web shop company

1. 1
TURIBA UNIVERSITY
BUSINESS ADMINISTRATION FACULTY
Manish
MBA Group-UMA1V22
Marketing Department
PRACTICE REPORT
BUSINESS ADMINISTRATION
Advisor: Vita Zariņa
Rīga, 2015

2. 2
Acknowledgement
Firstly, I would like to express my sincere gratitude to Deanof Faculty of
Business Administration , Turiba University : _ Vita Zariņa _ for the
continuous supportof my MBA study and practice, for her patience, motivation,
and immense knowledge. Her guidance helped me in all the time of internship .
I could not have imagined having a better supportand guidance for my MBA
practice.
Besides the Dean of Faculty of Business Administration, I would also like to
thank Directorof Department of Commerce :_ Rosita Zvirgzdiņa _, who
allowed me to carry out my internship as a part of MBA program.
Place: Europe
Date:

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Table of Contents
Introduction: Web multishop Company overview.......................Error! Bookmark not defined.
1. Assessment of the strategic planning of the company............Error! Bookmark not defined.
2. Recommendations on the improvement of the operation.......Error! Bookmark not defined.
3. Assessment of the human resources processes in the company Error! Bookmark not defined.
3.1. Management psychology and the influencing factors.........Error! Bookmark not defined.
3.2. Employee/labour relationships............................................Error! Bookmark not defined.
3.3. Conclusions and recommendations for the improvement...Error! Bookmark not defined.
4. Assessment of marketing ...........................................................Error! Bookmark not defined.
4.1. The marketing environment in the company.......................Error! Bookmark not defined.
4.2. The marketing management process...................................Error! Bookmark not defined.
4.3. The marketing strategy........................................................Error! Bookmark not defined.
4.4. Conclusions and recommendations for the improvement...Error! Bookmark not defined.
5. Business-related legislation and the compliance principles in the companyError! Bookmark not defined.
Author’s practice tasks...................................................................Error! Bookmark not defined.
Bibliography...................................................................................Error! Bookmark not defined.
Overview

4. 4
Web Shop Company
Web Shop Company is a SME – (small- enterprise) in Europe. It has been
providing a wide range of web developing and other technical services,
including easiest to the toughest technology based websites.
900 plus prrojects have been completed till date establishing the name in the
market. The company provides services in various domains including the
business sector, banking sector and various other sectors as well. Web Shop
Company creates web sites and e-commerce systems for people and businesses.
It specialize in satisfying rare technology needs of clients.The entire team
works out rigorously to suit the expectations of individuals ,target groups and
companies with different specific requirements. They focus on up to date
methods and up to date technology for their clients.They use wide level of the
technology and the different types of the new systems to match it up to the
standards. The company came into existence in the year 2011 and from then
onwards the company is delivering the results that are high tech and that
basically suits the client requirements and suit the purposeof their clients and
their businesses.
WSC offers a real technologically advanced environment which makes a real
difference. It offers their customers a single point of entry when it comes to web
solutions for organizations.. WSC makes innovative, focused and quantifiable
products that create business results through people and make it easy, effective
and professional for companies to use.
Through progression of individuals, the company aim to create growth in
business and prosperity in society at large.
The company is known for its creative and easy approachfor delivering
high-tech and highly advanced solutions to the clients that are actually
simple and high-tech.
The Web Shop Company started its journey in the year 2011 and from then
onwards they have been delivering high tech solutions with easy input
approachand the high tech output.
The Web Shop Company is now an established name in web services and it is
known for its right approachtowards the work and their clients. The Web
Shop Company has been able to establish their good will in the market.
Every client of the company recommnd them to their contacts they believe in
“no-shIT-just-benefIT”.
The Web Shop Company is actually one unit of the colglomerate group of
companies associated with them.The Web Shop Company has its 3 main
pillars which actually laid the foundation and made the company achieve its
success path:-
Mr Andris Zvigulis Director(Marketing)
Mr Martins Director(Marketing)

