Question 1

Which of the following are key corporate assets?
A) intellectual property, core competencies, and financial and human assets
B) production technologies and business processes for sales, marketing, and finance
C) knowledge and the firm's tangible assets, such as goods or services
D) time and knowledge
E) significant business relationships

Accepted Answer

Intellectual property, core competencies, and financial and human assets are all key corporate assets that contribute to a company's competitiveness and ability to create value. Production technologies and business processes are important, but they are typically viewed as operational assets rather than strategic assets. Knowledge and tangible assets are also valuable, but they fall under the broader category of corporate assets. Time and significant business relationships are important, but they are not typically viewed as key corporate assets.

Question 2

Verizon Corporation's use of a Web-based digital dashboard to provide managers with precise real-time information illustrates which business objective?
A) improved flexibility
B) improved decision making
C) competitive advantage
D) survival
E) customer and supplier intimacy

Accepted Answer

Verizon Corporation's use of a Web-based digital dashboard to provide managers with precise real-time information illustrates the business objective of improved decision making. Digital dashboards are designed to provide quick access to relevant and timely data, allowing for more informed and effective decision making. Through real-time monitoring and analysis of key performance indicators, managers can identify trends, forecast outcomes, and take proactive steps to achieve business goals.

Question 3

Internet advertising is growing at approximately 15 percent a year.

Accepted Answer

This statement is true. According to the Interactive Advertising Bureau's Internet Advertising Revenue Report, internet advertising revenue grew by 15.9 percent in 2019.

Question 4

A fully digital firm produces only digital goods or services.

Accepted Answer

The answer of A fully digital firm produces only digital...

Question 5

Developing a new product, hiring a new employee, and fulfilling an order are examples of business processes.

Accepted Answer

These activities involve specific steps and tasks that must be taken to achieve a desired outcome, making them examples of business processes.

Question 6

All of the following are advantages, for a firm, of cloud computing except
A) ability to support mobile computing.
B) ability to support remote work.
C) ability to improve communication.
D) ability to rely on markets to build value.
E) ability to reduce data storage costs.

Accepted Answer

The answer of All of the following are advantages, for...

Question 7

A firm that must invest in new information systems capabilities in order to comply with federal legislation can be said to be investing to achieve which business objective?
A) customer intimacy
B) operational excellence
C) survival
D) improved reporting
E) improved decision making

Accepted Answer

The fact that the firm is investing in new information systems capabilities to comply with federal legislation implies that failure to comply could result in penalties, legal action, or even closure of the business. Therefore, the investment is being made with the objective of survival.

Question 8

A business model describes how a company produces, delivers, and sells a product or service to create wealth.

Accepted Answer

A business model outlines the strategy a company uses to generate revenue and profit by detailing all the activities required to create, deliver, and capture value.

Question 9

The move of retail banking to use ATMs after Citibank unveiled its first ATMs illustrates the use of information systems to achieve which business objective?
A) improved efficiency
B) customer and supplier intimacy
C) survival
D) competitive advantage
E) improved decision making

Accepted Answer

The answer of The move of retail banking to use...

Question 10

Which of the following choices may lead to competitive advantage?
1) new products, services, and business models; 2. charging less for superior products; 3. responding to customers in real time?
A) 1 only
B) 1 and 2
C) 2 and 3
D) 1 and 3
E) 1, 2, and 3

Accepted Answer

1) New products, services, and business models can differentiate a company from its competitors and potentially create a unique selling proposition. 3) Responding to customers in real time can improve customer satisfaction and create a positive reputation for the company. Charging less for superior products (choice 2) may not necessarily lead to a sustainable competitive advantage as competitors can also lower their prices.

Question 11

Investment in IT is 33% of all invested capital.

Accepted Answer

The answer of Investment in IT is 33% of all...

Question 12

The temp agency that you own is having serious difficulties placing temps because few of them are familiar with Internet research. Investing in training software to enhance your workers' skills is an example of using technology to achieve which business objective?
A) customer and supplier intimacy
B) survival
C) operational excellence
D) improved decision making
E) new products and services

Accepted Answer

The answer of The temp agency that you own is...

Question 13

The six important business objectives of information technology are new products, services, and business models; customer and supplier intimacy; survival; competitive advantage; operational excellence; and
A) improved flexibility.
B) improved decision making.
C) improved business practices.
D) improved efficiency.
E) improved business value.

Accepted Answer

The other options listed are all important benefits of information technology, but they are not specifically listed as the sixth business objective in the question. The sixth objective is improved decision making, which refers to the ability for businesses to gather and analyze data to make informed decisions that drive success.

