The paper "Strategy and the Internet" is a wonderful example of an assignment on management. The article on the internet and strategy elucidates a number of key issues with respect to internet use and strategy formulation and implementation in business ventures. In this case, the article addresses the market misconception that internet use negates strategy development and implementation. In contrast, the article develops an argument evidencing approaches through which the internet application complements strategies rather than supplementing them. In this case, the internet application can be evaluated with respect to the five forces in technology application as derived from the porters five forces model namely the buyers’ and suppliers bargaining powers, the threat of new entrants and substitutes, and existing competitors’ rivalry (Karagiannopoulos, Georgopoulos and Nikolopoulos, 2005, p. 67).
This discussion offers a review of how internet application enhances strategy formulation and implementation among these factors. Buyers Bargaining Power The buyer's bargaining power in any industry represents the influence that the market and the consumers have over an organization. In this regard, increased buyers' powers in the market lead to their influence on the organizational process in terms of quality and product costs in the market.
As such, buyers with increased bargaining power control the market and have a major influence on organizational strategic decisions. However, organizations can develop strategies to empower their customer basis. In this empowerment process, organizations enhance the buyers’ active participation in the organizational processes. In this regard, the buyers are involved and consulted in the formulation and development of strategic organizational decisions. Through such an empowerment program, buyers are attached to the organization that not only increases their satisfaction levels but also their overall loyalty levels on the organization.
The success of such an empowerment program is reliant on information and communication transfer between the organization and its customers. In this case, internet application serves as a crucial complement to the application of this strategy.
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