zealand. Interestingly, due to COVID-19, these countries have a low effect on demand
shock. Countries with higher GDP from agriculture, such as Bangladesh, showed low supply
exposure, but high demand shock exposure. In addition, the initial downturn in services and
demand in the leading food chains added substantially to the food industry's disruptions. This has
been linked to lockdowns due to the many closures. While limited supply disruptions have been
recorded, multiple franchises in European markets have been closed.

6) Academic institutions

Academic institutions have observed major disruptions similar to disruptions in other

major industries. Most institutions have resorted to moving classes online and canceling
in-person classes. Transitioning to online classes brought many logistical problems. Results from
a survey showed that almost 10% of institutions do not have the facilities and infrastructures in
place to conduct online classes, and most of these institutions are in Africa. In addition, most
institutions have recorded a substantial effect on the enrollment of both new foreign and local
students, with a negative financial impact of N. From Shrestha et al.

This figure displays the COVID-19 risk and vulnerability index in Europe ( One Health, 2020)
 The pandemic has exposed the urgent need to revisit disaster preparedness and public
health response to a health crisis such as COVID- 19. Though much progress has been made in
the nations’ and the world’s ability to respond to a public health emergency, the healthcare
capacity of various powerful nations has been tested during this pandemic. Even developed
countries with sophisticated infrastructure, sanitation, and hygiene that have undergone
epidemiological transitions are facing difficulties controlling the epidemic. Less developed
countries, however, have been overwhelmed, with many nations unable to adequately respond to
and control the pandemic due to the lack of infrastructure, resources, fragile governments, and
impoverished communities. The pandemic has exposed and exacerbated disparities between low-
to middle-income countries and high-income and developed nations, and between the poor and
the rich.

The pandemic has also exposed inadequate surveillance systems worldwide, and the
inability to detect and control the pandemic. The information presented in this paper can assist
governments and policymakers to respond to COVID-19 faster and more efficiently by
instituting control measures that limit the spread and alleviate the vulnerabilities to local and
global economies.
https://www.sciencedirect.com/science/article/pii/S2352771420302810#:~:text=Thus%2
C%20globalization%20has%20led%20to,number%20of%20COVID%2D19%20cases.

E-Commerce - Cyber Monday Can Raise Their Sales Through E-commerce.

Summary & Key Issues

 Cyber Monday sales could rise up to $10.8 billion with an implementation of
e-commerce, according to Adobe Analytics. This is about 30% growth of profit from last year.
Since the beginning of the covid-19 pandemic, companies have greatly invested in an online
business. They have been improving their supply chain and make sure that they have enough
inventory stocks to be delivered. However, there are also some challenges. The pandemic has
made it more difficult for companies to determine their customer’s needs and the cost of shipping
are also increasing. But if the companies are ready and are prepared enough, they will be able to
overcome these obstacles.

Analysis: Advantages

There are many advantages of e-commerce. The first reason is that e-commerce has a
very low startup cost. Any business can start doing e-commerce easily. In contrast, having
physical stores means that businesses have to pay a huge amount of money. There are also other
costs, such as store signs, store design, employees, equipment, and many other more. With
e-commerce, businesses only need to hire employees to run daily operations. Overall, the total
expense will be much lower.

The next benefit is that businesses can always open their store online and operate for
24/7. They can generate more income in this way. With an online advertisement, it can promote
your business at any time from any part of the world. Facebook advertisement is one example.
Moreover, by going online, businesses can attract someone who does not have enough time to
shop in physical stores. And because e-commerce allows businesses to operate all day, they can
process all orders easily without using many employees. They will be able to process a large
amount of orders and have better stock control. Businesses can set up a system that automatically
sends confirmation email to customers and get everything done. The third benefit is that
businesses can sell and ship products internationally from anywhere around the world. It is also
easier to identify customers and increase the growth of the business a lot faster. Having websites
also allows businesses to showcase their best seller products or show off their products to new
customers. There are also a wider range of product information and descriptions to attract
customers in an online business.
 One of the most best advantages is that businesses can gather customer data easily. This
includes their email address, phone number, postal codes, birth date, and many other more.
Having an online business allows that business to be a leader in their market or niche. Businesses
have various ways to communicate with customers and build a good relationship with them. It is
also much easier to scale the business and increase profit by using dropship. Businesses can also
use different tactics that can create impulse buys such as showcase limited products or use a
countdown method. Some people also preferred a less invasive environment. That is why certain
customers are likely to shop more on an online website. For these reasons, e-commerce is
becoming more popular and creating larger profit than ever before.

Disadvantages

Although e-commerce has many advantages, there are also some drawbacks. One of the
worst disadvantages is that the business will not be able to operate if their website crashes.
Because of this, it is very important for businesses to ensure that their sites are using the right
platform. The second disadvantage is that e-commerce is a very competitive market. Businesses
need to find the right niche in order to survive and operate efficiently. Ads will be a lot more
expensive in a more competitive niche. Some customers might not like to shop online because
they cannot test or try certain products. Moreover, customers can sometimes be impatient. There
might be some delays when processing customer orders, because businesses need to operate
24/7. Products might also be delivered slowly due to shipping problems. Compared to regular
shops, customers can take their product right away to their home. Online shipping makes their
waiting time much longer, up to a week or even months. Businesses need to be responsible and
clear when telling their customers when their products will arrive.

Opportunities

There are many opportunities for e-commerce to grow in the future. First, there will be a
changing landscape for e-commerce, especially for vertically integrated brands. There are big
opportunities for new businesses that allow them to bring products to consumers at competitive
prices. A lot of people made the assumption that starting an online business is very hard, risky,
and takes a lot of money, however, it is much easier than what most people thought. Moreover,
with new and more fulfilment services like ship wire, businesses can run their online store with
low budget. Business will also be able to aggregate independent manufacturers under a single
e-commerce brand. New product discovery and display advertisements are reasons why
customers are likely to check out the product. Websites are also changing traditional distribution
channels by combining niche retailers and small manufacturers. The biggest opportunities for
business to grow are with the optimization of conversion rate and evolving digital landscape. The
e-commerce market in mobile devices is growing rapidly and purchasing products with just a
click or finer scan will be a huge opportunity in the future. Online advertising through social
media such as Facebook also drives mass volume of sales quickly. Business will be able to
improve customer experience and develop through smarter merchandising and dynamically price
items. Small businesses can focus their market on niche markets and show their unique traits.

The best opportunity for online business is customer relationship management. It is the
system that combines the software system that collects data and manages customer information.
The systems provide business with various advantages. The company will be able to enhance
their relationship with existing customers and provide better customer service. They will have
better responsiveness and understanding among employees if they know the value of their
customer. The company will also benefit from getting great feedback from their regular
customers. Businesses should always follow up with their customers and check on their product
performance. The system is also beneficial in discovery and identifying potential customers.
Keeping track of customer profiles can help determine or target people who can bring maximum
profit. New customers are important for business growth in the future.

Good Customer Relationship Management System can also increase revenue. Businesses
can even start programs that will increase customer loyalty and ensure that the promotions will
not target the same customer who just bought the product. The system also helps create quicker
and better responses to customers. There will be less waste of time. Every business that uses
Customer Relationship Management System has experienced a dramatic growth in overall
performance. Selling products to customers will also be much easier within a few minutes.
Businesses will also get to communicate with their customers in different ways. Some examples
are websites, channels and voice response systems. These strategies make the delivery of
messages from business to customer much quicker and more appropriately.

Call centers are made more efficient though this system. It helps the business
organization to know the way in dealing with customers. Business can also easily access the
information from any point in the organization. The software enhances customer loyalty by using
much lesser cost. Businesses can use their loyal customer base to promote their products or
services to new customers. The communication within the organization of business will also be
much more effective. Various departments can share existing information to each other remotely.
This not only promotes teamwork, but also increases business’s overall profit because staff can
reduce their time in moving physically to search for certain information. This is a lot better than
doing work individually with no communication links between different teams.

Overall, customer relationship management allows businesses to understand and analyze

the needs of customers much more easily and effectively. This also gives business benefits to
know exactly where and when to market their products and target the best customer group that
will maximize the business profit. As long as the business implements the system correctly and
efficiently, they will have a greater competitive advantage compared to their competitors.

