INTRODUCTION Value chain analysis is a powerful managerial tool for identifying which activities in the chain have competitive

advantage potential. It can be defined as a vital method of relating resources to the strategic purposes for which these resources are to be used. A value chain is a chain of activities for a firm operating in a specific industry. The business unit is the appropriate level for construction of a value chain, not the divisional level or corporate level. Products pass through all activities of the chain in order, and at each activity the product gains some value. The chain of activities gives the products more added value than the sum of added values of all activities. Value chain analysis is a powerful tool for managers to identify the key activities within the firm which form the value chain for that organization, and have the potential of a sustainable competitive advantage for a company. Therein, competitive advantage of an organization lies in its ability to perform crucial activities along the value chain better than its competitors. The value chain framework of Porter (1990) is an interdependent system or network of activities, connected by linkages. When the system is managed carefully, the linkages can be a vital source of competitive advantage. The value chain analysis essentially entails the linkage of two areas. Firstly, the value chain links the value of the organizations activities with its main functional parts. Then the assessment of the contribution of each part in the overall added value of the business is made (Lynch, 2003). In order to conduct the value chain analysis, the company is split into primary and support activities. Primary activities are those that are related with production, while support activities are those that provide the background necessary for the effectiveness and efficiency of the firm, such as human resource management. The primary and secondary activities of the firm are discussed in detail below.

Primary activities The primary activities (Porter, 1985) of the company include the following:

Inbound logistics. These are the activities concerned with receiving the materials from Operations. These are the activities related to the production of products and services. This

suppliers, storing these externally sourced materials, and handling them within the firm.

area can be split into more departments in certain companies. For example, the operations in case of a hotel would include reception, room service etc.

Outbound logistics. These are all the activities concerned with distributing the final product

and/or service to the customers. For example, in case of a hotel this activity would entail the ways of bringing customers to the hotel.

Marketing and sales. This functional area essentially analyses the needs and wants of

customers and is responsible for creating awareness among the target audience of the company about the firms products and services. Companies make use of marketing communications tools like advertising, sales promotions etc. to attract customers to their products.

Service. There is often a need to provide services like pre-installation or after-sales service

before or after the sale of the product or service. Support activities. The support activities of a company include the following:

Procurement. This function is responsible for purchasing the materials that are necessary for

the companys operations. An efficient procurement department should be able to obtain the highest quality goods at the lowest prices.

Human Resource Management. This is a function concerned with recruiting, training,

motivating and rewarding the workforce of the company. Human resources are increasingly becoming an important way of attaining sustainable competitive advantage.

Technology Development. This is an area that is concerned with technological innovation, Firm Infrastructure. This includes planning and control systems, such as finance, accounting,

training and knowledge that is crucial for most companies today in order to survive.

and corporate strategy among others

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THE ORGANIZATION I HAVE CHOSEN IS COCA COLA COMPANY. The Coca-Cola Company, Beverage Company and the world leader in soft drink sales. CocaCola produces and distributes more than 400 brands in the United States and internationally. The company also produces and markets many fruit juices and other nonsoda beverages. Coca-Colas soft drinks include its flagship product Coca-Cola (popularly known as Coke), Diet Coke, Tab, Sprite, Fanta, Fresca, Mello Yello, and Barqs root beer. The companys nonsoda beverages include Minute Maid fruit juices, PowerAde sports drinks, and Nestea iced tea drinks. Value chain analysis of Coca-Coca Company. The value chain describes all the activities that make up the economic performance and the capabilities of coca-cola company. It portrays activities required to create value for customers. Value chain is an excellent means by which senior management can determine the strength and weaknesses of each activity and compare it with coca-cola company competitors. Primary activities 1) Inbound Logistics.
Making an inquiry. This is where the company always seeks for new information about the raw

materials from most notable suppliers includes Spherion, Jones Lang LaSalle, IBM, Ogilvy and Mather, IMI Cornelius, and Prudential. These companies provide Coca Cola with materials such as ingredients, packaging and machinery. In order to ensure that these materials are in satisfactory condition, Coca-cola has put certain standards in place which these suppliers must adhere to (The Supplier Guiding Principles). These include: compliance with laws and standards, laws and regulations, freedom of association and collective bargaining, forced and child labor, abuse of labor, discrimination, wages and benefits, work hours and overtime, health and safety, environment, and demonstration of compliance. This makes the company to sustain its competitive advantage because the company is assured of producing quality products at lower costs.

