A) Read The Following Case and Answer The Questions That Follow
A) Read The Following Case and Answer The Questions That Follow
Professional sports are multibillion-dollar businesses in the United States, and they are growing rapidly in
many other countries. The National Football League (NFL), which consists of 32 teams, is a premier
brand of the most popular sport in the United States—football. The NFL uses e-commerce and other
information technologies extensively to run its business efficiently.
The following are some examples of e-commerce activities the NFL conducts both at the corporate level
and at the individual team level.
Selling Online
In addition to the official store (nflshop.com) and the individual team stores (e.g., the Atlanta Falcons),
there are dozens of independent stores that sell authentic, as well as replicas, of jerseys, hats, shirts, and
other team merchandise. Most of these sales are done online, which enables you to buy your favorite
team’s items from anywhere; you can also save with coupons. It is basically a multibillion-dollar B2C
business, supported by search and shopping tools, including price comparisons. In 2015, the NFL players
association picked EC giant fanatics to be the lead manufacturer and seller of licensed merchandise.
Several online stores sell tickets for NFL events, including resale tickets.
Selling in China
In October 2013, the NFL opened its official online store in China (nfl.world.tmall.com). To embark on
this venture, the NFL used two partners: Export Now to handle all the administration of the transactions
and Tmall.com (China’s leading EC seller with over 500 million registered members).
The NFL is on Facebook where there is a company description and many posts by its fans. It is also on
Twitter where you can find information on upcoming NFL events and be one of its over 23,000,000+
followers. You can also get local news, including real-time sports scores texted to your smartphone. The
popularity of social media used by players created a need for a policy regarding the use of social networks
before and after (but not during) games.
Madden NFL 11 is a video game available across all major consoles with an adaptation for iPhone and
iPad versions of the game.
Smartphone Experience
Smartphones, and especially iPhones, now allow users to go online to view games in real time (some are
costly). You can also use the iPhone to view photos in the stadium that are projected on a TV and much
more. NFL mobile is a well-known option.
Sources: Based on Bathe (2015), Baysinger (2015), and material collected on Facebook and Twitter
(accessed February2017).
(5 marks@)
b) Using an example explain the advantages and disadvantages of moving a traditional brick
and mortar business online.
(6 marks)