WAI MOE LWIN

HND Year 2 Semester 1

THE WAY OF SUCCESS WITH

THE E-COMMERCE

MARCH 13, 2014

Table of Contents
Task 1 ......................................................................................................... 4
Introduction ............................................................................................. 4
Organization ............................................................................................ 4
Types of the organization..................................................................... 5
Private Sector ...................................................................................... 6
Public Sector ..................................................................................... 12
Business Aims and objectives ............................................................... 17
Smart Objectives ............................................................................... 17
Business Aims ................................................................................... 20
Alternative Aims and Objectives ........................................................ 21
Pest Analysis on Ebay........................................................................... 22
4.1. Political ....................................................................................... 22
4.2. Economic .................................................................................... 22
4.3. Social .......................................................................................... 23
4.4. Technological.............................................................................. 24
4.5 External Factors ........................................................................... 24
Stakeholder analysis on CD shop.......................................................... 26
Implementing stake holder analysis ................................................... 28

Task 2 ....................................................................................................... 37
Impact of Ecommerce ........................................................................... 37

Page1

Summary ............................................................................................... 36

Impacts on Direct Marketing of Myanmar CD World .......................... 37

Other marketing Impacts of Myanmar CD world ................................ 38
Impacts on Myanmar CD World general process ............................... 40
Impacts on Manufacturing of Myanmar CD World .............................. 42
Impacts on Finance of Myanmar CD World ....................................... 42
Global Impact of E-commerce for CD/DVD shop ................................... 43
Conclusion ............................................................................................ 47
Task 3 ....................................................................................................... 49
Why E-commerce is important .............................................................. 49
Ecommerce Market potential and analysis in Global .......................... 49
Leading nations of the e-commerce ................................................... 51
Back Link to our region of e-commerce potential ............................... 55
Our Country ....................................................................................... 57
Five Reasons Why ecommerce need for Organization ...................... 58
Our Solution for why your organization need ecommerce .................. 60
Implementing the E-commerce on Myanmar CD World ......................... 61
Step One: Compliance & Security Considerations ............................. 62
Step Two: Addressing Performance, Availability, and Scalability ....... 65
Step Three: Mapping Site Flow and Processes ................................. 68

Summaring for Implement.................................................................. 72

Legal in Myanmar for E-commerce........................................................ 73

Page2

Step Four: The Inventory ................................................................... 70

Summary ........................................................................................... 73
Electronic transactions law ................................................................ 73
Consumer protection ......................................................................... 76
Privacy and data protection ............................................................... 77
Online content regulation ................................................................... 77
Cybercrime and cyber security........................................................... 77
Online dispute resolution and domain-name regulation ..................... 78
Summarizing on legal implications ..................................................... 78

Page3

References ............................................................................................... 81

Task 1
Introduction
A social unit of people that is structured and managed to meet a need
or to pursue collective goals. All organizations have a management structure
that determines relationships between the different activities and the
members, and subdivides and assigns roles, responsibilities, and authority
to carry out different tasks. Organizations are open systems--they affect and
are affected by their environment.

Organization
Organization is the foundation upon which the whole structure of
management is built. Organization is related with developing a frame work
where the total work is divided into manageable components in order to
facilitate the achievement of objectives or goals. Thus, organization is the
structure or mechanism (machinery) that enables living things to work
together. In a static sense, an organization is a structure or machinery
manned by group of individuals who are working together towards a common
goal. Alike 'management', the term 'organization' has also been used in a
number of ways. Broadly speaking, the term 'organization' is used in four
different senses: as a process, as a structure of relationship, as a group of
persons and as a system, as given below:
Organization as a Process: In this first sense, organization is treated as a
dynamic process and a managerial activity which is essential for planning
the utilization of company's resources, plant and equipment materials,

Page4

money and people to accomplish the various objectives.

Organization as a Framework of Relationship: In the second sense

organization refers to the structure of relationships and among position jobs
which is created to release certain objectives. For example: According to
Mooney and Reily, "Organization is the form of every human association for
the attainment of a common purpose."
Organization as a Group of persons: In the third sense, organization is very
often viewed as a group of persons contributing their efforts towards certain
goals. Organization begins when people combine their efforts for some
common purpose. It is a universal truth that an individual is unable ability and
resources. Barnard has defined 'Organization' as an identifiable group of
people contributing their efforts towards the attainment of goals.
Organization as a System: In the fourth sense, the organization is viewed as
system. System concepts recognize that organizations are made up of
components each of which has unique properties, capabilities and mutual
relationship. The constituent element of a system are linked together in such
complex ways that actions taken by one producer have far reaching effect
on others.
In short, organizing is the determining, grouping and arranging of the
various activities deemed necessary for the attainment of the objectives,
the assigning of people to those activities, the providing of suitable physical
factors of environment and the indicating of the relative authority delegated
to each individual charged with the execution of each respective activity.

Types of the organization

Several Types of businesses organization are exiting in order to satisfy
types of business organization.

Page5

various social, economic & rumen requirements. Following are the main

Private Sector
Individual ownership or Sole Proprietorship.
Partnerships
Joint Stock Companies
Public Sector
Departmental Organizations
Public Corporation.
Government Companies

Private Sector
Individual Ownership:
Ownership
As the name suggests, such type of business is owned & operated by
one person. This is the oldest and simplest form of business organization.
The businessman invests capital, employs labor & machines.
Profit Sharing
Stance owner alone enjoys the profits and suffer the losses in his
business. Therefore, he is the supreme authority to decide into different
matters concerning it his business and has unlimited freedom of action within
legal jurisdiction.
Nature of business
Overall control in single hand helps him in quick decision efficient
administration and working. Such organization owner himself is responsible
personal property.

Page6

for the liabilities. Hence the creditor can collect the money even from the

Real World Example

Innwa Book Store is owned by the one person in spite of having a
quantity of outlets.
Applications
1. In small enterprise requiring small capital which can be spared by one
man.
2. Where management by one man is possible.
Advantages
1. Such individual enterprises can easily be formed and simple to sun.
2. Minimum if legal restrictions.
3. Owners interest, care & efficiency directly affect the profit in the
business.
4. Retain of all profit to the owner.
5. Ease of dissolving firm.
6. In this system owner himself is in touch with customers and hence can
know their likings.
7. Since it is supervised by the proprietor himself, the fixed cost over
heads are nary less and products can be obtained cheaply.
8. Most of the businesses have their no competitor of certain secrecy in
their functioning. In this form of organization such secret functions are
performed by the owner himself. Therefore, he has the greatest
possibility of running business well.
9. If at any time the owner feels some benefit in dong some work, he can

Page7

act quickly without any bodys advice and can avail the benefit.

Disadvantages
1. Amount of the capital that can be invested is limited; therefore, modern
factory cannot be run with this system of organization.
2. Owner cannot be the master of all techniques management, sales,
engineering processes etc., since work suffers.
3. Due to unlimited liability owner cannot take risk to start a big industry.
4. Limited opportunity for employees because organization is not
permanent.
5. Uncertainty

of

duration

I-e

death

imprisonment

or

insanity

automatically terminates the firm possibility that overall direction may

become a burden on owner when business grows.
Partnership Organization
Ownership
An ordinary partnership can have between two and twenty
partners. However, the Partnership Act of 2002 has made it legal for some
forms of partnership e.g. big accountancy firms to have more partners who
also enjoy limited liability. Partnerships are usually set up by writing out a
deed of partnership which is witnessed by a solicitor and sets out the
important details such as how the profits and losses will be shared.
Partnerships are particularly common in professional services e.g.
accountants, solicitors, vets.
Profit sharing
partnership, unlimited partnership and limited liability partnership-the basic

Page8

There are different types of partnerships-general partnership, limited

differences stemming around the degree of personal liability and

management control. A limited partner is only responsible for debts of the
firms to the extent of the capital he invested. Unlimited partners are
responsible for the total debt of the business. Partnerships are relatively easy
to form, however, considerable thought should be put into developing a
partnership agreement at the point of formation.
Nature of business
People in business partnerships can share skills and the workload, and
it may be easier to raise the capital needed. For example, a group of doctors
are able to pool knowledge about different diseases, and two or three doctors
working together may be able to operate a 24 hour service. When one of the
doctors is ill or goes on holiday, the business can cope.
Real World Example
Max Beverage is a partnership company type with the Coca-Cola
Myanmar that they produced Coca-Cola soft drinks.

Advantages of a partnership
It is relatively easy to form but considerable amount of time should be
invested in developing the partnership agreement.
1. It is easier to raise capital compared to a sole proprietorship as there
are more than one investor.
therefore there are no corporate income taxes.

Page9

2. Any income is declared as the partners personal income tax returns,

3. Employees may be motivated and attracted to the business by the

inventive to become a partner
Disadvantages of a partnership
1. Partners are jointly responsible for all the obligations of the business.
2. Partners must make decision together therefore disputes or conflicts
may occur. It may eventually lead to dissolving the partnership.
Joint Stock Company
Ownership
A joint-stock company is a business entity which is owned by
shareholders. Each shareholder owns the portion of the company in
proportion to his or her ownership of the company's shares (certificates of
ownership).This allows for the unequal ownership of a business with some
shareholders owning a larger proportion of a company than others.
Shareholders are able to transfer their shares to others without any effects
to the continued existence of the company.
Profit Sharing
In modern corporate law, the existence of a joint-stock company is
often synonymous with incorporation (i.e. possession of legal personality
separate from shareholders) and limited liability (meaning that the
shareholders are only liable for the company's debts to the value of the
money they invested in the company). And as a consequence joint-stock
Some jurisdictions still provide the possibility of registering joint-stock
companies without limited liability. In the United Kingdom and other countries

Page10

companies are commonly known as corporations or limited companies.

which have adopted their model of company law, these are known as
unlimited companies. In the United States, they are known simply as "jointstock companies".
Nature of business
Limited financial resources & heavy burden of risk involved in both of
the previous forms of organization has led to the formation of joint stock
companies these have limited dilutives.
The capital is raised by selling shares of different values. Persons who
purchase the shares are called shareholder. The managing body known as;
Board of Directors; is responsible for policy making important financial &
technical decisions.
There are two main types of joint stock Companies.
Private limited company
Public limited company
Real world Example
Today Published Company is a type of Joint Stock Company. It
composes of the shareholders and it profits is shared according to their share
values.
Private limited company: This type company can be formed by two or more
persons. The maximum number of member ship is limited to 50. In this
interfere in the working of the company.