 Placing for orders. Here, the Coca Cola Company uses order processing system which

processes the requirements of the customers and sends the information into the supply chain via logistics information system. The orders go into the manufacturers warehouse where it is checked whether the product is in stock. If the product is in stock, the order is fulfilled and managements are made; if the product is not in stock, a replenishment request is triggered that finds its way to the factory floor. This therefore makes the company to have a competitive advantage.
Material handling. The company uses material handling system which moves inventory into,

within and out of the warehouse. It includes functions like receiving goods; identifying, sorting and labeling of goods; dispatching the goods to temporary storage area; recalling, selecting or picking the goods for shipment. The company uses material handling system to moves items quickly with minimum handling compare to other companies that use non-automated material handling system.
Stock control. Coca-cola Company uses inventory control which develops and maintains an

adequate assortment of materials or products to meet a manufacturers or customers demands. Inventory decisions, for both material and finished goods have a big impact on supply chain costs and the level of service provided. Inventory management therefore helps the organization to keep inventory levels as low as possible while maintaining an adequate supply of goods to meet customers demands. This therefore enables the organization to sustain its competitive advantages over its competitors.
Transport. Coca- Cola Company uses different mode of transporting goods basing on the basis

of several criteria for cost, transmit time, reliability, capacity, accessibility and traceability. Sometimes, the company uses transport network which replaces the warehouse or eliminate the expense of storing inventories because goods are timed the moment they are needed on the assembly time or for shipment to customers. This helps the organization to attain and sustain its competitive advantage over its competitors.

2) Operations
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 Machining. Coca Cola Company uses the updated techniques to convert raw materials into

finished goods. Initiatives taken in the operations include efficient plant operations to minimize costs, an appropriate level of automation in manufacturing, quality production control system to reduce costs and hence quality and efficient plant lay out and work flow design.
Packaging. The company essentially produces syrups and concentrates and then sells them to

authorized bottling and canning operations that package and distribute the final product. Bottlers combine the syrup with carbonated water or combine the concentrate with sweeter and water and/or carbonated water to produce to produce a finished beverage. Finally, the beverage is packaged in cans or bottles and then transported to ware house or to customer location.
Labeling. The way of labeling used by the company takes two forms in that it uses persuasive

labeling which focuses on promotional theme and informational labeling which helps consumers make proper product selection and lower their cognitive dissonance after the purchase. This enables the company to sustain its competitive advantage.
Assembling. This is where Coca-Cola Company uses the automated system for assembling it

products. For the case of sodas, the bottles are covered by a machine which save time and reduces on the cost of employing many people if the work is to be done manually. 3) Outbound logistics.
Storing. The company uses different methods of storing its goods.

Departmental stores which carries a wide variety of shopping and especially goods. Purchases are generally made with each department at one central check-out-area. Each department is treated as separate center to achieve economies in promotion, buying, service and control. There is also specialty stores format which allows retailers to refine segmentation strategies and tailor their merchandise to specific market target system which develops and maintains an adequate assortment of materials or products to meet a manufacturers or customers demands.
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 Warehousing. The company has got an apartment where large quantities of goods are stored.