Question 14

Which of the following objectives best describes the business strategy behind the technologies implemented by the San Francisco Giants, as discussed in the chapter case?
A) customer and supplier intimacy
B) survival
C) competitive advantage
D) customer support
E) operational excellence

Accepted Answer

The business strategy behind the technologies implemented by the San Francisco Giants is to gain a competitive advantage, as the technologies help the team analyze player performance data and make strategic decisions on roster management and game strategy.

Question 15

Apple Computer dominates the online legal music sales industry primarily because of a failure of recording label companies to
A) invest in technology.
B) assemble accurate data.
C) invest in complementary assets.
D) modernize their information value chain.
E) adopt a new business model.

Accepted Answer

The answer of Apple Computer dominates the online legal music...

Question 16

The use of information systems because of necessity describes the business objective of
A) operational excellence.
B) improved business practices.
C) competitive advantage.
D) improved flexibility.
E) survival.

Accepted Answer

The phrase "because of necessity" indicates that the business objective is survival - the organization needs to use information systems in order to keep functioning and remain competitive in its industry.

Question 17

An example of a business using information systems to create new products and services is
A) Wal-Mart's RetailLink system.
B) the Mandarin Oriental hotel's customer-preference tracking system.
C) Verizon's Web-based digital dashboard.
D) Apple Inc.'s iPod.
E) the San Francisco Giants play tracking system.

Accepted Answer

Apple Inc.'s iPod was created using information systems such as software engineering, supply chain management, and digital media design. The iPod was a revolutionary product that combined music storage and playback in a portable device, and its success was largely due to the integration of various information systems.

Question 18

The Mandarin Oriental hotel's use of computer systems to keep track of guests' preferences is an example of
A) improved flexibility.
B) improved decision making.
C) improved efficiency.
D) customer and supplier intimacy.
E) operational excellence.

Accepted Answer

The Mandarin Oriental hotel's use of computer systems to keep track of guests' preferences demonstrates customer and supplier intimacy as it allows the hotel to better understand and meet the needs of its guests.

Question 19

An example of a business using information systems for customer and supplier intimacy is
A) Wal-Mart's Retail Link system.
B) the Mandarin Oriental hotel's customer-preference tracking system.
C) Verizon's Web-based digital dashboard.
D) Apple Inc.'s iPod.
E) Citibank's ATMs.

Accepted Answer

The answer of An example of a business using information...

Question 20

An example of a business using information systems to attain operational excellence is
A) Wal-Mart's Retail Link system.
B) the Mandarin Oriental hotel's customer-preference tracking system.
C) Verizon's Web-based digital dashboard.
D) Apple Inc.'s iPod.
E) Citibank's ATMs.

Accepted Answer

Wal-Mart's Retail Link system allows the company to gather real-time data on its inventory and sales, as well as track customer trends and preferences. This information is used to improve operational efficiency by streamlining supply chain processes, reducing waste, and optimizing product assortments. As a result, Wal-Mart is able to maintain low prices for customers while still achieving high profit margins.

Quiz 1: Information Systems in Global Business Today

Which of the following are key corporate assets?

Verizon Corporation's use of a Web-based digital dashboard to provide managers with precise real-time information illustrates which business objective?

Internet advertising is growing at approximately 15 percent a year.

A fully digital firm produces only digital goods or services.

Developing a new product, hiring a new employee, and fulfilling an order are examples of business processes.

All of the following are advantages, for a firm, of cloud computing except

A firm that must invest in new information systems capabilities in order to comply with federal legislation can be said to be investing to achieve which business objective?

A business model describes how a company produces, delivers, and sells a product or service to create wealth.

The move of retail banking to use ATMs after Citibank unveiled its first ATMs illustrates the use of information systems to achieve which business objective?

Which of the following choices may lead to competitive advantage? 1) new products, services, and business models; 2. charging less for superior products; 3. responding to customers in real time?

Investment in IT is 33% of all invested capital.

The temp agency that you own is having serious difficulties placing temps because few of them are familiar with Internet research. Investing in training software to enhance your workers' skills is an example of using technology to achieve which business objective?

The six important business objectives of information technology are new products, services, and business models; customer and supplier intimacy; survival; competitive advantage; operational excellence; and

Which of the following objectives best describes the business strategy behind the technologies implemented by the San Francisco Giants, as discussed in the chapter case?

Apple Computer dominates the online legal music sales industry primarily because of a failure of recording label companies to

The use of information systems because of necessity describes the business objective of

An example of a business using information systems to create new products and services is

The Mandarin Oriental hotel's use of computer systems to keep track of guests' preferences is an example of

An example of a business using information systems for customer and supplier intimacy is

An example of a business using information systems to attain operational excellence is