Page11

transfer of shares is limited to members only. The government also does not

Public Limited Company: It is one whose membership is open to general

public. The minimum number required to form such company is seven, but
there is no upper limit. Such companies can advertise to offer its share to
genera public through a prospectus. These public limited companies are
subjected to greater control & supervision of control.
Advantages of joint stock company
1. The liability being limited the shareholder bear no Rick& therefore more
as make persons are encouraged to invest capital.
2. Because of large numbers of investors, the risk of loss is divided.
3. Joint stock companies are not affected by the death or the retirement
of the shareholders.
Disadvantages of Joint Stock Company
1. It is difficult to preserve secrecy in these companies.
2. It requires a large number of legal formalities to be observed.
3. Lack of personal interest
Real

Public Sector
Such ownership is the only serious competitor to the joint stock
companies. This form is most suitable for the establishment & development
of modern industries, because of facilities like owner, transport; Credit,
insurance etc. are easily available to them.
The private ownership & the joint stock company gave rise to exploitation of
labors & of the consumers.
the economic unbalance in the nation. It serves as a means to obstruct the
monopolistic tendencies.

Page12

Government either starts or nation aliases certain industries to prevent

Main reason for the drawbacks in the above mentioned state

ownership is that they cannot be bundled like private enterprise.
Government Departmental Organizations
Management through the concerned ministry
It is managed by the officials of the government under the charge of
the secretary of the ministry concerned. The examples are posts &
Telegraphic, Railways, Defense, Industries, Broadcasting.
Management by Inter department Committee
In certain organization cooperation is required from several ministries;
Therefore a board or committee of representatives from concerning
ministries is formed so that co-operation consultation & quick decisions may
be taken.
All

the

governmental

organizations

have

following

essential

characteristics;
1.

Financed out of government bud get.

2.

All the rules regulations of government are applicable.

3.

Direct control of the concerned ministry.

4.

Employees are government servant.

Real World Example

As the government departmental organization, Myanmar Computer
Federation (MPF) strongly stand in Myanmar.
Advantages
economical political & social objectives.

Page13

1. Because of the government control it is easy to achieve the

2. Such organizations are suitable for public utility serviced & defense
industries.
3. Because of the government control, complete secrecy is possible like
in ordinance factories etc.
Disadvantages
1. Because of bureaucratic control generally timely decision are not
taken.
2. Government officials prefers to work according to certain rules &
regulation & thus it becomes difficult to ring out major modifications is
innovation etc.
3. Lack of initiative because promotions are seniority based rather than
merit based.
Public Corporations
Ownership
A public corporation is wholly owned by the Government center to
state. It is established usually by a Special Act of the parliament. Special
statute also prescribes its management pattern power duties & jurisdictions.
Though the total capital is provided by the Government, they have separate
entity & enjoy independence in matters related to appointments, promotions
etc.
Nature of Business
A public organization is a state-run organization. It is government
state provisions, but in some cases an alternative tax will. A public service
organization is an organization with an aim of providing services for the

Page14

controlled and is paid for by public taxation. Usually a general tax will pay for

benefit of the general public. Public service organizations provide essential

commodities such as water. They are formed by the local and central
government along with public corporations. A public organization is one that
is paid for by taxpayers and run by a government. For example, all federal
agencies are public organizations.
Real World Example
Public organization are significant because they are very transparent.
Example of public organization are red cross.
Advantages
1. These are expected to provide better working conditions to the
employees & supported to be better managed.
2. Quick decisions can be possible, because of absence of bureaucratic
control.
3. More legibility as compared to departmental organization.
4. Since the management is in the hands of experienced & capable
directors & managers, these ate managed more efficiently than that of
government departments.
Disadvantages
1. Any alteration in the power & Constitution of Corporation requires an
amendment in the particular Act, which is difficult & time consuming.
2. Public Corporations possess monopoly & in the absence of
competition, these are not interested in adopting new techniques & in
Government Coporations
Ownership

Page15

making improvement in their working.

A state enterprise can also be organized in the form of a Joint stock

company; a government company is any company in which of the share
capital is held by the central government or partly by central government &
party by one to more state governments.
Nature of Business
It is managed by the elected board of directors which may include
private individuals. These are accountable for its working to the concerned
ministry or department & its annual report is required to be placed ever year
on the table of the parliament or state legislatures along with the comments
of the government to concerned department.
Real World Example
Myanmar Pearl Corporation is one of the real existences of the
government corporation.
Advantages
1. It is easy to form.
2. The directors of a government company are free to take decisions &
are not bound by certain rigid rules & regulations.
Disadvantages
1. Misuse of excessive freedom cannot be ruled out.
2. The directors are appointed by the government so they spend more
time in pleasing their political masters & top government officials, which

Page16

results in inefficient management.

Business Aims and objectives

In preparing a project design, and when writing a proposal (for approval
or for requesting funds), the goals of the project are stated. The goal is easily
defined as the solution to the problem that has been identified. The problem
with such a "goal" is that it is too general; it is not easy to obtain consensus
as to when it has been reached.
That is why, when preparing project documents, a distinction is made
between a "goal" and an "objective." An objective is derived from a goal, has
the same intention as a goal, but it is more specific, quantifiable and verifiable
than the goal.
Remember, every objective must start with the word, "To." An easy
way to remember the characteristics of a good objective, is the acronym,
"SMART." It stands for "Specific, Measurable, Achievable, Realistic and
Time-Bound."

Smart Objectives
The establishment of all objectives should be created using the
S.M.A.R.T. philosophy. What do we mean by an S.M.A.R.T. objective?
S.M.A.R.T. is an acronym that is used to guide the development of
measurable goals. Each objective should be:
Specific
Measurable w/Measurement
Achievable
Time-Oriented

Page17

Realistic

Smart Objectives
Specific
Specific answers the questions "what is to be done?" "How will you
know it is done?" and describes the results (end product) of the work to be
done. The description is written in such a way that anyone reading the
objective will most likely interpret it the same way.

To ensure that an

objective is specific is to make sure that the way it is described is observable.

Observable means that somebody can see or hear (physically observe)
someone doing something.
Measurable w/Measurement answers the question "how will you know
it meets expectations?" and defines the objective using assessable terms

Page18

Measurable /Measurement

(quantity, quality, frequency, costs, deadlines, etc.). It refers to the extent to

which something can be evaluated against some standard. An objective with
a quantity measurements uses terms of amount, percentages, etc.

frequency measurement could be daily, weekly, 1 in 3. An objective with a

quality measurement would describe a requirement in terms of accuracy,
format, within university guidelines.
Achievable
Achievable answers the questions "can the person do it?" "Can the
measurable objective be achieved by the person?" "Does he/she have the
experience, knowledge or capability of fulfilling the expectation?" It also
answers the question "Can it be done giving the time frame, opportunity and
resources?" These items should be included in the SMART objective if they
will be a factor in the achievement.
Realistic
Achievable business goals are based on the current conditions and
realities of the business climate. Goal should be instrumental to the mission
of the department. Develop goals that relate to the staff members key
accountabilities with departmental goals that align with the institutional
agenda. Example; develop and implement a diversity recruitment plan that
increases the number of diversity candidates by ten percent.
Time-oriented
Time-oriented answers the question, "when will it be done?" It refers
to the fact that an objective has end points and check points built into it.
Sometimes a task may only have an end point or due date. Sometimes that
point of one task is the start point of another. Sometimes a task has several
milestones or check points to help you or others assess how well something

Page19

end point or due date is the actual end of the task, or sometimes the end

is going before it is finished so that corrections or modifications can be made

as needed to make sure the end result meets expectations. Other times, an
employees style is such that the due dates or milestones are there to create
a sense of urgency that helps them to get something finished.

Business Aims
The main aims that a business might have are:
Survival a short term objective, probably for small business just starting
out, or when a new firm enters the market or at a time of crisis.
Profit maximization try to make the most profit possible most like to be
the aim of the owners and shareholders.
Profit satisficing try to make enough profit to keep the owners comfortable,
probably the aim of smaller businesses whose owners do not want to work
longer hours.
Sales growth where the business tries to make as many sales as possible.
This may be because the managers believe that the survival of the business
depends on being large. Large businesses can also benefit from economies
of scale.
A business may find that some of their aims and objectives conflict with
one and other: Growth versus profit: for example, achieving higher sales in
the short term (e.g. by cutting prices) will reduce short-term profit. Short-term
versus long-term: for example, a business may decide to accept lower cash
flows in the short-term whilst it invests heavily in new products or plant and
equipment. Large investors in the Stock Exchange are often accused of
performance rather than investing in a business for the long-term.

Page20

looking too much at short-term aims and objectives and company

Alternative Aims and Objectives

Not all businesses seek profit or growth. Some organizations have
alternative objectives.
Examples of other objectives:
Ethical and socially responsible objectives organizations like the Co-op or
the Body Shop have objectives which are based on their beliefs on how one
should treat the environment and people who are less fortunate.
Public sector corporations - are run to not only generate a profit but provide
a service to the public. This service will need to meet the needs of the less
well off in society or help improve the ability of the economy to function: e.g.
cheap and accessible transport service.
Public sector organizations - that monitor or control private sector activities
have objectives that are to ensure that the business they are monitoring
comply with the laws laid down.
Health care and education establishments their objectives are to provide a
service most private schools for instance have charitable status. Their aim
is the enhancement of their pupils through education.
Charities and voluntary organizations their aims and objectives are led by
the beliefs they stand for.
Changing Objectives
A business may change its objectives over time due to the following
reasons:
A business may achieve an objective and will need to move onto
increasing profit in the second year). The competitive environment might
change, with the launch of new products from competitors. Technology might

Page21

another one (e.g. survival in the first year may lead to an objective of

change product designs, so sales and production targets might need to

change.

Pest Analysis on Ebay

4.1. Political
EBay is a company, which is not very much influenced by political
developments. Some countries might put some policies affecting them in
place and the on-going globalization might have effects on them as well.
Globalization
Globalization is an issue that will positively affect eBays business.
They will be able to expand internationally and find new markets.
Government Policies
Some government policies in favor and against interests might be
introduced. When looking in the past though, national governments have left
e-commerce alone.
Regulatory bodies and processes
Regulations could be passed making sites ensure a certain level of
security in online shopping, increasing customer security but also costs for
online businesses.

4.2. Economic
Interest and Exchange Rates
A future instability in Exchange rates would have heavy effects on
eBay. Interest rates would also be affected by the instability and therefore
affect eBay in bad ways.
Economy Situation and trends
performance. Another Wall Street crash would probably devastating effects
on eBay while a second boom e-commerce would make eBays profit rocket.

