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MIS 252 Exam 1
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Computers were first used in business in early 1960s. The revolution of computer-based information systems can be viewed as data systems -> Management Information Systems -> Decision Support Systems -> Knowledge Management Systems.

True or False


False


Information technology (IT) consists of all the hardware that a firm needs to use in order to achieve its business objectives, whereas information systems consist of all the software and business processes needed.

True or False


False


In order to understand how a specific business firm uses information systems, you need to know something about the hierarchy and culture of the company.

True or False


True


Operational management is responsible for directing the day-to-day operations of the business and therefore needs transaction-level information.

True or False


True


Management information systems typically support nonroutine decision making.

true or False


False


A hotel reservation system is a typical example of a management information system.
True or False


False


Executive Support Systems have more analytic power than other types of information systems

True or False


False


Information supplied by an enterprise system is structured around cross-functional business processes

True or False


True


Supply chain management systems are more externally oriented than enterprise systems

True or False


True


Amazon’s success in online bookselling illustrates the use of increasing transaction costs to increase profits

True or False


False


In the strategy of product differentiation, information systems are used to enable new products and services.

True or False


True


In the value chain model, primary activities are most directly related to the production and distribution of the firm’s products and services that create value for the customer.

True or False


True


In network economics, the more people that use Microsoft Office software and related products, the greater its value.

True or False


True


UPS has developed many Web-based tools to allow customers to embed some existing functions/services such as tracking and cost calculations into their own Web sites. This example illustrates that information systems can be used to achieve:





A.
new products, services, and business models
 
 
 


B.
customer intimacy
 
 
 


C.
survival
 
 
 


D.
operational excellence
 
 
 


E.
improved decision making








B.
customer intimacy





Citibank first introduced ATMs in retail banking in 1977. Other banks followed the move and provided ATMs to their customers to keep up with Citibank. Today, virtually all banks in the states provide ATM services to retail banking customers. This phenomena best illustrates which business objective of information systems?





A.
Operational excellence
 
 
 


B.
New products, services, and business models
 
 
 


C.
customer and supplier intimacy
 
 
 


D.
competitive advantage
 
 
 


E.
survival








E.
survival





Converting raw data into a more meaningful form is called:





A.
capturing
 
 
 


B.
processing
 
 
 


C.
organizing
 
 
 


D.
input
 
 
 


E.
feedback








B.
processing





An example of raw data from a national chain of automobile stores would be:





A.
an average of 13 Toyotas are sold daily in Kentucky.
 
 
 


B.
30 percent increase in Toyota RAV 4 sales during September in Kentucky.
 
 
 


C.
1 Toyota RAV4 sold March 3, 2005 in Louisville, Kentucky.
 
 
 


D.
all of the above.








C.
1 Toyota RAV4 sold March 3, 2005 in Louisville, Kentucky.





The fundamental set of assumptions, values, and ways of doing things that has been accepted by most of a company's members is called its:





A.
culture
 
 
 


B.
environment
 
 
 


C.
atmosphere
 
 
 


D.
values
 
 
 


E.
organizational context








A.
culture








 




Networking and telecommunications technologies, along with computer hardware, software, data management technology, and the people required to run and manage them, constitute an organization's:












A.
data management environment.
 
 
 


B.
networked environment.
 
 
 


C.
information system.
 
 
 


D.
IT infrastructure.








D.
IT infrastructure.





In a business hierarchy, the level that is responsible for monitoring the daily activities of the business is:





A.
middle management.
 
 
 


B.
service workers.
 
 
 


C.
production management.
 
 
 


D.
operational management.
 
 
 


E.
knowledge workers.








D.
operational management.





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





A.
invest in technology.
 
 
 


B.
adopt a new business model.
 
 
 


C.
invest in complementary assets.
 
 
 


D.
modernize their information value chain








B.
adopt a new business model.





The costs for firms operating on a global scale have been drastically reduced by:

A. the decreasing price of computers.       B. investments in organizational complementary assets.       C. the Internet.       D. the rise of digital content.       E. the emergence of digital firms. 


C. the Internet.


Overproduction or underproduction of goods and services, misallocation of resources, and poor response times are often the results of a firm's having:

A. poor relationships with suppliers.       B. poor relationships with customers.       C. lack of information.       D. surplus of information.       E. inadequate information.


E. inadequate information


Mr. Smith is an IS manager at a construction firm called SkyRoofing. He examined a recently implemented ordering system and found that few sales representatives used the system for preparing quotes. He decided to provide a training session for sales representatives to learn how to use the system. His decision is based on a __ view of the system.

