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Full-Text Articles in Business
Information Technology, Revenues, And Profits: Exploring The Role Of Foreign And Domestic Operations, Sunil Mithas, Jonathan W. Whitaker, Ali Tafti
Information Technology, Revenues, And Profits: Exploring The Role Of Foreign And Domestic Operations, Sunil Mithas, Jonathan W. Whitaker, Ali Tafti
Management Faculty Publications
How does information technology (IT) enable firms to globalize their operations and achieve higher foreign profits? We use archival data for multinational firms publicly-traded in the United States for the years 1999 – 2006, and find indirect evidence for the role of IT to help firms achieve higher foreign profits through revenue growth rather than cost reduction. Our findings suggest that foreign responsiveness plays a more important role in generating foreign profits than does value chain structure. Our exploratory analyses for the effect of IT on domestic revenues and profits suggest some evidence for equalization of returns across foreign and …
How Multinational Corporations Use Information Technology To Manage Global Operations, Jonathan W. Whitaker, Peter Ekman, Steven M. Thompson
How Multinational Corporations Use Information Technology To Manage Global Operations, Jonathan W. Whitaker, Peter Ekman, Steven M. Thompson
Management Faculty Publications
Despite a generally-acknowledged importance of information technology (IT) in enabling global strategy and a broad understanding of the manner in which IT enhances coordination and reduces cost, few studies have focused precisely on how multinational corporations (MNCs) use IT to facilitate globalization. To address this gap in the literature, we conduct a case study across four large MNCs, and use primary data to develop theoretical propositions on the characteristics of products, processes and customers that impact the ways in which MNCs use IT to manage their global operations.