5. 5
Mission
The mission is often expressed in the form of mission statement. This is the
main strategic step for a company to define its statement to convey a sense of
purposeto employees and projects a company images to customers. Therefore it
sets the mood of where the company should go. So the main mission is :
Less time more productivity –
The company aims to give high-tech web solutions for clients and in very less
time.
Methodology– the company has its own unique methodology of delivering
high-tech web solutions:
The company believes in ABC Methodology
ABC Methodology
The ABC Methodology is a methodology in which every project has to go
through the path A ,B ,C
Project A
Project B
Project C
Project A are the projects that are basic which are cheap and in which
customer can see how their website will look like in actual.
Project B are the projects that comes after confirmation from clients about the
site appearance and now content will be managed in them
Project C are the projects that comes after the Project B path and now API will
be managed in them.
The methodology ABC delivers highly professional solutions to the clients that
are easy and high-tech and customer needs oriented .
Why ABC methodology
 Clients changes their decision after seeing the design of the website
according to their needs
 Quick and cheap development, very low monthly cost(ProjectA)
 No need to rework the complete website after total completion of the
technical work in the project

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 In depth technical work starts only after the approval from the clients and
their final decision.
 No need for extra investment as the complete project development
progress is monitored by the client at every stage of the project.
 Client is having the authority to take decisions for the development of
the project at every stage.
The re are many steps for a project from the start to the end
 Client meeting, Client requirements(input) and Negotiations
 Briefing(documented) to clients about our methodology of working and
delivering solutions
 Draft contract
 Invoice
 Actual project development begins
 Project inspection and client confirmation for the project
 Project in depth technical development
 Client inspection and input
 Final delivery of the project to the clients
Free Mind software is used for taking client requirements.
Business output
Currently the ratio of work to profit is 80%:20%
Problems for the business in the market
Many agencies have become mediator and they
Objectives
Objectives are concrete goals that the organization seeks to reach, for example,
earnings growth market. The objectives should be challenging but achievable.
They also should be measurable so that the company can monitor its progress
and make corrections as needed.
The Web Shop Company has many specific objectives which are explained
below:
- Completion of MCCNSE by 2016
- Target –Baltic market for :
- Websites
- Touchscreen solutions
- Data exchange systems

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- Challenging objectives – triple the turnover of the company
- Changing development-cost: profit ratio from 80:20 to 20: 80
- Establishing MCCNSE(Multi-Client Client Network Station Extreme)
project
- High-tech advanced features to be incorporated in MCCNSE
- Switching from services to product
Situation analysis
Strengths
Small and professional
Flexible and fast– adapting technology all the time
Delivering high –tech solutions
Stable brand name in markets
International contacts
Innovative and unique methodology
Expanding and encouraging new ideas
Presence in the different geographical locations
Presence in the markets of Estonia which is nown
Opportunities
International contacts
Large reference database
Growing market demand
Collaborations with other companies
New methodology implementation
Challenges
More competitors
More agencies that are not having in house programming abilities
outsourcing work
Organizationalstructure
Mr Andris Stafeckis
He is the person responsible for

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Setting objectives
Delegating tasks
Monitoring tasks
Keeping in touch with personnel
Making contracts
Client communication
Contacting, finding and building new business relationships
Managing Finance, HR Department, Resourceand development
His Objectives
Switching from selling services to selling products
Less time more productivity
Good relationships with clients
References always help
Making new connections
Partner companies
Marketing with existing companies
Selling their productwith the existing companies product
Making productand installations
Switching from programming to installations
Distributing the work loads
His expectations
Rapid development
Less time more productivity
Project based work
Helping our clients
Mr Martins
Strategy
Good knowledgeable algorithms
Challenge
Investments due to political problems
Sustain projects
Easy to build projects but hard to keep up to date
Clients suddenly changes their requirements
Whole rework in required when client changes their requirements
Statement
“no-shIT-just-benefIT”.

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Objective
No improvisattion just algorothms
Expectations
Finish MCCNSE by 2016
Target Baltic market for
- websites
- touch screen solutions
- data exchange systems
Tripling turnover of the company every year
Mission
To create high end platform for data exchange using internet algorithms
Vision :kick out of the market the philosophy that open sourceprogram is the
only possible way of development and sustaining
Office stuff–
Website development
Marketing
Staff management
Different trainees
Client coordination,
Client communication
Emails
Collect email addresses
Client interactions
Project overviews
Arrange meetings
Project data reports
Writing reports
Collecting new ideas and information

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WEB MULTISHOP COMPANY
Mr Andris
Stafeckis
Director(Market
ing department)
Mr Nils
Lindentals
Director(Techni
cal department)
)
Mr Martins
Zvigulis
Director(Market
ing department)
Responsible for
marketingand
client
communicationand
projectcoordination
Responsible for
technical and
projects
managementand
staff management
Responsible for
marketing,business
developmentand
clientmeetingsand
negotiations

