June 05, 2016
By: Meliza
Category: 1st SEM
- Answer:
Competitive Strategy |
Use of Information Systems |
Example |
Create barriersto entry forcompetition |
To create barriers to entry of new competition, firms maylock-in existing customers withloyalty programmes and freeaccessaccounts created withinformation systems. Data from such loyalty programmescan also be used to identifycustomer tastes and patternsof buying to further providethem with goods and services. |
Yatra.com is an onlinetravel portal that enablescustomers to buy airlineand railway tickets fromits site. It maintains aloyalty programme byproviding discount couponsto customers whopurchase frequently. |