Infosys110 d2 Sang-yun Lee 5921239

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INFOSYS.110 BUSINESS SYSTEMS:

DELIVERABLE 2: BUSINESS SECTION

SUMMER 2014

Name Sang Yun LeeNetID Ssim428

Group Number: 33

Website Link: http://infosys110group33.blogspot.co.nz/

Tutorial DetailsTutor: Day: Time:

Yvonne Hong Tues,Fri 3pm

Time Spent on

Assignment:10 hours Word Count: 1534


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UV RADIATIONS EVERYWHERE!

INTRODUCTION

This report is to analyze the industry of the business to see whether this industry is

attractive or not and to observe the targets who we are aiming for. This will also identify the

relevant key processes and how they add value to achieve our vision.

3. BUSINESS SECTION

3.1 Vision

To provide accurate and highest quality of information to the users and make the world

keep safe from UV radiations.

3.2 Industry Analysis: Health and fitness smartphone application industry

Industry: Health and fitness smartphone application industry.

Force: High/Low: Justification:

Buyer power: High There are more than 250 health and fitness

smarphone applications in New Zealand (Craft, C.

2012). This means that the buyer power is high as

the buyers who are looking for health and fitness

applications have many choices to choose their

own information providers.

Supplier power: Low There are many other suppliers who can provide

health and fitness informations such as

Universities, research institues and etc. As there

are many suppliers, the firms in the industry can

easily get informations from many other places,


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suppliers have low supply power.

Threat of new entrants: High This industry has low barriers to entry as it is very

simple to make a smartphone application as thereare many programs for creating a smarphone

application. Also it is easy to get the informations

for health and fitness just as explained for

supplier power. Therefore, it is more likely to

have new entrants in this industry.

Threat of substitutes: High There are many ways to get the informations

about health and fitness such as books, internets

and TVs so the threat of substitutes is high as

there are many substitutes available other than

the smartphone applications for informations

about health and fitness.

Rivalry among existing

competitors:

High As it is explained for the buyer power, there are

more than 250 applications and there are many

free applications in the application markets and

many ranges of health and fitness informations in

the industry which makes the rivalry among

existing competitors high in the industry.

Overall attractiveness of the industry:Overall, it is not an attrative industry for those who

want to start a firm in this industry as buyer power is high by high rivalry among existing

competitors and also , same informations can be substituted by many other ways so it is

very difficult to survive in this industry.

3.3 Customers and Their Needs


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The customers for this smartphone application are those people who are exposured to UV

rays. It is basically everyone in the world but mostly those people who works in out-doors or

those people who has sensitive skins as it is found that about 6% of New Zealanders have

weak skin resistance against the UV rays (Mackay, J. 2013).

The customers needs are the accurate informations to avoid from UV rays as possible. They

demand something comfortable and something very easy to use not like sunblocks which

most of the people are bothered to put on. Also, the product must be available for everyone

to use. For example, people who has sensitive skins cannot use sunscreens to avoid UV rays

as they might have some side-effects so we need something that everyone can use to keep

away from the UV rays.

3.4 The Product and Service

The product is a smartphone application and it can forecast the UV ray levels for every areas

in New Zealand and showing them on the smartphone daily with red colours for high level of

UV ray levels to show the riskiness. Also, it has an GPS system based alarm to alert those

people who approaches the areas with high level of UV rays.

This service satisfies the customers needs as is it comfortable and it is very easy to use as it

automatically updates the forecasts for high level of UV ray areas everyday and also,

everyone can use it as it would not cause any skin reactions like sunscreens.

3.5 Suppliers and Partners

Auckland radiation and Navman can be the suppliers as they can provide the informations

about the UV radiations and the locate of the customers. Auckland radiation has the most

informations about the UV rays and the areas with high level of UV rays. Navman can

provide the exact location of the customers. These firms are suppliers as they provide

services in standardized transaction patterens for a period of time.

Two partners will be Google Play and iTunes. The application should be sold in these

application stores and these firms have the business relationship based on mutual trust,

openess, and shared risk and reward that yields a competitive advantage.


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3.6 Strategy: Cost Leadership

This smartphone application will have low cost as most of the smartphone applications are

very cheap or free to download and use.

It is a broad market as everyone who has smartphone can purchase the application and

most of people have smartphones these days so many people can access to this product and

service. There is no age restriction so every age levels can purchase the product/servic

therefore, it is broad market where everyone can use it.

The overall strategy is therefore Cost Leadership

3.7 Value Chain Activity: Market and sell the product or service

The most important value chain activity for this business is Market and sell the product or

service.

Marketing and selling the product or services is an important value chain activity as our

vision is to make people avoid from the UV rays as possible as we can but we need a

marketing to make people to understand the riskisness of UV rays. Also we need to sell the

product so the people can use the application and use the service provided to avoid from

the UV rays.

