INSY 2301 Study Guide - Comprehensive Final Exam Guide - Web 2.0, Outsourcing, Internet

• School: Fordham University
• Department: Information Systems (Gabelli Undergraduate)
• Course: INSY 2301
• Professor: Timothy McManus

Document Summary

The symbolic embodiment of all the information connected with a product/service: can be a very powerful resource for competitive advantage. A strong brand proxies quality and inspires trust: for consumers looking to lower search costs, positive brand recognition can be the factor that makes a firm the first stop. Scale advantages: advantages related to a firm"s size: example: increased bargaining power with suppliers/buyers. Economies of scale: a specific benefit in which the cost of an investment can be spread across increased production or an increasing customer base: firms that benefit from economies of scale are scalable. Scale advantages can act as barriers to entry when they discourage new, smaller firms. Expenses that consumers incur to move from one product/service to another: include learning costs, information and data, financial commitment, contractual commitments, search costs, loyalty programs. Tech firms often benefit from strong switching costs (think of the apple ecosystem: seemingly dominant firms that don"t have high switching costs are vulnerable.