How IT improves business model performance Flashcards
a. Change the Basis of Competition?
i. IT is used to inform and transform
ii. Streamline and integrate the value chain to eliminate redundancies and improve productivity
iii. Information allows executive and employees to understand quickly changing environments
iv. Improved coordination and control
v. Personalized products and services
vi. Enhance strategic positioning and differentiation
vii. Deploy into new markets and generate new revenue streams
b. Change the nature of relationships and the balance of power among your potential buyers and suppliers?
i. Help to streamline processes throughout the supply chain
ii. Integrated technology with enterprise resource planning capabilities that connect to the supply chain
iii. Eliminate inefficiencies in the supply chain and business network
iv. Consolidate processes in the business network
c. Build or reduce barriers to entry?
i. Offer attractive products and services at a price and level of quality that competitors cannot match
ii. Possess assets and specialized expertise that would be costly, time consuming, and difficult to duplicate
iii. Leverage proprietary capabilities and assets to continuously innovate and evolve the business strategy
iv. Create a large and loyal community that remains committed despite availability of comparable alternatives
d. Increase or decrease switching costs?
i. Create system that is easy to start using but difficult to stop using
ii. Continuously implement valuable enhancements that make customers dependent on the system’s functionality
iii. Create an easier and simpler way to complete time-consuming tasks
e. Add value to existing products and services, create new ones or enter new markets?
i. Embed IT into physical products and services
ii. Make IT product easily customized to different customers
iii. Add new features, improve user experience
iv. Improve customer onboarding experience
v. Continue to innovate
vi. Improve packaging and design