3.8 Business Processes

3.8.1. ADVERTISING PROCESS - This is one of the most relevant process as our most

important value chain activity is marketing and selling the product or service. And our vision

is to make people avoid from UV rays. To satisfy all of these, we need to advertise our

application to make sure the customers are informed with riskiness of the UV rays and

catches their attention and make them to purchase our application. This process is done by

researching the customers needs and possible risky situations to change peoples

perception which can satisfy our vision as people will be encouraged to avoid the UV rays.


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Start

Marketing

Research

customers needs

Make them as a

statistical data

Marketing management system

Is this data useful to

attract customers?

Send the report for

advertising

End

Research more

relevant

informations

No

Research harmful

previous cases

Put data all together

Yes


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3.8.2. CUSTOMER PURCHASING PROCESS Customers must buy our application to use the

service and this is an important process as this process satisfies our value chain of selling the

product or service as it is all about in our firm and to achieve our vision by making them to

use our application and avoid from the UV rays. This process shows the steps from the

payment on the customers perspective.

Start

Customer decided

to purchase the

application on the

application store

Accounting

Credit card payment system

Enough credits to

purchase the

application?

Send download link

to the customer

Customer pressing

the Buy button

Yes

End

Top up the money

for application storeNo


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3.9 Functionalities

3.9.1. ADVERTISING PROCESS

Analysing trend. Combining data.

3.9.2. CUSTOMER PURCHAING PROCESS

Searching application. Process transaction.

3.10 Systems

3.10.1. MARKETING MANAGEMENT SYSTEM This system incorporates the functionalities of

analysing trend and combining data as they are important for marketing. For marketing, all

the data should be reported and they are done by analysing the trend(data collecting) and

combining them together. This is linked to our vision of making people to avoid from the UV

rays as this marketing management system will be used to make sure people to get

informed about the riskiness of UV rays and make sure they use our application and satisfy

our vision.

3.10.2. CREDIT CARD PAYMENT SYSTEM This system incorporates the functionality ofprocess transaction. Credit card payment systems is used for the payment when the

customer does not have enough credit on the application stores. The transactions such as

credit details and payment amount must be processed to complete the credit card payment

system. This is linked to our vision of making people to avoid from the UV rays as this must

be done for the customers to use our application and satisfy our vision.

3.10.3. PURCHASE SYSTEM - From the customers perspective, they must search for the

application to purchase the application. Purchase system incorporates the functionality of

searching application as this must be done if the customer wants to buy the application and

is connected to the process of customer purchase process. This is linked to our vision of

making people to avoid from the UV rays as this must be done for the customers as our

application must be purchased.


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3.11. Summary Table: Value Chain to Systems

Value Chain

Activity

Processes Functionalities Specific Information

System(s)

Broad Information

System(s)

Marketing

and selling

the product

or service.

1. Advertisingprocess

1. Analysing trend2. Combining data

Marketing management

system

Decision support system

2. Customerpurchasing

process

1. Searching application2. Process transaction

Credit card payment system

Purchase system

Transaction processingsystem

Transaction processing

system


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CONCLUSION

In conclusion, health and fitness smartphone application industry is not an attractive

industry to enter. However, this solution can make the firm to get closer to the vision

statement of making people keep safe from the UV rays through all those processes,

functionalities and systems that the firm can have as selling and marketing the application

which can satisfy the customers needs and wants.

REFERENCES

1. Allen, B., Riedel, K, McKenzie, R., Nichol, S. and Clarkson, T. (2012). The Encyclopediaof New Zealand. Retrieved fromhttp://www.TeAra.govt.nz/en/atmosphere/page-

4%E2%80%8E

2. Cancer Society of New Zealand (2012). Ultraviolet Radiation. Retrievedfromhttp://www.cancernz.org/reducing-your-cancer-risk/sunsmart/the-ultraviolet-

index/

3. EPA (2010). SunWise Program; UV radiation. Retrieved fromhttp://www.epa.gov/sunwise/doc/uvradiation.html

4. EPA (2012). UV Index. Retrieved fromhttp://www.epa.gov/enviro/mobile/5. Public Interest (2013). Live News. Retrieved

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9. Mackay, J. (2013). Focus on sun protection. The New Zealand Herald, Retrieved fromhttp://www.nzherald.co.nz/viva-

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http://www.nzherald.co.nz/viva-magazine/news/article.cfm?c_id=533&objectid=11160181http://www.nzherald.co.nz/viva-magazine/news/article.cfm?c_id=533&objectid=11160181http://www.nzherald.co.nz/viva-magazine/news/article.cfm?c_id=533&objectid=11160181http://www.nzherald.co.nz/viva-magazine/news/article.cfm?c_id=533&objectid=11160181http://www.nzherald.co.nz/viva-magazine/news/article.cfm?c_id=533&objectid=11160181

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Infosys110 d2 Sang-yun Lee 5921239