67.
(p. 51)
When a firm strives to find ways to help its suppliers and customers reduce their costs or to increase
the costs of their competitors, it is pursuing a strategy of _______________.
68.
(p. 52)
When customers become dependent on mutually beneficial inter-enterprise information systems, they
become reluctant to switch to a company’s competitors because they would incur all following costs
except:
69.
(p. 52)
Companies like Wal-Mart extend their networks to their customers and suppliers in order to build
innovative continuous inventory replenishment systems that would lock in their business. This creates
a(n) _______________ information system.
70.
A serious problem of competitive advantage is that:
71.
(p. 54)
A company that places a strategic focus on customer value recognizes that __________, rather than
__________, has become a primary determinant in a customer’s perception of value.
72.
(p. 54)
Companies that consistently offer the best value from the customer’s perspective do all the following,
except:
73.
A customer-focused business can build customer value and loyalty by:
74.
A transaction database allows all of the following activities except:
75.
(p. 55-56)
According to the textbook case, innovation in information systems at Universal Orlando comes from
thinking like a:
76.
(p. 56)
The value chain framework can be used to view a firm as a series, a chain, or a network of basic
activities that:
77.
Which of the following is a primary business process?
78.
All of the following are primary business processes, except:
79.
Which of the following is a support process?
80.
All of the following are support processes, except:
81.
Business process reengineering is best defined as:
82.
Business process reengineering (BPR) is often referred to as:
83.
Business process reengineering (BPR) incorporates all the following strategies, except:
84.
Traditional business improvement includes:
85.
Business process engineering includes:
86.
Traditional business improvement includes all the following, except:
87.
Business process redesign includes all the following, except:
88.
(p. 62)
Organizations are changing from a competitive environment in which mass-market products and
services were standardized, long-lived, information-poor, and exchanged in one-time transactions to
an environment in which companies compete globally with niche-market products and services that
are _______________.
89.
An agile company supports all the following except:
90.
(p. 63)
_______________ agility is the ability to co-opt customers in the exploitation of innovation
opportunites.
91.
(p. 63)
_______________ agility is the ability to leverage assets, knowledge, and competencies in the
exploration and exploitation of innovation opportunities.
92.
(p. 63)
_______________ agility is the ability to accomplish speed, accuracy, and cost economy in the
exploitation of innovation opportunities.
93.
Which of the following is not a strategy of a virtual company?
94.
Explicit knowledge deals with:
95.
Tacit knowledge deals with:
96.
(p. 66)
Accessing and retrieving documents that have been stored online is a function of
_______________.
97.
(p. 66)
Real-time information management, communication, and collaboration are a function of
_______________.
98.
(p. 66)
Performance support, building expert networks, and leveraging organizational know-how are a
function of _______________.
99.
(p. 66)
The goal of knowledge management systems (KMS) is to help knowledge workers _______________
important business knowledge.
100.
(p. 67)
According to the textbook case, the Matter Page System at Goodwin Proctor increases efficiency of
their attorneys by:
101.
(p. 46)
A firm can survive and succeed in the long run if it successfully develops strategies to confront the
five _______________ forces that shape the structure of competition in its industry.
102.
(p. 46)
When an organization uses information technology to develop products, services and capabilities
in order to gain a strategic advantage over competitive forces in the global marketplace, it is using
information systems in a _______________ role.
103.
(p. 49)
The competitive threat of _______________ is often at its strongest during periods of rising costs or
inflation.
104.
(p. 49)
A _______________ strategy is a competitive strategy by which a firm seeks to become a low-cost
producer of products and services in the industry.
105.
(p. 50)
When using a(n) _______________ strategy, a firm seeks to find new ways of producing or
distributing its products and services that are so different from the way business has been conducted
that they may alter the fundamental structure of the industry.
106.
(p. 52)
_______________ are the costs in time, money, effort, and inconvenience that it would take a
customer or supplier to move its business to a firm’s competitors.
107.
(p. 53)
If a company has successfully increased the amount of investment or the complexity of the technology
required to compete in an industry or a market segment, it has raised _______________ that would
discourage or delay other companies from entering the market.
108.
(p. 53)
Although large investments in technology can create entry barriers for present or prospective players
in an industry, the barriers can evaporate over time as competitors employ the new technologies. This
is an example of IT becoming a competitive _______________.
109.
(p. 53)
When a strategy or action becomes a(n) _______________, it means that instead of creating an
advantage, the strategy or action becomes necessary simply to compete and do business in the
industry.
110.
(p. 54)
A customer-focused business has a strategic focus on customer _______________, which recognizes
that quality rather than price has become the primary determinant in a customer’s perception of
value.
111.
(p. 56)
In the _______________ concept, some business activities are primary processes while others are
support processes.
112.
(p. 57)
According to the value chain concept, _______________ processes within the organization would
include human resources management and technology development.
113.
(p. 58)
_______________ is defined as the restructuring and transforming of a business process by a
fundamental rethinking and radical redesign to achieve improvements in costs, quality, speed, and
service.
114.
(p. 58)
Many companies have found that organizational _______________ approaches are an important
enabler of business process re-engineering.
115.
(p. 63)
A(n) _______________ company can make a profit in markets with broad product ranges and short
model lifetimes, and it can produce orders individually and in arbitrary lot sizes.
116.
(p. 64)
A _______________ company can be defined as an organization that uses telecommunications
networks and other information technology to link people, assets, and ideas.
117.
(p. 64)
Virtual companies develop alliances and extranet links that form _______________ information
systems with suppliers, customers, subcontractors, and competitors.
118.
(p. 64)
People and corporations are forming virtual companies as the best way to implement key business
strategies and alliances that promise to ensure success in today’s turbulent _______________
climate.
119.
(p. 66)
The concept of _______________-management refers to organizing and sharing the diverse forms of
business information created within an organization. This includes managing project and enterprise
document libraries, discussion databases, hypermedia web site databases, and other types of
knowledge bases.
120.
_______________ knowledge deals with “how-to” knowledge, which resides in workers.
121.
_______________ knowledge is made up of data, documents, and things written down.
122.
(p. 66)
Enterprise Intelligence, Information Creation, Sharing, and Management, and Document Management
are the three levels of _______________.
123.
(p. 66)
Leveraging organizational “know-how”, performance support, interacting with operational databases,
and building expert networks are part of the _______________ level of knowledge management.
124.
(p. 66)
Capturing and distributing expert stories, real-time information management, communication
and collaboration, and new content creation are part of the _______________ level of knowledge
management.
125.
(p. 66)
Accessing and retrieving documents stored online are part of the _______________ level of
knowledge management.
ch2 Summary
Category # of Questions
AACSB: Technology 125
Blooms: Knowledge 125
Difficulty: Easy 19
Difficulty: Hard 35
Difficulty: Medium 71
Learning Objective: 1 36
Learning Objective: 2 35
Learning Objective: 3 27
Learning Objective: 4 18
Learning Objective: 5 9
OBrien – Chapter 02 125