Thursday, December 12, 2019

Benefits of Different Technologies of Julia Juice Retailers USA

Question: Discuss about the Strategic Implementation for Information systems Organisation. Answer: Introduction The report reflects on the case study Julia Juice which is one of the largest juice retailers in USA and United Kingdom. In the year 2008, the organization lost 40% of its value due to the economic recession. Julia Chen, who was the owner of Julia Juice, decided to overhaul the entire business by utilizing various strategies properly. The report mainly illustrates porters competitive forces, porters five forces model and strategies for controlling economic recession. The assignment also discusses the benefits of different technologies that had helped Julia Juice to compete appropriately in the market. Porters Competitive Forces Michael Porter designed competitive forces model for determining the structure of the organization. The model is dependent on the concept that there are mainly five forces, which help in determining the competitive intensity as well as the attractiveness of a market (Yunna Yisheng, 2014). The model helps in identifying the power of a business which further helps in understanding both the current competitive position as well as the strength of the organization. The five competitive forces for Julia Juice are illustrated below: Bargaining power of the customers:The bargaining powers of the customers are high as there are a number of juice sellers in USA and United Kingdom and therefore the customers can easily switch from the business product of Julia Juice (Dobbs, 2014). The company implemented technology, which helps in allowing regular customers to pay, by using pre-paid as well as rechargeable cards. This implemented strategy by Julia Juice helps in lowering the bargaining power of the customers to some extent. Bargaining power of the suppliers:The bargaining powers of the suppliers are low as there are a number of suppliers available in the market of USA and United Kingdom. The available substitutes for Julia Juice also reduce the power of the supplies. Porters Competitive Forces Impact Bargaining power of the customers High Bargaining power of the suppliers Low Competition among existing competitors Very High Threat of Substitute Products High Threats of New Entrants Very Low Competition among existing competitors:It is analyzed that competition among existing competitors are high, but the organization uses proper methods for competing effectively with its competitors (Buzan, Griffiths Harrison, 2014).The organization Julia Juice uses more aggressive product differentiation strategy for competing properly with the other competitors in the market. The company utilizes the digital platform for improving the relationship with the customers and for enhancing customer satisfaction. Threat of Substitute Products: The threat from substitute product is high as Julia Juice has many competitors. The consumers can switch to the product of the competitors if they find their product with appropriate quality (Dalken, 2014). Julia Juice arranges a training session for its employees so that they can provide products with high quality. Threats of New Entrants:It is very much difficult for new entrants to enter the marketplace. The organization Julia Juice" has a high grip on the consumer market as it helps in providing a number of advantages to its customers (Solvell, 2015). The organization provides a cost advantage, which is also one of the barriers for new entrants. 2. Porters Five Forces for developing competitive strategies by utilizing Information System Porters five forces model helps companies in developing competitive strategies by utilizing information system. The five-force model includes: Power of the Buyer: The organization uses information systemfor allowing regular customers to pay, by using pre-paid as well as rechargeable cards (McLay, 2014). The prices of the products are fixed, and thus it helps in reducing the bargaining power of the buyers. Power of the Suppliers: The organizations use information system for tightening the linkages with the suppliers. They provide direct access to the suppliers with the help of internet. This helps in increasing switching cost of the organization. Competitive Rivalry: Organizations mainly utilizes information system for reducing competitors differentiation advantages (Aithal, 2016). This is mainly done by using online chatting system, by utilizing social media and by using advanced measures for enhancing as well as improving customer service. Threat of Substitution: Organization utilizes information system for identifying as well as creating new products as well as services for changing its business procedure with the help of automation (Chaney et al., 2016). The Internet, as well as networks of telecommunication, helps in providing better opportunities to enhance their business growth. Thus, the use of information system reduces the threat of substitution. Threat of New Entry:The organization utilizes information system for expanding its business and for diversifying and integrating its products as well as services (Toro-Jarrin et al., 2016). The organization mainly establishes global intranet or global operation platform for reducing the threat from new entrants. Discussion of competitive advantage and sustainable competitive advantage Competitive Advantage The two features of competitive advantage include: Customer Service: The organizations must provide unique customer service for enhancing competitive advantage (Devine O'Clock, 2015). Unique customer service may include product reliability and cost competitive advantages. Innovation: Innovation is considered as a new idea that helps in initiating as well as improving the quality of a product or processes. The organizations mainly maintain their flexibility by improving the quality of the product. The organization Julia Juice has achieved both customer service as well as innovation in order to gain competitive advantage. The organization trains their employees so that they will be able to interact with the customers properly which further helps in improving the relationship of the consumer with the organization (Binhadyan Davey, 2016).The Company implemented a technology, which helps in allowing regular customers to pay, by using pre-paid as well as rechargeable cards for achieving competitive advantage. Sustainable Competitive Advantage he two features of sustainable competitive advantage include: Low pricing: Economies of scale as well as appropriate operations are used by an organization for keeping competition out by becoming low cost provider. This factor is identified as one of the important barriers for new entrants (Yee et al., 2017). Additionally, low pricing helps in building brand loyalty, which further assists in achieving competitive advantage. Outstanding Management: Outstanding management is very much important for managing various operations of the organization appropriately. Proper management within an organization also helps in achieving competitive advantage. Julia Juice has achieved outstanding