1- Low-cost leadership:
Using information systems to minimize the firm’s operational costs without compromising
the quality of its products . For Example: UPS uses an efficient tracking system that enables
the firm to reduce shipment losses and avoid inefficiency which in return reduces
operational costs.
2- Product Differentiation:
using information systems to create unique products or offer unique services that
separate the firm from the competition.
For Example: Nike enables customization of its sneakers using their website where
customers can design their own sneakers from A to Z.
3- Focus on market niche:
using information systems to focus on a specific part of the market and serve its
customers better than the competition.
For Example: Online Stores that sell scrubs are using information systems to focus on a
specific market (medical uniforms market) serve specific customers (Doctors, Med
Students) better than physical stores.
4- Strengthen Customer and Supplier Intimacy: using information systems to strengthen
the relationship with suppliers and customers.
For Example: Amazon uses its information systems to provide excellent customer
service by offering quick response times, handling complaints efficiently, in addition to
recommending products that customers are likely to be interested in.