Case study of electronic banking at Meridian Bancorp
Information and Software Technology - Information and software economics
Is office productivity stagnant?
MIS Quarterly
An economic analysis of strategic information technology investments
MIS Quarterly - Special issue on the strategic use of information systems
Managing J. Pierrepont Finch: Should he be given a PC?
Information and Management
The productivity paradox of information technology
Communications of the ACM
Technology investment and business performance
Communications of the ACM
Information technology impact on process output and quality
Management Science - Special issue: Frontier research on information systems and economics
The Business Value of Computers: An Executive's Guide
The Business Value of Computers: An Executive's Guide
Information technology payoff in the health-care industry: a longitudinal study
Journal of Management Information Systems - Special issue: Impacts of information technology investment on organizational performance
Journal of Management Information Systems - Special issue: Impacts of information technology investment on organizational performance
The leveraging influence of strategic alignment on IT investment: an empirical examination
Information and Management
Valuing information technology infrastructures: a growth options approach
Information Technology and Management
Information Technology Investments and Firms' Performance--A Duopoly Perspective
Journal of Management Information Systems
Journal of Management Information Systems
Information Technology as an Enabler of Growth in Firms: An Empirical Assessment
Journal of Management Information Systems
Information Technology Investment Strategies Under Declining Technology Cost
Journal of Management Information Systems
International Journal of Electronic Commerce
Communications of the ACM
Journal of Management Information Systems
Evaluating ERP projects using DEA and regression analysis
International Journal of Business Information Systems
What determines IT spending priorities?
Communications of the ACM - A Blind Person's Interaction with Technology
Technical efficiency and use of information and communication technology in Spanish firms
Telecommunications Policy
The leveraging influence of strategic alignment on IT investment: An empirical examination
Information and Management
Computers and Industrial Engineering
ERP ISV investment analysis under fuzzy decision environment
FSKD'09 Proceedings of the 6th international conference on Fuzzy systems and knowledge discovery - Volume 3
Entertainment Without Borders: The Impact of Digital Technologies on Government Cultural Policy
Journal of Management Information Systems
Thirst for Business Value of Information Technology
International Journal of Technology Diffusion
Improvement in Operational Efficiency Due to ERP Systems Implementation: Truth or Myth?
Information Resources Management Journal
Entertainment Without Borders: The Impact of Digital Technologies on Government Cultural Policy
Journal of Management Information Systems
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For over a decade, empirical studies in the information technology (IT) value literature have examined the impact of technology investments on various measures of performance. However, the results of these studies, especially those examining the contribution of IT to productivity, have been mixed. One reason for these mixed empirical findings may be that these studies have not effectively accounted for the impact of technology investments that increase production efficiency and improve product quality on firm productivity. In particular, it is commonly assumed that such investments should lead to gains in both profits and productivity. However, using a closed-form analytical model we challenge this underlying assumption and demonstrate that investments in certain efficiency-enhancing technologies may be expected to decrease the productivity of profit-maximizing firms. More specifically, we demonstrate that investments in technologies that reduce the firm's fixed overhead costs do not affect the firm's product quality and pricing decisions but do increase profits and improve productivity. In addition, we demonstrate that investments in technologies that reduce the variable costs of designing, developing, and manufacturing a product encourage the firm to improve product quality and to charge a higher price. Although this adjustment helps the firm to capture higher profits, we show that it will also increase total production costs and will, under a range of conditions, decrease firm productivity. Finally, we show that the direction of firm productivity following such investments depends upon the relationship between the fixed costs of the firm and the size of the market.