Title :
Analyzing firm-level strategy for Internet-focused reintermediation
Author :
Chircu, A.M. ; Kauffman, R.J.
Author_Institution :
Carlson Sch. of Manage., Minnesota Univ., Minneapolis, MN, USA
Abstract :
We propose a framework for understanding circumstances under which information technology (IT) innovations for electronic commerce (EC) change firm-level strategic choices, and the economic forces behind these choices, in Internet market competition. We identify a recurring pattern of intermediation, disintermediation and reintermediation: the IDR cycle. With this framework, we explain technological reintermediation, where a disenfranchised player is able to compete again, by combining technological innovation with leveragable co-specialized assets. We build this perspective with evidence from the corporate travel industry. The analysis reveals that traditional travel firms have access to a range of strategies that enable them to avoid disintermediation and become more powerful in the long run.
Keywords :
Internet; economics; electronic commerce; information technology; strategic planning; IDR cycle; Internet market competition; Internet-focused reintermediation; corporate travel industry; disintermediation; economic forces; electronic commerce; firm-level strategy; information technology; intermediation; strategic choices; technological innovation; technological reintermediation; Business; Consumer electronics; Economic forecasting; Environmental economics; Innovation management; Internet; Mediation; Power generation economics; Technological innovation; US Department of Transportation;
Conference_Titel :
Systems Sciences, 1999. HICSS-32. Proceedings of the 32nd Annual Hawaii International Conference on
Conference_Location :
Maui, HI, USA
Print_ISBN :
0-7695-0001-3
DOI :
10.1109/HICSS.1999.772936