A. technical       B. behavioral       C. socio-technical       D. systematic       E. political


B. behavioral


Pricing analysis is an example of:





A.
a sales and marketing information system serving senior management.
 
 
 


B.
a sales and marketing information system serving middle management.
 
 
 


C.
a finance and accounting information system serving senior management.
 
 
 


D.
a finance and accounting information system serving middle management.








B.
a sales and marketing information system serving middle management.





Senior management uses finance and accounting information systems to:





A.
plan long-term profits.
 
 
 


B.
decide where to locate new facilities.
 
 
 


C.
forecast sales trends.
 
 
 


D.
control the firms’ financial resources.








A.
plan long-term profits. 



 OR 




D.
control the firms’ financial resources.





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.
knowledge management systems.
 
 
 


B.
transaction processing systems.
 
 
 


C.
executive-support systems.
 
 
 


D.
management information systems.








D.
management information systems.





These systems are typically a major source of data for other systems:

A. transaction processing systems.       B. management information systems.       C. executive support systems.       D. decision-support systems.


A. transaction processing systems.


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.





A.
transaction system
 
 
 


B.
enterprise system
 
 
 


C.
automatic reporting system
 
 
 


D.
management information system








B.
enterprise system





These systems often deliver information to senior executives through a portal, which uses a Web interface to present integrated personalized business content:

A. transaction processing systems.       B. executive support systems.       C. management information systems.       D. decision-support systems.


B. executive support systems.


Which type of system would you to use to determine what trends in your supplier's industry will affect your firm the most in five years?





A.
ESS
 
 
 


B.
MIS
 
 
 


C.
DSS
 
 
 


D.
TPS








A.
ESS





Which type of system would you use to change a production schedule if a key supplier was late in delivering goods?





A.
ESS
 
 
 


B.
MIS
 
 
 


C.
DSS
 
 
 


D.
TPS








C.
DSS





Which type of system would you use to determine the five suppliers with the worst record in delivering goods on time?




A.
ESS
 
 
 


B.
MIS
 
 
 


C.
DSS
 
 
 


D.
TPS










B.
MIS





The principal liaison between the information systems groups and the rest of the organization is a(n):





A.
programmer
 
 
 


B.
information systems manager
 
 
 


C.
systems analyst
 
 
 


D.
database administrator








C.
systems analyst





What is the most important benefit of an enterprise application?





A.
Enabling speed of communicating
 
 
 


B.
Enabling business functions and departments to share information
 
 
 


C.
Enabling a company to work collaboratively with customers and suppliers
 
 
 


D.
Enabling cost-effective, e-business processes








B.
Enabling business functions and departments to share information





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 United States. 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?





A.
Extranet, to enable quick collaboration over the Internet , minimize the time spent communicating with the client, and minimize the amount of paperwork needed.
 
 
 


B.
CRM, to maintain easily accessible customer records to minimize the time spent looking for client data
 
 
 


C.
KMS, for minimizing redundant work on similar clients
 
 
 


D.
Marketing system, for improving sales levels








A.
Extranet, to enable quick collaboration over the Internet , minimize the time spent communicating with the client, and minimize the amount of paperwork needed.





IT governance refers to the way an organization design, develop and organize its various information systems. In the real world, which of the following mode is the most popular one:





A.
Centralized mode: all information systems are well integrated so that data can be easily shared among different systems and business units.
 
 
 


B.
Decentralized mode: systems are developed by local business units to meet their unique information needs.
 
 
 


C.
Federal mode: some systems are centralized, and some are decentralized.
 
 
 


D.
Duplicated mode: the central IS department develop all the systems; business units copy and operate the systems at their local level.
 
 
 


E.
Network mode: system development and operation occur in an integrated and coordinated fashion across all units.








C.
Federal mode: some systems are centralized, and some are decentralized.





The costs incurred when a firm buys on the marketplace what it cannot make itself are referred to as:





A.
switching costs.
 
 
 


B.
transaction costs.
 
 
 


C.
procurement.
 
 
 


D.
agency costs.








B.
transaction costs.





According to agency theory, the firm is viewed as a(n):





A.
unified, profit-maximizing entity.
 
 
 


B.
task force organization that must respond to rapidly changing environments.
 
 
 


C.
entrepreneurial endeavor.
 
 
 


D.
"Nexus of contracts" among self-interested individuals








D.
"Nexus of contracts" among self-interested individuals.





Amazon's use of the Internet as a platform to sell books illustrates a tactical use of information services for:

A. low-cost leadership.       B. product differentiation.       C. focusing on market niche.       D. strengthening customer intimacy.


