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Content Provider | IEEE Xplore Digital Library |
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Author | Thatcher, M.E. Oliver, J.R. |
Copyright Year | 2001 |
Description | Author affiliation: Arizona Univ., Tucson, AZ, USA (Thatcher, M.E.) |
Abstract | Empirical and analytic research in the IT and economics literature have paid little attention to the distinction between the goals of cost reduction and quality improvement when examining the impact of IT investments on firm performance (i.e., firm profits and productivity). The authors present a simple analytical model that examines the impact of various types of IT investments on the quality and pricing decisions made by firms and on the economic performance of these firms. The model demonstrates that while investments in the technology types examined in this model are all expected to increase firm profits the impact of these investments on firm productivity vary and depend on the type of technology implemented. More specifically, the model demonstrates that a profit-maximizing firm may make a conscious decision to invest in certain technologies that lead to product quality improvements to capture higher profits, but sometimes at the expense of firm productivity. |
Sponsorship | Univ. Hawaii College of Bus. Adm |
File Size | 181723 |
File Format | |
ISBN | 0769509819 |
DOI | 10.1109/HICSS.2001.927170 |
Language | English |
Publisher | Institute of Electrical and Electronics Engineers, Inc. (IEEE) |
Publisher Date | 2001-01-06 |
Publisher Place | USA |
Access Restriction | Subscribed |
Rights Holder | Institute of Electrical and Electronics Engineers, Inc. (IEEE) |
Subject Keyword | Information technology Productivity Information analysis Investments Costs Performance analysis Production Pricing Chemical technology Medical diagnostic imaging |
Content Type | Text |
Resource Type | Article |
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