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Key points for WebMultishop Company
ESTABLISHED NAME
900+ PROJECTS
TILL DATE
HIGH TECH WEB SOLUTIONS
AND TECHNICAL SUPPORT
AVAILABLE MARKET
REFERENCES
INNOVATIVE
SOLUTIONS
EXPERT CONSULTING
TIMELY PLANNED
RESULTS
HIGHLY ADVANCED TECHNICAL WEB
SOLUTIONS AND TECHNICAL SUPPORT
COMPANIES TIE UPS
QUALITY OUTPUT

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2) Recommendations on the improvement of the operation
From my point of view the strategic planning process in the Web Shop
Company is very good.
Other recommendations are not needed because all objectives and missions are
set well and good in process.
3) Assessmentofthe human resources processesin the company
Each organization works towards the realization of one vision. The same is
achieved by formulation of certain strategies and execution of the same, which
is done by the HR department. At the base of this strategy formulation lie
various processesand the effectiveness of the former lies in the meticulous
design of these processes.
I am going to explain the following HR processes in the company:
1. Human resource planning (Recruitment, Selecting, Hiring, Training,
Induction, Orientation, Evaluation, Promotion and Layoff).
2. Employee remuneration and Benefits Administration
3. Performance Management.
4. Employee Relations.
Human resource planning:
Recruitment. The first thing to do in the recruitment process is to define
requirements – preparing job descriptions and specifications; deciding terms
and conditions of the employment. There internal and external sourceof
recruitment. The company where I completed my internship used different ways
to recruit new staff. They use internet job postings , social networking (Linkedin
and Facebook), advertisements on the websites or direct applicants. They also
have a provision for trainees from any country to have practice in their
company.

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Selection. In this process the company sifts applications, interviews, tests,
assess candidates, offers employment, obtains references, prepare contracts of
employment. The way I was selected to this company for the internship was in
two steps:
1 Curriculum Vitae. The internship offer was on website therefore I sent by
email address my CV, so the next day director emailed me back to make an
interview.
2 Interview. The second step was interview in office. The interview was
conducted and they evaluated me and my skills. The duration was 20 minutes.
Hiring. This process requires the final decision which candidate will get the
internship. The company “Web Multishop Company” delivers its answer by
phone or email.
Training and development. Thoseprocesses that work on an employee
onboard for his skills and abilities up gradation. The company always tries to
train its employees to make them efficient, enhance their knowledge and skills,
be collaborative. It also involves changing skills, knowledge, attitude, behavior.
Orientation and socialization helps employees to adapt. During the training
employees are provided new skills, are kept up to date with changes in the field,
aimed to improve efficiency, can be external or “in-house”. The company also
develops employees for future work and challenges.
After recruitment, employees receive directions from the concerned department
stating that what they should do what is necessary, it is necessary, what are the
rules of the company, technical things, hour register, and must be accounted for
and what to do in case of problems.
Everyone in the company is ready to help you out and the main objective is to
deliver client oriented output.
Directors of our company are very friendly and knowledgeable and they are
always ready to help and give properdirections to the employees
The compensationand benefit processes belong to most important HR
Processes,which are critical for the organization and modern HR organization.
The compensation and benefits is about managing the personnel expenses
budget, setting the performance standards, setting the transparent compensation
policies and introducing the competitive benefits for employees. The
organization with effective compensation and benefits drives its personnel costs,
manages the performance of employees and rewards the extraordinary
performance.

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Employee remuneration and benefits administration.
Examples of the different types of remuneration and benefits are also virtually
unlimited including:
 Basic Salary
 Bonus payments and pay for performance
 Allowances like representation allowance, child allowance, housing
allowance, COLA (costof living adjustment) allowance, lunch allowance, …
 Different types of sales commission payments
 Company Car, Company Mobile Phone, Company Laptop
 Mobile phone credits
 Holiday pay and holiday credit administration
 Retirement and pre-retirement benefits
 End of Service Benefits
 AVCs (Additional Voluntary Contributions) with or without company
matching
 Health care and dental benefits, before and after retirement
 Life Cover, long and short term disability
 Job protection
 Dependent Life Cover for surviving partner / widow / widower and
surviving dependent children
 Company Car, Company Mobile Phone, Company Laptop
 Mobile phone credits
 Company loans including house loans and advance payments on
remuneration, with different reimbursement / amortization possibilities
Web Shop Company has not so many benefits as mentioned above becauseof
being a small company.
The lists of benefits are the following:
- Basic salary
- Company computer accessories
- Food and other items
- Lunch
- Wi-Fi
- Recreational stuff
Regular employees paid remuneration of work, which includes laws and
regulations, collective agreements or employment of contractual wages,
allowances and bonuses and any other form of compensation relating to
remuneration.

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In WSC salaries are calculated by the number of hours as well as taken into
account a variety of projects
Performance Management
The modern organization needs to manage its performance and the development
of employees. The performance management is about setting the performance
standards, monitoring the progress and building strong successionplans for the
organization. The performance management provides the structured and formal
feedback to managers and employees. The performance management allows
motivating employees and giving the development of the organization the
direction. The goals and tasks of managers and employees should be aligned
with the business strategy. HR is responsible for the development of the
consistent and painless performance management system in the organization.
In WSC Mr Nils is responsible for the staff selection and recruitment.
Working regulations of the WSC.
When the employee shall sign an employment contract, he gets along with the
rules, which is also signed. These regulations are updated annually. They
include provisions on what are the WSC rules and regulations
Conclusions. Consequently, the Director of the active involvement in ongoing
processes,all you need is under control. Director is aware of every employee .
The company is small, but the directors are trying their level best to expand the
company .
Positive point is that the company is provided with young staff,
knowledgeable directors who are always focusing in the favor of the company.
Employee relations
Employee retention is a nuisance with organizations especially in industries
that are hugely competitive in nature. Though there are myriad factors that
motivate an individual to stick to or leave an organization, but certainly few are
under our control.
Employee relations include labor law and Relations, working environment,
employee health and safety, employee- employee conflict management, quality
of work life, workers compensation, employee wellness and assistance
programs, counseling for occupational stress. All these are critical to employee
retention apart from the money which is only a hygiene factor.
Employee Relations involves the bodyof work concerned with maintaining
employer-employee relationships that contribute to satisfactory productivity,

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motivation, and morale. Essentially, Employee Relations is concerned with
preventing and resolving problems involving individuals which arise out of or
affect work situations.
Advice is provided to employees on how to correctpoorperformance and
employee misconduct. In such instances, progressive discipline and regulatory
and other requirements must be considered in effecting disciplinary actions and
in resolving employee grievances and appeals. Information is provided to
employees to promote a better understanding of management's goals and
policies. Information is also provided to employees to assist them in correcting
poorperformance, on or off duty misconduct, and/or to address personal issues
that affect them in the workplace. Employees are advised about applicable
regulations, legislation, and bargaining agreements. Employees are also
advised about their grievance and appeal rights and discrimination and
whistleblower protections.
3.1. Evaluate managementpsychologyand the influencing factors.
HRM can be considered to be responsibility of all those who manage people as
well as a description of persons who are employed as specialists. It is that part
of management that involves planning for human resource needs, including
recruitment and selection, training and development. It also includes welfare
and safety, wage and salary administration, collective bargaining and dealing
with most aspects of industrial relations. The integration between the
management of human resources and psychologyis arguably the prime factor
delineating HRM theory and practice from its more traditional personnel
management origins. Selection of the personnel has long been recognized as a
key activity within HR and this article seeks to explore the extent to which its
practice provides evidence of such strategic alignment.
The selection process is concerned with identifying, attracting and choosing
suitable people to meet an organization’s human resource requirements.
Selection is essentially concerned with finding, assessing and engaging new
employees or promoting existing ones. As such, its focus is on matching the
capabilities and interests of prospective candidates with the demands and
rewards of a given job. Selection decisions are amongst the most important of
all decisions that managers have to make becausethey are a prerequisite to the
development of an effective workforce.
Selecting the right employees is important for three main reasons. First, your
own performance always depends in part on your employees. Subordinates with
the right skills, knowledge and attributes will do a better job and the company.
Employees without these skills will not perform effectively, and your own
performance and the firm’s will suffer. Second, it is important because it’s
costly to recruit and hire employees. Third, it’s important because of the legal
implications of incompetent hiring. Various selection techniques are available,
and a selection procedurewill frequently involve the use of more than one.
Interviewing is universally popular as a selection tool. A single one-to-one

