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Table of Contents

New Technology Development on Canadian Jewelry Industry


The purpose of the author’ study is to identify new effective ways for Canadian jewelry industry through Internet marketing environment and develop practical recommendations to improve competitiveness for R & D Gem (a Canadian Jewelry Company) through its integration into the global online marketplace.

Table of contents


According to the author’ study, the role of the Internet in a globalized world economy and the main directions of marketing development concepts in Internet marketing were determined, critical analysis of Internet marketing for R & D Gem company was performed, Internet-based tools which allows a company to implement marketing function, including the identification of the target market and the modification of the target market within the marketing of R & D Gem were shown. The study used comparative and logical analysis, synthesis, and other scientific methods. On the grounds of the complexity and multidimensionality of the Internet marketing environment, the method of separation of macro-economic, sociocultural and political-legal grounds was used. During the study, characteristics of the Internet, which are inherent in micro-and macro environment and the features and benefits of Internet marketing for R & D Gem were identified, which allows us to consider Internet marketing as a progressive form of direct marketing.

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I understand the nature of plagiarism, and I am aware of the University’s policy on this

I certify that this dissertation reports original work by me during my University project time.

Signature                                                                                           Date

List of Figures

Figure 1. World Jewelry Market

Figure 2. Canadian Jewelry Market

Figure 3. Industry’s Trends

Figure 4. The Search Landscape

Figure 5. Google Recommendations

Figure 6. Jewelry Sales Could Reach USD 280 billion by 2015

Figure 7. R&B Gem Marketing Inc. ‘AS IS’

Figure 8. B2B Solution Process Overview

Figure 9. R&B Gem Marketing Inc. ’TO BE’

Figure 10. High Level Infrastructure

Chapter 1. Introduction

In recent years, there has been revitalization of exploring of Internet marketing use by companies. The phenomenon of economic globalization is a wide interest among academic economists around the world. The object of research is the globalization of business and international real-virtual marketing environment and its influence on the jewelry industry in Canada. The subject of this thesis are the conceptual foundations of Internet marketing, structural features of the online marketing environment, the problem of globalization of electronic commerce and key tools for overcoming them, possible ways the globalization of Canadian jewelry businesses using the Internet.

In the Literature Review in the first part gives a brief excursion into management of technology in general and in the technology of automated management in particular. So, four distinct schools of management thought were developed in the first half of the twentieth century. Chronologically, they can be listed in the following order: the school of scientific management, administrative school, psychology and human relations school, and the school of management science (or quantitative school).

Most of convinced supporters by each of these areas believed that they were able to find the key to more effective achievement of organizational goals. More recent studies and unsuccessful attempts to apply the theoretical opening in practice have proved that many of the answers to management issues were only partially correct in limited situations. Nevertheless, each of these schools has made a significant and tangible contribution to the field. Even the most progressive modern organizations are still using some concepts and techniques that have arisen within these schools.

In the second part of the Literature Review stated that globalization-marketing environment, the rapid development of information technology throughout the world and in Canada dictate strict requirements for information provision tolls. This relates on improvement of management efficiency business processes, efficiency and timeliness of critical management decisions, needed tight control over the targeted use of budgetary funds, clarity and effectiveness in addressing company challenges, the need for centralized coordination of the enterprise.

Most noticeable for ordinary users the development of electronic commerce is the growth of a variety of Internet-service provider, implementing the scheme of Business to Consumer, such as online product sales. However, more intensive development are Internet-services that implement the scheme of Business to Business, such as virtual trading platforms that allow to conclude trade deals between the entities.

Notwithstanding the foregoing, emphasizes the importance of human factors in enterprise management level, since the presence of developed management determines the success of the company. Internet technology is only effective method to achieve the certain goals.

In the section, describing the Canadian jewelry industry is given brief description of the global jewelry market in the context of the following countries: China, India, United States, Japan and Russia. Jewelry industry also divided into two main markets: the marketы of gold and diamond, which depend on their mining. Further, the main indicators of imports and exports represent the Canadian jewelry industry; the situation on the domestic market, the number of companies the jewelry industry by Canadian province, the problems of industry and its prospects for growth.

The third part provides an online jewelry market of Canada, given the statistics of attendance of major Canadian jewelry sites, identified key players and prospects of online sales of jewelry in the world. The fourth part deals with a particular company R & B Gem from a position of success use of internet marketing and online sales.