Warehousing helps the company mange supply and demand or produce products for consumption. It provides time utility to buyers and sellers, which means that the seller stores the product until the buyer wants/needs it. Even when products are used regularly not seasonally, the company store excess product in the demand surpasses the amount produced at a given time. This therefore reduces the cost of theft, insurance, and spoilage hence enabling the company to sustain its competitive advantage.
Stock control. Coca-cola Company uses inventory control which develops and maintains an

adequate assortment of materials or products to meet a manufacturers or customers demands. Inventory decisions, for both material and finished goods have a big impact on supply chain costs and the level of service provided. Inventory management therefore helps the organization to keep inventory levels as low as possible while maintaining an adequate supply of goods to meet customers demands. This therefore enables the organization to sustain its competitive advantages over its competitors.
Material handling. The company uses material handling system which moves inventory into,

within and out of the warehouse. It includes functions like receiving goods; identifying, sorting and labeling of goods; dispatching the goods to temporary storage area; recalling, selecting or picking the goods for shipment. The company uses material handling system to moves items quickly with minimum handling compare to other companies that use non-automated material handling system.
Transportation. Coca- Cola Company uses different mode of transporting goods basing on the

basis of several criteria for cost, transmit time, reliability, capacity, accessibility and traceability. Sometimes, the company uses transport network which replaces the warehouse or eliminate the expense of storing inventories because goods are timed the moment they are needed on the assembly time or for shipment to customers. This helps the organization to attain and sustain its competitive advantage over its competitors.

4) Marketing and sales. Coca-Cola Companys marketing is to increase volume, expand worldwide share of nonalcoholic ready-to-drink beverage sales, maximize long term cash flow and create added shareholder value by improving profit margins. Some of the activities under marketing include the following:
Sales administration. The company has got a sales administrator who takes up responsibility to

ensure that sales are made at maximum level. The sales administrator has played a vital role by doing the following: defining the sales goals and the sales force, determining the sales force structure, recruit and train the sales force, compensate and motivate the sales force and evaluate the sales force. All these tasks undertaken by the sales administrator has enabled the organization to sustain its competitive advantage over its competitors.
Advertisement. The marketing manager of Coca- Cola Company has used different types of

advertisement to market the product like advocacy advertisement, competitive advertisement using media like television stations, newspapers, radio stations, internet and posters.
Sales promotion. This offers an incentive to buy the companys products. This is because it is

targeted towards different markets. The company uses it to stimulate immediate increases in demands by lowering price or adding value. It is aimed at end consumers, trade consumers and sometimes the companys employees. The major sales promotion that the company uses include free samples, contests, premiums, trade shows, vacation, give away and coupons.
Personal selling. This is where the sales person faces customers or talk to them on phone in an

attempt to persuade the buyer to accept a point of views or convince the buyer to take some to take some. The sales person sometimes offers trade discount to increase sales.
Public relations. This is where coca-cola company uses large sums to build a positive public

image. Public relations help the company communicate with its customers, suppliers, stockholders, government officials, employees and the community in which it operates. Public

relations also maintain a positive attitude and also to educate the public about the goals and objectives, introduce new products and help support the sales effort. 5) Service. Customer service is a central value adding activity. Coca-Cola Company is redefining the way it manages its customer services. Customer service include activities and processes such as effective use of procedures to solicit customer feedback and to act on information, quick response to customer needs and emergencies, the ability to furnish replacement products as required, effective management of product inventory, quality of service personnel and ongoing and appropriate product quality promises. Customer service is so important as a competitive weapon because it enables the company to create value immediately before customers eyes. Support activities 1) Procurement.
Holding stock. Coca-cola Company uses inventory control which develops and maintains an

adequate assortment of materials or products to meet a manufacturers or customers demands. Inventory decisions, for both material and finished goods have a big impact on supply chain costs and the level of service provided. Inventory management therefore helps the organization to keep inventory levels as low as possible while maintaining an adequate supply of goods to meet customers demands. This therefore enables the organization to sustain its competitive advantages over its competitors.
Clearing and forwarding. This is where the company procurement department checks on the

goods or raw materials ordered for whether they are the right quality. This enables the organization to have quality raw material and reduces on the cost of acquiring items which are likely to get spoilt hence enabling the company to gain and sustain its competitive advantage.
Warehousing. The company has got an apartment where large quantities of goods are stored.

