1. The design of the various value chain activities: order fulfillment, product development, cost management, information interchange, facilities management, and customer service, is the most essential factor for the success of E-Retailers today. Additionally, the parties in the value delivery chain can significantly improve or have a negative effect on the value chain. Retail Forward’s marketing positioning model can be used by companies as a strategic plan for the creation of an optimum value chain. The organizational strategy of a company affects the number of parties in the value delivery chain. As the case points out, it is essential whether a company decides to have an E-Division or to outsource the order fulfillment function to a company that has expertise in that area (like Amazon.com). Improving the physical facilities can significantly contribute to the value chain. For example the kiosks that some companies have added to their stores help with out-of-stock issues, providing more product information, and educating consumers on how to shop online. Product development....

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