Threats

E-commerce also faces certain security threats. One of which is Distributed Denial of
Service (DDos) Attacks. This can happen when the website is being stormed with thousands of
requests from unknown IP addresses. This can create malware infection and make the business
whole website become offline. This can cost business to lose a huge amount of revenue and
unable to function properly. This can degrade customer’s trust and loyalty or even lose
confidence in the business brand. The second threat to e-commerce is credit card fraud. This is
one of the most common threats to online business. It is important for businesses to check and
verify all online transactions before taking any payment.
 Being responsible is essential for business to gain customer trust and maintain a great
brand image. Businesses also need to have an anti-virus system to protect their online site from
malware or any dangerous software that can harm their computer network. Businesses can install
firewalls to protect their information and facilitate all activities. Businesses also need to be aware
of bad bots. They are programs that are designed to automatically harm online business. They
can act like real customers and gain access to business’s useful information. The last threat is
e-skimming. E-skimming happens when hackers steal a user's personal information, such as
credit card and payment details. Once businesses know all the possible threats that are harmful,
they can be prepared and take right actions in order to protect their business.

E-Commerce Alibaba Sales on 11.11

Summary & Key Issues

Alibaba was founded in 1999 by former English teacher Jack Ma, who scraped together
$80,000 from 80 investors to start an online marketplace for Chinese companies. He became the
richest man in China and his estimated net worth has topped $47 billion. In this Article, it talks
about the festival that has been happening since 2009, where they put out a discount on the
products for one day “ 11.11” or “singles day” a day for single people or simply, the eleventh of
November. Aliexpress is an online marketplace where retailers or stores can list their products
online and customers can buy the products wherever they are. So this is the 11th year, more
merchants are participating in this event, from 23 in 2009 to over 200 this year. This is how they
are increasing sales over the years as this article talks about how they profited more than 2019 by
a lot.

Positive

There are many positives that come with ecommerce. For this particular company type it
can be affected in many aspects such as the organization, produceror the customers.
 For the Organization’s gain on this ecommerce, they are able to locate more customers
around the world because now the geographical limitation is not an issue no more. If it was an
ordinary retail store it would be limited to the location where the store was located but as it is an
online marketplace Aliexpress can simply overcome the geographical restriction which is a
positive impact for them. Furthermore, They are able to find new customers as products are
easily visible rather then a real store. For example, If you walk into an H&M store you would
need to walk and locate the location of where the product you want is at. As technology today is
super advanced, with a high quality search engine on alibaba, the company will be able to raise
more sales because they can sell more products as the customers see more products.

Furthermore it is a really low cost, they don’t need to have rental space in a highly
valuable location in the middle of the city where the rental price could be very crazy. Not only
would they reduce cost from rental but also from inventory, as the people selling the product
would be holding most of the products and ship from them, this then helps Alibaba with the less
inventory cost compared to if they have an actual store where they would need to have products
on hand at all time.

On the Customer’s perspective. They are able to just relax at their home, simply scrolling
with their fingers and the product they want would just pop up on their screen. This has many
positive impacts. One is that as the customers see more products they will be able to have more
choices and will be able to buy the products that they like. Also, by being at home they would
also eliminate the travel time and the cost that it takes you to go to the physical store. Customers
would also have a positive impact as they are able to purchase the product at any time of the day,
as the physical stores have opening and closing time. Ecommerce had gained a comparative
advantage over normal retail. Also, during the COVID situation people are staying home more as
they dont want to see crowds at the mall. If you are like me, you hate crowds when you're
shopping. Especially during holidays, festivals, or on weekends, they can be such a huge
headache.

Also, being crushed in the crowds of shoppers sometimes makes us feel rushed or
hurried. You don't have to battle for a parking place. All of these problems can be avoided when
you shop online. Also customers would also gain the benefits of how the prices will be cheaper
because of the lower cost.The choices online are amazing. You can find almost any brand or item
you're looking for. You can get in on the latest international trends without spending money on
airfare. You can shop from retailers in other parts of the state, country, or even world instead of
being limited to your own geography. A far greater selection of colors and sizes than you will
find locally are at your disposal. Plus, the stock is much more plentiful, so you'll always be able
to find your size and color. Some online shops even accept orders for out-of-stock items and ship
when they come in.Many people might get pressured by the worker at the store, with online
shopping that would be gone as no one will be there to pressure you. Some things are better done
in the privacy of your home. Online shops are best for discreet purchases for things like adult
toys, sexy lingerie, and so on. This enables me to purchase undergarments and lingerie without
embarrassment or any paranoia that there are people watching or judging me. The seller gets the
same benefits that the customers got as they are very much related.

