Value Chain and Competitive Forces Essay - 1247 Words

Value Chain and Competitive Forces: Effects of Information Technology Module 2 Case John Dow ITM524: Fundamentals of Information Technology Management Dr. Somebody Somebody February 4, 2012 Introduction Businesses are established with the sole reason to provide a product or service to a customer with the intend to make a profit. The amount of time, effort, and resources spend should generate a profit. Then, the profit depends â€Å"on its effectiveness in performing these activities efficiently, so that the amount that the customer is willing to pay of the products exceeds the cost of the activities in the value chain† (NetMBA.com). Ideally, these products and/or†¦show more content†¦(2009). Within technology and the value system, this called for an emphasis on media relations to disseminate information to the local community and its leaders. Solid communication practices, i.e. strategic communications, was of the utmost importance to gain the respect and acceptance of the population. Perhaps by obtaining the acceptance of the local population, Rio Tinto was able to mitigate any threats from new entrants into the market at the specific location as wel l; allowing control of one of the five forces that shape industry competition to remain in check. Finally, helping to form the International Council on Mining and Metals should have allowed them strategic power over existing competitors (another of the 5 forces). Mini Case # 4 – General Electric General Electric’s (GE) challenge was to create a new business in sustainability. GE saw profitable business opportunity in helping companies save energy. To mitigate the ‘Rivalry among Existing Competitors’, GE’s focused on bringing new capacity and was still able to produce pressure on prices; mitigating negative price competition. As Porter mentioned: â€Å"Rivalry is especially destructive to profitability if it gravitates solely to price because price competition transfers profits directly form an industry to its customers.Show MoreRelatedValue Chain And Competitive Forces Models1795 Words   |  8 Pages1. Value Chain and Competitive Forces Models Value Chain Analysis Internal activities of an organization add value to the service and products that the organization produces and should be run at optimum level if the organization is to gain any real competitive advantage. If run efficiently, the value obtained should exceed the costs of running them, as in customers should return to the organization and transact freely and willingly. In a value chain analysis the organization is split into ‘primaryRead MoreThe Value Chain And Competitive Forces Model781 Words   |  4 PagesUse the value chain and competitive forces model to evaluate the impact of the internet on book publishers and book retail stores such as BN. â€Å"IT may be strategically important, not because it gives you a strategic advantage, but because failing to attend to it results in strategic disadvantage.† (Klemons and Kimbrough, 1986) Much like this quote, Barnes Noble and book publishers face an important decision in the Internet age. Barnes Noble’s traditional competitors, bookstores such as BordersRead MoreNike s Competitive Forces And Value Chain Models1769 Words   |  8 Pages105-7) answer the questions 1-3. 1. Evaluate Nike using the competitive forces and value chain models. Nike has a distinguishment then other its competitors. It provides sport products for children in more than one field in sport. Also, Nike alway tries to develop its product which gives Nike a strong reputation. For this reason it is difficult for competitors excel Nike. The combination of products and services gave Nike a competitive edge over other competitors. Nike launched applications relateRead MoreAnalyze Amazon and Walmart.Com Using the Value Chain and Competitive Forces Models7755 Words   |  32 PagesAnalyze Amazon and Walmart.com using The Value Chain and Competitive forces Models 2.1 Amazon.com 2.1.1 Amazon’s Value Chain Analysis 2.1.1.1 Primary Activities 2.1.1.1.1 Inbound Logistics Amazon has the advantage of avoiding the overhead and carrying large amounts of inventory because it orders the books from the distributors. They provide money and contracts to prospective authors and decide how many copies of a book to print. Typically a first run printing for a book varies from 5Read MoreAnalyze Amazon and Walmart.Com Using the Value Chain and Competitive Forces Models7767 Words   |  32 PagesAnalyze Amazon and Walmart.com using The Value Chain and Competitive forces Models 2.1 Amazon.com 2.1.1 Amazon’s Value Chain Analysis 2.1.1.1 Primary Activities 2.1.1.1.1 Inbound Logistics Amazon has the advantage of avoiding the overhead and carrying large amounts of inventory because it orders the books from the distributors. They provide money and contracts to prospective authors and decide how many copies of a book to print. Typically a first run printing for a book varies from 5, 000Read More* Analysis of Amazon.com Using the Competitive Forces and Value Chain Models Using Management Information Systems5173 Words   |  21 Pages 2009 MANCOSA Marvin Horkins [MANAGEMENT INFORMATION SYSTEMS ASSIGNMENT] ï ¿ ½ TABLE OF CONTENTS 3QUESTION 1: ANALYZE AMAZON.COM USING THE COMPETITIVE FORCES AND VALUE CHAIN MODELS ï ¿ ½ 11QUESTION 2: DISCUSS HOW AMAZON HAS RESPONDED TO PRESSURES FROM ITS COMPETITIVE ENVIRONMENT ï ¿ ½ 12QUESTION 3: DESCRIBE THE WAYS IN WHICH AMAZON.COM PROVIDES VALUE TO ITS CUSTOMERS ï ¿ ½ 14QUESTION 4: DESCRIBE AMAZONS EVOLVING BUSINESS STRATEGY AND EXPLAIN WHY AMAZON.COM DECIDED TO CHANGE ITS STRATEGY ï ¿ ½ 18QUESTIONRead MoreSmartphone Industry and Apples Iphone Analysis1350 Words   |  6 Pages Outline Industry Analysis Why? Driving Forces Dominant Features Five Forces Strategy Group Map Key Success Factors Company Analysis Overview Value Chain Analysis SWOT Analysis Competencies Business Analysis Competitive Strategy Recommen dations Outline Industry Analysis Why? Driving Forces Smart-phones allow users to: ï‚ž ï‚ž ï‚ž ï‚ž ï‚ž Dominant Features Five Forces Strategy Group Map Key Success Factors Company Analysis Overview Value Chain Analysis SWOT Analysis e-mail, internetRead MorePorters Five Forces Value Chain1396 Words   |  6 PagesDay #2 Porter’s Strategic Models: The Five forces and the Value Chain CIS Department Professor Duane Truex III The Information Systems Strategy Triangle Business Strategy Organizational Design Strategy ICT/Information Strategy Professor Truex E-CommercePrinciples 1 HOW CAN INFORMATION RESOURCES BE USED STRATEGICALLY? Professor Truex E-CommercePrinciples Aligning IS/ICT strategy (Infrastructures) with business strategy †¢ Using multiple approaches to evaluatingRead MoreBlackmores1291 Words   |  6 Pagesanalysis? Industry I d t analysis l i Competitive strategy analysis Corporate strategy analysis SWOT analysis Australian School of Business B i Class 2: Strategy Analysis gy y Dot Com – NASDQ index from 1 Jan 1996-30 Dec 2002 School of Business B i Australian A. Why Strategy Analysis †¢ †¢ Strategy drives the actions of an organisation Studying a firm’s strategy provides: – An understanding of what drives risks, profitability, and competitive advantages – A basis for future performanceRead MoreThe Role of the Internet in Supply Chain Management1872 Words   |  7 PagesSupply chain (SC) is made up of all the activities that are required to deliver products to the customer – from designing product to receiving order, procuring material, marketing, manufacturing, logistics, customer services, receiving payment and so on (Donovan, 2001). Hence, supply chain consists of a group of different companies working together to produce finished goods sold to customers out of raw materials. Company strikes to gain competitive advantages through improving their supply chain. Supply