Page22

Economic situations of course have a direct impact on eBays good

Taxation
Taxation might affect eBay in two ways. First of all higher taxing of their
profit might be possible. Secondly and more importantly if taxation for every
sale in online auction houses would be introduced this would seriously
damage eBay.

4.3. Social
Lifestyle Trends
Further integration of the Internet in the daily life will be a major issue
in the next years. This is a great opportunity for eBay and will affect them
very positively.
Consumer buying patterns
Consumer might develop completely different buying patterns meaning
that they might start buying everything online and getting it delivered. EBay
could make use of this and find new markets.
Brand image
EBays brand image might suffer over time and their competition might
then overtake their position as market leader.
Demographics
In some countries the population is becoming older and in some
younger. Older generations might not show much interest in a service like
eBay while younger generations generally show more interests in
innovations. This means that older societies might not be such a market for

Page23

eBay to aim at.

4.4. Technological
Consumer buying mechanism
In future buying of products will more and more take place on online
platforms. EBay might be able to take advantage of this by finding new
markets and increasing their market share.
Innovation potential
If innovations come, which they will, and eBay does no steps towards
them, one of their competitors will do so and maybe even inherit eBays
position as market leader
Patents
EBay might be confronted with further patent or licensing issues, which
can do them major harm. In very bad cases this could mean that eBays
earnings are cut down to large percentages because they go to patent
owners.
The Internet has had a major influence on the ways consumers and
businesses research and purchase products. Whereas in the early and mid1990s, it was rare for consumers to consider cross-border purchases this is
now becoming common via services such as eBay, with the result that even
small businesses can now serve a global market.

4.5 External Factors

Changing External Environment
Markets are changing all the time. It does depend on the type of
product the business produces, however a business needs to react or lose
Some of the main reasons why markets change rapidly:
Customers develop new needs and wants.

Page24

customers.

New competitors enter a market.

New technologies mean that new products can be made.
A world or countrywide event happens e.g. Gulf War or foot and mouth
disease.
Government introduces new legislation e.g. increases minimum wage.
Business and Competition
Though a business does not want competition from other businesses,
inevitably most will face a degree of competition.
The amount and type of competition depends on the market the
business operates in:
Many small rival businesses e.g. a shopping mall or city center arcade
close rivalry.
A few large rival firms e.g. washing powder or Coke and Pepsi.
A rapidly changing market e.g. where the technology is being
developed very quickly the mobile phone market.
A business could react to an increase in competition (e.g. a launch of
rival product) in the following ways:
Cut prices (but can reduce profits)
Improve quality (but increases costs)
Spend more on promotion (e.g. do more advertising, increase brand
loyalty; but costs money)
Cut costs, e.g. use cheaper materials, make some workers redundant
Social Environment and Responsibility
attitudes to way they live. Businesses will need to adjust their products to

Page25

Social change is when the people in the community adjust their

meet these changes, e.g. taking sugar out of childrens drinks, because
parents feel their children are having too much sugar in their diets.
The business also needs to be aware of their social responsibilities.
These are the way they act towards the different parts of society that they
come into contact with.
Legislation covers a number of the areas of responsibility that a
business has with its customers, employees and other businesses. It is also
important to consider the effects a business can have on the local
community. These are known as the social benefits and social costs.
A social benefit is where a business action leads to benefits above and
beyond the direct benefits to the business and/or customer. For example, the
building of an attractive new factory provides employment opportunities to
the local community.
A social cost is where the action has the reverse effect there are
costs imposed on the rest of society, for instance pollution.
These extra benefits and costs are distinguished from the private
benefits and costs directly attributable to the business. These extra cost and
benefits are known as externalities external costs and benefits.
Governments encourage social benefits through the use of subsidies
and grants (e.g. regional assistance for undeveloped areas). They also
discourage social costs with fines, taxes and legislation. Pressure groups will
also discourage social costs.
"Stakeholder management is critical to the success of every project in
every organization I have ever worked with. By engaging the right people in

Page26

Stakeholder analysis on CD shop

the right way in your project, you can make a big difference to its success...
and to your career."
As you become more successful in your career, the actions you take
and the projects you run will affect more and more people. The more people
you affect, the more likely it is that your actions will impact people who have
power and influence over your projects. These people could be strong
supporters of your work or they could block it.
Stakeholder Management is an important discipline that successful
people use to win support from others. It helps them ensure that their projects
succeed where others fail.
Stakeholder Analysis is the technique used to identify the key people
who have to be won over. You then use Stakeholder Planning to build the
support that helps you succeed.
The benefits of using a stakeholder-based approach are that:
You can use the opinions of the most powerful stakeholders to shape
your projects at an early stage. Not only does this make it more likely
that they will support you, their input can also improve the quality of
your project
Gaining support from powerful stakeholders can help you to win more
resources this makes it more likely that your projects will be
successful
By communicating with stakeholders early and frequently, you can
ensure that they fully understand what you are doing and understand
when necessary

Page27

the benefits of your project this means they can support you actively

 You can anticipate what people's reaction to your project may be, and
build into your plan the actions that will win people's support.

Implementing stake holder analysis

How to Use the Tool
The first step in Stakeholder Analysis is to identify who your
stakeholders are. The next step is to work out their power, influence and
interest, so you know who you should focus on. The final step is to develop
a good understanding of the most important stakeholders so that you know
how they are likely to respond, and so that you can work out how to win their
support you can record this analysis on a stakeholder map.
After you have used this tool and created a stakeholder map, you can
use the stakeholder planning

tool to plan how you will communicate with

each stakeholder.
The steps of Stakeholder Analysis are explained below:
Step 1 Identify Your Stakeholders
The first step in your Stakeholder Analysis is to brainstorm who your
stakeholders are. As part of this, think of all the people who are affected by
your CD selling organization, who have influence or power over it, or have
an interest in its successful or unsuccessful conclusion.
The table below shows some of the people who might be stakeholders
in Myanmar CD World:
Stakeholder Analysis
External Stakeholder

Owner

Customer

Shareholder

Suppliers

Page28

Internal Stakeholder

Manager

Business Partners

Technical team

Industrial Experts

Sales Staff

Government

Customer Service

Journalist

Step 2- Adjusting stakeholder

importance and concerns

responsibilities,

roles,

By summarizing the stakeholder, there is two different types; internal

stakeholder and external stakeholder. At this stage, the responsibilities of
both of them are need to clearly define.
Internal Stakeholder
The internal stakeholder responsibilities are mainly aim to provide the
internal CD shop business procedures and all the outcomes and products of
the whole organization are depend upon their effort, interests and strength.
So their responsibilities are intent to provide business and management

Page29

processes the whole organization. Lets take a look them.

Internal stakeholders/
Owner

Shareholders

Roles and

Importance of a good

Concerns

responsibilities

relationship

Strategically plan

Improved productivity

That the organization

campaigns. Make

and output from team

has no clear direction

decisions. Add value to

members. Model their

and no understanding

the organization with

good practice and pass

of their stakeholders

their strong

on corporate memory

needs and how these

communication of

(the use of organized

can be met by the

leadership values.

client folders, etc.).

organization.

Involved in different

Improved access to

Expect an appropriate

areas of campaign

information to better

return for their

planning from staffing

understand business

investment; if not they

to budgeting and

decisions and working

may sell their shares

organizing of materials.

opportunities for long-

which could negatively

term career planning.

affect an organization.
Shareholders also have
the right to vote at
company meetings and
good communication
will help ensure they
vote in line with the
management.

Managers

Define clearly what the

Clear communication

That staff/team

specified process is

from your line manager

members do not feel

and identify employees

reduces communication

valued and become

and team members

blocks from senior

unhappy in their work.

parts in it.

managers. They are

That team members do

able to offer help and

not communicate with

advice in the

stakeholders in a

completion of your

consistent manner if

project.

they have not

themselves received
clear consistent

Employees ( Technical

Carry out roles as

Pleasant working

That there is discord in

Teams, Sales Staff,

outlined for project and

atmosphere and a clear

the team and

Customer Service)

processes of your CD

understanding of who is

campaigns and

Page30

messages.

store. Need to know

responsible for which

processes are not

how they are

task and how they are

completed.

performing in their role

all interdependent for

and if there are any

the positive outcome of

changes to be made in

the campaign. Also

their work in plenty of

provide future contacts

time for them to do it.

throughout your
business.

External Stakeholder
To completely perform the successful pathway of the Myanmar CD
World, the external providers (stakeholders) are also need to perform
together with the internal stakeholders. As the nature of the external, their
responsibilities are intent to provide and perform from the external view of
Myanmar CD world.
External Stakeholder

Roles and

Importance of a good

Concerns

responsibilities

relationship

The organizations

Receive the goods or

Must understand and

If they are unhappy

clients or customers

services and products

meet the needs of

with your organization

that your organization

these stakeholders in

then their business will

offers.

order for your clients

suffer; in turn you may

business to succeed

lose their business.

and/or make a profit.

Supporters(Supplier,

Provide the resources

You will receive good-

May withdraw supplies

Business Partner )

needed during a whole

quality resources at

and pass on negative

procedure, e.g. CD,

reasonable prices.

information about an

designers or printers.

organization that deals

Require clear

with them in a reckless

communication about

or unprofessional way.

exactly what you need

and when the supplier
will be paid.

Page31

and when, and how

Industry experts

Government bodies

Can comment on your

May speak positively

May speak negatively

organization or its

about your organization

about your organization

products/services and

or your products/

or your

add an air of third-party

services when asked to

products/services.

authority.

do so.

Legislate to regulate

Good corporate

Can impose fines and

what organizations can

governance may also

other penalties on

do.

influence the regulatory

organizations that

environment.

refuse to comply with

legislation.

Journalists

Write stories about your

Will be likely to cover

May write negative

organization or its

news stories that you

stories about your

products and/or

suggest in a positive

organization or its

services.

manner.

products/services.

Step 3 Prioritize Your Stakeholders

You may now have a long list of people and organizations that are
affected by your work. Some of these may have the power either to block or
advance. Some may be interested in what you are doing, others may not
care. Map out your stakeholders, and classify them by their power over your

Page32

work and by their interest in your work.

For example, your boss is likely to have high power and influence over
your projects and high interest. Your family may have high interest, but are
unlikely to have power over it.
Someone's position on the grid shows you the actions you have to take
with them:
High power, interested people: these are the people you must fully
engage and make the greatest efforts to satisfy.
High power, less interested people: put enough work in with these
with your message.

