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INFOSYS.110 BUSINESS SYSTEMS:

DELIVERABLE 2: BUSINESS
SECTION
2014

Name Jihi cha
NetID Jcha982
Group Number: Group 153
Website Link: http://infosys1102014ssgroup153.blogspot.co.nz/
Tutorial Details
Tutor: Day: Time:
Helene Tutor Tuesday 1 am
Time Spent on
Assignment:
26 hours
Word
Count:
1347

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DIET APP
INTRODUCTION
In the modern society, obesity is considered as a serious problem especially in New
Zealand (second highest). Even if people are trying to lose their weight they always
failed. Its caused by lack of exercise or genes and family history. Its really big
problem because it causes so many disorders such as heart disease, breathing
difficulties, dibetes and people can be discriminated by others. Therefore, to solve
this problem, our company created an interesting app. People can just download this
without paying for it. In this app, you have to write down your personal details and
your goals. Then, people just have to follow the diet plan that the app suggested.
The reason why our app is better than other similar apps, First, its simple and it
saves money and time. Also, its healthy way to lose weight. However, the most,we
have competition function so it can motivates people. If they work hard and be the
top rankers or winners, they wil get a chance to meet up with other top rankers.
3. BUSINESS SECTION
3.1 Vision
Make products that make people convenient and help people to enjoy their life.
3.2 Industry Anal ysi s: smart phone application industry
Industry: Smart phone apllication industry
Force: High/Low: Justification:
Buyer power: High
There are many free apps that relate to the
diet so buyers have plenty of choices. (More
than 500,000 health and medical apps have
become available with nearly 25 billion
downloads. By 2016, it is estimated that more
than 44 billion apps will have been
downloaded)
Supplier power: Low
There are many supplier possibilities for
programmes, computer or making a special
machines so our company has many choices.

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Threat of new entrants: High
Due to the entry barrier to this industry is low
and this idea being easy to replicate. It is
easy for new competitors to enter a market .

Threat of substitutes: high
There are many alternatives to a product or
service such as people can just get the same
advice from a personal trainer, they can read
health magazines or they can search online
for health related articles.

Rivalry among existing
competitors:
High
Competition between the app investing
companies are fierce because the entry
barrier this industry is low.

Overall attractiveness of the industry: The overall attractiveness of the industry is
high. Although threat of new entrants is high, this industry will grow bigger in the
future in New Zealand because from the research done by Frost and Sullivan; they
said smartphone, and ownership levels are expected to grow strongly reaching 90%
penetration in 2018. Therefore, this is a growing industry so there is growing market
share. This industry offers an plenty of new opportunities for the company so our
business prospect is bight.


3.3 Customers and Their Needs
Our target customers would be all people who have smartphones or other small
devices that can download the apps except particular age groups( too young or old
people) because these age groups cannot use samrtphone and this means they
cannot use our app. In the chart below, the age 18- 29 is the most people use
smartphones so these age group will be our focused customer. If they are using
smartphon, they can easily use our app. Also, the reason that these particulr types of
people are our target customer is they are the people who are most busy so they do
not have time to do the exercise or making their own diet plan so they need this our
app to fullfill their requirement and have healthy life.


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3.4 The Product and Service

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our app is providing the diet plan for the people so they dont have to put the effort to
make diet pan for themselves so they can save time and effort. Also, our app has the
ranking system to motivate people to work hard. Weekly or monthly, they have to
record their weight and if they lose weight much, they will be the winners.( to make
sure this is fair, we will provide the special weighing machines fotr recording the
weigh)


3.5 Suppliers and Partners
Our company is the company that making the app and providing services. Therefore,
for the suppliers, they have to have some ability to provide high quality computers or
programmers to helps us to make app easier and also we need another suppliers
who can make the special weighing machines. We need partners as well because
after we make the apps , we have to sell them on the market such as itunes stores or
android store. Also, we need another partners that who can provide us the
information about peoples health and helping us to make diet plan.

3.6 Strategy: Cost Leadership
Our products are free and our target customers are broad. Our strategy is cost
leadership because it reflects the scope of our market and the cost of app.

3.7 Value Chain Acti vity: Technology development (and R&D)
To discuss the value chain activity, we are going to use the porters value chain
model which consist of 9 keys value cahin activities. The most important value chain
activity in our company is technology devlopement( and R&D). Seeing as though our
vision is make product to make people convenient and help them to enjoy their life.
To make customers convienernt, we need high quality of information. To make the

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diet plan. Also, our strategy is cost leadership which our target customer is borad so
we need various and a lots of infomation to support. To get this informatiom, we
need a lots of research. Also, to survive in this competitvie industry, we need to keep
developing our app so it is important to devlope our technology.


3.8 Business Processes
3.8.1. Product Development Process- As I mentioned before, smartphone
application industry is really competitive, to survive in this industry, we have to follow
the trend and keep developing our app. To do this, we have to collect the feedbacks
from the costumers and accept our weakness. Then, we need to try hard to fixed
those weaknesses and make our app to be more professional.



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3.8.2. (Market) Research Process First, to make our app, we need to select our
target market and forcused on our customers. However, after we created our app,
we cannot stop researching. In our app, the most important thing is keeping research
on new food or other diet products to provide better information for diet plan for the
customers. Therefore, we have keep research on our market.



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3.9 Functionalities
3.9.1. Product Development Process
Can develop our products
Make more users
3.9.2. Market Research Process
Can identify our weakness
Can identify the trend for our industry

3.10 Systems

3.10.1. CUSTOMER SERVICE SYSTEM refreing to our vision, the most
important htins in our company is customers. We always have to have mind ti hear
customers voices. This is Customer relationship management system. Throuhgh
this progrmames, we can have an idea of what our apps are like in this indusrty so
we can develop our products and by developing our app, we can attrat more users.
3.10.2. ORDER FULFILLMENT SYSTEM this is transaction processing
system. Fomr this we can fulfill our customers needs.
3.10.3. MARKET ANALYSIS SYSTEM this is decision support system. By
analysing the market, we can have better understnadgin of our industry so we can
,make better prodcts.






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3.11. Summary Table: Value Chain to Systems

Value Chain
Activity
Processes Functionalities Specific Information
System(s)
Broad Information
System(s)

Technology
devlopement(
and R&D)
1. Product
developme
nt porcess

1. Can develop our products
2. Make more users

Order fulfillment system

Customer service
system
Transaction processing
system
Customer relationship
management system
2. Market
research
process
1. Can identify our weakness
2.Can identify the trend for our industry

Market analysis system-


Customer service
system
Transaction processing
system

Customer relationship
management system

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CONCLUSION
From this, our app companys future is bright and the IT and this information
systmen will be developing consisantly in the future. This developmet will not stop so
our app company will not stop operating. As the IT and IS are keep developing, our
company wll develop as well.

REFERENCES


http://www.pewinternet.org/fact-sheets/mobile-technology-fact-sheet/
http://www.geekosystem.com/smartphone-ownership-by-age/
http://www.scoop.co.nz/stories/BU1312/S00422/nz-will-have-90-smartphone-and-78-
tablet-ownership-by-2018.htm
http://www.intergen.co.nz/blog/Rose-Harris/dates/2011/3/the-future-of-online-
engagement-what-are-the-trends-and-where-are-we-heading/

http://www.jmir.org/article/viewFile/jmir_v14i3e72/2
http://mobihealthnews.com/research/the-world-of-health-and-medical-apps/

http://www.apperian.com/lowering-the-barrier-for-entry-into-mobile-app-development/
http://3xhappiness.com/analysis-of-the-app-market-based-on-michael-porters-five-
competitive-forces/