BU415 Chapter Notes - Chapter 8: Value Chain, Switching Barriers, Variable Valve Control
Document Summary
The emergence of influential strategic models focusing on competitive positioning and competitive advantage helped shine a light on the value creation potential of it. 3 analytical tools were introduced or adapted to the search for strategic information systems opportunities: industry analysis, value chain analysis, customer service life cycle analysis. Industry analysis: grounded in the basic notion that different industries offer different potential for profitability. Five competitive forces: 5 structural determinants of the potential for profitability of the average firm in an industry. The threat of substitutes: the extent to which the g/s by the firm in an industry of interest are subject to potential substitution by different g/s that fulfill the same customer needs. Value chain analysis & the role of information systems. Using the value chain to identify opportunities to deploy it-dependent strategic initiatives requires managers to identify, understand, and analyze the activities the firm performs so that they can be enhanced or transformed using is resources.
