Walmer Traders is a manufacturing company. They manufacture long-life products and are based in the Eastern Cape. All raw materials which Walmer Traders use in their manufacturing process are purchased from a specific supplier.

Walmer Traders has a February financial year-end. Walmer Traders operates in a decentralised manner with staff situated in various locations and working in various departments, namely, manufacturing, accounting, IT, administration, and sales. The company uses an integrated accounting software package for its inventory, purchases, accounts receivable, and accounts payable functions.

REQUIRED:

Discuss the business risks that Walmer Traders will face with the introduction of an online shopping website and with regards to advertising their products online.