Warehousing helps the company mange supply and demand or produce products for consumption. It provides time utility to buyers and sellers, which means that the seller stores
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the product until the buyer wants/needs it. Even when products are used regularly not seasonally, the company store excess product in the demand surpasses the amount produced at a given time. This therefore reduces the cost of theft, insurance, and spoilage hence enabling the company to sustain its competitive advantage. 2) Technology development.
Raw material improvement. The organization acquires the raw material ordered for and then

uses an automated system to sort these raw materials before they are processed. This will to quality products because the cost of producing poor quality goods is minimized. This will lead to sales due to increased demands hence sustaining the competitive advantage of the company.
Product development. This refers to the concept, design and commercialization of new

products. Recent examples used by the company include Dasani Plus, Enhanced Minute Products and Enviga as described in the product strategy section.
Product design improvement. Here, the company uses new technology and simplified

production techniques which help lower the average cost of production. These technologies include Computer-Aided-Design and Computer-Aided-Manufacturing and increasingly sophisticated robots. These techniques help the company reduce their manufacturing costs and enable them to have unique products which enable the company sustain its competitive advantage.
Process development. This refers to the use of new procedures, practices or equipment to

improve the value adding activity itself. One of the ambitious projects Coca-Cola Company is implementing under process development is the Six-Sigma project. The company is implementing Six-Sigma under the heading of Business Process Excellence, a complete program to help run the business. This differs from the approach many companies are taking, where firms are narrowly implementing Six-Sigma today in manufacturing, and do not see it a way to run and mange the entire business- merely a tool to improve a process or an operation.

3) Human resource.
Recruiting. The company recruits employees both internally and externally. Internally the

company considers present employees as candidates. This is intended to have high quality employees and to build morale. Externally, the company uses internet to recruit new employees. It also uses employment agencies, advertisement, executive search firms, and union hiring halls. All these are intended to have qualified employees who will produce unique products at low cost to sustain the competitive advantage of the company.
Training. Coca-Cola University (CCU) is a virtual global university representing a one stop

shop for all learning and capability building activities across the Coca-Cola Company. This university aims at providing experiences that equip people with practical skills and knowledge to win in the marketplace. Employees can take classes in a range of areas including People Leadership, Franchise Leadership, Consumer Marketing and Customer/Commercial Leadership. Additionally, this university conducts best practice research and provides coaching/consulting services with a view to transfer learning between different parts of the Coca-Cola franchise system.
Rewarding. The company takes a holistic view of all the elements to reward and recognize

employees to ensure a complete, comprehensive package of pay benefits and learning and development programs, including Coca-Cola University. All these are designed to unleash the employees full potential.
Performance appraisal. The company uses performance appraisal to assess how well their

workers are doing their job. This is because it assesses the impact of training programs. Performance appraisal also helps in decision making about promotion and dismissal. This helps the organization to have quality employees who can produce unique and at low cost hence enabling the company to have a competitive advantage over its competitors. 4) Infrastructure.

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 Planning. SEM-BPS (Systems Enterprise Management- Business Planning and Simulation)

provides the company with a complete suite of planning function for modeling, simulation, integrated budgeting, target setting, forecasting, scenario planning, resource allocation and risk evaluation. This enables the company to perform business planning at the strategic and operational level around all financial issues like sales, price, cost, headcount, profitability and financial statements.
Financing. Using SEM-BPS (Systems Enterprise Management- Business Planning and

Simulation) the company can now integrate actual data into its planning process for the actual budget and monthly rolling estimates. This is the foundation to be able dynamic businessstrategy models and analysis and stimulation of tools to identify the impact of possible actions on the profit and loss, balance sheet and overall corporate strategy. Inventor relations involve responding to calls from investors, preparing materials and ongoing to visit various analysts.
Quality control. Coca-Cola Company ensures quality and safety of its beverages through The

Coca-Cola Quality System (TCCQS). This system is an integrated approach to managing quality, environment, health and safety. TCCQS is a worldwide initiative involving every aspect of the business. Everyone who works for or with Coca-Cola Company is empowered and expected to maintain the highest standards of quality in products, processes and relationships. TCCQS mandates in-depth self-assessment throughout operations, by all business units. This enables the company to continually raise the standards thus sustaining its competitive advantages over its competitors.