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interview may give way to a series of 1-to-1 interviews or interviews with many
– the panel. We can analyze the interview in terms of how it is structured, the
processes ofinteraction, the problems of interpersonal decision-making, the
relationship between job-related questions and personal questions.
The interview is an examination – a face-to-face encounter via which each side
seeks to make a decision about the other. The employer is in the dominant
position. Even where the short-list is very short and the employer is desperate to
fill the post – it is unlikely that an applicant perceived as being a rogue or
maverick will be employed. The employer at all times will seek to protect their
interests.
The face-to-face selection interview is the traditional method – yet it is fraught
with problems of subjectivity, interpersonal judgment, interpretation and miss-
interpretation. Why we still use interviews even though if they are so subjective
and unreliable.
WSC is a start up company based in Estonia/Europe. In total currently WSC
has few employees. Presently, they do not have a well established Human
Resourcedepartment. They are recruiting new employees with the help of some
famous internet platforms
Due to the absence of proper Human ResourceDepartment, Mr. Nils is
primarily looking after all the activities of Human ResourceDepartment. A
thorough process of WSC can not be explained, because of the unavailability
of proper Structure of HR Department.
3.2. Describe labourrelationships.
The basic concepts ofmutual trust between labor and management are:
improvements in the lives of employees are realized through the prosperity of
the company, and labor and management thus share the same goal of company
prosperity as a common value; management will take into consideration to the
greatest possible extent stable employment and will continuously strive to
improve working conditions; and employees will cooperate with the company's
policies in order to promote the company's prosperity.
The relationship between the Director sand the employees is very good. The
staff respecteach other, helpful, honest, hardworking, efficient, trustworthy and
it leads to good collaboration not only between the employees in the company
but has a good impact on customers.
The Directors are always ready to listen for new ideas of improvement, ,
marketing development, strategic plans. All directors are very active and

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efficient in their work areas and takes active part in different activities,
associations and very helpful to everyone.
3.3. Provide conclusions andrecommendations for the improvement.
The HR Management is not just about the policies and procedures. It is not just
about the roles and responsibilities of HR. It is about the relationship of HR
with the line management. HR sets the rules for the game and leads managers to
work with the employees efficiently and correctly. The compliance of HR is a
top priority today as the fair and consistent HR procedures contribute to the
satisfaction of employees at all levels of the organization.
The HR Management supportthe long term goals of the organization, provides
processes and tools for the line management to meet the required levels of the
performance and for the management of the employee life cycle in the
company.
Recommendations:
 According to me there can be one addition in Web Shop Company that
all employees should speak English language , though their native
language is Europen. There are many trainees as well who speaks English
only and it will be good if staff spokeEnglish . It will show a good
impact on customers as well.
4) Assessmentofmarketing:
4.1. Evaluate the marketing environment in the company.
WSC has done extensive research for the availability of market. They are using
different marketing strategy methods to promote their services to different
companies. Also they arrange meetings with different companies and trying to
show their productfeatures and offer them different services. Also being
established many references comes to them for the solution quality they
provided in the past. Initially they are targeting Estonia and Europe market and
later on they are having plans for the complete Baltic markets. They are using
different external company services .the WSC products has already been
showcased in many conferences and other shows.
4.2. Describe and assessthe marketing management process.
Programmer is one of the most required specialists on the market. Every day
hundreds of job proposals are posted onfreelancer platforms. Employers are
competing on getting qualified specialists; however an average web
programmer can get a well-paid job within few hours of searching.

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Almost every company has a website. Total number of websites online is
estimated approximately 925’000’000. In the end of this summer the number of
1’000’000’000 will probably be reached. 10% of those are actively used and
updated whereas 90% are made to serve just as an online business card.
There are hundreds of programming and scripting languages that allow to code
websites and applications. When it concerns programming of websites, the
worldwide programmers’ community has a common sense on a small set of
languages that usually are:
Frontend: Javascript, HTML, CSS
Backend: PHP, Java, Python
Database: SQL, JSON
Regarding mobile phone apps the usual choice of programming languageis
Objective-C and Java. Many frameworks are used as well to make app creation
process faster and easier.
The data on popularity of programming languages depends on a source however
the overall trend is quite stable. Here are the most popular set of programming
languages according to http://langpop.com:

20. 20
One personcannot operate with so many programming languages on a high
level. Many of the bestprogrammers tend to be independent so they are
working as freelancers.
Conclusion – there is a wide spectrum of specialists needed to create an
effective set of e-marketing and e-commerce instruments for a company. Each
of them represents a narrow specialty and can only take responsibility for a little
part of the IT ecosystemof a company. So far there is no platform that takes
care of the whole e-marketing and e-commerce process forany company. Many
giant companies have tried to solve this complex issue (Google, Microsoft,
Adobe); however so far they all have done it making a tie-up productfor
already existing pieces of software. It results in heavy and non-intuitive user
experience as well as limitations of implemented software.
Customers
Biznesam.lv
Satiksmes ministry
Invast.com
Rempro.lv
Giraffe360
Astubiedriba.lv
Idea out of necessity
MCCNSE business idea has been created and developed out of necessity to
maintain an effective production process ofmy company. For years we were
struggling with a problem of not being able to find a quality back end and
content management toolfor web projects that would allow fast creation of
content pages, flexible user system and easy to add customprogramming parts.
This resulted in slow working process and low profitability.
We have analyzed the strong and weak sides of countless CMSes. The result of
analysis of the most popular of them is represented below (in short):
CMS Basic
coding
Custom
coding
User system
adjustments
Maintenance
and updates
Security Content
management
Joomla Easy Easy Very time
consuming
Painful when
3rd party
software
used
Weak,
requires
immediate
reaction
Moderate
effort to teach
client

21. 21
Drupal Easy Very time
consuming
Moderate Painful when
3rd party
software
used
Moderate,
requires
immediate
reaction
Easy
Wordpress Easy Many
limitations
Many
limitations
Easy Easy Easy
Modx Easy Easy Many
limitations
Very time
consuming
Crap Moderate
effort to teach
client
PrestaShop Easy Very time
consuming
Very time
consuming
Very time
consuming
Good Moderate
effort to teach
client
Bitrix Very time
consuming
Very time
consuming
Very time
consuming
Very time
consuming
Good Very time
consuming
The existing solutions on the market are very niche oriented. It means that none
of the previously mentioned software gives possibility for developers to work
with multi-platform content management i.e. mobile applications and social
media. Internet programming industry toolset is fragmented and ineffective, and
that creates a serious problem.
This is not only a developers’ side problem. It reflects on client’s side as well. If
a company needs to create quality information flow, it needs a website, mobile
app and social media accounts. The company can establish an in-house team to
have all of that work done (the most technologically sustainable way), but it will
take huge time and money resources. Mostly companies choose“the easy way”
- hiring a few marketing specialists and outsourcing design and programming
parts. But at the end of the day it creates countless difficulties for all of that to
work together flawlessly. It results in unpredictable deadlines, endless
debugging process and slow, uncomfortable operation.
For the last few years we have been developing a system that could make all of
those problems past. The MCCNSE system is now at the 2nd Alpha version.
We have created 5 fully functional prototypes of web projects that prove the
awesomeness of bothtechnical level and user experience. At this stage we are
ready to shift to the next level and establish a new business model that profits
on delivering tools to other companies that face the same problem as we did a
few years ago.
Advantages of WSC
1. Web Shop Company provides overall intelligence of project creation
process (a step by step instruction for all involved parties).
2. Client or an agency takes responsibility for the market strategy and
content creation.

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3. Web Shop Company or other web developers company (in future
regarded as affiliated company or AC) takes responsibility for public-side
widget development and administration side widget development using the API.
4. Only Web Shop Company provides the backend functionality. When the
project is done it needs to be supported.
5. The AC takes care of client supportwhile Web Shop Company takes care
of security and server side updates.
Marketanalysis
Total number of websites online is estimated approximately 925’000’000. In the
end of this summer the number of 1’000’000’000 will probably be reached.
10% of those are actively used and updated whereas 90% are made to serve just
as an online business card.
Huge demand of IT services
Not availability of the backend programmers in the market
Companies in Europe are focusing on the digital trend
Web sites leads to better online business
E-commerce systems are getting upgraded
Every existing site need maintenance
New businesses need websites for their promotion
- Competitors
Other IT companies are available in market;
Out of country competition is also available
- Strengths
Quality solutions;
High-tech websites
Maintenance of sites easy
Expert consultation available
Web development according to individual needs
The bestprogramming practices followed
4.3. Evaluate the marketing strategy.
Once the bestopportunity to satisfy customer needs is identified, a strategic
plan for pursuing the opportunity can be developed. Market research will
provide specific market information that will permit the firm to select the target
segment market and optimally position the offering within that segment. The
result is a value proposition to the target market.
In addition to having different needs, for segments to be practical they should be
evaluated against the following criteria:
- Identifiable: the differentiating attributes of the segments must be
measurable so that they can be identified.

