Assignment on

Effects of internet on the

development of entrepreneurs in
Bangladesh

Submitted To

Submitted By

Mr. Shahriar Kabir

Antara Islam

Course Instructor

ID: 2795

Entrepreneurship

Batch: 21st

Date of Submission: August 10, 2015

Institute of Business Administration

Jahangirnagar University

Entrepreneurs need to offer better service as the most important reason to

implement e-commerce. The need to offer consistent quality is the second most
important reason for small firms to be involved in e-commerce by entrepreneurs.
Needless to say, competitiveness is another reason why a firm would choose to
implement e-commerce. Among the least important reasons for implementing ecommerce was the need to reduce inventories, rapid price changes, meeting
customer requirements and poor sales forecasts. Many large firms consider these
reasons critical for implementing e-commerce solutions. Hence, it confounded us
why this would be the case for small business.
There are a number of prevailing factors that thwart the development of
entrepreneurship in Bangladesh. Along with institutional factors, non-institutional
ones encompassing various political, economic, social, cultural, technological,
environmental and personal factors are affecting the scopes of operating the
economic activities to a significant extent.
Through internet entrepreneurs are overcoming these factors. Usage of internet by
the entrepreneurs are seen mainly in
1. Market analysis: Internet is a great source of free information. Information
about the competitors and the market is available on internet
2. Customer relationship management: 80% of internet users of
Bangladesh are on facebook. Facebook is used by the entrepreneurs to take
feedback from the customers
3. Promotional Activities: Promotional activities are done by using social
media and website. Advertisement cost is also reduced by making viral
advertisements and releasing those only on internet instead of spending on
other media like TV, Radio etc.
4. Online Banking: Entrepreneurs frequently use online banking and payment
to reduce the duration of transaction.
5. Virtual Product: Entrepreneurs are designing virtual products and based on
customer demand they are actually producing the products. Here use of
internet helps to prevent the cost of unsold items and inventories.
6. Online business: Entrepreneurs are now only based on internet. There is no
physicality of shops which helps to reduce shop renting cost and others utility
bills.
7. Cheapest media of communication: Internet is the cheapest paperless
medium of communication. A customer is just a click away when using
internet and Bangladeshi entrepreneurs are the early adopters of this
opportunity.
8. Outsourcing: Through internet tasks are outsourced easily and it helps to
connect with the desirable person at the right time. Entrepreneurs are saving
a lot by taking this advantage.
9. Connecting with international buyer or seller: Connecting with
international buyer and seller is now an easy task for the entrepreneurs with
the use of internet.