At the start of a season, a garments factory purchases raw material (clothe etc) in bulk from different suppliers while keeping the projected demand in view. They develop product sample to be presented to customers. The images of these product samples are sent to regular customers via WhatsApp. The customers are also invited to come to sample exhibition on a pre-decided date. Some customers place orders after paying a visit to the exhibitions. Other have to place order after checking WhatsApp images of the products if they miss the exhibition. On the basis of production capacity and demand of customers, the customers are informed about order delivery dates. On the basis of demand, the factory may place suborders of raw materials from the concerned vendor. Towards end of season, the company sells additional stock of finished goods at lower price to generate cash so that the company can purchase raw material for the next season. For this purpose, special discount prices are offered to customer going for bulk purchases. In case the stock of finished good is not being floated in market at the discounted price, the company accepts a lower price offered by a customer to generate funds. The customers of the company are wholesalers and shop keepers.

The company wants to change the current Bricks and Mortar business to E Business. While becoming Online, they want sell their products to the end user, the consumers of garment, as well to increase their profit margins.

Required:

As E-Business Expert, Suggest Business Model to this company while keeping its requirements in view. Justify your answer with proper reasoning.

Answer rating: 100% (QA)

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