The Future of Tax Returns

The fact that now you can file your taxes through the Internet is quite amazing and there are many benefits to it. I work in an accounting office and about 95% of the returns that we prepare are "e-filed". The process is quite simple, the accountants prepare the returns, the clients review the returns, and when we have the authorization from them we push a button and their returns are transmitted directly to the IRS. Most tax returns are accepted within a day and people get their refunds a lot faster than if they were to file their returns by paper. Not only is it faster and more efficient, but it is also helpful to the environment. Some of the more complex tax returns are HUGE and before e-filing became so popular they used to print out the client's return to mail to the government, and then a copy for the tax payer. Now we only have to make one copy and in some cases, the returns are just sent via email to the client so that they have the option of just saving their return onto the computer, so the fact that you are saving paper is definitely a plus.

I also feel that it is a very safe procedure. Like i said before, the program sends the return directly to the IRS so you can assure that it goes into the right hands. I feel more safe e-filing my return than putting it in the mail where it is more likely that someone could tamper with it. In most cases, if there is an error on your taxes, the IRS will reject the return and let you know what the problem is. Not saying that it will catch every single error, but it does help. Again, this makes the process much faster and efficient. If the return would have been filed by paper, you would get a letter in the mail probably weeks or months after the fact, and then the return would have to be amended, making the whole process even longer. 

I think that eventually, the IRS is going to make it so that ALL returns are be required to file electronically. I don't know how well this would work since there are many people, mainly elderly people, that do not like their returns being e-filed. I think that people should still have the option of how they want to file their returns, but it looks like that is where everything is heading.

Sometimes it's Better to be Different

After reading the professor's blog this week about the E-commerce business model, I started thinking about ways in which a website could be a success. One thing I thought could be an important aspect for an E-commerce business model  is differentiation,  how you can make you website so it differs from other competition. Operating an online business could be very profitable, but it is important that your website stands out in order to be successful. There is so much clutter in the online world that it is important to incorporate differentiation into your business plan. I found a website that describes some of the things that can be done in order to achieve differentiation with your website. Some things suggested were to find out how you can differentiate yourself from competitors. Are you going to offer faster, less expensive shipping, or have a wider selection of inventory? Whatever it may be, it is important that it is well thought out.

Another way to achieve differentiation with your website could be with the products or services that you may be offering. Instead of offering products or services that you can find through many websites, you can offer something to a specific market niche. Let's say that you decide to start an online clothing retailer for example. They are all over the place on the internet. So how are you going to make your website stand out? One way could be to target to a specific market, for example, people like expensive designer clothing for a lower price. This is probably what the creator of websites like Bluefly.com had in mind when starting their online business. Can you can think any successful websites are targeted to specific market niche, feel free to post any...

Behavioral Advertising: Friend or Foe??

For the past few days I have been searching online for a Halloween costume, then I started realizing advertisements for costumes on my browser. Is this coincidence?? I think not. This is what is referred to as behavioral advertising, where companies monitor your Internet surfing in order to target the "right" consumers for their product or service. It's something that is rather harmless, but I'm sure that many people may think that it is an invasion of their privacy. Consumers will now have the option to opt out of advertisements or to change their advertising  preferences by clicking on an Advertising Option Icon.

It seems that in some cases, it may be rather convenient in the sense that it may help you find what you are looking for, with the advantage of searching for the best price. For example, when making travel arrangements you always want  to find the cheapest fares for your hotel and/or airfare. In that sense, behavior advertising may not be such a bad thing. It could show advertisements for different travel companies and you may get lucky and find cheaper prices. However, if you are searching for something that you might consider private, you may not want advertisements for what you are searching for to be all over your browser, especially if it is a shared computer. This also comes back to the issue where people feel that it is an invasion of privacy and who don't want their Internet surfing patterns monitored. This new icon will benefit those people that do not want to receive those specific advertisements.