Question2 Strategy implementation represents a pattern of decisions and actions that are intended to carry out the plan. Strategy implementation involves managing stakeholder relationships and organizational resources in a manner that moves the business toward the successful execution of its strategies, consistent with its strategic direction. Implementation activities also involve creating an organizational design and organizational control systems to keep the company on the right course.

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The managerial task of implementing and executing the chosen strategy entails assessing what it will take to take the strategy work and to reach the targeted performance on schedule- the managerial skill is being good at figuring out what must be done to put the strategy in place, execute it proficiently, and produce good results. Managing the process of implementing and executing strategy is primarily a hands-on, close-to-the-scene administrative task that includes the following principal aspects: o Building an organization capable of carrying out the strategy successfully. o Developing budgets that steer resources into those internal activities critical to strategy success. o Establishing strategy-supportive policies and operating procedures. o Motivating people in ways that induce them to pursue the target objectives energetically, and if need be, modifying their duties and job behavior to better fit the requirement of successful strategy execution. o Tying the reward structure to the achievement of targeted results. o Creating a company culture and work climate conducive to successful strategy implementation and execution. o Installing information, communication, and operating systems that enable company personnel to carry out their strategic roles effectively day in a day out. o Instituting best practices and programs for continuous improvement. o Exerting the internal leadership needed to drive implementation forward and to keep improving on how the strategy is being executed. However, strategy implementation often considered the most difficult stage in the strategicmanagement process because strategy implementation requires a firm to establish annual objectives, devise policies, motivate employees, and allocate resources so that formulated strategies can be executed. Often considered to be the most difficult state in strategic management, strategy implementation requires personal discipline, commitment, and sacrifice. Successful

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strategy implementation hinges upon managers' ability to motivate employees, which is more an art than a science. The strategy implementation task is easily the most complicated and time consuming part of strategy management. It cuts across virtual all facets of managing and must be initiated from many points inside the organization. The strategy implementers agenda for action emerges from careful assessment of what he organization must do differently and better to carry out the strategic plan proficiently. Each manager has to think throughout the answer to to what has to be done in my area to carry my piece of strategic plan, and how can I best get it done? how much internal change is needed to put the strategy into place depends on the degree of strategic change, how far internal practices and competencies deviate from what the strategy requires, and how well strategy and organizational culture already match. As needed changes and actions are identified, management must see that all the details of the implementation are attended to and apply enough pressure on the organization to convert objectives into results. Depending on the amount of internal change involved, full implementation can take several years. Conclusion The value chain analysis shows that the value chain of a company may be useful in identifying and understanding crucial aspects to achieve competitive strengths and core competencies in the marketplace. It also reveals how the value chain activities are tied together to ultimately create value for the consumer. Analysts conducting the value chain analysis should break down the key activities of the company according to the activities entailed in the framework, and assess the potential for adding value through the means of cost advantage or differentiation. Finally, it is important to determine strategies that focus on those activities that would enable the company to attain sustainable competitive advantage.

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Question 2 Strategy implementation represents a pattern of decisions and actions that are intended to carry out the plan. Strategy implementation involves managing stakeholder relationships and organizational resources in a manner that moves the business toward the successful execution of its strategies, consistent with its strategic direction. Implementation activities also involve creating an organizational design and organizational control systems to keep the company on the right course. The managerial task of implementing and executing the chosen strategy entails assessing what it will take to take the strategy work and to reach the targeted performance on schedule- the managerial skill is being good at figuring out what must be done to put the strategy in place, execute it proficiently, and produce good results. Managing the process of implementing and executing strategy is primarily a hands-on, close-to-the-scene administrative task that includes the following principal aspects: o Building an organization capable of carrying out the strategy successfully. o Developing budgets that steer resources into those internal activities critical to strategy success. o Establishing strategy-supportive policies and operating procedures. o Motivating people in ways that induce them to pursue the target objectives energetically, and if need be, modifying their duties and job behavior to better fit the requirement of successful strategy execution. o Tying the reward structure to the achievement of targeted results.

