Information Technology As A Strategic Weapon

1069 Words Oct 21st, 2014 5 Pages
Part1
A)
Information technology can be said to be both a survival weapon and a strategic weapon depending on the context. This will usually depend on the nature of the industry in which IT is being employed. For instance, a brick and mortar company that has an online presence may use information technology as one of their business strategy. Other companies such as Amazon, that depend entirely on the internet for their survival, information technology plays a central role for their sustained competitive advantage. Thus, in such companies, and IT is used as a survival weapon. These companies have a well-established internet and online strategy that has been integrated into the overall business strategy
B)
Although information technology has become an important part and a backbone of carrying out business activities, the overall importance of information technology as a strategic mechanism of achieving sustainable competitive advantage has greatly diminished. It plays an important role in the modern competitive environment though IT has become so important to competition making it inconsequential to strategy. This has made information to be used as a common strategy in every firm and so its use as a mechanism to gain sustainable competitive advantage has greatly reduced. This conclusion is based on a general assumption that for anything to be used as a source of gaining sustainable competitive advantage, it must be scarce. This implies that the company can be in a position of…
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