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Onstar

    1. The chapter discussed several examples of companies that have used IT for competitive advantage. Is there anything about the OnStar system that makes it a good example as well? Is OnStar a feature that is likely to give GM a competitive advantage for an extended period of time or is it likely to give, if anything, a temporary advantage? OnStar provides emergency road assistance and driving direction. Similarly about flight reservation, wireless applications are on the way too. If flights get delay than it informs the passenger that you can have half hour more to relax. The technology is great. GM has used the technology to support its own brands, and not establish itself as a separate brand. They were giving up a competitive advantage. GM’s brands need everything they can get, and that’s why they have used OnStar for. For example: Auto analyst at investment bank, points to a recent agreement with Lexus, in which the OnStar service will be branded Lexus link, as an example of how the OnStar brand has been used. It does not have any temporary advantage because the technologies that are succeeding in wide adoption frequently display simple interfaces and low barriers to use. In the case of instant messaging, e-mail, and

Approximate Word count = 2044
Approximate Pages = 8 (250 words per page double spaced)

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