Expressing Porter’s Five Forces Through IT

• Can IT change the basis of competition? Transforming and informing create more value than automating.
• Can IT change the nature of relationships and the balance of power among buyers and suppliers? (B2B exchanges)
• Can IT build barriers to entry? First mover, strategic infosystems require massive investment.
• Can IT increase switching costs? Create a value proposition that hooks customers (QuickBooks, Quicken, TurboTax)
• Can IT add value to existing products or create new ones? (OnStar, Embedded chips in cars)