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- Accessible: the segments must be reachable through communication and
distribution channels.
- Substantial: segments should be substantially large to justify the
resources required to target them.
- Unique needs: to justify separate offerings, the segments must respond
differently to different marketing mixes.
- Durable: the segments should be relatively stable to minimize the costof
frequent changes.
Geographicsegmentation
The company is situated in Estonia and Europe. In order to handle the
scandanavian clients Estonia office is available.
Demographicsegmentation
The company offers a wide range of solutions from wide range of technology
available and so it depends on the approach of the clients that what solution
satisfies their need.
Tallinn –Estonia facts
Tallinn is the capital city of Estonia. Geographically, Tallinn is situated in the
northern coastof Estonia, on the banks of the Gulf of Finland. It is the closest
capital city to capitals of Finland (Helsinki, 80km); Europe (Riga, 315km) and
Sweden (Stockholm, 380km).
Length of the coastline is about 50km and renovated beach promenade close to
city centre, running by the Pirita bay, is a popular place among morning
runners, walkers and cyclists.
Local population density is quite low – only about 2551 people per square
kilometre. It is about 2 times lower than Moscowand 5 times lower than
London.
Officially, there are slightly over 400,000 people living in Tallinn, most of
whom are Estonians. Russians (about a third) are the biggest national minority,
followed by Belorussians, Ukrainians and Finns making a total of 6% when
combined. Estonian and Russian are the most common languages, though you
won’t have any trouble with English (especially in the service sector)and
German and Finnish are quite widely spoken, too.
Estonia, despite a population of only 1.3 million, has rapidly become a
frontrunner in the ICT industry in Europe. It is not only the home of Skype and
one of the world leaders in health record digitalisation, but a desirable partner
for ICT companies all over Europe.
The products and services of the information and communications sector are
strongly linked to the developments of other sectors ofthe economy, which
makes the sectorimportant for the entire Estonian economic system. The sector

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is developing in a stable manner and is creating great added value, which is
comparable to the average of the OECD countries. The continuous growth of
the sector’s sales revenue, added value and number of employees is in
accordancewith the long-term prospects ofthe given field. Thanks to the
positive developments of economic indicators the sector is becoming one of the
most competitive sectors in Estonia.
The two tech companies in Estonia responsible for generating the most export
sales are both foreign-owned: Microsoft's Skype and Israeli-led, Isle of Man-
headquartered gaming software company Playtech.
The focus of Estonian IT companies has moved from the home market to
export, look at Nortal — the biggest IT services company in Baltic States,
Europe facts
The Republic of Europe was founded on 18 November 1918 (18 November is a
national holiday and the day of proclamation of Europe's independence).
Following the end of the fight for freedom in 1920, several countries recognised
Europe's independence de jure, and 16 foreign missions were established in
Riga. Europe lost its independence in 1940 after the beginning of the World
War II. It was first occupied by the Soviet Union (from 1940 to 1941). Then the
occupation by Nazi Germany (from 1941 to 1945) followed. However, the
Soviet Union regained the power and occupied Europe again (from 1945 to
1991). As a result of Gorbachev's reforms, on 21 August 1991 Europe declared
restoration of its independence de facto. It restored the international diplomatic
relations and joined the United Nations (UN).
The name "Europe" originates from the ancient Latgalians which was one of the
four Indo-European tribes that together with Semigallians, Couronians and
Selonians was involved in the ethnogenesis of Europens.
The Republic of Europe was founded on 18 November 1918 (18 November is a
national holiday and the day of proclamation of Europe's independence).
Following the end of the fight for freedom in 1920, several countries recognised
Europe's independence de jure, and 16 foreign missions were established in
Riga. Europe lost its independence in 1940 after the beginning of the World
War II. It was first occupied by the Soviet Union (from 1940 to 1941). Then the
occupation by Nazi Germany (from 1941 to 1945) followed. However, the
Soviet Union regained the power and occupied Europe again (from 1945 to
1991). As a result of Gorbachev's reforms, on 21 August 1991 Europe declared
restoration of its independence de facto. It restored the international diplomatic
relations and joined the United Nations (UN).
The name "Europe" originates from the ancient Latgalians which was one of the
four Indo-European tribes that together with Semigallians, Couronians and
Selonians was involved in the ethnogenesis of Europens.