Negative
There are also many disadvantages to online shopping. As you need the seller to deliver
you the product via shipping it might’ve gone through many processes where it might really
harm the environment like an over usage of paper or plastic. Shipping delays are also a big issue
Even the biggest and best shipping companies and online retailers have their bad days, so there's
no way to ensure that you'll get your hands on your purchase in time unless you pick it up from a
store. Items get lost, detoured, damaged, or delivered to the wrong address more often than you
can imagine.

I think many people have been there where we are unsure whether or not the account is
real or fake, will i get scammed or would the product be a counterfeit product. Another negative
impact is the risk of spending too much, especially if your job requires that you look at a
computer all day, you might get burnt out on all that screen time. Shopping online can turn into a
marathon of scrolling and clicking down rabbit holes and before you know it, you've been online
for most of the day.
 The internet is a nice place to visit, but you probably don't want to live there. Along with
spending too much time online If you do all your business online, you'll never have to leave your
home. This might be great for a while but sometimes, you might want to go outside, breathe
some fresh air, get a change of scenery, talk to real people, participate in your community, and
just be a part of the crowd. Sometimes, a computer monitor can't compete with a real human
connection.

Furthermore, as you only have pictures of the products you aren't exactly sure what you
are going to get, it's somewhat a leap of faith to hope it fits or hopefully it's real. At times it
might be very different on hand. At times when you don't like the products anymore and would
like to return, if the store has a storefront it would take you no time but for online it is more
complicated and would take you more time.

When you are buying something for the first time you might want assistance, in case you
might be confused or have any questions. Online purchase will put you blind where you won't
know what you are getting yourself into. Another negative is towards the local retailers. If
everyone started doing all their shopping online, all the local stores would go out of business.
When all the stores in town are gone, we'll have to drive further and further away to shop at a
real store. Many people and places have already experienced the negative and sometimes
devastating impacts of e-commerce which take away jobs and devastate local economies.

Opportunity

There are many opportunities that can be taken by the company in order to maximize the
potential. One opportunity is to expand to a new market and expand to new target customers. As
the market expands the organization will be able to pick up new sellers and new suppliers along
the way which would also help them expand even more. As social media is on a boom in China
and everywhere on earth. Alibaba might be able to take this into consideration as a new
promotional activity. This would lead to them having greater market share with Lazada and
Aliexpress
Threats

There are a few threats, one being a stiff competition in the Ecommerce sector such as
Amazon, Ebay Tencent, Baidu, or JD.com. Also there has been much more scamming and fakes
selling products on aliexpress and it is causing them to lose reputation. Furthermore, Jack Ma
who is an amazing businessman is trying to conquer China and the Dictator government doesn’t
like how it is going so they are being very strict with Jack Ma’s many companies. This might be
a threat

Future trend

In the future I’m predicting that they will continue to expand and take over China as they
control a lot of the main general basic needs for daily usage such as banking app.

Personal Privacy: A Dive into Cambridge Analytica

Summary
 Technology is on the rise. There has never been a time or era in human existence where
technological advances have ever occurred this quickly. Within the past 100 years, we went from
a world wrecked by war to the industrial revolution, which led to our current society. However,
new problems that have never existed are now brought in forefront thanks to technological
advancements. Just over a decade ago, the concept of the internet taking over our social lives
would’ve been an extremely crazy and bizarre idea.

But now, people are able to gain access to vast amounts of information along with sharing
their own information. This has led to some people to be concerned over their personal privacy
as now anything they have ever done can now be documented for the world to see on the internet
and once it’s on the internet, it’s virtually impossible to remove it. With concerns of personal
privacy beginning to surface, it was brought into the spotlight it was discovered that Facebook
had sold user data to Cambridge Analytics in what is now referred to as the Cambridge Analytica
scandal.