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o Creating a company culture and work climate conducive to successful strategy implementation and execution. o Installing information, communication, and operating systems that enable company personnel to carry out their strategic roles effectively day in a day out. o Instituting best practices and programs for continuous improvement. o Exerting the internal leadership needed to drive implementation forward and to keep improving on how the strategy is being executed. However, strategy implementation often considered the most difficult stage in the strategicmanagement process because strategy implementation requires a firm to establish annual objectives, devise policies, motivate employees, and allocate resources so that formulated strategies can be executed. Often considered to be the most difficult state in strategic management, strategy implementation requires personal discipline, commitment, and sacrifice. Successful strategy implementation hinges upon managers' ability to motivate employees, which is more an art than a science. The strategy implementation task is easily the most complicated and time consuming part of strategy management. It cuts across virtual all facets of managing and must be initiated from many points inside the organization. The strategy implementers agenda for action emerges from careful assessment of what he organization must do differently and better to carry out the strategic plan proficiently. Each manager has to think throughout the answer to to what has to be done in my area to carry my piece of strategic plan, and how can I best get it done? how much internal change is needed to put the strategy into place depends on the degree of strategic change, how far internal practices and competencies deviate from what the strategy requires, and how well strategy and organizational culture already match. As needed changes and actions are identified, management must see that all the details of the implementation are attended to and apply enough pressure on the organization to convert objectives into results. Depending on the amount of internal change involved, full implementation can take several years.

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Question3 The goal of any business strategy is to achieve a competitive advantage within the company's industry. The following analyzes how the Internet can influence a company's competitive advantage and to what extent it should be taken into account when planning to implement corporate strategies. When considering the Internet as a possible distribution channel, it is necessary to look into the future and ask how this network may change our industry over the next two or three years. It is not sufficient to consider the possible advantages; it is also of prime importance to assess the possible damage our competitive advantage could suffer if other businesses of the particular industry entered the Internet and it became an important distribution channel for our line of activity. Before carrying out such an analysis, we must first define clearly what the Internet is: a mere information channel or a complete distribution channel? In order to set about this task, we must realize that the Internet is merely a physical medium that provides a base for certain services. It is how interesting these services prove to be that will indicate the true value of the network. The main services are e-mail, newsgroups, and the Web. The possibilities offered by each are very different, as are the rules governing them. E-mail allows fast, inexpensive, and asynchronous communications. (It is not necessary for the two people communicating to do so at the same time.) In this regard, it has merits that the telephone
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(synchronous), the fax (expensive), and the postal service (slow) all lack. It is personal and, therefore, discrete (provided that nobody with sufficient means tries to intercept it). The main problem of using it in commercial transactions is lack of security: Security protocol is still not sufficiently widespread. Newsgroups are a form of receiving information on specific subjects that interest us and of disseminating information aimed at particular people who may be interested in it. Their merit lies in the fact that the information is unrestricted and is not screened by the major communications corporations. While the newsgroups provide an interesting source of information for industries, their use does not cover commercial purposes for ethical reasons of the network. Finally, there is the World Wide Web. The Web has broken through the barriers of the not-sofriendly Internet and has made it a user-friendly tool. It has transformed an information network into a real information channel that is open not only to hackers and people with a special interest in information, but to the public in general, that is buyers. In short, it has changed the anticommercial Internet into a commercial network that will eventually become an important distribution channel. The internet helps managers to manage strategically by the following ways: The Web as a distribution channel When we speak of the current Web, it should be pointed out that this is quite different from the Web that will exist in two or three years' time. For our part, we would hope that by that time

Security protocols enabling (at least) electronic transactions based on existing credit cards will have become widespread. The Web will be used widely as a tool for purchasing and seeking suppliers.

