Is for competitive advantage

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Is for competitive advantage

  1. 1. IS for Competitive Advantage Chap 3
  2. 2. Organizational Strategy & IS <ul><li>Since MIS is about supporting and achieving business goals and objectives, IS is ultimately determined by the companies competitive strategy </li></ul>
  3. 3. Say “Charge it” with Closing Case # 1: your cell phone! <ul><li>Wireless operators, cc companies, and retailer’s are working on a technology that allows customers to purchase items using their cell phones…. </li></ul><ul><li>Example : A customer could purchase a can of soda by dialing a number on a soda dispensing machine and have the charge show up on the customer’s cell phone! </li></ul>
  4. 4. Question… <ul><li>Is this technology a threat to traditional telephone companies? </li></ul><ul><li>If so, </li></ul><ul><ul><ul><li>What counter strategies could traditional phone companies adopt to prepare for this technology? </li></ul></ul></ul>
  5. 5. Porter’s 5 Forces Analysis <ul><li>Using this model what are the barriers to entry and switching costs for this new technology? </li></ul>
  6. 6. Figure 2-1 Principles of Competitive Advantage
  7. 7. Compete with Amazon? How?!?! <ul><li>What forces from Porter’s 5 forces model would need to be overcome to compete with Amazon.com? </li></ul>
  8. 8. Value, margins, and value chain <ul><li>Porter defines value as the amount of money that a customer is willing to pay for a resource, product, or service </li></ul><ul><li>Margin : is the difference between the value that an activity generates and the cost of the activity </li></ul><ul><li>Value Chain : is a network of value-creating activities </li></ul>
  9. 9. Business Processes <ul><li>Business Process: is a network of activities that generate value by transforming inputs into outputs </li></ul><ul><li>Resources flow between and among activities </li></ul>
  10. 10. ? <ul><li>How does competitive strategy determine business processes and the structure of information systems? </li></ul><ul><li>How do Info systems provide competitive advantages? </li></ul>
  11. 11. Collaboration Systems? <ul><li>What did you find? </li></ul><ul><li>Will they accommodate the reqs of an collaborative IS that we talked about last week? How or in what ways? </li></ul>

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