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Technology Strategies for EC/EB Walt Scacchi FEMBA 290 Winter 2003 A sample of EC/EB technology-based strategies • Stategic position or engagement techniques • Central technique embodied in each technology-based strategy • Role and implications for EC/EB technologies for each strategy. Market Exclusivity • Identify, capture and dominate a niche. • Technique: Being first, being best, being the only choice, being able to easily defend one's market position. • Example: Develop, acquire, or possess unique database/repository content, or more quality content than competitors Encapsulation • Surround, capture, divide, "cherry pick" • Technique: Erect an intermediation structure that captures/controls access to customers and restricts access by existing competitors, in order to ingest or acquire them • Example: Create an all-encompassing EC/EB service Follow-and-Dominate • Be "second to market", outflank first movers • Technique: let the pioneers catch the arrows, then follow the path the pioneers have established, but at a larger scale and scope to discourage subsequent market entrants • Example: Build a bigger DB, add more types of data/content, provide more DB access points Disintermediation or Reintermediation • Remove or replace the legacy middle-man • Technique: Encapsulate market niche, remove/erect (in)efficiency barriers to legacy competition • Example: Provide open Web access/transactions to EC/EB services controlled by legacy vendors Aggregate Supply or Aggregate Demand • Make a new market where one did not exist • Technique: Gather vendors products/services for targeted customers; gather potential customers for targeted vendors • Example: DB marketing using E-Catalogs or create "magnetic" DB-centered Web sites/portals Transformation • Do legacy business processes/services in new ways • Technique: Streamline, reengineer or make business processes Web accessible • Example: Workflow automation via Webbased EC services or EB process transaction Confrontation: David vs. Goliath • Taking on a larger established competitor • Technique: "Judo" (find your opponents vulnerability/hinge points; use their "weight" to their disadvantage) • Example: Offer DB-driven product/service innovation for B2C Integration • Make a market niche from untapped fragments • Technique: Pull together disparate capabilities/products into a coherent framework that realizes economies of scale and scope • Example: Create integrated views, access or transactions to disparate EB/EC information sources Open Source • Advocate and exploit "open source" software development business practices to undercut competition • Technique: Establish two communities: one for commerical customers who will pay for support and services, the other open for sharing software source code with others • Example: (1) use open source DBMS and support environment (e.g., LAMP -- Linux, Apache, MySQL, Perl) or (2) build commerical DBMbased application in both "supported" (proprietary, fee-based) and "open source" (public, no-fee or free) versions to create new EC/EB offerings. Peer-to-Peer (p2p) • Advocate and exploit p2p technology for local/global sharing of information resources, contents, or workspace (e.g., a persistent or dynamic "view" into a database) • Technique: Identify information sharing DBM applications that have a surrounding community of users, then target each community with a p2p DBM application service. • Example: Databases for Personal Digital Assistants (PDAs, wired/wireless Web phones), local/global object sharing (including objects that contain other objects), or shared workspaces are targets of opportunity for mobile p2p EC/EB applications.