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Chapter 9EC Strategy and Implementation Plan Learning Objectives Describe what a business strategy and implementation plan are Understand the process of formulating EC strategies Explain the issues involved in EC implementation planning Experience the role of intelligent agents in the strategic perspective Characterize how the strategic planning evolves throughout the business cycle Describe the key management issues in the strategic planning IBM’s E-Business’s Strategy Following four goals: IBM’s E-Business’s Strategy (cont.) IBM focused on key initiatives: Strategic Planning for EC Industry and Competitive Analysis Monitoring, evaluating, disseminating of information from the external and internal environments SWOT Analysis Strategy Formulation Strategy formulation Development of long-range plans Organization’s mission Purpose or reason for the organization’s existence 3 main reasons for establishing Web site MARKETING, CUSTOMER SUPPORT, and SALES Products with good fit for EC Shipped easily or transmitted electronically Targets knowledgeable buyers Price falls within certain optimum ranges EC Critical Success Factors Special products or services traded Top management support Project team reflecting various functional areas Technical infrastructure Customer acceptance User friendly Web interface Integration with the corporate legacy systems Security and control of the EC system Competition and market situation Pilot project and corporate knowledge Promotion and internal communication Cost of the EC project Level of trust between buyers and sellers EC Critical Success Factors (cont.) A Value Analysis Approach Value chain a series of activities a company performs to achieve its goal(s) Value added contributes to profit and enhances the asset value as well as the competitive position of the company in the market to create additional value using EC channels, a company should consider the competitive market and rivalry in order to best leverage its EC assets EC C
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