The hidden business value: Business and economic value created by business support services. Evidence from the Romanian market

Business organizations compete for the best sustainable competitive advantage in a world that is changing quickly and dramatically due to the new economy driven by the information age. Do businesses, in the quest for the sustainable competitive advantage, use all available resources to their benefit? Data, information, and knowledge are a sustainable source of competitive advantage generated from within their own business support services. What is economic value and how can it be measured? Are the Romanian business organizations ready to switch their business philosophy to the new economy driven by the information age? The globalization puts Romanian business organizations regardless of their majority shareholder, size, type, and location under the pressure of catching up and to assimilate the new "rules of the game" called the 21st-century market competition. Romanian business organizations must be innovative, creative and resourceful in their global quest for sustainable competitive advantage. The Romanian business organization has embraced the challenges and opportunities of the information age indicated by most of the questionnaire respondents due to also requirements of their mother companies. The presence and usage of IT&C technology are not enough if the provided data, information, and knowledge are not capitalized and leverage to its maximal extent. 2018 Romania is facing both ends of the IT&C adoption, high tech, and globally competitive business organizations that have emerged and business organizations that are still run with very rudimentary and basic IT&C support.Over the years Romania has become an IT&C knowledge pool that is worldwide recognized and appreciated mainly not by local Romanian business organizations but more by foreign, local operating, business organizations. Presently the Romanian economy is not ready to change and to create value also from data, information and knowledge that it owns. The first steps have been already made, Romania has one of the best internet infrastructures in the world, placing the country permanently in the top 5 worldwide. The information age of the 21st century has determined irreversible and deep changes in the "classical" way of doing business. Slowly the "industrial age" style of managing a business is getting more and more obsolete due to the fundamental changes triggered by the "new economy" that is driven by data, information, and knowledge. IT&C is omnipresent in the business organizations of the 21st century, regardless of type, size or company culture and values. Also, there is a certain irrefutable acceptance of the IT&C phenomenon, that has touched all business aspects and that is transforming and leading many "classic" concepts to the brink of obsolescence.Leveraged by the information age value management is the "normal" response to the triggered changes. Even though the acceptance and recognition of the importance of value management are high (about 70%) there are still 30% that are skeptical and that is not very convinced by the "new economy".

Author: Marius Daraban Ph. D.

Publisher: Independently Published

Publication Date: Feb 18, 2020

Number of Pages: 124 pages

Binding: Paperback or Softback

ISBN-10: NA

ISBN-13: 9798615082320