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Optimal Information Technology Purchase Decision: A Factor Rating Approach
Abstract
With the amount of resources dedicated to information technology (IT) expenditure today, we need to have a systematic way to assess the elusive benefit of all IT purchases. This paper proposes a modified Factor Rating approach that separates the subjective benefit assessment from objective cost-benefit analysis. Due to the advancement of computer technology, using this method, we often discover that for most users, the cheapest computer may be the optimal computer in the market today.
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