CIS 310 Final: CIS 310 Final Review

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Document Summary

In 1991, erik brynjolfsson was able to conclude that the addition of information technology to business had not improved productivity at all. Carr goes on to suggest that since it is essentially a commodity, it should be managed like one: low cost, low risk. A company is said to have a competitive advantage over its rivals when it is able to sustain profits that exceed average for the industry. According to porter, there are two primary methods for obtaining competitive advantage: cost advantage and differentiation advantage. Value is built through the value chain: a series of activities undertaken by the company to produce a product or service. The primary activities are the functions that directly impact the creation of a product or service. Inbound logistics, operations, outbound logistics, sales/marketing, and service. The support activities are the functions in an organization that support, and cut across, all of the primary activities. They are: firm infrastructure, human resource management, technology development, and.