Abstract
The purpose of this study is to conduct the structural analysis of industries and to examine the current status of a firm's IT (Information Technology) utilization in Akita based on the Porter's theoretical frameworks: five competitive forces and value chain. Empirical data from 357 firms is analyzed. Results indicate that the strongest competitive force in Akita is “bargaining power of buyers" and the weakest one is “threat of new entrants". Furthermore, this study shows firms in Akita recognize “inbound logistics" and “firm infrastructure" as more important business value activities for IT application. The importance for applying IT to “operations" and “technological development" activities is low. Some critical competitive forces and business value activities necessary to encourage IT utilization are identified.