Page33

people to keep them satisfied, but not so much that they become bored

 Low power, interested people: keep these people adequately informed,

and talk to them to ensure that no major issues are arising. These
people can often be very helpful with the detail of your project.
Low power, less interested people: again, monitor these people, but do
not bore them with excessive communication.
Step 4 Understand Your Key Stakeholders
You now need to know more about your key stakeholders. You need
to know how they are likely to feel about and react to your project. You also
need to know how best to engage them in your project and how best to
communicate with them.
Key questions that can help you understand your stakeholders are:
What financial or emotional interest do they have in the outcome of
your work? Is it positive or negative?
What motivates those most of all?
What information do they want from you?
How do they want to receive information from you? What is the best
way of communicating your message to them?
What is their current opinion of your work? Is it based on good
information?
Who influences their opinions generally, and who influences their
opinion of you? Do some of these influencers therefore become
important stakeholders in their own right?
If they are not likely to be positive, what will win them around to
If you don't think you will be able to win them around, how will you
manage their opposition?

Page34

support your project?

 Who else might be influenced by their opinions? Do these people

become stakeholders in their own right?
A very good way of answering these questions is to talk to your
stakeholders directly people are often quite open about their views, and
asking people's opinions is often the first step in building a successful
relationship with them.
You can summarize the understanding you have gained on the
stakeholder map, so that you can easily see which stakeholders are
expected to be blockers or critics, and which stakeholders are likely to be
advocates and supporters at Myanmar CD world organization. A good way
of doing this is by color coding: showing advocates and internal stakeholders

Page35

in red color and external are orange ones.

Summary
Beside the stakeholders, in order for a business to succeed and gain
the competitive edge, the business must know what changes are indeed
occurring, and what changes might be coming up in the future. I guess you
might call this forecasting. Thus, critical to the business is what we call
"informational resources." It is the collection and analyzation of data. Some
examples of critical information might include the following:
Competition (what are they doing?)
Customer behavior (needs, wants, and desires)
Industry outlook (local, national, global)
Demographics (the change populations, there density, etc.)
Economy (are we peaking, or moving negatively)
Political movements and/or interference
Social environment
Technological changes
General environmental changes
The above are just some issues organizations must be on top of. Well
it's never easy, but businesses that are successful include all of the above
(and more), to develop the appropriate tactics, strategies, and best practices,

Page36

to ensure successful out comes.

Task 2
Impact of Ecommerce
Impacts on Direct Marketing of Myanmar CD
World
Product promotion E-commerce
It enhances promotion of products and services through direct,
information-rich, and interactive contact with customers.
New sales channel E-commerce
It creates a new distribution channel for existing products. It facilitates
direct reach of customers and the bi-directional nature of communication.
Direct savings
The cost of delivering information to customers over the Internet results
in substantial savings to senders when compared with non electronic
delivery. Major savings are also realized in delivering digitized products
versus physical delivery.
Reduced cycle time
The delivery of digitized products and services can be reduced to
seconds. Also, the administrative work related to physical delivery, especially
across international borders, can be reduced significantly, cutting the cycle

Page37

time by more than 90 percent.

Customer service
Customer service can be greatly enhanced by enabling customers to
find detailed information online. Also, intelligent agents can answer standard
e-mail questions in seconds and human experts' services can be expedited
using help-desk software.

Corporate image
On the Web, newcomers can establish corporate images very quickly.
Corporate image means trust, which is necessary for direct sales. Traditional
companies such as Intel, Disney, Dell, and Cisco use their Web activities to
affirm their corporate identity and brand image.

Other marketing Impacts of Myanmar CD world

Customization E-commerce
It provides for customization of products and services, in contrast to
buying in a store or ordering from a television, which is usually limited to
standard products. Dell Computers Inc. is a success story of customization.
Today, we can configure not only computers but also cars, jewelry, gifts, and
hundreds of other products and services. If properly done, one can achieve
mass customization. It provides a competitive advantage as well as

Page38

increases the overall demand for certain products and services.

Advertisement With direct marketing and customization

It comes as one-to-one or direct advertisement, which is much more
effective than mass advertisement. This creates a fundamental change in
the manner in which advertisement is conducted not only for online trades
but also for products and services that are ordered in traditional ways.
Ordering System
Taking orders from customers can drastically be improved if it is done
online. When taken electronically, orders can be quickly routed to the
appropriate order-processing site. This saves time and reduces expenses.
So sales -people have more time to sell. Also, customers can compute the
cost of their orders, saving time for all parties involved.
Markets
The physical market disappears as does the need to deliver the goods
to the marketplace. In a market space, which is an electronic market, goods
are delivered directly to buyers when purchasing is completed making
markets much more efficient. For those products that are digitally basedsoftware, music and information-the changes will be dramatic. Already, small
but powerful software packages are delivered over the Internet. This
fundamentally affects packaging and greatly reduces the need for historical
distribution.

Such as shareware, freeware are emerging to maximize the potential

of the Internet. New forms of marketing will also emerge, such as Web-based

Page39

New selling models

advertising, linked advertising, direct e-mail, and an increased emphasis on

relationship marketing. Customers convenience is greatly enhanced,
availability of products and services is much greater, and cheaper products
are offered. All these provide EC with a competitive advantage over the
traditional direct sales methods. Some people predict the "fall of the
shopping malls," and many retail stores and brokers of services are labeled
by some as "soon to be endangered species."

Impacts on Myanmar CD World general process

Technology and Organizational Learning
Rapid progress in E-Commerce will force companies to adapt quickly
to the new technology and offer them an opportunity to experiment with new
products, services, and processes. New technologies require new
organizational approaches. For instance, the structure of the organizational
unit dealing with E-Commerce might have to be different from the
conventional sales and marketing departments. To be more flexible and
responsive to the market, new processes must be put in place. This type of
corporate change must be planned and managed.
Changing Nature of Work
The nature of work and employment will be transformed in the Digital
Age; it is already happening before our eyes. Driven by increased
employees down to a core of essential staff and outsourcing whatever work
they can to countries where wages are significantly less expensive. The

Page40

competition in the global marketplace, firms are reducing the number of

upheaval brought on by these changes is creating new opportunities and

new risks and forcing us into new ways of thinking about jobs, careers, and
salaries.
The Digital Age workers will have to become very flexible. Few of
them will have truly secure jobs in the traditional sense, and all of them will
have to be willing and able to constantly learn, adapt, make decisions, and
stand by them.
New product capabilities
E-commerce allows for new products to be created and existing
products to be customized in innovative ways. Such changes may redefine
organizations' missions and the manner in which they operate. E-Commerce
also allows suppliers to gather personalized data on customers. Building
customer profiles as well as collecting data on certain groups of customers,
can be used as a source of information for improving products or designing
new ones.
Mass customization,
It is described earlier, enables manufacturers to create specific
products for each customer, based on his or her exact needs. For example,
Motorola gathers customer needs for a pager or a cellular phone, transmits
them electronically to the manufacturing plant where they are manufactured,
along with the customer's specifications and then sends the product to the

Page41

customer within a day.

Impacts on Manufacturing of Myanmar CD

World
E-Commerce is changing manufacturing systems from mass
production to demand-driven and possibly customized, just-in-time
manufacturing. Furthermore, the production systems are integrated with
finance, marketing, and other functional systems, as well as with business
partners and customers. Using Web-based ERP systems, orders that are
taken from customers can be directed to designers and to the production
floor, within seconds. Production cycle time is cut by 50 percent or more in
many cases, especially when production is done in a different country from
where the designers and engineers are located.
Companies like IBM, General Motors, are assembling products for
which the components are manufactured in many locations. Sub-assemblers
gather materials and parts from their vendors, and they may use one or more
tiers of manufacturers. Communication, collaboration, and coordination
become critical in such multitier systems. Using electronic bidding,
assemblers get sub-assemblies 15 percent to 20 percent cheaper than
before and 80 percent faster.

Impacts on Finance of Myanmar CD World

E-commerce requires special finance and accounting systems.
The use of the new payment systems such as electronic cash is complicated
because it involves legal issues and agreements on international standards.

Page42

Traditional payment systems are ineffective or inefficient for electronic trade.

Nevertheless, electronic cash is certain to come soon and it will change the
manner in which payments are being made. In many ways, electronic cash,
which can be backed by currency or other assets, represents the biggest
revolution in currency since gold replaced cowry shells. Its diversity and
pluralism is perfectly suited to the Internet. It could change consumers'
financial lives and shake the foundations of financial systems and even
governments.

Global Impact of E-commerce for CD/DVD

shop
Thanks to the development of electronic commerce, the most basic of
economic transactions the buying and selling of goodscontinues to
undergo changes that will have a profound impact on the way companies
manage their supply chains. Simply put, e-commerce has altered the
practice, timing, and technology of business-to-business (B2B) and
business-to-consumer (B2C) commerce. It has affected pricing, product
availability, transportation patterns, and consumer behavior in developed
economies worldwide.
B2B e-commerce leads the way
Business-to-business electronic commerce accounts for the vast
majority of total e-commerce sales and plays a leading role in global supply
chain networks (see Figure 1). In 2003, approximately 21 percent of
manufacturing sales and 14.6 percent of wholesale sales in the United States
almost 40 percent for manufacturing and 16.3 percent for wholesale trade.
One reason why B2B e-commerce is more sophisticated and larger in size

Page43

were e-commerce related; by 2008 those percentages had increased to

than direct to- consumer e-commerce is that B2B transactions developed out
of the electronic data interchange (EDI) networks of the 1970s and 1980s.
The steady growth in business-to-business e-commerce has changed
the cost and profit picture for companies worldwide. At the microeconomic
level, growth of B2B e-commerce results in a substantial reduction in
transaction costs, improved supply chain management, and reduced costs
for domestic and global sourcing. At the macroeconomic level, strong growth
of B2B e-commerce places downward pressure on inflation and increases
productivity, profit margins, and competitiveness.
Double-digit growth for B2C
E-commerce retail has become the fastest growing trade sector and
has outpaced every other trade and manufacturing sector since 1999, when
the U.S. Census Bureau started collecting and publishing data on ecommerce. That year, e-commerce retail sales represented less than 1
percent of total U.S. retail sales. In 2003 that number climbed to a little less
than 2 percent; by 2008 it had grown to 3.6 percent, and by the fourth quarter
of 2010 B2C e-commerce reached 4.4 percent of total U.S. retail sales. In
dollar terms, e-commerce retail revenue currently stands at approximately
US $165 billion, considerably less than the US $3.9 trillion that represents
the total U.S. retail market.
During the "Great Recession," which lasted from December 2007
through June 2009, manufacturing, wholesale, and bricks-and-mortar retail
fully recovered, even though U.S. gross domestic product (GDP) and

