Jose J.

Solivan M00277003
BADM 6500 Assignment u_09

Why are standards so important in many high-tech industries? What are the competitive
implications if this?

High-tech industries are companies that are concentrated within science, technology,
engineering, and mathematics sectors, where the companies use advanced technologies to
provide a better goods for customers. The firms within these markets have unique strategies and
mode of operations, with a trend of fast growth with every new technology.

The companies in this sector, have technical standards along their business operations. High-tech
industries standards are very important as they enable, organize, and achieve competitive
advantage within the markets, enhancing customer experience with top savvy products and
services, and empower companies to develop technologies faster. The standards are the guidance
for interfaces communication, and exchange of data, which is indispensable to transfer findings,
details and any other critical and efficient data between teams and units. Those details impact the
business with improved customers perception on quality avoiding confusions, it helps with cost
reductions of entry in new markets and improve automation and quality of goods, increase
testing and production volume, which enables the firm to minimize the complementary supply.

When a new technology is developed and transform the market, the implications of the standards
in high-tech industries is additional work as its impact the competition itself, and its essential to
create new strategies to be competitive. The performance of a new technology improves quickly,
which it’s a source of competitive advantage and business growth.

References:
 Hill, C.W.L., Jones, G.R. &, Schilling, M. A. (2014). Strategic Management: Theory: An
Integrated Approach (11th. Ed.)

 Tassey, G. (2017). Standards and expansion paths in high-tech industries. In Handbook of

Innovation and Standards. Edward Elgar Publishing.

 Davies, W., & Brush, K. E. (1997). High-tech industry marketing: The elements of a
sophisticated global strategy. Industrial Marketing Management, 26(1), 1-13.