BMGT 301 Chapter Notes - Chapter 2: Enterprise Resource Planning, Customer Engagement, Human Resource Management

• School: University of Maryland
• Department: Business and Management
• Course: BMGT 301
• Professor: Wei Chen

Document Summary

Concepts and frameworks for understanding what separates winners from losers. Sustainable competitive advantage- financial performance that consistently outperforms others (hard to do) Michael porter- value chain and five forces concepts; firms suffer because they: Operational effectiveness- performing same tasks better than rivals (danger is sameness and unsustainable dominance) Strategic positioning- performing different activities from rivals, or doing same thing in different ways. Resource based view of competitive advantage- firm must control set of exploitable resources that have 4 characteristics: (valuable, rare, hard to copy, and not substitutable) Tech can be easy to copy, but strategic positioning and resource based views can help avoid the problems that come from focusing on only operational effectiveness and beating the competition. Imitation resistant value chains are hard to copy, and usually involve technology. The value chain- set of activities that bring products or services to market and customers. Tech/research and development new product & process design.