51) What analytical framework discussed in the chapter helps understand and evaluate the benefits
and uses of collaboration tools?
C) Time/space matrix
52) The term .management information systems. designates a specific category of information systems
D) Middle management functions
53) Which type of system would you use to determine the five suppliers with the worst record in
delivering goods on time?
54) A computerized system that performs and records the daily dealings necessary to conduct
business is classified as a(n):
D) Transaction-processing system
55) Which type of system would you use to forecast the return on investment if you used new
suppliers with better delivery track records?
56) Development and support services for a firm's business systems are provided by:
D) Application software services
57) Engineers and architects are examples of:
B) Knowledge workers
58) The most widely used collaboration software tool used by very large firms is:
A) Lotus Notes
59) Decision-support systems are also referred to as:
C) Business intelligence systems
60) Buying or selling goods over the Internet is called:
61) The five basic entities that make up any business are suppliers, customers, employees, products
and services, and:
A) Invouces and Payments
62) Which of the following is a cross-functional business process?
D) Fulfilling a Customer Order
63) Which of the following statements is NOT true about collaboration in a business setting?
A) Meaningful collaboration requires a supportive business firm culture and the right,
B) The evidence of the business benefits of collaboration are largely anecdotal.
C) Collaboration is a many-to-many activity as opposed to a one-to-one or one-to-many
D) Collaboration may be a short-lived activity, lasting just a few minutes.
C) Collaboration is many-to-many activity as opposed to a one-to-one or one-to-many activity.
64) Key forces in a business's immediate environment include:
65) You have been hired by Inspiration Inc, to help improve their profit margin. Inspiration Inc. is a
business communications consultancy that services many clients in different industries throughout
the U.S. The end products of the company are customized recommendations for the best use of a
client's existing resources for improving internal communications, typically delivered via
documentation in different media. The company has approximately 100 consultants all of whom
are located in their central headquarters in Chicago. What system do you recommend to improve
the company's business processes and increase their profit margin?
communicating with the client, and minimize the amount of paperwork needed
D) CRM, to maintain easily accessible customer records to minimize the time spent looking for
B) Extranet, to enable quick collaboration over the Internet, minimize the time spent communicating with the client, and minimize the amount of paperwork needed.
66) Which type of information system would an intranet be most easily adapted to?
67) ________ systems provide information to coordinate all of the business processes that deal with
customers in sales, marketing, and service to optimize revenue, customer satisfaction, and
68) A ________ is a senior manager who oversees the use of IT in the firm.
69) Checking for product quality is an activity associated with the ________ function.
D) Manufacturing and Production
70) A wiki is a type of:
C) Web site designed for collaborative writing and editing.
71) What is the most important benefit of an enterprise application?
D) Enabling business functions and departments to share information.
72) Employees that assist with paperwork at all levels of the firm are called:
B) Data Workers
73) Which type of system would you use to change a production schedule if a key supplier was late in
74) ESS are specifically designed to serve the ________ level of the organization.
D) Senior Management
75) ________ systems integrate and share information from suppliers, manufacturers, distributors, and
A) Supply-chain management.
76) Promoting the organization's products or services is a responsibility of the ________ function.
B) Sales and Marketing.
77) Interaction jobs are those jobs which:
D) Involve knowledge that can't be put into an information system.
78) The ________ is responsible for ensuring that the company complies with existing data privacy
79) Which of the following types of system could be used to enable different firms to work
collaboratively on a product?
80) A(n) ________ collects data from various key business processes and stores the data in a single
comprehensive data repository, usable by other parts of the business.
B) Transaction processing system
81) These systems are designed to summarize and report on the company's basic operations.
D) Management Information Systems
82) A relocation control system that reports summaries on the total moving, house-hunting, and home
financing costs for employees in all company divisions would fall into the category of:
A) Management Information Systems
83) Which of the following tools is NOT one of the most important 15 types of collaboration software
B) Video Streaming
84) Wal-Mart's continuous replenishment system allows it to:
B) Provide an efficient customer response system
85) Which of the following illustrates the use of information systems to focus on market niche?
A) Chrysler Corporation's use of information systems to facilitate direct access from suppliers to
B) AutoNation's use of information systems to determine which models and options they are
most likely to buy.
C) Dell's use of information systems in selling made-to-order PCs directly to customers.
D) Wal-Mart's use of information systems to produce products and services at a lower price
B)AutoNation's use of information systems to determine which models and options they are most likely to buy.