Facebook is a social media platform/website that was created on February 4, 2004 by

Mark Zuckerburg, who was in a dorm room at Harvard University when it all happened.
Facebook initially started off as a private network that Mark would use for his personal use along
with some of his college friends, but it would later prosper and grow to become one of the
biggest social platforms to ever exist. Facebook was initially a website named “Facemash” prior
to the creation of facebook. It was a prototype of sorts that Mark would later use to base
Facebook on.

On February 4, 2004, Mark Zuckerberg and his co-founders Dustin Moskovitz, Chris
Hughes and Eduardo Saverin would launch Facebook, which would be mainly used by Harvard
students. What was at first a small project by Mark and his friends became a huge phenomenon
on the Havard campus, so much so that other campuses would start to use Facebook as well as
soon as they got the word of its existence. Not long after that in June, Mark would then leave
Havard to work on Facebook fulltime. He would rent out a home in Palo Alto, California to
serve as Facebook’s headquarters and after that, the rest is history. Facebook had attained an
amount of success that other companies could only dream of. However, with the rise of
Facebook as a platform, it also meant that there were individuals who wished to exploit it, and
from that would emerge the Cambridge Analytica Scandal.

Key Points
The Cambridge Analytica Scandal was a supposed breach of data within Facebook’s
systems where user data was acquired without the consent of the user. It’s estimated that the
personal data of around 87 million users was exposed and this resulted in a huge dip in Facebook
share. In March 2018, it would then be discovered that Facebook was actually selling the
personal data of the 87 million users to Cambridge Analytica, which is a political consulting
firm. It is speculated that the data, that Cambridge Analytica had obtained, would be used by
Donald Trump in the 2016 election as he was one of their consultants, along with the Trump
2016 campaign using a lot of targeted advertising (Though it has never been confirmed
officially). The discovery of this scandal not only led Facebook’s reputation to take a huge hit,
but it would also put the debate of personal privacy to the forefront.

Facebook’s response to the whole ordeal was very clumsy and slow. When Facebook
supposedly discovered the data breach, it took them several months before they told Cambridge
Analytica to delete all the information they had. Despite telling Cambridge Analytica to delete
the information, Facebook hasn’t checked up with Cambridge Analytica to see if they had
actually deleted it yet. The whole situation, along with how Facebook responded, led to the rise
of several Facebook hate campaigns along with several lawsuits against facebook for breach of
privacy.

Positives
While the topic of personal privacy and the technology used to exploit it is controversial,
I see the possible use of the technology used as a potential positive, given that it's used for the
correct purposes. Apps can use data that they acquire from their users to tend to their specifically
if given the option. An application of this is how algorithms work in apps like Youtube,
Instagram, Facebook,etc. The application uses data that the user creates and attempts to interpret
what the user wants so see and then only select content that the user would be interested in. This
makes it extremely convenient for the user as they wouldn’t need to actually look for content
they like when the app already prioritizes to show what the user wants to see.

Another positive is that discussion on personal privacy is now a contended topic because
of the Cambridge Analytica Scandal. Prior to the scandal, the idea that companies had the ability
to take your personal data was very foreign as it would be very hard for companies to take your
personal data. However, with the invention of the internet and how socially connected we are to
technology, companies have gained the ability to take consumer data to an extent that they have
never been able to in the past.

A positive for companies(not for consumers) is that marketing has never been as efficient
as it is today. Tech companies and social platforms can acquire all kinds of data that a company
might be looking for. Where it's about which demographic likes our products or what kind of
person would buy our product, that information is now obtainable for companies to use and take
advantage of.

Negatives
There are several negatives for consumers but the breach of personal privacy is the
biggest one. Facebook, for example, allows companies like Spotify and Netflix to read the user's
personal messages with the user’s friends along with the preferences of the user. But rather than
selling data specifically, Facebook sells the ability to access you rather than specifically your
data. For example, Facebook uses its news feed to place an advertisement that it believes has the
highest chance of grabbing your attention. It does this rather than selling your data specifically
because it significantly increases Facebook’s value as a platform.

So without your consent, your information is being used by companies for profit and
while all of that is happening, you don’t even know what information they are taking. The big
misunderstanding for most people is that Facebook is only taking the data that the user posted on
their platform, but it has been discovered that Facebook takes much more than just the data you
use on their app. It has been noted by some people that Facebook actually takes user data while
the user is on the web, even if they aren’t using Facebook then. Facebook also owns other social
media platforms like instagram and whatsapp that it can use to build up a profile for its users to
analyze user behavior.

