6.8 Cost Leadership

	The use of IS facilitate for the low cost leadership competitive advantage to be attained.
	This is achieved through increased efficiency and thus decreased costs on both the operational and strategic levels.

E.g., the use of IS can help a company reducing the number of its employees, thus reducing operational cost.

Global companies through IS find it easier to play the cost leadership strategy as they can.

For example buy products in bulk from suppliers for cheaper prices benefiting from economies of scale.

This is on the contrary to small scale operating companies where it is harder for them to buy large quantities.