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The Future of Internet competition

Successful companies in the future will be those which Develop and deploy Internet technologies for better performance of traditional activities, for their reshape, but also for performing new activities that until now were not possible and that should strengthen the personality and identity of the organization.
Organizations will realize that the effects of Internet technologies must be considered in a long term. Such thinking will lead them to new knowledge and strategic actions.
In the analysis of competitive strategy, the organization will accept the knowledge that they must go through a complex process of asking questions and finding answers to them. In the process, many will learn that Internet technologies do not only have positive effects on the profitability of the industry. With new knowledge, they will focus on detailed research opportunities, and potential dangers to the Development Of Internet technologies arrive.
Many organizations will understand that the starting point of thinking about the increasing costs of customer transitions to new suppliers was premature, and that the practice proved otherwise.
Internet applications enable organizations to create a better business connection, but the openness of the Internet does not allow one organization to claim the value of better business connections.
Creating a strong Internet brands will require more knowledge and work in the future.
Clash of cultures will certainly be obstacles to success, in any form of partnership.
Strategic positioning will be the basis for achieving sustainable competitive advantage, because the nature of Internet applications makes it difficult to maintain operational efficiency at a higher level of competition.
Ignoring the strategy will have a price in the future – it will vary depending on the dynamics of the environment. In the world of turbulence and change, when only textbooks will remind on the period of mass production and standardization activities, the price will be extremely high.
IT and the Internet will be used for better and / or otherwise performing activities in the value chain, connecting participants in the value system, and improve the value of the system in real time.
Today it is quite clear that the Internet significantly changed the way of life and work of the majority population of our planet. Since the development of Internet technology and will lead to deeper changes.
Organization is an open system and not isolated from changes in the environment. Technological changes significantly affect the growth and development organization. They can contribute to strengthening the competitive advantage of organizations. Also, technological change can make organizations products uncompetitive, either on domestic or international market. If the organization is not the one who launched the resulting technological changes in the environment, it must focus on reducing costs, to create products that represent more value for the customer and have different performance, or creating new technological changes.
Technological component of the organization is not static and can not be defined once and never again. Therefore, organizations must continuously improve the existing technological base. Many of the organization work from the assumption that the Internet makes obsolete all that exists and is worth in business and traditional ways of competing, without any analysis of the nature of the impact that the development of Internet technology has on the attractiveness of the industry, the ability of organizations to achieve competitive advantage, etc. Guided by these views have developed Internet technology in a way that undermine their industry and erode their competitive advantage.
Such mistakes should be avoided in the future. It is therefore essential that the Internet as a new and important technology should be integrated into the entire strategy of the organization, rather than to develop specific Internet strategy.
Before go to Internet campaigns, organizations that want to arrive somewhere – must know where they are going.
What is the purpose of our existence? What is our vision? Who are our customers? Who are our competitors? What Internet technologies provide opportunities for achieving sustainable competitive advantage? What we want to achieve with the development of Internet technologies in business? How do we achieve it? What is the situation in the internal and external environment of organizations?
These are just some of the many questions that must have an answer and whose analysis should lead to better understanding the role of technology in the mission of Developing and maintaining competitive advantage of organizations.
Activities without the knowledge of the ways for their achievement, activities without a little diversity to the usual business practice, and the like, never led to the creation and maintenance of superior performance.
Why would the opposite applied in the future?

MbaTrend Business Resources

About the Author

Zoran Slavkovic is an economist. He owns Web portal www.mbatrend.com.


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