Opportunity
The value of user data will only increase as our society becomes more dependent on
technology and more socially connected through the internet and companies are already taking
advantage of this opportunity. Google is a major player in the collection of user data and is also
in a unique position as the most popular search engine, where they can use what people are
searching for to add to their profile. Google is also tracking user data using their other
applications such as google maps. Big companies such as Facebook and Google show that tech
companies can collect you user data in various ways.

Threat
There is one big threat that stops companies from acquiring user data, which is the user
themselves. There is a massive outcry against invasion of personal information in the west, as
seen with the Cambridge analytica scandal. It’s almost a given that harvesting user data wouldn’t
be achievable without companies having to face scrutiny from its users. There is very little
companies can do to convince users that taking your personal user data will be beneficial to you.
The public outcry will also only continue to grow as more people discover it along with how
severe it really is.

E-commerce live streaming

Introduction

Anything can be sold over the internet. With the fast paced world of technology, social
media and online platforms have been used as a mean for businesses to take their sales online.
E-commerce livestreaming has been slowly introduced to people in various parts of the world; as
a result, everyone is getting familiar to the way things are electronically bought or sold via
livestreaming platforms. Lately, news about the Chinese livestream queen Viya has been a talk of
the town. Viya or Huáng Wēi is a 34-year-old livestreamer who works at Taobao live, which is
owned by the giant e-commerce company Alibaba. There, being called DoraViya (a combination
of the words Doraemon and Viya), she sells almost everything, for example crayfish, noodles,
cosmetics, houses, or even rockets. Her show is extremely well-known among Chinese people
that the views went up to 37 million—more than that of Game of Thrones, Breaking Bad, and the
latest season of The Bachelor, combined (Colville, 2020). Then reasons her show is the top
among others include Viya’s personalities, special discounts, application features, and many
more. According to the figures from Alibaba, Viya’s earnings in 2018 was estimated to be 30
million yuan (around 4.5 million US dollars). Moreover, on Single’s day 2019, she even made a
profit of almost 3 billion yuan or approximately 457 million dollars (Colville, 2020). The girl is
climbing to be one of the top Chinese millionaires.

Key issues
Interactivity and richness
To build a strong brand engagement, it is crucial for a business to have effective
consumer approaches. In the Taobao’s live streaming platform, there is a function where the
streamer and the consumers can interact to each other including questioning and commenting.
There are also pop-up buttons for customers to click whether to purchase or ignore the item.
Spontaneous answers are things people desire to know because it provides information to let
customers make a decision. “I position myself as someone who helps the customer make a
decision” said Viya, told the Chinese reporters.
Another important key are Viya’s personality and altitudes. Apart from considering to buy
things, many people come to just watch Viya for entertaining purpose because she likes to tell
funny jokes with her signature husky voice, dress casually, smile joyously, and laugh freely. The
point of doing all of these things are to create intimacy.

Discounts
It is undeniable to say that one does not like having discounts on something. Taobao
knows this tactic and tries to incorporate this to the show. Discounts help making a decision
easier and quicker. According to news from Hindustan Times, “Five rockets ‘on the shelf’ were
sold out in seconds with a five-million yuan discount by Taobao live streamer Viya.” . This
shows that offering discounts on purchases, especially in a live stream, is a way to get a quick
response from customers.

Strategies
A backward counting or countdown—5, 4, 3, 2, 1—are always used by Viya after she
finishes pitching about the product. Sometimes when the deal runs out, she might request—even
beg—the off-camera producers to relaunch the deal. The reason for this is people are afraid of
scarcity. Psychologically, the perception of scarcity is a tool to impulse buying. In a livestream,
people feel like the time there is shorter, considering a number of viewers who are likely to be
potential buyers. This encourages people to act fast and causes them to feel more urgency.

