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Step 1 Assess the information intensity of the value chain (i.e. the level and usage of
information within each value chain activity and between each level of activity). The
higher the level of intensity and/or the higher the degree of reliance on good‑ quality
information, the greater the potential impact of new information systems.
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Step 2 Determine the role of IS in the industry structure. It is also important here to
understand the information linkages between buyers and suppliers within the indus‑
try and how they and competitors might be affected by and react to new information
technology.
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