Monster Cookie Company and E-commerce Assignment

Monster Cookie Company and E-commerce - Assignment Example MCC company may face a risk of future closure because the company may hire dishonest web designers and programmer unknowingly who may tend to expose MCC business secrets to its competitors (Ghosh, 2001).Additionally, a mostly online business depends entirely on the mercy of their financial institutions. In case financial institution receives claims against the company from its suppliers, the bank may freeze the account of the company and this may cause the company to collapse (Ghosh, 2001). 4 Introducing e-commerce at MCC will enable the company to have a broader market of supplying monster cookies due to a wider geographical coverage established by e-commerce. This, in turn, will lead to an increase in companies sales and profitability (Al-qirim, 2004). Additionally, the company will have an opportunity of interacting with suppliers who can supply raw material for manufacturing monster cookies’ at a subsidized cost. 6 There are numerous e-commerce systems used by similar organizations among the systems include LinkedIn, twitter, facebook to name just but a few. Those systems have enabled similar organizations as MCC Company to have a broader network where business transactions can take place more efficiently and effectively (Al-qirim, 2004). 6 The most significant financial implication of e-commerce at MCC Company is that the company has to adopt the use credit cards in order to receive payments from virtual customers located in different parts of the world. However, this may lead to fraud because some online customers are dishonest and may tend to make payments using a defective and stolen credit card and this may cause MCC Company to incur substantial financial losses (Ghosh, 2001).