MGT NOTES

IDENTIFYING COMPETITIVE ADVANTAGE Definition : A product or service that an organization's customers place a greater value on than similar offerings from a competitor. PORTER'S FIVE FORCES MODEL Definition : Usefool tool to aid organization in challenging decision whether to join a new industry or industry segment.  1. Buyer Power High- when buyers have many choices of whom to buy. Low- when their choices are few. Ways to reduce buyer power - loyalty programs 2. Supplier Power High- when buyers have few choices of whom to buy from.  Low- when their choices are many The suppliers ability to influence the prices they charge for suppliers (including materials, labor and services).  3. Threat of Substitue products & services High- when there are many alternatives to a product or service. Low- when there are few alternatives from which to choose.  Ideally, an organization would like to be on a market in which there are few substitu

BUSINESS DRIVEN TECHNOLOGY Information technology is everwhere in business Information Technology's Impact on Business Operations Operations typically operate by functional areas or functional silos ( it is an individual business function which is divided into sub groups and has its own strategies and works parallel with other organizations) Functional areas are interdependent ( two or more people; dependent on each other) Information Technology Basics Information Technology (IT) - a field concerned with the use of technology in managing and processing information . Management information systems (MIS) - a general name for the business function and academic discipline covering the application of people, technologies, and procedures to solve business problems. It is important to understand: - Data, information, business intelligence, knowledge and IT cultures. Information Data   - raw facts that describe the characteristics