Page44

sales took a heavy beating. By the fourth quarter of 2010 they still had not

personal spending (adjusted for inflation) had surpassed their previous

peaks seen in late 2007.
Retail e-commerce, by contrast, weathered the recession relatively
well, albeit with considerably slower growth than had been seen prior to the
financial crisis. In the first quarter of 2002, retail ecommerce experienced
quarterly, year-over-year growth of about 42 percent. On the eve of the
recession, that rate dropped to a still-respectable 18 percent. Quarterly sales
continued to grow until the latter part of 2008, and in the fourth quarter of
2009 sales surpassed the previous peak.
It's important to note here that a large portion of B2C sales come
through mail-order houses, many of which have an online presence as well
as traditional storefront outlets. Contrary to popular opinion, mail-order
houses still have a very strong online presence, and until just recently their
sales outperformed online-only retailers.
Economic, behavioral changes
The changes that B2C e-commerce has sparked arguably have had a
more significant impact on the economy and on buyers' behavior than has
B2B ecommerce. In the past, when consumers wanted to make purchases
they had to set aside time to shop during certain hours of the day, or they
had to read through catalogs sent to them by mail-order houses. Today,
many consumers can simply use their computers and now smart phones
or other portable electronic devicesto shop online. Buyers and sellers that
geographic marketing areas, or catalog mailing lists. With a few simple clicks

Page45

engage in e-commerce retail trade are no longer restricted by store hours,

they can gain access to a variety of goods 24 hours a day, seven days a
week.
The characteristics of retail e-commerce merchandise also have
changed significantly over the past decade. Back in 2000, computer
hardware was the most common type of merchandise sold over the Internet.
Today, the variety of merchandise is extremely diverse, and shoppers can
buy almost anything online.
Online shoppers have benefited in other ways. The growth of ecommerce retail sales has reduced consumers' search cost, placed
downward pressure on many consumer prices, and reduced price dispersion
for many consumer goods. But this has led to a substantial decrease in the
number of small companies operating in certain industries, as they tend to
be less involved with e-commerce. Larger businesses, most notably retail
book outlets, new automobile dealerships, and travel agents, are better able
to compete in this new market environment.
The extremely rapid growth of e-commerce retail sales has provided a
major boost to residential parcel delivery services. That's because online
merchandise purchases involve some form of residential delivery by a thirdparty vendor such as FedEx, UPS, or the U.S. Postal Service. In addition,
there appear to be considerable synergies related to B2C parcel and heavier
freight volumesparcel industry insiders have observed that businesses
with strong e-commerce related B2C parcel shipment volumes often have
stronger B2B shipment volumes than those that do not engage in B2C e-

Page46

commerce.

E-commerce influences demand patterns

As technology, e-commerce, and globalization become more
intertwined, buyers and sellers are increasing their connectivity and the
speed with which they conduct sales transactions. As we saw during the
recent turmoil in the financial markets and some supply chain networks,
speeding up sales transactions can be a very positive attribute when small
market corrections are taking place. However, during a major economic
correction like the one we witnessed during the Great Recession, a quicker
response to sales transactions can have cascading impacts on supply
chains, resulting in large contractions or expansions in orders, production,
shipments, and inventory.
That's because years ago, it might have taken two years for events in
one country to affect another's economy. Now, thanks to technology and
instant communication, the impact can be almost immediate.
Thus, there are some potentially negative consequences to the rapid
growth of e-commerce. In this volatile business environment, supply chain
managers should consider developing strategies for dealing with the rapid
swings that can result from increasing use of e-commerce in a globalized
market.

Conclusion
E-commerce had a great effect on the development of global economy
in developing countries. Small firms are gaining more profits by using ecommerce for making transactions with the clients. By utilizing ICTs facilities
reduction will encourage the firms to extend the number of transactions they
conduct across both organizational and geographical boundaries. Many

Page47

to maximum they can reduce the transaction costs to maximum. This

developing countries are not able to utilize the efficiencies and potentialities
of internet marketing. By using the internet in developing countries only very
little business had been takes place with new customers/suppliers. Many
industries in the developing countries are not able to utilize the B2B ecommerce effectively. Trust is very important in the development of e-market
otherwise everyone will lose trust and it will become more complex rather
than utilizing its benefits. Banks and financial services companies in the
developing countries will need to adopt online payment systems commerce.
In the development of the e-commerce the government should also play a
key role by becoming Internet and business friendly and set Internet access
and use as a priority.
Drawbacks of E-Commerce
Investing in e-commerce has a number of drawbacks, most notably
those impacting the limits of its success on the global marketplace. The
primary concern for companies operating in the e-commerce field is
language barriers. While English has become the dominant form of
communication on the Internet, the majority of the world does not speak the
language. Other things to look at are the cultural barriers present between
certain distributors and purchasers. For example, business in many Eastern
Asian nations is usually conducted on a more personal basis. This limits the

Page48

impact e-commerce can have in this section of the global marketplace.

Task 3
Why E-commerce is important
Before considering why e-commerce is important, we need to divide this
title into global and local.
Why e-commerce is important in global market?
Why e-commerce is important in local market?
So lets analyses them, why e-com is important? Theres need to consider
the e-commerce market potential and its current market in both sectors
(global and local). Without the holding of the market share, e-commerce will
not survive anymore.

Ecommerce Market potential and analysis in

Global
A.T. Kearney's 2012 E-Commerce Index, the first in a series, examines
the top 30 countries in our 2012 Global Retail Development Index (GRDI).
Using 18 infrastructure, regulatory, and retail-specific variables, the Index
ranks the top 10 countries by their e-commerce potential (see figure 1).1 The
findings provide a wealth of information for retailers use in developing
successful global e-commerce strategies and identifying emerging market

Page49

investment opportunities.

E-Commerce: A Ripe Growth Opportunity

Global e-commerce is thriving as infrastructure, laws, and consumer
preferences evolve. Global e-commerce has grown 13 percent annually over
the past five years (see figure 2).3 Retail expansion is increasingly occurring
through online channels as a way to tap into growth markets, build brands,
and learn about consumers while investing less capital than traditional
partial ownership in a Chinese fashion website to test China's market, learn
about Chinese consumers' likes and dislikes, and capitalize on the country's

Page50

formats. For example, American luxury retailer Neiman Marcus acquired

increasing demand for luxury goods. Neiman Marcus got all the information
it needed without entering into expensive real estate contracts or trying to
navigate the complexity of tier 2 and tier 3 cities. French luxury retailer Louis
Vuitton Moet Hennessy (LVMH) used a similar strategy, acquiring Sack's,
Brazil's leading online beauty retailer, to develop local recognition of its
Sephora cosmetics line.

Leading nations of the e-commerce

According to the GRDI (Global Retail Development Index) in 2012
e-commerce analysis research, the following chart will show the top-5

Page51

countries of the online business and e-commerce.

E-commerce Gowth Rate in 2012

Global

13%

Mexico

19%

Chile

27%

Russia

16%

Brazil

19%

China

78%
0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

The Index assesses the attractiveness of e-commerce in the 30

developing markets ranked in the 2012 GRDI. Following is a summary of the
top 3.
China
China: leader of the pack. China's $23 billion online retail market,
second only to the United States, places it atop the E-Commerce Index.4
With a 78 percent annual growth rate since 2006, its online retail market is
expected to explode, reaching $81 billion over the next five years as the
country's infrastructure improves and online purchasing behaviors evolve.
China has 513 million Internet users, the largest online population in
the world, and 164 million online shoppers who are drawn in by lower online
prices, promotions, and free shipping on transactions over a certain price.
Chinese online buyers value the ability to read consumers' online comments
and apparel are the two most popular categories among China's online
shoppers. Apparel attracts more than half of all online shoppers (both men

Page52

and reviews of stores, products, and service quality. Consumer electronics

and women) in metropolitan areas, a higher percentage than in the United

States. Beauty is also popular, as almost half of women online buyers in
China's big cities purchase beauty products online.
Infrastructure challenges continue to stymie China's e-commerce
potential; however, only 34 percent of citizens use the Internet, lower than
other markets primarily because of a large rural population that is less likely
to use the Internet. The quality of China's transportation infrastructure also
varies outside of its metropolitan hubs, inhibiting deliveries. In tier 1 and tier
2 cities, online retail purchases are typically delivered by couriers, which are
price-competitive with high-end express services offered by FedEx, UPS,
DHL, and EMS.
With a 78 percent annual growth rate since 2006, China's online retail
market is expected to explode, reaching $81 billion over the next five years.
Chile
Chile: Latin America's hidden gem. Advanced technology and
telecommunications infrastructure and an active base of online buyers have
propelled Chile to a 27 percent e-commerce growth rate since 2006 (see
figure 4). Seventy-one percent of Chilean Internet users shop online, highest
among the 30 countries ranked in the GRDI. However, because of the
relatively small size of Chile's online marketjust $749 million in sales
compared to Brazil's $10.6 billion it is easy to overlook its vast potential.
Chiles Internet users are not afraid to purchase online. The average Chilean
household has four credit cards and spends $158 per year online, compared
retail market is expected to double to $1.5 billion as more people shop online.

Page53

to $44 in the rest of Latin America. Over the next five years, Chile's online

Chile's domestic retailers control the market, but international players

are gaining traction. As such, domestic retailer Falabella is trying to stay one
step ahead of the competition through heavy investment in the online buying
experience. It has developed a ground-up e-commerce logistics network,
intelligent routing systems, online order tracking, and a strong reverse
logistics system for returns.
Brazil
Brazil: a not-so-distant second. Brazil has 80 million Internet users who
spend $10.6 billion online per year, the largest total in Latin America, and are
expected to spend $18.7 billion by 2017.
Brazil's strong and growing middle class shops online to get more
"bang for the buck." These shoppers are price conscious, demand free
shipping and interest-free payment terms, and frequent group-buying sites
to look for the next big bargain: In 2011, 10 million Brazilians made more
than 20 million transactions on Groupon-like websites. Appliances and
consumer electronics are the most common products sold online. Online
apparel sales remain marginal as fashion-savvy Brazilians still value the
social experience of in-store shopping.
Local Brazilian retailers already have an online foothold, with B2W
(owned by Lojas Americanas department stores) possessing 20 percent of
the online retail market. Local electronics retailer Magazine Luiza is on a
mission to increase its online presence by tapping into Latin America's
largest social networking base. The company encourages consumers to
to friends and family. These social entrepreneurs are paid anywhere from
2.5 to 4.5 percent in commissions.

