Читать книгу End Of Competition, The: The Impact Of The Network Economy - C N A Molenaar - Страница 28

The use of the Internet has changed the competitive relationships and the market conditions. As a result, it has become necessary for providers to go along with the innovation of one of the providers. When a provider successfully applies new technologies within the traditional business model, it can lead to lower costs in the so-called input–output model and in the processing. The application of the Internet can consequently reduce the price level or, if the market price forms the basis, lead to a higher profit margin. Other providers would have to tag along to ensure they do not fall behind the competition. This is a vicious circle; despite the innovation brought about by the Internet, this will only lead to an increasingly level playing field.