8 Strategic Management Digital Business Strategies: Leveraging Internet and E-business Capabilities

Chapter 8 Objectives Why use of Internet technologies is more important to achieving competitive advantage than the technologies themselves How Internet technologies are affecting the five competitive forces How E-business capabilities are affecting industry profitability

Chapter 8 Objectives How firms are using Internet technologies to add value and achieve unique advantages How Internet-enabled business models are being used to improve strategic positioning How firms can improve their competitive position by effectively deploying E-business strategies

Chapter 8 Objectives The pitfalls in each competitive strategy that may endanger a firm’s attempts to deploy Internet technologies or implement E-business strategies

How the Internet Is Affecting the Five Competitive Forces The threat of new entrants The bargaining power of buyers The bargaining power of suppliers The threat of substitutes The intensity of competitive rivalry

How the Internet Adds Value Search activities Evaluation activities Problem-solving activities Transaction activities Other sources of competitive advantage Business models

How the Internet is Affecting the Competitive Strategies Overall cost leadership Potential Internet-related pitfalls for low cost leaders Differentiation Potential Internet-related pitfalls for differentiators Focus Potential Internet-related pitfalls for focusers

Are Internet-Based Advantages Sustainable? Are combination strategies the key to E-business success? Leveraging Internet capabilities and business-level strategy

Are Internet-Based Advantages Sustainable? Leveraging Internet capabilities and corporate-level strategy Leveraging Internet capabilities and international-level strategies