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Sustainable Competitive Advantage from Information Technology: Limitations of the Value Chain

Sustainable Competitive Advantage from Information Technology: Limitations of the Value Chain

David L. Bahn
Copyright: © 2001 |Pages: 15
ISBN13: 9781878289872|ISBN10: 187828987X|EISBN13: 9781930708952
DOI: 10.4018/978-1-878289-87-2.ch015
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MLA

Bahn, David L. "Sustainable Competitive Advantage from Information Technology: Limitations of the Value Chain." Strategic Information Technology: Opportunities for Competitive Advantage, edited by Raymond Papp, IGI Global, 2001, pp. 25-39. https://doi.org/10.4018/978-1-878289-87-2.ch015

APA

Bahn, D. L. (2001). Sustainable Competitive Advantage from Information Technology: Limitations of the Value Chain. In R. Papp (Ed.), Strategic Information Technology: Opportunities for Competitive Advantage (pp. 25-39). IGI Global. https://doi.org/10.4018/978-1-878289-87-2.ch015

Chicago

Bahn, David L. "Sustainable Competitive Advantage from Information Technology: Limitations of the Value Chain." In Strategic Information Technology: Opportunities for Competitive Advantage, edited by Raymond Papp, 25-39. Hershey, PA: IGI Global, 2001. https://doi.org/10.4018/978-1-878289-87-2.ch015

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Abstract

The strategic benefit of IT (information technology) in supporting business functions is often seen as the basis for competitive advantage that is sustainable. The value chain concept has been a handy tool widely utilized in business strategy analysis to match firm competency in performing business activities with the achievement of sustainable marketplace advantage. When it comes to the assessment of the competitive value of information technology, the value chain concept seems to either categorize IT as a support activity or to overly narrow the scope of IT’s role in achieving sustainable competitive advantage. This chapter reviews the concepts of the value chain and sustainable competitive advantage. Short case studies from a number of industries are presented in order to illustrate the limitations of using the value chain to describe information technology’s role in achieving sustainable competitive advantage. These examples demonstrate the subtle and often complex relationship between information technology and competitive advantage.

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