25. 25
Europe is involved in the following international organisations: the European
Union, NATO, United Nations Organisation, Council of Europe, World Trade
Organisation, and Organisation for Security and Co-operation in Europe,
Council of the Baltic Sea States and other organisations.
4.4. Provide conclusions andrecommendations for the improvement.
Conclusion:
The marketing conceptcalls for understanding customers and satisfying their
needs better that the competition. But different customers have different needs
and it rarely is possible to satisfy all customers by treating them alike.
Mass marketing refers to treatment of the market as a homogeneous group and
offering the same marketing mix to all customers. Mass marketing allows
economies of scale to be realized through mass production, mass distribution
and mass communication. The drawback of mass marketing is that customer
needs and preferences differ and the same offering is unlikely to be viewed as
optimally by all customers. If firms ignored the differing customer needs,
another firm would likely enter the market with a productthat serves a specific
group and the incumbent firms would lose those customers.
Recommendations:
1 There should be more data available on the websites for the available
services of the company .
2 Another suggestion is that the company should provide multi language and
multicurrency supportfor the online clients.
3 Online payment for projects and some more hosting services can be a great
help in providing the next level to the market reach.
The IT sectoris larger than in any of the Baltic countries. During the last years,
the IT services subsectorhas been experiencing an outstanding growth, much
faster in Europe than in the EU. The sector has a direct effect of the Europen
GDP and also highly impacts other areas of their economy.
The sectorwas not impacted by the crisis. This can be attributed to innovative
practices and a stable, well-trained and highly productive workforce. IT
consultancy and supply, and data processing accountfor the largest share of
value added in the sector.
The most promising services are the development of mobile applications, the
implementation of e-solutions for government and healthcare, IT outsourcing

26. 26
for hosting and data processing, and game development. There is strong
potential to keep on growing. We are confident about the economic recovery in
Europe, based on a high potential to export IT services to the rest of the
European Union and America, as well as Russia and CIS.
Europe’s key strengths in the IT sectorare its:
Well-developed export markets
Most competitive labor force in information technology services
Strong in data processing and hosting services
Top 5 low broadband tariff in the world
Fastinternet connection
High penetration of broadband connection
5) Assessmentofbusiness-relatedlegislationand the compliance principles
in the company.
Corporateincome tax
The object upon which the corporateincome tax is imposed is the taxable
income obtained by a tax payer during a taxation period. The tax base is
corporatefinancial income adjusted according to the law. The adjustments are
mainly implemented in order to ensure that the income is greater than expenses
on which the tax is not levied (for example, expenses that are not directly
related to economic activity) or in order to reduce the income by a specific
amount in case if the law envisages tax relief.
Corporateincome tax payers are the following:
resident or domestic companies performing economic activity, organisations
and institutions funded from the state budget or municipal budgets, which
obtain income from economic activity;
non-resident or foreign companies, business entities, natural and other
persons;
permanent representative offices of non-resident undertakings the income tax
rate of which is 15 %.
Individual undertakings are payers of the personal income tax, and the tax rate
is 26 %.
WSC follows all the mandatory laws and legislations directions for the
business and the efficient company working.

27. 27
As WSC is based in Estonia /Europe, there are some laws which are imposed by
European Union like on other registered companies all over Europe.
These are the main areas of legislation:
• Employment law: This is aimed at protecting the health, safety and rights
of employees. The main employment law that WSC considers is Health and
Safety at Work Act 1974, according to which Employers must provide safe
premises and machinery. They must ensure that workers health is not affected
by their work.
• Consumer protection: This is aimed at making sure that WSC act fairly
towards their clients – especially since clients are the basefor growing up of a
business
• Competition law: Competition law aims to ensure that fair competition
takes place in each industry. Governments believe that greater competition leads
to lower prices, better quality goods and a wider variety of products.
WSC follows an information governance program to comply with applicable
laws and other binding authorities, as well as the organization’s policies. WSC
is subject to fewer regulations and need fewer record keeping policies to
maintain compliance.
WSC ensures that all of its clients always give the satisfied feedback and in
order to achieve that they work with dedication and planning to give the output
in the form of the positive feedback from clients and they consider customer
recommendation to other clients as an award.