Information Technology Investments and Firms' Performance - A Duopoly Perspective

Journal of Management Information Systems

Volumn 20, Issue 3, 2003, Pages 121-158

  Quan, Jing ^a   Hu, Qing ^b   Hart, Paul J ^b  

^a SALISBURY UNIVERSITY   (United States)

^b FLORIDA ATLANTIC UNIVERSITY   (United States)

Author keywords

Competitive strategies; Duopoly; Game theory; Information technology impacts; Information technology investments; Information technology productivity paradox

Indexed keywords

COMPETITION; COST EFFECTIVENESS; GAME THEORY; INDUSTRIAL RESEARCH; INVESTMENTS; MATHEMATICAL MODELS; PRODUCTIVITY; SENSITIVITY ANALYSIS; SOCIETIES AND INSTITUTIONS;

PRICE SENSITIVITY; PROFITS;

INFORMATION TECHNOLOGY;

EID: 1242310082     PISSN: 07421222     EISSN: None     Source Type: Journal    
DOI: 10.1080/07421222.2003.11045773     Document Type: Article

References (40)

1. Barua, A., and Lee, B. The information technology paradox revisited: A theoretical and empirical investigation in the manufacturing sector. International Journal of Flexible Manufacturing Systems, 9, 2 (1997), 145-166.
2. Barua, A.; Knebel, C.H.; and Mukhopadhyay, T. An economic analysis of strategic information technology investments. MIS Quarterly, 15, 3 (1991), 313-331.
3. Barua, A.; Kriebel, C.H.; and Mukhopadhyay, T. Information technologies and business value: An empirical investigation. Information System Research, 6, 1 (1995), 3-23.
4. Berndt, E.R., and Morrison, C.J. High-tech capital formation and economic performance in U.S. manufacturing industries: An exploratory analysis. Journal of Econometrics, 65, 1 (1995), 9-43.
5. Brynjolfsson, E. The productivity paradox of information technology. Communications of ACM, 36, 12 (1993), 67-77.
6. Brynjolfsson, E., and Hitt L. Paradox lost? Firm-level evidence on the return to information systems spending. Management Science, 42, 4 (1996), 541-558.
7. Brynjolfsson, E., and Hitt L. Beyond computation: Information technology, organizational transformation and business performance. Journal of Economic Perspectives, 14, 4 (2000), 23-48.
8. Brynjolfsson, E., and Yang, S. Information technology and productivity: A review of the literature. In M. Zelkowitz (ed.), Advances in Computing, vol. 43. Cambridge, MA: Academic Press, 1996, pp. 179-214.
9. Case, J. On the form of market demand functions. Econometrica, 42, 1 (1974), 207-210.
10. de Figueiredo, J.M. Finding sustainable profitability in electronic commerce. Sloan Management Review, 41, 4 (2000), 41-52.
11. Dewan, S., and Kraemer, K.L. International dimensions of the productivity paradox. Communications of the ACM, 41, 8 (1998), 56-62.
12. Farrell, D.; Terwilliger, T.; and Webb, A.P. Getting IT spending right this time. McKinsey Quarterly, 2 (2003) (available at www.mckinseyquarterly.com/article_print.asp?ar=1285&L2=13&L3=13).
13. Gai-Or, E. Quality and quality competition. Bell Journal of Economics, 14, 2 (1983), 590-600.
14. Garvin, D. What does "product quality" really mean? Sloan Management Review, 26, 1 (1984), 25-43.
15. Gibbons, R. Game Theory for Applied Economists. Princeton: Princeton University Press, 1992.
16. Gordon, R. J. Technology and economic performance in the American economy. National Bureau of Economic Research, Working Paper no. 8771, Cambridge, MA, 2002.
17. Hitt, M.L.; Wu, D.J.; and Zhou, X. Investments in enterprise resource planning: Business impact and productivity measures. Journal of Management Information Systems, 19, 1 (Summer 2002), 71-98.
18. Hu, Q., and Plant R.T. An empirical study of the causal relationship between IT investment and firm performance. Information Resource Management Journal, 14, 3 (2001), 15-26.