A variety of qualified products

Taobao live is known to sell everything: cosmetics, snacks, foods, houses, planes, rockets
etc. It focuses on not only the quantity but also quality. People always have trust in Taobao. They
believe that they will not buy fake, illegal products from the platform. They even trust its
delivery system to receive fresh food they order.
In the aspect of Viya, she is picky when it comes to choosing the products to sell. Her high
standard is the key to her success. If the product does not reach her requirement or might lead to
a copyright violation, it will be eliminated from a list. Price is one of her concern. She has a
perception in mind that it is not enough for decent stuff with low prices to thrive in China’s
marketplace.

Global reach
Regardless of its large-sized country, through the use of advanced Alibaba’s technology
and internet, China is one of the most promising countries to launch a livestream. Livestream
shopping is becoming an embedded habit for Chinese people. In Taobao live, people are allowed
to watch a live, chat with the sellers and customers, and select payment methods, creating
convenience for all the parties: sellers, buyers, and the developer.

Ubiquity
 The application can be watched anywhere and anytime. This “marketspace” does not
require temporal and geographic locations, enhancing customer convenience: people can let the
livestream runs on their smartphone or any smart gadgets while doing yoga or playing with dogs.

The COVID-19 outbreak

This period (2029 to 2020) is the shining time of the whole e-commerce industry. “The
pandemic has pushed many offline retailers online, and with many well-known people getting
into the game, there’s a huge attention everywhere.” said Alves Huang, Qianxun’s Chief
Executive Officer. Moreover, the spread of the virus has caused people under safer-at-home
orders, doubling the ratings and viewership.

Positive and negative impacts

There are several positive impacts of e-commerce livestreaming on different aspects. In
the perspective of customers, it is more convenient for people to buy or sell things online. They
are not required to stay in a specific place to buy a desired product as long as they own
smartphones or computers connected with an internet connection. Moreover, people can access
to more products and services over the internet that may be cheaper—because the companies cut
down the excess expenses spent for middlemen—if compare them to what are sold in the
department stores.
In the perspective of businesses, e-commerce allows them to expand their customer base.
It is effortless for the businesses to keep in contact with the customers. Through the internet and
advanced technology, fast and effective transactions and convenient communication can be
carried out frequently. For small businesses, there is more possibility for them to get more
publicity by starting-up online.
On the other hand, e-commerce livestreaming is accelerating the unemployment rate in
many regions: because online operations may require fewer people (including positions such as
officials, cashier, etc.) to conduct business. Furthermore, it is important to have a secure website.
Consumers are risking their personal information such as financial information or personal
identity numbers when entering details into a site. Businesses are at risk by being the target of
cybercriminals if they do not have strong information technology knowledge. In other
perspective, online shopping is polluting the earth. Even though live streaming does not require
customers to drive to the store, there is still a need to deliver items and foods to several houses,
which contributes to air pollution, not to mention additional packaging that causes carbon
emission.

Threats
Local economy could be threatened due to the continuing growth of real-time streaming.
More people will be used to shopping online, which, eventually, decreases a number of brick and
mortar stores because of the fact that they might have to close themselves down and concentrate
more on online stores. Additionally, crimes involving hacking, cyberattacks, stealing data, etc.
could be increasingly detected if the livestreaming e-commerce dominates the world. It is pivotal
for companies to invest in the e-commerce security to prevent e-commerce threats that might
come unexpectedly.

Future trends
With the continuing growth in livestream shopping, a number of businesses, either small
or big, have to adapt themselves to meet up media and information literacy. Businesses
necessarily have to be technologically creative and well-informed. Exclusive attentions on online
marketplace are needed to be concentrated on.
Real-time streaming is deeply entrenched in Asia. Famous brands like Facebook and
Amazon are pursuing livestreaming experience. There is an implication that other brands over
the world will consider to create a much incredibly interesting content to show to their customers
There are three significant components relating to the success of live streaming shopping.
The first one is the quality of the video. No consumers prefer to watch low-quality videos.
Companies have to make sure to launch a real-time video with a high resolution. Next is to hire
attractive influencers to represent the product. As mentioned in the news, Viya is well-known
among Chinese people. She understands consumer behaviors and knows how to cope with them.
Lastly is to have a strong tactic to break through the e-commerce market. Creative, innovative
ideas are usually preferred by the consumers.
“Whatever platform a brand uses for livestream shopping, ease of access to the
e-commerce component is key,” said Pete Lin, managing directors of North Asia
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