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Synergies core competencies and network based strategies

Synergies core competencies and network based strategies. These idea refer the internal relationship between two organization to create one market target to increase profit by decrease cost. The role of technology to tie the operation . Business ecosystem .

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Synergies core competencies and network based strategies

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  1. Synergies core competencies and network based strategies • These idea refer the internal relationship between two organization to create one market target to increase profit by decrease cost. The role of technology to tie the operation .

  2. Business ecosystem • The concept of business ecosystem builds on the idea of the value web describe earlier .the main difference being that the corporation takes place across many industries rather than many firms .

  3. Performing a strategic system analysis • Managers should ask the following questions : • 1-what is the structure of the industry in which the firm located ? • 2- what are the business ,firm, industry value chains for this particular firms? • 3- have we aligned IT with our business strategy and goals? These questions help managers to proform strategic system analysis.

  4. Network based strategies The availability of internet and networking technology have inspired strategies that take advantages to create network consist of : • 1-network economic • 2- virtual company • 3- business ecosystem .

  5. Virtual company (virtual organization) • Its organization uses networks to link people asset ideas enabling it to ally with other companies to create and distribute production and services without limited by traditional organizational boundaries or physical location .

  6. Sustaining competitive advantage • Competitive advantages is not always sustaining , its changes globalization has made these changes even more and rapid and unpredictable the internet can make competitive a advantages quickly because all firms uses the technology .

  7. Management decion problems • Examples about management decision problems : • 1-Macys through its subsidiaries operates approximately 800 department in US ,senior management decided that Macys needs to tailor merchandise more to local tastes .2-Today US airways is the result of merger between US airways and America West airlines.

  8. Aligning IT with business objective • Research on IT has found : • A- more successfully affirm can align information technology with business goals and more profit • B- only one quarter of firms achieve alignment of IT with business .

  9. Network economic • Economic factories and agriculture production experiences diminishing returns .the more any giving resources is applied to production , the lower the marginal gain in output , until appoint is reached where the additional input produce no additional output. this is the law of diminishing returns and its foundation for most modern economic .

  10. Improving decision making: using database to clarify business strategy • 1- Software skills .2- Business skills .

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