86) Seeing quality as the responsibility of all people and functions in an organization is central to the
87) Network economics:
A) balances the high cost of adding new members to a community against the lower cost of
using network infrastructure.
B) sees the cost of adding new members as inconsequential.
C) applies traditional economics to networked users.
D) applies the law of diminishing returns to communities of users.
B) Sees the cost of adding new members as inconsequential
88) Which of the following can force a business and its competitors to compete on price alone?
D) Transparent Marketplace
89) Blockbuster's move to include online movie rental as a part of its services illustrates the use of
information systems for:
D) New products and services
90) A manufacturer of deep-sea oil rigs may be least concerned about which of these marketplace
D) New Market Entrants
91) The primary activities of a firm include:
C) Inbound lagistics, operations, outbound logistics, sales and marketing, and service.
92) The value chain model:
its competitive position.
D) categorizes five related advantages for adding value to a firm's products or services.
A) Helps a firm identify points at which information technology can most effectively to enhance its competitive position.
93) An information system can enhance core competencies by:
A) encouraging the sharing of knowledge across business units.
B) creating educational opportunities for management.
C) providing better reporting facilities.
D) allowing operational employees to interact with management.
94) ________ systems are those in which development occurs at the home base but operations are
handed over to autonomous units in foreign locations.
95) An information system can enable a company to focus on a market niche through:
C) Intensive customer data analysis
96) A firm's value chain is linked to the:
A) Value chains of its suppliers, distributors, and customers.
97) The greatest impact the Internet has had on globalization is in lowering the costs of:
A) Entry to global-scale operations
98) The ________ strategy concentrates financial management and control out of a central home base
while decentralizing production, sales, and marketing operations to units in other countries.
99) Which competitive force best categorizes the threat Netflix posed to Blockbuster?
A) Substitute products and services.
100) The reduction of errors to 3.4 defects per million opportunities is central to the concept of:
D) Six Sigma
101) Many reengineering projects do not achieve breakthrough gains in performance because:
A) Organizational change is difficult to manage
102) When the output of some units can be used as inputs to other units, or if two organizations pool
markets and expertise that result in lower costs and generate profits it is often referred to as
103) Hilton Hotels' use of customer information software to identify the most profitable customers to
direct services to is an example of using information systems to:
A) Focus on Market Niche
104) A virtual company:
C) Uses the capabilities of other companies without being physically tied to those companies
105) When a firm provides a specialized product or service for a narrow target market better than
competitors, they are using a:
C) Market Niche Strategy
106) Which of the following is an example of a key force in a firm's broader, less immediate
D) Economic trends
107) Second Life is an example of a:
B) Virtual World
108) The principal liaison between the information systems groups and the rest of the organization is
D) Systems analyst
109) Which type of system would you use to determine what trends in your supplier's industry will
affect your firm the most in five years?
110) These systems are designed to support organization-wide process coordination and integration.
A) Enterprise Application
111) Executive support systems are information systems that support the:
B) Long-range planning activities of senior management.
112) The use of digital technology and the Internet to execute the major business processes in the
enterprise is called:
113) The three principal levels of hierarchies within a business organization are:
B) Senior management, Middle management, and Operational Management.
114) These systems are especially suited to situations in which the procedure for arriving at a solution
may not be fully predefined in advance.
A) Decision-support systems
115) ________ support making decisions that are unique, rapidly changing, and not easily specified in
A) Decision-support systems
116) You work for a highly successful advertiser that is just about to expand nationally. Of utmost
importance will be finding a way to store and disseminate their client's frequently updated
branding and style guides to all of their branches. The guides include multiple image files and text
documents. What system will best serve these needs?
C) An extranet with KMS capabilities
117) Which of the following collaboration tools would be appropriate for participants in separate
locations who need to collaborate synchronously?
C) Electronic Meeting software.
118) A POS system, such as the one selected by Johnny's Lunch in the chapter case study, falls into
which category of information system?
119) ________ systems often deliver information to senior executives through a portal.
C) Executive support
120) You manage the Information Systems department at a small startup Internet advertiser. You need
to set up an inexpensive system that allows customers to see real-time statistics such as views and
click-throughs about their current banner ads. Which type of system will most efficiently provide
C) Enterprise system
121) The support activities of a firm include:
A) organization infrastructure, human resources, technology, and procurement.
