Chapter 2 The Internet reduces the barriers of entry for new 

subject Type Homework Help
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subject Words 794
subject Authors Brad Prince, R. Kelly Rainer

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Package Title: Homework Questions
Course Title: IS 5e
Chapter Number: 2
Question Type: Multiple Choice
Question Type: True/False
1) All business processes must be owned by one and only one functional area in any organization.
2) A(n) _____ is a collection of related activities that produce a product or a service of value to an organization.
a) workflow pattern
b) business process
c) supply chain
d) information system
e) management technique
3) The goals of business process reengineering are to (check all that apply):
a) Reduce waste.
b) Increase customer satisfaction.
c) Increase cycle time.
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d) Increase productivity.
e) Optimize operations.
4) Business process management includes methods and tools to support the design, analysis, implementation,
management, and optimization of business processes.
5) Organizations depend on IT to facilitate their transition to the globalization of their operations.
6) In today’s business environment, it is rare for a company not to have a significant Web presence. This trend
can be attributed primarily to:
a) Social responsibility.
b) Technological pressures.
c) Government regulations.
d) None of these.
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7) The Internet reduces the barriers of entry for new competitors in an established industry.
8) The Internet can both reduce and increase the bargaining power of suppliers, depending on the specific
circumstances.
9) In recent years, companies such as Walmart and Amazon.com have offered streaming videos for rent on their
Web sites. This is another example of how new technology has (check all that apply):
a) Increased the threat of new entrants.
b) Increased the threat of substitute products.
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c) Increased the supplier’s bargaining power.
d) Decreased the buyer’s bargaining power.
10) Selecting and adhering to a single competitive strategy is sufficient to counter all of Porter’s five forces and
be successful in the long term.
11) Business-IT alignment refers to the synchronization of a company’s IT operations with its:
a) Business processes.
b) Business objectives.
c) Infrastructure.
d) Business environment.
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12) According to McKinsey & Co, the root cause of companies’ inability to align their IT and their business
goals is the lack of knowledge and communication.

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