Impact Of The Huge Investment On The Economy Of Commerce Period

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As it was mentioned before, Carr has good points regarding the huge investment on IT in the infrastructure of commerce period. However, he should realize the importance of this investment in the second stage too. He wrote this article in 2003 and maybe he was not aware enough about what the real value of IT is. Although there are many successful companies which invested a lot on their IT systems, but he insisted to underestimate the value of these investments. The huge investments in the IT systems of Amazon and others giant companies is the key for their successful. Without investing in the IT systems in the commoditization stage (as he referred to it), these companies won’t be able to compete in this intense market. I believe that he…show more content…
Now, it is hard for any company to survive in the global market without advance IT systems. I think we do not have a lot of opportunities in this world. If we have a chance, we have to exploit it right away and do not wait for others to have it. He had a point when he said waiting will save some money, but this money is considered as an investment and not loss. There are many reasons why these giant companies are successful in their business. Investing in new IT systems will * Reduce costs Giant companies such as Amazon uses its ITs systems as an effective way to reduce costs. The IT enables Amazon to have a competitive advantage over other rivals and leave them behind. IT was not only help Amazon to do what it did before, but it was also enable it to expand more in new directions. * Create and build barriers to entry Once a company has an advancement in their IT systems, it will be harder for others companies to compete in the same business. These new rivals have to invest heavily to reach the same level of the company that invest in its IT systems before them. Also, these rivals will try to copy the successful company while the successful company works on something more advance. These two factors are the most important factors that enabled these companies to be dominant in their business. Essay 2 Monitoring Employees on Networks: Unethical or Good Business? (pp 266- 267) 1. What specific management, organization,
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