After reading this chapter, you should be able to answer the following questions: How does a company interact with the business environment through external agents? What are the basic methods of obtaining a competitive advantage? How can information technology be used to gain a competitive advantage? How is technology used to search for an advantage over rivals? What are the costs and potential dangers of being on the leading edge of technology? What strategies led to failures in the early dot-com firms? | Introduction to MIS Chapter 10 Strategic Analysis Strategy Connections to suppliers and customers. Become the best firm in the industry. Block the competitors by keeping your customers happy. Competition Outline The Competitive Environment External Agents IS Techniques to Gain Competitive Advantage The Search for Innovation Research Engineering and Design Manufacturing Logistics and Supply Marketing Sales and Order Management Service Management Costs and Dangers of Strategies Operations, Tactics, Strategy E-Commerce Failures Cases: Travel Industry Appendix: Solving Business Problems and Cases Competition is increasing in many industries, but it is particularly intense in the restaurant and fast food industry. Competition encourages firms to hold down costs, provide more variety, and provide new and better service to customers. Competition Rivalry Among Existing Competitors Bargaining Power of Buyers Bargaining Power of Suppliers Threat of New Entrants Threat of Substitute Products or Services Porter’s Five Forces Model Corporate Strategy Pattern of purposes and policies defining the company and its business Formulation (Deciding what to do.) Implementation (Achieving results.) 1. Identification of opportunity and risk. 2. Material, technical, financial, & human resources. 3. Personal values and aspirations. 4. Noneconomic responsibility to society. 1. Org. structure & relation. Division of work. Coord. divided responsib. Information systems. 2. Org. processes & behavior. Standards and measurement. Motivation & incentive systems. Control systems. Recruit & develop managers. 3. Top leadership. Strategic Organizational Personal Harvard Strategy parts supplier parts supplier parts supplier warehouse warehouse supplier supplier supplier tool manufacturer Manufacturer workers wholesaler wholesaler distributor distributor distributor retail store retail store retail store retail store Consumers Production Chain Barrier To Entry Firm Rival Supplier Supplier Supplier . | Introduction to MIS Chapter 10 Strategic Analysis Strategy Connections to suppliers and customers. Become the best firm in the industry. Block the competitors by keeping your customers happy. Competition Outline The Competitive Environment External Agents IS Techniques to Gain Competitive Advantage The Search for Innovation Research Engineering and Design Manufacturing Logistics and Supply Marketing Sales and Order Management Service Management Costs and Dangers of Strategies Operations, Tactics, Strategy E-Commerce Failures Cases: Travel Industry Appendix: Solving Business Problems and Cases Competition is increasing in many industries, but it is particularly intense in the restaurant and fast food industry. Competition encourages firms to hold down costs, provide more variety, and provide new and better service to customers. Competition Rivalry Among Existing Competitors Bargaining Power of Buyers Bargaining Power of Suppliers Threat of New Entrants Threat of Substitute Products or
