BUSINESS AND IT STRATEGY

Relationship between Business Strategy and IT Strategy



Relationship between Business Strategy and IT Strategy

As of September 2003, 604 million people worldwide access to the Internet. Internet is considered an important channel for marketing and distribution of goods and services. Internet marketing can reach a broad customer base, find the target customers, identify their needs and communicate with them at relatively low cost. The Internet provides an opportunity for market testing and optimization. Increasing digitalization will allow progressively easier experimentally to modify certain aspects of the business, and to see how customers respond rapidly (Baker, MARN and Zawada, 2001, 2-7.)

Because the Internet provides access to a wealth of information about different products, the organization should encourage potential customers to use Web-site as an information tool, as well as the purchase option. This combination of information search and acquisition process is an advantage over traditional retailers, as online consumers said that a personal orientation was the reason they shop online. When consumers have become more involved in the buying process significantly enhances the brand and remembers.

Strategy as the general direction of the company reflects its response based on information from the environment, and that can be attributed to the magnitude of the relationship between performance and specific marketing response from the company (eg, market orientation). Bowns (2003) argue that strategic orientation, the effectiveness of a certain size, and marketing activities contingent relations: the companies choose the type of strategy for excellence in particular, aspects of the work and carry out a strategy of choice in marketing activities. Currently, the study of a web strategy using four basic designs, in other words, will use 4Ws: Web-Design, Web Promotion, Web-price, and web-CRM (Fig. 1). E-marketing strategy involves the use of electronic means and the impact on traditional marketing in two ways. First, it increases the effectiveness of marketing in the set of functions. Secondly, the technology of e-marketing makes many marketing strategies, resulting in new business models that add customer value and / or increase the profitability of the company.

Web Design: Relation to the web site has been studied as an important measure of how well the website is doing. Baker, MARN and Zawada, (2001, 2-7.) Found that entertainment, information and profiles of websites useful descriptive aspects, which in their study were correlated with the ratio to the site.

Web Promotion: Bowns, et al. (2003) conducted a study on the type of background ...