Download e-book for kindle: Business in a Virtual World: Exploiting Information for by Fiona Czerniawska

By Fiona Czerniawska

ISBN-10: 0230509339

ISBN-13: 9780230509337

ISBN-10: 0333721217

ISBN-13: 9780333721216

Info unquestionably represents one of many key aggressive guns of the subsequent decade, even if it takes the shape of monitoring the buying behavior of person consumers or altering the cost of airline tickets minute through minute to exploit alterations renowned. the consequences for administration are large but such a lot businesses are nonetheless on the early levels of attempting to know the way they could extract greatest price for his or her details resources. This booklet seems to be on the impression of this data revolution and exhibits how businesses can make the most info for aggressive virtue.

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Additional info for Business in a Virtual World: Exploiting Information for Competitive Advantage (Macmillan Business)

Sample text

We would argue that it is therefore not suprising that so many organisations have problems realising effectively the apparent advantages of information. Instead, we would suggest that these problems result from the fact that they are still dealing with distilled information. Just because it has been distilled does not make it any more valuable than other information. Moreover, because the process by which information is distilled means that valuable information is lost (an inevitable part of distillation), our aggregation model is one in which value is potentially reduced rather than added.

From switching costs to universal standards Looking back over the past 20 years, one of the most common routes to competitive advantage has been to establish a set of proprietary standards, which you keep from your suppliers and competitors, but which you use to tie in your customers to you because of the cost involved in switching to another standard. However, it is clear that this is an approach that is much less likely to succeed today. Today, 34 BUSINESS IN A VIRTUAL WORLD what customers are looking for is the assurance that the products they buy will continue to be supported and not become obsolete – too many of them were hit by the video wars between the rival VHS and Betamax standards.

Thus the information in your electricity bill represents how many units have been used and how much you have had to pay for it. In itself, the information has always been considered of a lesser value than the item itself. Information about the electricity consumed was considered to be of less value than the electricity that was actually used. But, and it is a crucial but, information about an object can now be separated from the object itself, and this gives it a value in its own right. One of the first ways in which information, a representation of an object, was separated from the object itself was with the invention of the telegraph.

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Business in a Virtual World: Exploiting Information for Competitive Advantage (Macmillan Business) by Fiona Czerniawska

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