Market forces have constantly made sure that the performance and nature of the work place balances. If you recognise that the principles of supply and demand will make sure that the correct, or required, products and services are provided by successful businesses, then the impact of the Internet Business development may well amend the accepted economic paradigm.

Traditional business models are based on a separation of function which for arguments sake resulted from the mechanisation of industry throughout the Industrial Revolution. In order to advance efficiency the work place “scientists “ such as FW Taylor argued that separation of roles would improve production rates. Subsequently the specialisation of function (innovation, design, production and sales) would be designed to make sure that the upmost opportunity for suppliers and retailers was achieved by encouraging competition at both ends of the chain (in suppliers and retailers).

This model designed around silo’s is now in danger from the Internet, the very nature of the capability to share information instantly has had the effect of bringing together those traditional silo’s. It is now perfectly possible that a collection of designers can get together, design a product or service online, in real time. If the harvest is a product then via 3D printing technology that product can be made and advertised via a website. An total supply chain can actually Work From Home producing goods and services via Online Jobs.

This sort of activity will have an affect on the world of work as we see it today, Online Jobs will be the norm as opposed to the exception as design, manufacturing and production, sales and marketing and distribution are all possible through a broadband connection. Traditional barriers to entry in markets, such as accessibility, market knowledge and skill sets will become less of a problem as a start up Internet Business can, without any problem source fitting skills online and have no need to co-locate a section who can all effectively Work From Home. Any market is easily reached when sales pitches and customer contact is made through effective use of today’s communication technology. Business forums and blog sites can also grant useful local and regional business intelligence through discussion with businesses already working in that market – obviously there is an issue around sharing information that could be useful to your competition.

There is no doubt that the mechanics of production as we understand them today will still be necessary for some elements of manufacturing and production, it would be nearly impossible for a local supplier to construct a car and for an internet business sales team who work from home to sell it. It would also be folly to imply that some of the more technologically advanced products we use on a regular basis could be designed over the internet by a group who had never met. However there are millions of products which are straightforward in design construction and production which could be produced in this way. Who knows, some of them may even profit from design advancement as hundreds of much smaller groups take a look at those designs and append their own individual input to them.

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This entry was posted on Monday, November 30th, 2009 at 8:42 pm and is filed under Online Business, Promotion and Marketing. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.