Abstract
The ERP system collects the information through the firm's whole value creation process, so it is reasonable to use the value chain theory to analyze ERP development. Firstly, the extended information hierarchy value chain theory (EIHVCT) was advanced based on the value chain theory and information hierarchy theory. Second, the validity of EIHVCT was conducted through the elaboration of the ERP history and future trend. Finally, a case study was analyzed to further explain the practical effects of EIHVCT, and the porter's value chain theory was supplemented.
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