A. low-cost leadership.
OR 
 
D. strengthening customer intimacy.


The _________ model is used to describe the interaction of external forces that affect an organization’s strategy and ability to compete.





A.
network economics
 
 
 


B.
competitive forces
 
 
 


C.
competitive advantage
 
 
 


D.
demand control








B.
competitive forces





To what competitive force did the printed encyclopedia industry succumb?





A.
substitute products or services over the Internet
 
 
 


B.
customer's bargaining power
 
 
 


C.
positioning and rivalry among competitors
 
 
 


D.
low cost of entry








A.
substitute products or services over the Internet





A manufacturer of deep-sea oil rigs may be least concerned about this marketplace force:





A.
Product differentiation
 
 
 


B.
Traditional competitors
 
 
 


C.
Low number of suppliers
 
 
 


D.
New market entrants








D.
New market entrants





When a firm provides a specialized product or service for a narrow target market better than competitors, they are using a:





A.
product differentiation strategy.
 
 
 


B.
market niche strategy.
 
 
 


C.
mass customization strategy.
 
 
 


D.
process efficiency strategy.








B.
market niche strategy.





Internet technology:





A.
makes it easy for rivals to compete on price alone.
 
 
 


B.
imposes a significant cost of entry, due to infrastructure requirements.
 
 
 


C.
increases the difference between competitors because of the wide availability of information.
 
 
 


D.
makes it easy to sustain operational advantages.








A.
makes it easy for rivals to compete on price alone.





The Internet raises the bargaining power of customers by:





A.
creating new opportunities for building loyal customer bases.
 
 
 


B.
making more products available.
 
 
 


C.
making information available to everyone.
 
 
 


D.
lowering transaction costs.








C.
making information available to everyone.





An example of synergy in business is:





A.
Amazon's use of the Internet to sell books.
 
 
 


B.
JP Morgan Chase's merger with Bank One Corporation, which provided JP Morgan with a network of retail branches in new regions.
 
 
 


C.
Blockbuster combining traditional video rental with online video rental.
 
 
 


D.
Wal-Mart's order entry and inventory management system to coordinate with suppliers.








B.
JP Morgan Chase's merger with Bank One Corporation, which provided JP Morgan with a network of retail branches in new regions.





Network economics:





A.
applies the law of diminishing returns to communities of users.
 
 
 


B.
applies traditional economics to networked users.
 
 
 


C.
sees the cost of adding new members as inconsequential.
 
 
 


D.
balances the high cost of adding new members to a community against the lower cost of using network infrastructure








C.
sees the cost of adding new members as inconsequential.





The emergence, for Amazon.com, of new competitors in the sphere of online shopping illustrates what disadvantage posed by the use of information systems to achieve competitive advantage?





A.
Law of diminishing returns
 
 
 


B.
Internet technologies are universal, and therefore usable by all companies.
 
 
 


C.
Internet shopping produces cost transparency.
 
 
 


D.
The Internet enables the production or sales of substitute products or services.








B.
Internet technologies are universal, and therefore usable by all companies.





Unstructured decision making is most prevalent at lower organizational levels.

True or False


False


Middle management face primarily unstructured decisions.

True or False


False


Transaction processing systems (TPS) help operational managers to deal with structured decisions.

True or False


True


The implementation phase of Simon's decision making model includes choosing among solution alternatives.

True or False


False


Web-based tools for videoconferencing and electronic meetings are the primary tools for GDSS.

True or False


False


What-if analysis works forward from known or assumed conditions.

False or True


True


Mr. Smith is an inventory manager of WinSky Co, a company who produces windows and roofs. When the inventory of a raw material falls short to support 1-month production, he will order a 2-month supply. Which one of the following models best describes Mr. Smith's decision making approach?





A.
Optimization
 
 
 


B.
Satisficing
 
 
 


C.
Heuristics
 
 
 


D.
Statistics








C.
Heuristics





Which type of decision is deciding whether to introduce a new product line?





A.
Structured
 
 
 


B.
Unstructured
 
 
 


C.
Recurring
 
 
 


D.
Nonrecurring








B.
Unstructured





Which type of decision is calculating gross pay for hourly workers?





A.
Structured
 
 
 


B.
Unstructured
 
 
 


C.
Recurring
 
 
 


D.
Nonrecurring








A.
Structured





Simon's description of decision making consists of which four stages?