Page54

open their own digital Luiza stores on Facebook and Orkut and sell products

Although Brazil's e-commerce market is thriving, the country has

issues with logistics and online payment security. To combat these, the
Brazilian government has invested in air and shipping ports and is
strengthening its digital commerce laws.

Back Link to our region of e-commerce

potential
Whatever e-commerce is effected and influenced in the global market,
we need to consider at our region (e-commerce influence in Asia pacific).
That influence will directly affect our country e-commerce prospect. So there
is need to analyze how e-commerce can directly hit the Asia Pacific Market.
E-commerce sales share world-wide by Region 2011-2014

2014

2013

2012

2011
0%

10%

Asia-Pacific

20%

30%

America

40%

Europe

50%

60%

70%

Latin America

80%

90%

100%

Middle East and Afica

E-commerce sales share world-wide (E-market Jan 2014)

In 2012, ecommerce sales grew 21.1% to top $1 trillion for the first
time, according to new global estimates by eMarketer. 2013, sales grew
surpasses America to become the world's No. 1 market for ecommerce
sales. Sales in America grew 13.9% to a world-leading $364.66 billion in

Page55

18.3% to $1.298 trillion worldwide, eMarketer estimates, as Asia-Pacific

2012a figure expected to increase 12.2% to $409.05 billion 2014as

more consumers shifted spending from physical stores to retail and travel
websites thanks to lower prices, greater convenience, broader selection and
richer product information. But despite strong growth, North Americas share
of global sales will drop from 33.5% last year to 31.5% in 2013 as AsiaPacific surges ahead.
Ecommerce sales in Asia-Pacific grew more than 33% to $332.46
billion in 2012. 2013, the region proved sales increased by more than 30%
to over $433 billionor more than one-third of all global ecommerce sales.
The rapid growth in Asia-Pacific sales is a result of several factors. Three
Asia-Pacific

marketsChina,

India

and

Indonesiawill

see

faster

ecommerce sales growth than all other markets worldwide this year, while
Japan will continue to take a large share of global sales.
Our Region Main Driver
China, unsurprisingly, is the primary driver of growth in the region. The
country will surpass Japan as the worlds second-largest ecommerce market
this year, taking an estimated 14% share of global sales, as its total reaches
$181.62 billion, up 65% from $110.04 billion in 2012.
The US will remain the single country with the largest share of
worldwide ecommerce spending, at 29.6% in 2013down from 31.5% in
2012 despite relatively strong growth. This will continue throughout the
forecast period, though China is closing the gap fast. In 2016, China will have
22.6% of the worldwide market, vs. 26.5% in the US.
in the worldnearly 220 million in 2012, according to eMarketera result of
increasing internet penetration; a burgeoning middle class with growing trust

Page56

China also boasts the highest number of people who buy goods online

in online shopping; government-driven campaigns to promote consumerism;

as well as improved infrastructure, product selection and services offered by
online sellers and retailers.

Our Country
Our country is one of the developing country in Asia and our
government are trying to shape our policy to the democracy country. So
many polices and laws are changed and also changing for any business to
develop our nation. Moreover lets analysis our internet usage.
Category

2011

2012

2013 (e

Fixed-line services: Subscriber penetration

1.1%

1.1%

1.2%

0.03%

0.04%

11%

14%

(population)
Internet

services:

Fixed

subscriber 0.03%

penetration (population)
Mobile services: Subscriber penetration 3%
(population)
Myanmar has a population of more than 60 million people yet mobile
and fixed line penetration levels among the lowest anywhere in the world.
With mobile user levels thought to be at around 10% and internet and fixed
line usage in the region of 2% - but a Government target of 80% by 2016
the market offers unequalled opportunities.
The Government has already shown its commitment with the granting
of two mobile licenses and this is sending a strong message to the world that
Myanmar is committed to infrastructure development on a truly massive
today that can provide such an opportunity to vendors, innovators and
solutions providers across a great amount of range for e-commerce.

Page57

scale. I doubt there is another country of similar size anywhere in the world

Five Reasons Why ecommerce need for

Organization
For most businesses, competing on price is ultimately a losing
proposition. Instead, knowledge, selection and turnaround are the hallmarks
of the profitable and well-positioned company. For wholesale/distributors,
their customers demand a comprehensive, reliable inventory that they can
reach whenever it is convenient for them. That means ecommerce.
Yet, providing real differentiation means more than just static pages
of inventory. That's why modern ecommerce platforms are the way
forwardmajor trading relationships are being forged and maintained on
powerful, yet user-friendly sites. Here are the five reasons companies are
turning to innovative cloud ecommerce solutions to establish and maintain
their next competitive advantages:
Reasons
Whether they're buying CDs or machinery, buyers prefer the ease-of-use
and accessibility conventions of the ecommerce experience that grew in
the ecommerce space. Rather than cling to old technology with green
screens and trading hubs, e-commerce needs to not only provide the
buying features and functionality but also the payment methods and
processes of the world like terms and volume discounts.
Powerful ecommerce enables you to reach parts of the world you just
couldn't reach before. Staying wedded to a regional mindset can hurt
or even eliminated their old regional exclusivity pacts. Take the example
of distributor, Monterey Lighting Solutions which is able to compete with

Page58

your prospects for growth. In many industries, distributors have loosened

much larger businesses thanks to the flexibility of the cloud. A powerful

ecommerce solution helps your business reach buyers wherever they
are, without the need to add staff and overhead in satellite offices.
The depth and effectiveness of your product catalog is a competitive
advantage. Building out your ecommerce experience doesn't mean
simply putting up a data sheet and "add to cart" button for every SKU in
stock. Modern ecommerce platforms give you the power to merchandise
solutions personalized to your customers based on the buyer's profile,
buying and viewing history, and even the search terms used to reach
your site. This context-sensitive personalization gives companies a
chance to demonstrate superior product knowledge and earn loyalty.
Organizations need reliable and real-time links between their ecommerce
front-end and the equally powerful inventory management, order
management, CRM, financials, marketing and reporting systems that
power the back office. A stand-alone online store can't deliver the kind of
insight to efficiently run and grow business.
A single ecommerce system that can facilitate supplier purchases and
management as well as sell to end customers means businesses can
operate efficiently, speeding delivery times and facilitating orders. As the
lines between suppliers and customers blur, having one system to
conditions.

Page59

manage them all allows a company to react swiftly to changing business

Our Solution for why your organization need

ecommerce
At the above, we also discuss about market potential in both of
worldwide and local. Moreover the reasons for the implementing business
in our organization. Besides them, we recommend the following three facts
as the main drivers that need to go Myanmar CD world to E-commerce
solution.
- Firstly at the market potential sector, e-commerce yearly provide
thousands of billions of US dollar about 2 trillion. So as a business
man, we should not neglect this income amount from ecommerce
resource.
- Second, the internet fixed user penetration in Myanmar is only around
3%. Within five years, the government and operator are committed to
raise the internet penetration to 80%. So if we able to get 1 dollar from
0.001% of Myanmar people (60000 population), our monthly income
will become thousands of kyats. We only chance to do at our country
because there is a very few e-commerce in Myanmar. So we can
occupy of the CD selling market share of Myanmar at the very
beginning time of increased internet user. This is the fact that we
should not neglect.
In Brief, all of the above things, facts, market share, market potential,
opportunities and our policy are no doubt about the e-commerce is a

Page60

success right route to go your success.

Implementing the E-commerce on

Myanmar CD World
Ecommerce is broad topic spanning many areas of an organization:
business, technical, and users to name a few. Though these areas have
differing goals and objectives, they have to work together to build and
maintain a successful end-to-end buying experience. Consider the following
sample of stakeholder concerns around an ecommerce site:

Each perspective adds value to the overall strategy. However,

accounting for each voice means there is no one-size-fits-all ecommerce
strategy applicable to every organization.
Current ecommerce merchants or anyone thinking about entering the
world of ecommerce must consider the demands of multiple stakeholders to
build a successful strategy. Whose goals and objectives are most important?
Ultimately, the desired customer experience drives the business focus, the
technologies used, and the security measures implemented to build trust,
loyalty, repeat business, and referrals.
Is an Ecommerce Strategy Important to My Business?
Having an ecommerce strategy helps you meet your goals and
there is no one-size-fits-all strategy, and that no one strategy is better than

Page61

objectivesregardless of your organizations focus. Weve established that

another. The key, then, is ensuring that you have a strategy appropriate for
your unique business needs.
What Happens without Strategy?
Best case scenario, nothing. But the worst case scenario could cause
a breach of customer information resulting in the loss of customer trust, large
fines, bad press, and other associated horror stories. Imagine a great
marketing opportunity that gets your website or product a prominent media
mention. When hordes of eager customers come knocking at your site,
theres no answer because your site crashed under the load. Weve all heard
stories of large-scale security breaches that damage a companys reputation
and stock price. Many of these types of disasters arise from an incomplete
or non-existent strategy.
Starting with a sound ecommerce strategy helps you identify and plan
for gaps, account for compliance, and support customer experience by
thoroughly considering all the moving parts of your store.

Step One: Compliance & Security Considerations

If sensitive consumer information is transmitted, stored and/or
processed through your ecommerce system, you need to factor compliance
into your strategy. Compliance plays an important role in the architecture and
security requirements of your ecommerce site. As such, it is extremely
important to understand the role an ecommerce system plays in the payment
card authorization process.
If an ecommerce system processes, stores and/or transmits
Card Industry Data Security Standards (PCI DSS) compliance is required.
Measures to meet those requirements should be included in the inventory.