Some marketers believe that this will improve targeting their consumers. Consumers will have the option to completely opt out of certain advertisements, or select topics that they might be interested in. With consumers having this option, marketers can be more successful in finding their target consumers.Find out more here: ttp://www.iab.net/about_the_iab/recent_press_releases/press_release_archive/press_release/pr-100410.

One thing that I do wonder how many people will realize that this option even exist. Also, if they know its there, how many people will know what it is. Unless someone starts advertising this new option, I don't think that many people will understand it is and how it can help them.

You never know who's watching....

I guess it was only a matter of time before someone came up with the idea of paying someone to watch surveillance videos via internet. Internet Eyes pays its members to watch live feed of businesses in order to prevent shoplifting. It seems like a pretty cool idea. Businesses can register through the website and have people constantly monitoring the business.

I just wonder how effective this system really is. Sure, you click a button when you see suspicious activity but how long before someone actually sees it and acts on it. By the time authorities are notified, the criminals would probably be long gone. I assume that this is mainly something for smaller businesses. Larger businesses would be better off with an internal loss prevention team to ensure that shoplifting is at a minimum.

One should also consider the privacy issues facing Internet Eyes.  After doing some research, it seems as though the only real issue would be someone using the video is a way they're not supposed to, for example, posting it on YouTube. Some people are do feel like it is a serious privacy issue. http://www.itpro.co.uk/blogs-archive/nicolek/2009/10/06/interent-eyes-cctv-game-lets-us-all-be-big-brothers/. However, the company seems to have that situation under control by making you agree to their terms of us. Internet Eyes also gathers their member's personal information, which could also avoid these problems from happening or take action is they do.

Rise of the Kindle

The Kindle, it's like a portable iPod for books. Whoever came up with the idea is quite genius to realize the fact that everyone is going digital with just about everything, so why not books as well? Amazon pioneered the first portable reading device with the Kindle, and with its success, many other companies produced similar products. You can purchase whichever book you are interested in and download it into the Kindle, all without leaving your house. It's small, convenient and you can take it with you anywhere. 

Is the rise of these portable devices a threat to bookstores or even to paperback books as we know them? Barnes & Noble could have possibly felt some kind of competition because they came out with their own version of the Kindle, the nook, not too long ago. Apple also came out with the iPad, which can be used for several things including the ability to store books. It goes without saying that as long as companies are willing to adapt to any new technology, they are more likely to stay around, as opposed to the companies that choose to ignore it or not do anything to adapt. Even textbooks are being sold as e-books, which for students its great because the cost is a fraction of what the hard copy goes for.

Although these products have been very successful, I believe there's still plenty of people out there that prefer traditional reading from a paperback book. I am one of them, not saying that I'm not open to the idea, I just prefer to have a book in front of me, maybe I'm just old fashioned. I think many people probably feel the same way, they like having a collection of books in a bookshelf, where they can pick a new book to read whenever they wish  . Others may feel that keeping books that already have been read is pointless and creates clutter. I guess only time will tell what the future holds for how we will enjoy our reading material.

Boeing Gets a Lesson

In regards to the New York Times article about 8 year old Harry, it is quite interesting to see how one comment by the boy's father can stir up so much attention that it caught the eye of the corporate giant. In my opinion it was a rather cold the response that was given to the poor child. I question why the company would take a child's picture suggesting an airplane for them to build so seriously. One would think that they would either ignore it, or thank him for his efforts. Looking at the picture it is quite obvious that is was drawn by a child so I don't understand why they couldn't just make a little boy's day and give him some encouragement.

The father's comments on twitter I think were made because he was rather upset about the situation. I don't think he made those comments intentionally to get attention as one could see from his last tweet on the subject http://www.johnwinsor.com/my_weblog/2010/05/harry-and-boeing-the-update.html. People use social media networks such as twitter to express what's on their minds and this was something that was bothering him. Put yourself in his shoes. Would you be bothered by that if it was your child??