Synergy and strategy in e‐business

This article explores the theme of synergy in relation to business strategy, with specific reference to e‐business. After exploring the extent to which e‐business strategy needs to be integrated with corporate and functional area strategies, the article continues the theme of synergy by viewing the extent of integration between the functions of multiple channels. Another dimension of synergy arises in the context of the supply chain. Issues such as alliances, and disintermediation and re‐intermediation contribute to the debate concerning synergy between companies. The central role of alliances in e‐business is such that businesses need to consider the concept of the virtual organisation, and the implications of strategy formulation and delivery not only within an organisation, but also across the alliances that make the virtual organisation. The article is interspersed with short case vignettes that elucidate some of the challenges for strategy and synergy.