Page62

cardholder information, specifically the primary account number, Payment

Ecommerce sites have three ways to meet the PCI DSS requirements.
Merchants can either:
use a payment gateway which involves integration with an Application
Program Interface (API) to facilitate the transmission of the Primary
Account Number with or without the storage of this information;
transmit and store the Primary Account Number internally; or
Choose to outsource the transmission, storage and/or processing of
payment data.
Ultimately, the route an organization takes to meet the requirements of
PCI-DSS is a business decision and should be evaluated carefully. Each
approach has benefits and downfalls to consider.
96% of businesses in 2012 that were subject to PCI DSS and suffered a
breach were not in compliance.1
PCI Compliance
Ecommerce transactions must be performed in a way that helps build
consumer trust by limiting the risk of fraudulent activities, while ensuring the
privacy of consumer information. The reality, however, is that since 2005, the
Privacy Rights Clearinghouse has recorded over 152 million breached
records resulting from retail transactions in the U.S. alone.2 These records
include credit card numbers, personally identifiable information, or other
cardholder data that was lost, stolen, or accessed without authorization.
PCI Benefits to Business
To minimize this risk, the Payment Card Industry (PCI) created a
SSC), charged with setting and maintaining the Payment Card Industry Data
Security Standards (PCI DSS). PCI DSS helps alleviate the vulnerabilities

Page63

commission, the Payment Card Industry Security Standards Council (PCI

associated with the transmission, storage, and/or processing of cardholder

data, specifically the Primary Account Number.
Achieving compliance with PCI DSS is a continuous process of performing
assessments, remediation efforts, and reporting the results. The Council
maintains a library of documentation to help merchants and service providers
mitigate risk and maintain secure online transactions.
General PCI Best Practices
Because ecommerce is more complex than simply purchasing a
shopping cart or setting up an account on Square or PayPal, businesses that
utilize online transactions must first identify potential risks both to the
consumer and to the business itself. Once risks are identified, they should
then consider how well existing resources can meet those needs and
mitigate risks. If the existing resources cannot sufficiently and reliably
perform those functions the business should consider a solution that best fits
the business and protects all parties according to PCI DSS.
Overall Site Security
PCI DSS is based on best practices for the protection of sensitive
cardholder information. There is little to no guidance on how to scale an
ecommerce environment while maintaining compliance and performance.
Nor does it provide guidance on how to manage elements of an ecommerce
strategy outside of PCI compliance. Additionally, the systems (server,
storage system, etc.) that support ecommerce transactions are not always in
the scope of PCI DSS. This is an area where hybrid cloud solutions, which
growing. With a hybrid approach, merchants can take advantage of cloud

Page64

allow merchants to combine cloud and dedicated or on-premises gear, is

efficiencies while maintaining compliant systems to actually transmit,

process, and/or store cardholder information.
Outside of PCI DSS compliance, ecommerce websites have a host of
other security considerations that need to be captured and accounted for
when building out strategy. Malicious attacks from DDoS attacks and emailborne viruses can still grind operations of a compliant site to a halt.
Just as compliance plays an important role in the architecture of the
environment, risks to performance, availability, and scalability are equally
important.
97% of breaches in 2012 were avoidable through simple or intermediate
controls3

Step Two: Addressing Performance,

Availability, and Scalability
The risk mitigation portion of an ecommerce strategy includes threats
associated with availability, performance, and scalability. The areas
discussed in this paper represent a broad range of audiences from a single
merchant hosting their own ecommerce site, to a hosting provider for
ecommerce merchants, to a company that makes shopping cart software, or
someone considering public or hybrid cloud offerings as an ecommerce
solution.
Availability
Not having the ability to handle faults or spikes to maintain operations
is a big risk to an ecommerce site. If your environment encounters an issue
a natural disaster, what happens to your site? Can it still serve your

Page65

with a patch, an update to code, a service or hardware component failure, or

customers? If not, do you have a sorry page or a contingency plan for

expected and unexpected downtime issues that cannot be quickly resolved?
Nearly half of companies (48%) report that downtime negatively impacts
their brand and reputation.
Say your marketing effort was more successful than expected, is your
environment prepared to handle large bursts of traffic or would it cancel out
your marketing efforts by shutting down and becoming unavailable? Your
ecommerce strategy must identify and address infrastructure needs to
support availability.
Performance
Stable and reliable performance is also a critical factor for an
ecommerce environment. If a site does not respond in a timely fashion or
reacts erratically, customers will abandon the site. Performance must be
monitored in real time and over a period of time to determine if resources are
overtaxed from both a hardware perspective and from a response
perspective. Without these tools to test and monitor the overall
responsiveness of a site, an ecommerce merchant could lose valuable
response time without even knowing it.
Performance should be considered throughout the entire ecommerce
environmentfrom network throughput to disk I/O and even memory or CPU
utilizationas the single weakest link can cause the entire environment to
respond poorly.
1-sec delay in response can lead to 7% drop in conversions.
Your store needs to deliver a consistent experience whether serving
five concurrent users or 5,000 concurrent users. Some merchant sites may

Page66

Scalability

experience predictable seasonal traffic which provides time to prepare the

environment. Other sitesparticularly new sitesmay not know what levels
of traffic to expect but need to be adequately prepared. Both environments
need to have a strategy in place to account for scalability but may end up
taking vastly different approaches.
One of the biggest scalability questions for any ecommerce site is
focused on how many connections the site can handle, which is a difficult
question to answer without performing tests. Every system has physical
limits and most ecommerce environments will have some uniqueness to
them. The only real way to know an environments scaling capacity is to test
all aspects of the site and view the results from an end users perspective.
Performance, availability, scalability, and compliance and security are
critical factors in building a solid risk mitigation strategy in any ecommerce
environment. By understanding the potential threats to each of these factors,
you can start evaluating ideal site flow and building an inventory to serve as
the foundation of a strategy to create the optimal ecommerce experience
with each site visit and transaction.
Choosing Your Ecommerce Store Platform
The effort needed to execute a sound ecommerce strategy revolves
around the platform you choose to run your store. There is no one-size-fitsall answer applicable to every ecommerce site. Each operator needs to
review their options against their strategy to choose the right combination.
Options include:
configured or highly customizable environments to reduce hardware and

Page67

Cloud: Takes advantage of massively scalable infrastructure and pre-

management burdens. Choose a public cloud for low cost or private cloud
for workloads subject to stringent security or compliance mandates.
On-premises: Puts the burden of hardware, security, performance, and
scale on your IT team and your budget giving you ultimate control with all the
headaches that accompany being responsible for the entire ecommerce
infrastructure.
Hybrid Cloud: Combines on-premises or dedicated hardware with
cloud resources to achieve cloud efficiencies while meeting certain security
or compliance needs. In a hybrid environment, a retailer can opt to move
certain workloads, like email or content delivery to the cloud while
maintaining control over other critical systems best run on dedicated or onpremises gear.

Step Three: Mapping Site Flow and Processes

Sit in the role of the consumer and follow the steps they need to take
to purchase on your site. Though it sounds simple, taking the time to carefully
connect all the dots between the inventory line items, back-end processes,
and customer experience to find and fix gaps is critical to future success.
The following sample connects the site flow process as categorized
into areas of focus: business, technical, and customer facing activities:
Business:
Marketing campaign, sales promotion, or media mention drives
customers to website
Social media activity stimulates traffic
Customer:

Page68

Internal/employees access site for reference

 Users access site using an internet browser and their desktop, mobile,
or tablet device
Request travels over the Internet (caching name servers/root name
servers)
Technical:
Registered URL configured to resolve to a Public IP Address through
DNS then IP resolved to an Internet Service Provider (ISP)
IP Address request sent through a series of routers to your data center
IP Address and port number (80-http/443-https) travel through a series
of switches.
Web service server accepts the request and responds with content or
sends a request to a database server.
Information travels back to the customer for each request
Customer:
Views the requested data
Makes a decision to continue browsing the site
Adds an item to the web application/shopping cart
Continues to the check-out process
Technical:
Checkout and/or site registration process must adhere to privacy
regulations
Payment gateways must meet compliance guidelines
Confirm payment method used
Generate purchase confirmation
Transactional and order follow-up communication

Page69

Business:

 Inventory and fulfillment coordination

With an understanding of how your site needs to operate (Steps 1 & 2)
and the processes required to support user experience (Step 3), youre ready
to create an inventory.
Plan for Mobile: Mobile commerce (M-commerce) accounts for 1 in 10 ecommerce 6 dollars and is set to grow to $86 billion by 2016.7 Incorporating
mobile elements (design, features, and infrastructure) to best represent your
brand and web properties across multiple devices gives you more access to
more opportunities to engage.

Step Four: The Inventory

An inventory defines the pieces that make up an entire ecommerce site
allowing the organization to take a strategic look at the individual
components it has, or needs to have, in order to operate. An ecommerce its

Page70

inventory may include:

These items span across departments. All stakeholders should point

out aspects of their particular focus that are not represented. For example,
examining the inventory from a business perspective may point out that
marketing isnt listed, and without marketing there wouldnt be any customers
visiting the site. The technical perspective points out that there isnt any
hardware or even a data center listed. The security perspective points out
that there isnt a firewall, SSL certificate, or the 200+ other requirements that
should be considered for an ecommerce site. All of these points are valid
and demonstrate that each organizations ecommerce inventory is unique

Page71

and needs to be tied to your goals and the requirements of those goals.

The average site visitor never considers most items in the inventory,
but the inventory must capture as much informationhigh-level and granular
detailsto formulate a solid site strategy for a seamless experience. What
customers will notice is the sites ease of use, its accessibility, its
performance and its availability, none of which are listed on the inventory.
The educated consumer might also pay attention to the privacy or
chargeback policy, the lock or green bar image on the browser (Extended
Validation), the available payment options, or even the ability to purchase
over a mobile device (M-commerce). A well-developed inventory guides the
strategy that delivers a superior user experience. It can also uncover areas
for improvement and those areas no one thinks about until something goes
wrong, like security or shopping cart functionality.
Creating a vetted inventory is exhausting, however its an important
first step to understanding how all of the sites pieces work together. Once
youve completed this inventory, youll have a better understanding of what
you need to do to implement the technologies and processes needed to
support your site.

Summarizing for Implement

According to the 2013 Forrester and Shop.org The State of Retailing
Online study, the benefits of incorporating the elements of ecommerce
strategy discussed in this paper do pay off. For example, survey
respondents indicated a 40% increase in ecommerce-related IT spending
isnt designed to bring customers back, you could lose the 41% of sales
accounted for by repeat customers. This may explain why four out of five

Page72

gained a 58% increase in conversions between 2011 and 2012. If your site

respondents plan on re-designing to optimize their ecommerce properties

this year. The impact of building and executing a thorough ecommerce
strategy can mean the difference between the success and failure of your
ecommerce empire.

Legal in Myanmar for E-commerce

Summary
Myanmar has several key e-commerce laws in place, including the
Computer Science Development Law (1996) and the Electronic
Transaction Law (2004). A Communications Law has also been drafted.
The country has indicated strong interest in e-government initiatives and is
encouraging electronic payments for several government services, such as
those related to imports and exports. The very low level of access to
virtually all kinds of ICT infrastructure represents a huge barrier to the
development of e-commerce in Myanmar.

