chapter 3 Flashcards
what is not a benefit from a IT investment
tech for the sake of tech
what does doing things right refer to
efficiency
what will a business with a differentiation strategy do
find a niche and offer a product/ service that fit the niche better than the competitors
an example of disruptive tech
digital music players
what is disruptive tech
its a tech that innovates a industry so much that competitors cannot compete with it ( ie digital music players)
what should you do if a big whale enters your industry
modify and manage your existing business processes to max supplier lock in and build closer relationships with clients
what 3 factors do you need to integrate in order to sustain long term competitive advantages
people, procedures and tech
how many alternative competitive strategies are there
four
what is the productivity paradox
its the increased investment in tech that leads to small changes in worker productivity
what are the 3 ways IT creates business value
productivity more outputs with the same inputs, structure of competition IT changes the way companies compete, benefits to consumers they get better goods for a cheaper price
what is increasing efficiency
its when a business process is done faster or with less resources
what is increasing effectiveness
offering new goods or services a customer might value
what are support activities in porters model (4)
infrastructure, HR, tech development, procurement (purchasing)
what are porters primary business activities (5)
inbound logistics, operation , outbound logisitcs, marketing and sales, service
what is organizational strategy
maps how a company intends to meet its goals and objectives