B) inbound logistics, organization infrastructure, outbound logistics, technology, and
C) organization infrastructure, human resources, sales and marketing, and technology.
D) inbound logistics, technology, outbound logistics, sales and marketing, and service.
D) Inbound logistics, technology, outbound logistics, sales and marketing, and service.
122) ________ typically develop a single information system, usually at the home base, and then
replicate it around the world.
123) A ________ is a collection of independent firms that use information technology to coordinate their
value chains to produce a product or service for a market collectively.
A) Value Web
124) Which of the following illustrates the use of information systems to achieve product
A) A retailer's use of information systems to produce products and services at a lower price than
B) A PC manufacturer's use of information systems in selling build-to-order PCs directly to
C) A car dealer's use of information systems to determine which models and options its
customers are most likely to buy.
D) An automobile manufacturer's use of information systems to facilitate direct access from
suppliers to production schedules.
B) A PC manufacturer's use of information systems in selling build-to-order PC's directly to customers
125) Which of the following illustrates the use of information systems to strengthen customer and
A) Wal-Mart's use of information systems to produce products and services at a lower price
B) Dell's use of information systems in selling made-to-order PCs directly to customers.
C) AutoNation's use of information systems to determine which models and options they are
most likely to buy.
D) Chrysler Corporation's use of information systems to facilitate direct access from suppliers to
D) Chrysler Corporation's use of information systems to facilitate direct access from suppliers to production schedules.
126) The four basic strategies a company can employ to deal with competitive forces are:
A) (1) strengthen customer and supplier intimacy, (2) focus on market niche, (3) product
differentiation, and (4) low-cost leadership.
B) (1) increase process efficiency, (2) implement demand control, (3) focus on market niche, and
(4) low-cost leadership.
C) (1) focus on market niche, (2) product differentiation, (3) mass customization, and (4)
implement demand control.
D) (1) strengthen customer and supplier intimacy, (2) focus on market niche, (3) product
differentiation, and (4) implement demand control.,
A) (1) Strengthen customer and supplier intimacy, (2) focus on market niche, (3) product differentiation, and (4) low-cost leadership.
127) To what competitive force did the printed encyclopedia industry succumb?
D) Substitute products or services
128) Psychological aspects play a significant role in the definition of quality for:
B) Customers only
129) How are information systems used at the industry level to achieve strategic advantage?
D) By building industry-wide, IT-supported consortia and symposia
130) Which industries did the first wave of e-commerce transform?
D) Air Travel, Books, Music.
131) In a business environment, the focus of collaboration is to:
C) Accomplish the task at hand
132) Policies that determine which information technology will be used, when, and how are provided
B) IT Standards services.
133) The Internet raises the bargaining power of customers by:
C) Making information available to everyone.
134) ________ systems are those in which each foreign unit designs its own unique information system
135) Streamlining the steps taken to complete a business task more efficiently is called:
C) Workflow Management
136) A substitute product of most concern for a cable TV distributor is:
D) Satellite TV
137) Which of the following industries has the lowest barrier to entry?
138) Internet technology:
C) Makes it easy for rivals to compete on price alone.
139) ________ systems are those in which systems development and operation occur totally at the
domestic home base.
140) ________ is the ability to offer individually tailored products or services using the same production
resources as bulk production.
A) Mass Customization
141) Which of the following is not one of the competitive forces of Porter's model?
B) External Environment
142) The emergence of the World Wide Web acted as a disruptive technology for:
A) Print Publishing
A) Compares the efficiency and effectiveness of your business processes against strict standards.
144) Which of the following is not a benefit of implementing CAD systems?
D) Reducing the time spend on benchmarking.
145) The most successful solutions or methods for achieving a business objective are called:
D) Best Practices
146) In network economics, the value of a commercial software vendor's software products:
D) Increases as more people use them
147) The ________ strategy is characterized by heavy centralization of corporate activities in the home
country of origin.
B) Domestic Exporter
148) Globalization allows:
A) businesses to use the capabilities of other companies without being physically tied to those
B) information systems to more fully utilize Internet capabilities.
C) businesses to sell their products on a global scale.
D) information systems to enhance core competencies.
C) Businesses to sell their products on a global scale
149) The more any given resource is applied to production, the lower the marginal gain in output, until
a point is reached where the additional inputs produce no additional output is referred to as:
A) the law of diminishing returns.
B) supply and demand.
D) the point of no return..
A) the law of diminishing returns.
150) A firm can exercise greater control over its suppliers by having: