Slide 2.1 Strategies for e- Business CONCEPTS and CASES Creating Value through Electronic and Mobile Commerce PART Ⅱ: The e-business strategy framework Tawfik Jelassi and Albrecht Enders, Strategies for e-Business, 2nd edition, © Pearson Education Limited 2008 Slide 2.2 PART OVERVIEW This part proposes an e-business strategy framework that consists of the following three phases: Strategic analysis Strategy formulation Strategy implementation Tawfik Jelassi and Albrecht Enders, Strategies for e-Business, 2nd edition, © Pearson Education Limited 2008 Slide 2.3 This framework should help you address the following: Understand the external macro-environment and industry structure of e-business companies. Understand internet e-business competencies. Choose a specific type of Internet-enabled competitive advantage. Sustain the Internet-enabled competitive advantage against imitation and disruptive innovations. Create new market spaces through e-business initiatives. Link the external and internal perspectives of e-business strategies using the value process framework. Make decisions regarding the internal organisation of e-business initatives. Interact with e-business customers, suppliers and users. Understand specfic issues and applications of mobile e-commerce. Implement e-business strategies. Tawfik Jelassi and Albrecht Enders, Strategies for e-Business, 2nd edition, © Pearson Education Limited 2008 Slide 2.4 Strategies for e- Business CONCEPTS and CASES Creating Value through Electronic and Mobile Commerce Chapter 2: Overview of the e-business strategy framework Tawfik Jelassi and Albrecht Enders, Strategies for e-Business, 2nd edition, © Pearson Education Limited 2008 Slide 2.5 Chapter at a glance 2.1 Key challenges in e-business strategy formulation 2.2 A systematic approach to e-business strategy formulation Tawfik Jelassi and Albrecht Enders, Strategies for e-Business, 2nd edition, © Pearson Education Limited 2008 Slide 2.6 Learning outcomes After this session you should be able to: Understand the key challenges that are involved during the e-business strategy formulation process. Have a broad understanding of the structure and the key elements of the e-business strategy framework. Tawfik Jelassi and Albrecht Enders, Strategies for e-Business, 2nd edition, © Pearson Education Limited 2008 Slide 2.7 2.1 Key challenges in e-business strategy formulation Exhibit 2.1 The goal of e-business strategy is to achieve (long-term) success by building up one or more sources of competitive advantage Formulation Environment Goals Market positioning Competitive advantage (Long-term) success Resource exploitation Resources Implementation Source: Adapted from H. Hungenberg (2006), p. 83 Tawfik Jelassi and Albrecht Enders, Strategies for e-Business, 2nd edition, © Pearson Education Limited 2008 Slide 2.8 2.2 A systematic approach to e-business strategy formulation Exhibit 2.2 The e-business strategy framework consists of three main steps 12 Mobile e-commerce strategy E-business strategy Strategic analysis 3 Strategy formulation External analysis Strategy implementation 9 5 Internal organisation Strategy options Opportunities/ threats 6 Strengths/ weaknesses 4 Sustaining competitive advantage 7 Exploring new market spaces 10 13 Interaction with suppliers Implementation Internal analysis 8 Creating and capturing value 11 Interaction with users/customers Tawfik Jelassi and Albrecht Enders, Strategies for e-Business, 2nd edition, © Pearson Education Limited 2008 Slide 2.9 2.2 A systematic approach to e-business strategy formulation Exhibit 2.3 E-business strategy formulation entails an internal and an external analysis to identify strengths, weaknesses, opportunities and threats Key environmental/ industry developments Opportunities Strengths Firm characteristics Weaknesses Threats • Do we have the strengths to seize possible opportunities? • Do we have the strengths to fend off possible threats? • Which opportunities do we miss because of our deficits? • To which threats do our weaknesses expose us to? Tawfik Jelassi and Albrecht Enders, Strategies for e-Business, 2nd edition, © Pearson Education Limited 2008 Slide 2.10 Summary ■ This chapter first stated the main goals of strategy, which focus on overarching decisions that determine the fundamental direction of a company. ■ Next, it described the key challenges that companies face when formulating a business strategy. These challenges include (1) the high uncertainty of future developments and (2) contradictory decision criteria that need to be evaluated during the strategy analysis and formulation process. ■ Finally, this chapter provides a brief overview of the e-business strategy framework and its main elements, which are strategic analysis, strategy formulation and strategy implementation. Tawfik Jelassi and Albrecht Enders, Strategies for e-Business, 2nd edition, © Pearson Education Limited 2008
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