This study evaluates the extent to which the added value to customers from a supplier's application of information technology (IT) is manifested through premium prices of a traded good. The study demonstrates that IT can add value to an otherwise undifferentiated good and shows how these...

Information technology (IT) enables a new refinement of the horizontal network organization. We show that IT can be applied to a hybrid form of market and hierarchy, franchis­ing, and demonstrate how the resulting horizontal network organization can be an improved organization form....

In distributed operations with positive externalities between branches, local underin­ vestment occurs because one branch does not account for the impact of its actions on other branches. Previous work found that an IT-enabled incentive mechanism called "ownership of customers" (OoC) reduced...

We study the impact of information technology (IT) on the profitability of individual organization designs and on the relative profitability of different organization designs. We develop models where organization design is defined by the location of investment decision authority. We consider...

The most difficult challenge facing a market leader is maintaining its leading position. This is especially true in information technology and telecommunications industries, where multiple product generations and rapid technological evolution continually test the ability of the incumbent to stay...