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Mobile Business - The Emerging Trends

Mobile Business - The Emerging Trends

Strategies for Mobile Business

Mobile Business - Issues and Challenges

Despite the benefits that have lead to increased adoption of m-business, it faces major challenges. These challenges can be broadly categorized into business and technological challenges. The major business challenges for m-business is its viability as a business proposition itself. As applicable in any other business proposition, following questions need to be answered to analyze its viability:

  • What is the size of the market an organization planning to enter?


  • What would be the nature of products and services being offered?

  • Who would be the customers and how will they be benefited?


  • How would an organization differentiate its products and services from its competitors?

  • Can a business make money by using this model?


  • What is the pricing strategy and how will the service be delivered?


  • What should the branding strategy?

If the answers to all the above questions are positive, the organization may consider m-business as a favorable business proposition. However, it cannot ignore the technological challenges, which may prove to be a major barrier leading to non-adoption of m-business by customers. The technological barriers to adoption of mobile technologies can be numerous. These include diverse standards for applications and networks, limited area coverage, low bandwidth, lack of security and privacy of content, diversity and complexity of devices, slow response times, primitive user interfaces, limited data storage capability, synchronization, virus attacks, lack of universal API for developing local applications and numerous other factors.

Lot of hype has been built around the potential of mobile applications but without the proper mobile infrastructure and due to limited network access and coverage they may be meaningless. Similarly, network protocols are doubtful with different carriers adopting various next-generation technologies. Lack of common mobile platform standards to deliver m-commerce content is another major issue.

Quality issues continue to plague most mobile devices. Some problems arise due to the physical characteristics of mobile devices, while others are service-related. Small displays on mobile phones, tedious data entry, slow data transmission speeds and lack of compelling services are major obstacles to the user acceptance. Other issues related to mobile devices include:

  • The technology used by phones may be complex to understand by the consumers.

  • Some devices allowing the Internet access are expensive.

  • Many mobile carriers restrict Internet access to a select group of sites.

  • Lack of sophisticated filtering and display techniques since automatic transformation of existing Internet content is not appropriate for mobile devices.

Consumers are also worried about the breach of privacy and transaction related security issues while using the mobile Internet. One of the privacy concerns is the ability of mobile operators to know users' location. All mobile operators have tracking systems, which can provide location data within a few meters. This functionality could be misused adding to consumers' inconvenience. Moreover, in a similar way like PCs with Internet access, mobile devices are also prone to viruses. Hence, mobile service providers must provide a secure environment for device users.

Public Key Infrastructures is one of the best security methods to achieve complete transaction confidentiality, user and provider authentication, data integrity (data has not been changed during transmission), and payment/transaction authorization via digital signatures to ensure non-repudiation. It requires various encryption techniques during data transmission in order to achieve complete security.

Security of transmission and the data transmitted can also be achieved using Wireless Transport Layer Security for secure remote sessions between consumers and merchants or local payment protocols. Similar to PKI, strong end-to-end encryption will also help in achieving complete security.

To create successful m-businesses, organizations need to fully understand mobile user experiences. They have to develop an effective mobile strategy that can lead to:

  • Maximization of value to the business.
  • Decreasing time to launch a new product in the market.
  • Growth in scale to meet current and future needs.
  • Minimizing product developments costs.

Mobile Business - Industry Applications


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