The conclusions of this article are based on these two principles. A delay in the commercial implementation of the Web could give rise to a general disillusionment and cooling-off of public

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interest. It is, therefore, important to take advantage of current enthusiasm to reach the greatest number of users. As a distribution channel, the Web may be characterized as follows:

It is a new channel that is not controlled by companies in any industry. Distribution costs are low. Its impact is limited (for the time being). Predictions are made, but its true impact is not really known. It enables fast distribution of information products. The cost of changing prices or even commercialized products is very low, thus enabling a relatively quick product rotation.

Flexibility and swift change Another interesting feature of the Web is that the information it offers may be changed very quickly, and this change reaches clients or buyers immediately. This is particularly important for industries in which competition is based on major advertising campaigns to promote new products with a very short life cycle. We should consider that advertising is part of the life cycle, and the shorter the cycle the greater the advantage. Quick product change to adapt to the market not only ensures a specific competitive advantage, but also enables it to be maintained. The Web as a source of information that could influence competitive advantage Let us imagine for a moment that a consumer association compiles a database on washing machines, allowing prices, quality, and even complaints received by the association (as information on after-sales service) to be compared easily. Let us also suppose that this database is regularly updated, its existence is known, and access to it is easy-there are even terminals at washing machine sales outlets. Direct comparison of prices, quality, and service received from an independent organization at the moment of decision making can significantly affect the way potential buyers behave. The influence
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can even be stronger than a positive experience (the previous washing machine). This is because customers have all the information they need, and the switching cost is therefore very low. Direct comparison would force washing machine suppliers to wage war on one another; not so much on the basis of marketing but rather centering on price, quality, and service. When customers possess a large amount of comparative information, suppliers are forced to make a greater effort. In general, the suppliers' power decreases, obliging them to lower prices and improve quality and service. This leads us to consider the fact that a large proportion of our commercial system is based on customers' lacking information on their options. There is a tendency to work with a series of suppliers that provide more or less satisfactory service. The customer will only make the effort to look for a new supplier if the level of satisfaction drops significantly (in other words, there is a switching cost). This kind of information-based systems would make it easier for new suppliers to enter the market. Since the distribution channels are "fair," a supplier with attractive prices and good service could enter the market very quickly. A possible conclusion would be that it is essential to control how information is distributed. It is important to give as much information as possible to potential clients, but it is also in our interest to ensure that this information cannot be used to give customers greater power and thus bring about a war in the market. Changing competitive balance within the industry It is impossible to carry out a global analysis on how the Internet can help companies to improve their competitive position within their industry. Each market is different and requires a specific analysis. Studies should often go beyond purely technical criteria. Let us take the case of travel agencies, for example. In theory, if in a year's time everybody that is connected to the Internet will be able to reserve their air and rail tickets and book their holidays through the Net, we might assume that the future of travel agencies could be at risk. We should go
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further and consider who makes reservations in the company and how it is done. This task is normally part of the daily work of the secretaries. A secretary that needs a ticket has two options: to call the agency and let them to do all the work and send the tickets; or to learn to use the Internet reservations system, find the flights, study the connections, pay for the ticket; and organize how it is to be sent. Personally, I would prefer that my secretary called the agency and used the time she would have spent on the Internet in some other way. Having direct access to services is not always an added value. Only those services that really add value to their use have a chance of succeeding in media such as the Internet. A study on the competitive possibilities of the Internet in a particular industry should include all the factors that influence the distribution channel we wish to modify or operate in. The Internet must not be considered as a global distribution channel for the industry. Each product or set of products should be studied separately. Conclusion As illustrated above, strategic implementation has little to do with the leadership of the organization and more to do with management. While leaders envision and design the strategy, it is managements job to successfully implement the strategy. This is frequently the most difficult part of the process. It is often much easier to design a strategic plan than it is to encourage everyone within the organization to implement the strategic plan and achieve each milestone and objective on time and on budget.

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REFERENCE

Strategic Management 2nd Edition- By G.A Cole International Management- By ARVING V. PHATAK RABI S. BHAGAT ROGER J. KASHLAK

Strategic Management Concepts and cases 9th Edition By Thompson Strickland

Internet

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