management within its organization. The company set a group of project coordinator that helps in training employees on time efficiencies, streamlining various services of the customers and helps in reducing waste. The managers of the organization can use the system for running various store operations. The district manager of the organization visits various stores of the company for observing the growth of the organization. Methods for controlling economic recession Discussion of strategic information system strategies The strategic information system strategies that can be selected in organization JJ for flourishing the business of the company include: ERP implementation for improving marketing: ERP implementation within the organization helps in improving their sales as well as market strategies. Creating barriers to competitors entry: Julian Juice must provide product or services which is very much difficult for its rivals to duplicate and as a result, it prevents the entry of competitors to some extent (Dixit Skeath, 2015). Lower the costs of the products: Lowering the prices of the products attracts more customers, and it also helps the company in gaining competitive advantage. Leveraging technology in the value chain: This approach is very much helpful in pinpointing particular activities of Julian Juice where competitive strategy can be applied best. Explanation of the strategies The strategies of strategic information systems that can be used within the organization Julian Juice include: ERP implementation for improving marketing: An information system helps in providing an edge over their competition by implementing proper enterprise resource planning within the organization for improving the sales as well as marketing strategies of Julian Juice. This strategy helps inn treating the information system as a resource (Cassidy, 2016). For Example, Julian juice can utilize ERP system for monitoring the sales of the company. Creating barriers to competitors entry:This strategy is selected as Julian Juice can utilize information system for providing products as well as services to its client that are very much different and difficult to duplicate for other competitors (Abdelhak, Grostick Hanken, 2014). This strategy will be helpful for serving highly specialized markets. This strategy is very much significant as it prevents the entry of various competitors as they find the cost for adopting the similar strategies. Lower the costs of the products:Strategic Information System will help Julian Juice in lowering their internal cost that further helps in allowing them to deliver products as well as services at a lower price than their rivals can provide. Thus such information systems help in the growth as well as the survival of the organization. Leveraging technology in the value chain:This approach is very much significant as it helps in pinpointing some of the particular activities of the business of Julian Juice where competitive strategies are utilized best (Qrunfleh Tarafdar, 2014). This model helps in advocating that information technology can be utilized best for gaining a competitive advantage by identifying various specific critical leveraging points of the company. Examples of companies where the selected strategies are used Strategic Information strategies are used by organizations for gaining competitive advantage. There are several examples which reflect that the suggested strategies are used by some business organization. ERP implementation for improving marketing:This strategy is used by business organizations likeRobert Bosch GmbH and Nestle. Creating barriers to competitors entry:Amazon creates a barrier for competitor's entry so that the organization can achieve competitive advantage. Lower the costs of the products:This strategy is followed by Wal-Mart for attracting more number of customers (Cassidy, 2016). Leveraging technology in the value chain: ATT Wireless utilizes this technology for achieving competitive advantage in the market of United Nation. Benefits of technology which has helped Julia Juice for competing in the market There are a number of benefits that Julia Juice has achieved by utilizing technologies in order to compete effectively in the market. The benefits include: Achieving competitive advantage: Julian Juice integrated its business processes with wireless technology and mobile digital platform that helps in achieving competitive advantage for JJ. Improved customer service:The use of digital platforms and Wi-Fi technology helps in improving the customer service (Binhadyan Davey, 2016). Customer service also get improved by training employees to interact properly with the customers. Lowering bargaining power of the customers:The Company implemented technology, which helps in allowing regular customers to pay, by using pre-paid as well as rechargeable cards. This implemented strategy by Julia Juice helps in lowering the bargaining power of the customers Increase sells: The sales of the organization increases by advertising the products as well as services of Julian juice on social networking site. Improved service also helps inn enhancing the sales of the company (Lommerud, Straume Vagstad, 2016). Attract more number of customers: Improved service within the organization helps in attracting more number of customers. The use of card system within Julian juice makes the customer more satisfied with the payment system. Improved relationship with customers: The Company train their employees so that they will be able to interact with the customers properly which further helps in improving the relationship of the consumer with the organization (Binhadyan Davey, 2016). Proper management: With the implementation of Wi-Fi technology the managers have access to operate the private network and system of the company at any time which helps in improving the management of the organization. Increase their in-store presence: The organization Julian Juice implemented free Wi-Fi which helps in enabling the company to enhance their in-store presence with the help of district managers. Conclusion It can be concluded from the overall report that Julian Juice achieves competitive advantage by integrating itsbusiness processes with wireless technology and mobile digital platform. It is analyzed that porters five forces have been analyzed in this report for determining the competitive intensity as well as the attractiveness of the market. It is identified that The Company train their employees so that they will be able to interact with the customers properly which further helps in improving the relationship of the consumer with the organization. The report also discusses the benefits of different technologies which are utilized by JJ. References Abdelhak, M., Grostick, S., Hanken, M. A. (2014).Health information: management of a strategic resource. Elsevier Health Sciences. Aithal, P. S. (2016). Study on ABCD analysis technique for business models, business strategies, operating concepts business systems.Browser Download This Paper. Binhadyan, B., Davey, B. (2016). 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