Many companies are combining their online business activities with an existing physical presence. In about 100 words, explain which elements they are combining and what problems they are solving by doing so.

Companies are combining their online business activities with their existing physical presence in order to lower costs of their operations. When both these things are combined labor costs are reduced because with online presence the company has to have limited number of branches, inventory costs are reduced because additional inventories for every physical outlet is not required and delivery costs are reduced because now company don't have to supply the things to all the outlets on regular basis.

Trust of the people is also improved because mostly people are reluctant to order from the brands that only have their online store and donot have any physical presence. Value added services are provided by a company who have both online and offline presence like home delivery and customized offerings.