Information and Competitive Advantages

            In our world now, there have so many business organizations. Every each organizations, they need to make a special and different things towards their organizations in order to compete with the other organizations. So that, information system is very important and it also can help the organization and it could implement many of  the competitive advantages. Definition of competitive advantages is a significant and (ideally) long term benefit to a company over it competition and can result in high-quality product, better customer services and lower cost.

          An information system can be any organized combination of people, hardware, software, communication network, and data resource that stores and retrieves and disseminates information in an organization. Information system are covering all area in organization and example of information system that can be used in organizations are transaction processing system, enterprise resource planning , office automation system and so on.    

          Organization must know how to make and choose the suitable information system to make the organization implement the competitive advantages. In order to develop the successful and compete organization, there have some strategies that could make organization seek competitive advantages such as :

         ©            Rivalry of competitors within its industry

         ©            New entrants into an industry and its markets

         ©             substitute products that may capture market share,

         ©             bargaining power of customers

         ©            Bargaining power of suppliers.

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There have five competitive strategy which are :

1. 1)    Cost Leadership

For this strategy, its more focus to make the costumer and supplier enjoy the  reduce cost of the product. This strategy try to make the company to become as low-cost producers. But, not all company can successful become as low-cost producers because sometimes they need to increase their cost to make company can compete with others. 

1. 2)    Differentiation Strategy

This strategy help differentiate a firm’s products from its competitors. So that, customer know which one are product us. It focus on a particular segment or niche of market.

1. 3)    Innovation Strategy

This strategy make the organization to produce an perform a unique product, services or market. If the organization do the innovation, so that, organization could have the changes to the business processes.This to help company have ability to attract costumer to get well know about their product.

1. 4)    Growth Strategy

The growth strategy are giving the organizations opportunity to advanced company capacity to produce product and services. It also can help in expand into global markets.

1. 5)    Alliance Strategy

For the alliance strategy, it help organization establish linkage and alliances with customers, suppliers, competitors, consultants and other companies.

          As conclusion, organization need to consider some of strategies that already stated above in order to develop a success organization.

BIBLIOGRAPHY

1. 1)    Principles of Information System ( 2010), Ralph Stairs and George Reynolds
2. 2)    Introduction to information system: supporting and transforming business ( 2007), Rainer & Cegielski