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Questions were then raised about the added value that the internet brought to business and how these technologies could be used competitively. Grocery companies chose to diversify their service by introducing online equivalents of conventional stores. Porter (2001, p.62) criticised numerous pioneers of Internet business for infringement of fundamental strategic principles:
“Gaining competitive advantage does not require a radically new approach to business; it requires building on the proven principles of effective strategy”
The most successful example of an internet business that built its strategy on a previous effective one is Tesco’s online service...
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