Business strategy

    "Many have argued that the Internet renders strategy obsolete. in reality, the opposite is true. Because the Internet tends to weaken industry profitability without providing proprietary operational advantages, it is more important than ever for companies to distinguish themselves through strategy. The winners will be those that view the Internet as a complement to, not a cannibal of, traditional ways of competing."

    "Internet Technology provides better opportunities for companies to establish distinctive strategic positioning than did previous generations of information technology."

    Strategy and the Internet
    Michael E Porter
    Harvard Business Review, March, 2001

How do I “Move My Company To The Internet”?
AFS will help you.

Is it True? Do I Have to Move to the Internet?
The short answer is “Yes.”
You don’t have to move to the Internet to survive in business in the short term… However, if you don't you probably won’t survive. That doesn’t mean that your internet business has to replace your existing business. It has to complement it.

There are five underlying forces which contribute to the profitability of a firm:

The internet changes the business environment. Whereas for some, like Amazon, to be first in provides a distinct advantage, for others (e.g. cosmetics), access to newer and niche brands makes ‘first-in’ irrelevant.

Profitability pressure

Cost and price advantage can be achieved:


The way Internet changes business operations

Different areas become more important. Consider this diagram below: