After reading Chapters 13 and 14 of our text Inernational Bu

After reading Chapters 13 and 14 of our text Inernational Buisness, watch the video Philip Evans: How data will transform business. Post 1) what you garnered from the video 2) how you feel business will continue to be transformed through the use of technology (include actual examples) 3) how you feel the internet and social media can be used to assist with entering a given market

https://www.youtube.com/watch?v=EHTmxmuhZ10&feature=player_embedded

Solution

1. In the video, Evans talks about the interrelationship between business strategy and technology. Business strategy is based on certain assumptions about technology and these assumptions are changing rapidly. Distribution of knowledge became cheaper, thanks to advent of new technology. Technology helps a business by reducing its transaction costs, breaking up value chains.

2. The first example is that of Wikipedia (business of encyclopedia). Its an online encyclopedia that is built using wiki software. The inputs or the information is given by the users themselves.

The second example is that telecom industry. Through the use of fibre optics the industry has transformed itself.

The third example is that of energy sector where the households are coming up as manufacturers of green energy. This has resulted in fragmentation of scale.

Technology, in other words, has led to business structure moving to a horizontal structure from a vertical one.

3. The internet and the social media can be used for promotions, for spreading information about the product or the service offerings. They can be used to grab more eyeballs and thus is an integral part of market entry strategy.