IS 3003 Lecture Notes - Lecture 3: Business Process, Business Process Reengineering, Sociotechnical System
20 Aug 2016
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The strategic advantage one business entity has over its rival entities. higher competitive advantage. Firms that do better have: environmental scanning: The acquisition and analysis of events and trends in the environment external to an organization. 3 common tools used in the industry to analyze and develop competitive advantages include: porter"s competitive forces (5 forces) model - A way of understanding your firm"s ca: traditional competitors: Other firms, like yours, who are also continuously devising new ways to develop their brand. Existing brands that are producing substitute products. Rivalry is high when competition is fierce in a market. Rivalry is low when competition is not as fierce: new market entrants: Advantages: not locked into older plants/equipment, higher younger, less expensive (possibly more innovate) workers, more hungry and motivated i. ii. Disadvantages: depend on outside financing for new plants/equipment, little brand recognition.