19. Hyman, D.N. Modern Microeconomics: Analysis and Applications. St. Louis, MO: Times Mirror/Mosby College Publishing, 1986.
20. Kelley, M.R. Productivity and information technology: The elusive connection. Management Science, 40, 11 (1994) 1406-1425.
21. Kudyba, S., and Diwan, R. Research report: Increasing returns to information technology. Information Systems Research, 13, 1 (2002), 104-111.
22. Lichtenberg, F.R. The output contributions of computer equipment and personnel: A firm-level analysis. National Bureau of Economic Research, Working Paper no. 4540, Cambridge, MA, 1993.
23. Lilien, G.; Kotler, P.; and Moorthy, K. Marketing Models. Upper Saddle River, NJ: Prentice Hall, 1992.
24. Loveman, G.W. An assessment of the productivity impact of information technologies. In T.J. Allen and M.S. Morton (eds.), Information Technology and the Corporations of the 1990s: Research Studies. Cambridge, MA: MIT Press, 1994, pp. 84-110.
25. McGuire, T.W., and Staelin, R. Channel efficiency, incentive compatibility, transfer pricing, and market structure: An equilibrium analysis of channel relationships. In L.P. Bucklin and J.M. Carman (eds.), Research in Marketing: Distribution Channels and Institutions, vol. 8. Greenwich, CT: JAI Press, 1986, pp. 181-223.
26. McKinsey Global Institute. U.S. productivity growth 1995-2000: Understanding the contribution of information technology relative to other factors. McKinsey and Company, Washington, DC, 2001.
27. Mohanty, R. Understanding the integrated linkage: Quality and productivity. Total Quality Management, 9, 8 (1998), 753-765.
28. Moorthy, S.K., and P'ng, I. Market segmentation, cannibalization, and the timing of product introduction. Working Paper, University of California, Los Angeles, 1990.
29. Mukhopadhyay, T.; Rajiv, S.; and Srinivasan, K. Information technology impact on process output and quality. Management Science, 43, 12 (1997), 1645-1659.
30. Osterman, P. The impact of computers on the employment of clerks and managers. Industrial and Labor Relations Review, 39, 2 (1986), 175-186.
31. Payson, S. Quality improvement versus cost reduction: A broader perspective on evolutionary change. Technology Analysis & Strategic Management, 10, 1 (1998), 69-88.
32. Popper, K. Logic of Scientific Discovery. London: Hutchinson, 1959.
33. Porter, M. Competitive Advantage: Creating and Sustaining Superior Performance. New York: Free Press, 1985.
34. Powell, T.C., and Dent-Micallef, A. Information technology as competitive advantage: The role of human, business, and technology resources. Strategic Management Journal, 18, 5 (1997), 375-405.
35. Roach, S.S. Services under siege - The restructuring imperative. Harvard Business Review, 69, 5 (1991), 82-91.
36. Soh, C., and Markus, M.L. How IT creates business values: A process theory synthesis. In J.I. DeGross, G. Ariav, C. Beath, R. Hoyer, and C. Kemerer (eds.), Proceedings of the Sixteenth International Conference on Information Systems. Atlanta: AIS, 1995, pp. 29-41.
37. Thatcher, M.E., and Oliver, J.R. The impact of technology investments on a firm's production efficiency, product quality, and productivity. Journal of Management Information Systems, 18, 2 (Fall 2001), 17-45.
38. Triplett, J.E. The Solow productivity paradox: What do computers do to productivity? Canadian Journal of Economics, 32, 2 (1999), 309-334.
39. Weill, P. The relationship between investment in information technology and firm performance: A study of the valve manufacturing sector. Information Systems Research, 3, 4 (1992), 307-333.
40. Yorukoglu, M. The information technology productivity paradox. Review of Economic Dynamics, 1, 2 (1998), 551-592.