Information Technology Study Questions

Information Technology Study Questions

Running head: ORGANIZATIONAL EVALUATION

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ORGANIZATIONAL EVALUATION
Information Technology

MASY1-GC1240-200

Fall 2021

Instructor: Sam Chapper

Yanlin Zhu [Individual] Assignment #01

Submitted on: 09/27/2021

Assignment: You can use three different approaches to complete this assignment. You can select:

1. An industry other than the ones used in class: airlines, streaming services, cars, luxury clothing.

2. A specific company (American Airlines, Digital Ocean, Five Guys, etc.)

3. To work under the premise you are creating a new company in a specific industry for which you want to know how the environment looks like.

Once you have selected your approach, start researching the industry you selected.

Use Porter’s Five Forces to evaluate it

1. Is buyer power low or high?

2. Is supplier power low or high?

3. Which substitute products and services are perceived as threats?

4. Can new entrants easily enter the market?

5. What are the barriers to entry?

6. What is the level of rivalry among existing competitors?

7. What is your overall view of the industry?

Strategic Impact of Information Technology

1. If you selected to work with an industry (1):

a. Is it a good or bad industry to enter?

b. Select one company within the industry and describe what could you do in order to beat the competition? (use Porter’s three generic strategies or the RGT framework to explain your decisions)

2. If you selected to work with a specific company (2):

a. What can you do in order to beat the competition? (use Porter’s three generic strategies or the RGT framework to explain your decisions)

3. If you selected to create a new company (3):

a. What strategies would you select to stand a chance in the industry? (use Porter’s three generic strategies or the RGT framework to explain your decisions)

Organizational Evaluation

This evaluation is done systematically through Porter’s Five Forces by assessing and evaluating competition and organization stand. The most potent forces after analysis in the airline industry are existing firm’s competition and suppliers power. However, airlines have faced many problems in the United States and globally, thus forcing them to merge . These drawbacks are increased operating expenses, fuel prices, maintenance costs, and increased completion from low-cost carriers.

Factors such as entry of reduced costs passengers and tight regulations to ensure passengers are protected make buyers’ power high as per Porter Five Forces. Buyers can know prices through multiple channels for ticket bookings. The airline has several substitutes as people can choose from various means offering almost the same services like airlines. This includes the use of trains, buses, and ships. The threat of new entrants, according to Porters, is low due to required investment which is exceptionally high, customer concern for safety, and rules and regulations set by the government making it hard to have numerous competitors. As a result, the level of rivalry in this industry is minimal (Liu et al.,2020). Thereby making the airline a whole independent sector that requires a few implementations for its development and effectiveness in the future.

Industries have failed and learned from their mistakes over the years; the airline industry is not exceptional. Thereby venturing into airlines will not be harmful as it will bring returns and be a learning opportunity. However, to beat the competition, there is a need to extend airlines globally. Aim at improving quality services, secure loyalty, and strategies prices. In this case, differentiation and focus will be the best strategies to ensure the airline industry can withstand all shortcomings. This will enable companies in the airline industry to create value for customers by providing quality products and services at a controlled price.

References

Bastola, P.D., (2017) Organizational analysis of the aviation industry from the performance-based perspective Organizational analysis of the aviation industry from the performance-based perspective

Liu, J., Qiao, P., Ding, J., Hankinson, L., Harriman, E. H., Schiller, E. M., … Zhang, H. (2020). Will the Aviation Industry Have a Bright Future after the COVID-19 Outbreak? Evidence from Chinese Airport Shipping Sector. Journal of Risk and Financial Management, 13(11), 276. DOI: 10.3390/jrfm13110276

�ZERO (0). I loved your analysis, but it was clear in the instructions you could not use any of the industries we saw in class.

You can rewrite from the point of view of a specific airline and resubmit.

�Careful, this errors cost 2 points

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