In conclusion, stresses the importance of today's global trend is the growth of global competition, forcing the jewelry companies increasingly use an individual approach to each client. Solving these problems is facilitated, provided the effective integration of the Internet in a program of international marketing communications. The Internet marketing simplifies and makes faster and cheaper communication between buyers and sellers.

Chapter 2. Literature Review

2.1 Management of Technology

2.1.1 Scientific Management (1885–1920)

Scientific management is most closely connected with the work of Taylor, F., [1], Gilbert, F., Gilbert L., [2] and Gantt, H., [3]. These founders of scientific management school of thought supposed by observations, measurements, logic and analysis that many manual labor operations can be improved, ensuring their more effective implementation. The first phase of the methodology of scientific management was to analyse the content of the work and determination of its major components.

Scientific management is not neglected the human factor. An important contribution of this school was the systematic use of incentives to make employees interested to increase productivity and production volumes. Envisaged the possibility of a brief rest and the inevitable interruptions in production, so that the amount of time allotted to perform certain tasks, it was realistic and fairly set.

2.1.2 Classical School (1920–1950)

Authors, who have written about scientific management, mostly devoted their research to what is called production management. They were engaged in increased efficiency at lower management. With the advent of administrative professionals school have begun to develop approaches to continually improve the management of the organization as a whole.

Adherents of the classical school, as well as those who wrote about the scientific management, did not worry a lot about the social aspects of management. Moreover, their works largely came from personal observation and were not based on scientific methodology. "Classics" have tried to look at the organization in terms of broad perspective, trying to identify common characteristics and patterns of organization. The aim of the classical school was the creation of universal principles of management. In this case, it relied on the idea that adherence to these principles will undoubtedly lead the organization to succeed.

These guidelines address two major aspects. One of them was to develop a rational system for managing an organization. The main contribution in management theory was made by Fayol, H., [4], who is sometimes called as "a father of management, was that it had reviewed the management as a universal process consisting of several interlinked functions such as planning and organization.

The second category of classical principles is about how to build the organization structure and management of employees. As an example that can be taken is the principle of unity of commands, according to which an employee should receive orders from only one head and obey to him alone.

2.1.3 School of Human Relations (1930-1950)

School of scientific management and classical school came to light when psychology was still in its infancy. Many scientist of the early XX century seriously questioned the new Freudian concept of the subconscious (Freud, S., 2003) [5]. The movement for human relationships arose as a response to the inability to fully understand the human factor as the main element of organizational effectiveness.

Representatives of this school have defined management as "providing execution of works with the help of others." They found that well-designed work operations and a good salary do not always lead to higher productivity, as did representatives of the scientific management school [6]. Forces that arise during the interaction between people can transcend and often surpassed the efforts of the head. Motivated acts of human beings are, basically, not economic forces, but rather different needs that may be only partially and indirectly satisfied by money.

2.1.4 Behavioral Science (1950-present)

The development of such sciences as psychology and sociology, and improving methods of research after the Second World War made the study of behavior in the workplace are more scientific. Representatives of the School of Behavioral Sciences examined various aspects of social interaction, motivation, the nature of power and authority, organizational structure, communication in organizations, leadership, change in work content and quality of working life.

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2.1.5 Management Science or Quantitative Approach (1950-present)

Quantitative methods (mathematics, statistics, engineering sciences) grouped under the title operational research, were used during the Second World War for the solution of complex management issues (effective use of a limited number of fighter jets, submarine warfare, mining Japanese ports).

In essence, the operational research is the use of scientific research methods to operational problems of the organization. After posing the problem, a group of specialists in operational research has to develop a model of the situation.

Model is a form of representation of reality. Typically, the model simplifies the reality, or presents it in the abstract. Models that developed in operational research, simplify complex problems by reducing the number of variables to be considered till the manageable number. After creating the model, the variables are given different numerical values in order to find the optimal system state.

The influence of the quantitative approach was significantly lowered than that of the behavioral approach, partly because of the much larger number of managers who confronted daily more with problems of human relationships, human behavior than with problems that are the subject of operational research. However, now the situation is changing rapidly as more and more business school offers courses in quantitative methods and the use of computers.

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