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“Informatio Technology Can’t Really Give a Company a Strategic Advantage, Because Most Competitive Advantages Don’t Last More Then a Few Years and Soon Become Strategic Necessities Which Just Raise the Stakes of the Game. Discuss Why?

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EXECUTIVE SUMMARY Since introduction of computer in 1950 to organizations, information technology has been deploying to gain competitive advantage for business organization. According to Ward and Griffiths, (1996), that information technology (IT) has gone through three evolutions. Today is third era of IT, organization view IT to support existing business strategy, create new opportunities for business, competitive advantage and new strategy opportunities leads to new markets and products and survival in this quick and challenge environment. The affects of IT felt across entire organization such as accounting software for Accounting process, Customer Relationship Management (CRM) system to understand customers needs and wants, SAP …show more content…

Since introduction of computer in 1950 to organizations, information technology has been deploying to gain competitive advantage for business organization. According to Ward and Griffiths (1996), that IT has gone through three evolutions. First era, the computer is to automatic labour-intensive processes to reduce labour costs. In the second era, emphasize in development of management information system that provides information for decision-making. Today, in third era, organization view IT to support existing business strategy, create new opportunities for business, competitive advantage and new strategy opportunities leads to new markets and products and survival in this quick and challenge environment. A variety of factors have been shown to have an important impact on the ability of the firms to gain competitive strategy advantage and sustaining competitive advantage, including the relative of cost positioning (Porter, 1980), products differentiation (Caves & Williamson, 1985, Porter, 1980) and the ability of firm to cooperate in strategic alliance (Chen & Chen, 2003, Lee & Vonortas, 2002). The complexity of IT

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