Chapter 2 Mis

Performing different tasks than rivals, or the same tasks in a different way.

Attempts to occupy more than one position, while failing to match the benefits of a more efficient, singularly focused rival.

Advantages related to size.

The “set of activities through which a product or service is created and delivered to customers.”

Exists when savvy rivals watch a pioneer’s efforts, learn from their successes and missteps, then enter the market quickly with a comparable or superior product at a lower cost before the first mover can dominate.

The cost a consumer incurs when moving from one product to another. It can involve actual money spent (e.g., buying a new product) as well as investments in time, any data loss, and so forth.

When costs can be spread across increasing units of production or in serving multiple customers. Businesses that have favorable economies of scale (like many Internet firms) are sometimes referred to as being highly scalable.

Financial performance that consistently outperforms industry averages.

The degree to which complete information is available

The symbolic embodiment of all the information connected with a product or service.

The path through which products or services get to customers.

Third parties that promote a product or service, typically in exchange for a cut of any sales.

Sometimes referred to as inventory turnover, stock turns, or stock turnover. It is the number of times inventory is sold or used during the course of a year. A higher figure means that a firm is selling products quickly.

A decision situation where one party has more or better information than its counterparty.

Leveraging consumers to promote a product or service.