Rapidly advanced information technology caused one of the biggest changes to the individual life and business environment. Through chaos period of big change, the value of traditional companies is being highlighted again and new strategy for survival and advancement in this new information era is highly needed. This thesis focused on traditional company’s e-business strategy among various e-business scopes.
The main research questions are as follows:
1) What is the definition and overall characteristics of e-business strategy?
2) How to develop and execute e-business strategy?
3) How to apply the implications achieved by the case study to Korean company?
This thesis consists of three parts. One is to build a framework in order to analyze the cases and achieve basic knowledge regarding e-business strategy such as value chain concept, the definitions, main causes to develop new strategy, methodology of how to develop and execute the strategy, classification of e-business models, critical success factors, obstacles and expected effect through literature survey. Another is to analyze the cases by main business strategy and model, the change of value system and application of value matrix. The other is to make suggestions to develop e-business strategy for Korean company.
To find implications of how to make a effective e-business strategy for Korean company, this thesis dealt with 3 Japanese traditional companies such as Sony, Seven eleven Japan and NTT which are being evaluated as a successful performer of e-business strategy in Japan.
The main results of this research are as follows. First, the boundaries of each business domain is rapidly collapsing so that each firm should define their business domain again based not on their original business domain but on customers’ life and value. Second, each firm should develop unique business model utilizing information technology appropriate for their business environment and core capability. Third, each firm ought to select and develop core capability to be useful in the information driven new business environment. Specially for the traditional company, they should be able to provide differentiated value to the customers from fundamental parts such as product, quality, service and logistics. Fourth, the company should reconstruct value system based on customers’ value and utilize outsourcing to acquire necessary capability depending on each firms’ situation and strategy. Finally, each firm should have integrated view of both value chain (physical and virtual) based on their original core capability for effective use of value matrix.
This thesis can be of help for Korean traditional companies to develop e-business strategy to survive and grow in this information driven new business environment.
