In December 1998, Intel launched its Web site, designed to automate customer relationships and to migrate previously human-intensive tasks to the Web. I call this the e-business squeeze play . By doing so, the leader removes substantial costs of doing business. We've already seen this squeeze play in many industries. In networking equipment, witness Cisco's market dominance.
Customers prefer doing business online.
Human interaction isn't eliminated, but it is reserved for important yet less frequent procedures, such as negotiating prices, guaranteeing delivery times, and troubleshooting unique problems. The Web Effect has an impact on everyone in that business ecosystem. And don't forget companies that sell more standard offerings, such as office products, computers, and software. That depends on how many mouse clicks it takes to find companies that do. The Web Effect is not just rippling through the technology sector.