Electronic transactions law

The Electronic Transactions Law of Myanmar 2004 adopts a medianeutral approach in regulating electronic contracts. In addition to creating
electronic legal equivalents for the concepts of records, signatures and
communications, the Law creates some cyber- offences and sets up a
number of regulatory bodies including the Central Body of Electronic
Transactions entrusted with implementing the legislation and the Electronic
Transactions Control Board to look after the day-to-day regulation of
electronic signatures. While no particular technology is given a higher
licensing.

Page73

status, PKI is enabled by the provisions on certification authorities and

Also this law will be replaced with new Electronic Transactions Law soon
by the responsible government personnel.
The aims of this Law
a) To support with electronic transactions technology in building a
modern, developed nation;
b) To obtain more opportunities for all-round development of sectors
including human resources, economic, social and educational sector
by electronic transactions technologies;
c) To recognize the authenticity and integrity of electronic record and
electronic data message and give legal protection thereof in matters of
internal and external transactions, making use of computer network;
d) To enable transmitting, receiving and storing local and foreign
information simultaneously, making use of electronic transactions
technologies;
e) To enable communicating and co-operating effectively and speedily
with international organizations, regional organizations, foreign
countries,

local

and

foreign

government

departments

and

organizations, private organizations and persons, making use of

computer network.
The duties of Service Providers
The duties of subscriber (e.g. - internet service providers and online
shopping service providers and online payment service providers) are as
follows: take care so that such decryption may not be used by others unlawfully;

Page74

a) When using valid signature by decryption of the electronic signature,

b) In using the certificate issued for electronic signature during the period
granted, take care to be completely accurate and correct with respect
to facts relevant to him or facts that are to be inserted;
c) If the secrecy of decryption of the electronic signature (Electronic
signature means any symbol or mark arranged personally or on his
behalf by electronic technology or any other similar technologies to
verify the authenticity of the source of the electronic record and the
absence of amendment or substitution) has been compromised or is in
a situation where compromise may possibly occur, inform the persons
who are related to his electronic signature as arranged by the
certification authority or by any suitable arrangement without delay.
d) The subscriber shall be responsible for the consequences of the loss
and damage to be caused by his failure to comply with the provisions
of section 17.
Penalty
The under mentioned are for legal protection and responsibilities of all
the stakeholders of an E-commerce businesses. It is called Offences and
Penalties in the law. These are Whoever commits any of the following acts shall, on conviction be
punished with imprisonment for a term which may extend to 5 years or with
fine or with both:
a) Sending, hacking, modifying, altering, destroying, stealing, or causing
loss and damage to the electronic record, electronic data message, or

Page75

the whole or part of the computer program dishonestly;

b) Intercepting of any communication within the computer network, using

or giving access to any person of any fact in any communication
without permission of the originator and the addressee;
c) Communicating to any other person directly or indirectly with a security
number, password or electronic signature of any person without
permission or Consent of such person;
d) Creating, modifying or altering of information or distributing of
information created, modified or altered by electronic technology to be
detrimental to the interest of or to lower the dignity of any organization
or any person.
Any certification authority or any of his officer or employee who
violates any of the prohibitions contained in the order issued by the Control
Board shall, on conviction be punished with imprisonment for a term which
may extend to 3 years or with fine or with both.
Whoever violates any of the prohibitions contained in the rules,
notifications and orders issued under this Law shall, on conviction be
punished with imprisonment for a term which may extend to 1 year or with
fine or with both.
Whoever commits any of the following acts shall, on conviction be
punished with imprisonment for a term which may extend to 1 year or with
fine or with.

Consumer protection
stage. However, in November 2012 the Ministry of Commerce reported that

Page76

There is no general consumer protection law in Myanmar at this

it was developing a draft Consumer Protection Bill which it hoped to publish

for public comment in 2013.

Privacy and data protection

There is no privacy law in Myanmar at this time.

Online content regulation

There are a number of provisions under Myanmar law that have the
effect of restricting access to the Internet and limiting the publication of
information online. Section 28 of the Computer Science Development Law
prohibits an individual from setting up access to a computer network
without the approval of the Ministry of Communications, Posts and
Telegraphs.
Section 26 of the Computer Science Development Law limits access
to computers by only allowing access to a computer if the prior sanction of
the Ministry is obtained. Computers used as an aid for teaching or business
are exempted from this section. Subsection 34(d) of the Electronic
Transactions Law also makes it an offence to create, modify or distribute
information by electronic technology that is detrimental to the interest or
lowers the dignity of a person or organization.

Cybercrime and cyber security

Chapter XII of the Electronic Transactions Law of Myanmar 2004
contains a number of offences that can be committed using technology
used to complete electronic transactions. These include:
Hacking or the dishonest modification or destruction of electronic
Intercepting a communication or giving access to a communication
without the permission of the originator (section 34(b));

Page77

records (section 34(a));

 Communicating with another person using the electronic signature of

that person without their consent (section 34(c));
Creating or modifying information or distributing this information such
that it causes detriment to the interest or lowers the dignity of an
organization or person (section 34(d)).
The Computer Science Development Law 1996 also creates a
number of cyber offences. The Law was created with the intention of
increasing and promoting the take-up of technology in Myanmar. Offences
under the Law are contained in chapter X and include:
Importing or possessing a computer without the approval of the
Myanmar Computer Science Development Council, subject to some
conditions (section 31);
Setting up a network or access to a network without the approval of the
Ministry of Communications, Posts and Telegraphs (section 32);
Obtaining or sending information that undermines state security, the
prevalence of law and order and community peace and tranquility,
national unity, state economy or national culture (section 34).

Online dispute resolution and domain-name

regulation
There is no specific domain-name regulation in Myanmar. This may
be addressed in the new Communications Law that is currently being
drafted.

Summarizing on legal implications

in Asia. Only 5.4 million of Myanmar's 62-million-strong population had a
mobile-phone subscription at the end of 2012, according to government

Page78

Myanmar remains one of the last underdeveloped telecoms markets

figures. The government wants to increase the percentage of the

population owning a telephone to between 75% and 80% by 20152016.Fixed line penetration standing at slightly over 1%. As a late-comer to
the market, Myanmar will benefit from the very latest communication
technologies. As same as the country can get benefit from technologies,
the business can also get benefits from technologies such as e-commerce.
The development of this network aims to improve Myanmars
communications infrastructure to a level that rivals that of developed
markets, while promoting economic revitalization and improving the quality
of peoples daily lives. But there is a little concern about the protection
(laws).
As I describe above, our current Computer Science Development
Law (1996) and the Electronic Transaction Law (2004) has a lot of
weakness. Our low level data protection, privacy and consumer protection
still exist distinct barriers of the development of e-commerce. Moreover,
some of them are need to reorganize in the Cybercrime protection sector,
some of them such as the unpermitted device is not allowed to import will
prevent our ecommerce server and other network products from
international. When we request approval for every devices from ministry,
there will be a lot of delay. Many laws are also distrusted with the human
rights of democracy country.
So our Ministry of Communications and Information Technology
Myanmar Computer Federation (MCF) also organize that they will correct
period. So we can see our golden age and also need to open the doors
with our hand. When the laws are implemented, our e-commerce are ready

Page79

and annoyed an IT law after 2015 at the new responsible government

and lets stand the one of the originals of Myanmar e-commerce CD selling

Page80

site with the pleasure of customer and a great amount of experience.

References
http://www.businessdictionary.com/definition/organization.html#ixzz2
vCMw748H
http://businesscasestudies.co.uk/business-theory/strategy/types-ofbusiness-organisations.html#ixzz2vCW5KgGP
http://www.aboutcivil.org/types-of-business-organizations.html
http://www.studyfinance.com/lessons/busorg/
http://www.buzzle.com/articles/type-of-organizational-structures.html
http://valuationacademy.com/advantages-and-disadvantages-ofbusiness-organization-types/
http://cec.vcn.bc.ca/cmp/modules/pd-smar.htm
http://tutor2u.net/business/gcse/organisation_aims_objectives.htm
http://www.mindtools.com/pages/article/newPPM_07.htm
http://wiki.answers.com/Q/What_are_internal_and_external_environ
mental_factors_that_affect_an_environmental_management_system
http://en.wikipedia.org/wiki/Jointstock_company#Financial_disclosure
http://www.supplychainquarterly.com/columns/scq201102monetarym
atters/
http://www.docstoc.com/docs/27757193/Impact-of-e-commerce-onthe-global-economy
http://www.articlesbase.com/ecommerce-articles/impacts-ofecommerce-on-business-1882952.html
your-ecommerce-strategy

Page81

http://www.rackspace.com/knowledge_center/whitepaper/building-

 http://www.netsuiteblogs.com/five-reasons-why-ecommerce-providesa-competitive-edge-for-wd-companies
http://www.atkearney.com/paper//asset_publisher/dVxv4Hz2h8bS/content/e-commerce-is-the-nextfrontier-in-global-expansion/10192
http://www.emarketer.com/Article/Ecommerce-Sales-Topped-1Trillion-First-Time-2012/1009649
http://www.mmtimes.com/index.php/business/technology/8897-theroots-of-myanmar-s-internet-woes.html
http://www.budde.com.au/Research/Myanmar-Burma-TelecomsMobile-and-Internet.html
http://www.budde.com.au/Research/Myanmar-Burma-TelecomsMobile-and-Internet.html
http://www.developingtelecoms.com/events-overview/event-newsupdates/4827-myanmar-to-stage-first-infrastructure-and-mobileevent-in-2014.html
http://www.developingtelecoms.com/events-overview/event-newsupdates/5142-deputy-minister-of-communications-to-open-mobilepayments-and-e-commerce-summit-this-week.html
http://www.developingtelecoms.com/business/deals/121operators/5133-ooredoo-formally-accepts-licence-to-operate-inmyanmar.html
http://www.developingtelecoms.com/tech/apps-services-devices/71mfs-to-myanmar-s-unbanked.html

Page82

mobile-finance/5116-oberthur-and-myanmar-mobile-money-bringing-

 http://www.developingtelecoms.com/tech/networks-infrastructure/33wireless-networks/5007-myanmar-infrastructure-upgradecompleted.html
United Nations, Review of e-commerce legislation harmonization in the
Association of Southeast Asian Nations.pdf
Pearson on behalf of the Skills Funding Agency, Unit 13: Develop

Page83

working relationships with colleagues and stakeholders.pdf