A.
planning, financing, implementation, and maintenance
 
 
 


B.
planning, design, implementation, and maintenance
 
 
 


C.
intelligence, design, choice, and implementation
 
 
 


D.
intelligence, design, financing, and implementation








C.
intelligence, design, choice, and implementation





In contrast to the classical model of management, behavioral models see the actual behavior of managers as being __________.





A.
more systematic
 
 
 


B.
more informal
 
 
 


C.
more reflective
 
 
 


D.
more well organized








B.
more informal





The role of entrepreneur falls into which of Mintzberg's managerial classifications?





A.
Decisional
 
 
 


B.
Informational
 
 
 


C.
Interpersonal
 
 
 


D.
Symbolic








A.
Decisional





As discussed in the chapter text, the three main reasons that investments in information technology do not always produce positive results are:

A. management support, technical logistics, and user compliance       B. organization, environment, culture       C. information quality, information integrity, and information accuracy       D. information quality, organizational culture, and management filters


D. information quality, organizational culture, and management filters


The concern that data values of an information source fall within a defined range reflects which quality dimension of information?

A. accuracy       B. integrity       C. consistency       D. validity


D. validity


MIS typically produce:





A.
new ways of looking at data that emphasize change, flexibility, and rapid response.
 
 
 


B.
fixed, regularly scheduled reports based on data extracted from the organization's TPS.
 
 
 


C.
solutions to semistructured problems appropriate for middle management decision making.
 
 
 


D.
assumptions, responses to ad hoc queries, and graphic representations of existing data.








B.
fixed, regularly scheduled reports based on data extracted from the organization's TPS.





Business intelligence would be useful for analyzing and decision-making in which of the following situations?

A. deciding what marketing techniques are most successful with high-value customers       B. identifying the most efficient methods for packing and delivering finished products to destinations       C. forecasting the effect on sales given projected future variations in weather and other environmental variables       D. all of the above


D. all of the above


GDSS





A.
require a small number of attendees in order to maintain high levels of productivity.
 
 
 


B.
enable increasing a meeting size without reducing productivity.
 
 
 


C.
include specific procedures for priority ranking the order in which participants can respond.
 
 
 


D.
utilize shared desktop computers to foster collaboration.








B.
enable increasing a meeting size without reducing productivity.





ESS:

A. support the structured decision making of senior executives.       B. have the ability to drill down into lower levels of detail.       C. easily integrate data from different systems.       D. are primarily driven by information derived from a company’s transaction processing systems.


B. have the ability to drill down into lower levels of detail.


Which of the following are most likely to rely primarily on production reports for their decision-making needs?

A. operational employees and supervisors       B. senior managers       C. analytic modelers       D. business analysts



A. operational employees and supervisors


One of the goals of the database approach to data management is to increase data redundancy.

True or False


False


The most popular database model currently in use is the network model.

True or False


False


In a relational database, complex groupings of data must be streamlined to eliminate awkward many-to-many relationships

True or False


True


OLAP software allows users to explore data from a number of different perspectives, and obtain answers to ad-hoc questions in a fairly rapid amount of time.

True or False


True


A traditional approach to data management means that ____.

A. data files are created individually by each application       B. data files are placed into objects       C. data files are managed by the DBMS       D. no data files are used


A. data files are created individually by each application


The logical view:





A.
shows how data are organized and structured on the storage media.
 
 
 


B.
presents an entry screen to the user.
 
 
 


C.
allows the creation of supplementary reports.
 
 
 


D.
presents data as perceived by end users.








D.
presents data as perceived by end users.





The database approach to data management requires ____.





A.
at least one flat file
 
 
 


B.
data redundancy
 
 
 


C.
a DBMS
 
 
 


D.
program-data dependence








C.
a DBMS





A field identified in a table as holding the unique identifier of the table’s records is called the:





A.
primary key.
 
 
 


B.
foreign key.
 
 
 


C.
primary field.
 
 
 


D.
unique ID.








A.
primary key.





As long as tables in a relational database ____, they can be linked to provide useful information.

A. share at least one common data attribute       B. share two or more common data attributes       C. are projected       D. have been normalized



A. share at least one common data attribute


In a relational database, the three basic operations used to develop useful sets of data are:

A. select, project, and where.       B. select, join, and where.       C. select, project, and join.       D. select, from, and join.


C. select, project, and join.


The data dictionary serves as an important data management tool by:





A.
assigning attributes to the data.
 
 
 


B.
creating an inventory of data contained in the database.
 
 
 


C.
presenting data as end users or business specialists would perceive them.
 
 
 


D.
maintaining data in updated form.








B.
creating an inventory of data contained in the database.





An automated or manual file that stores information about data elements and data characteristics such as usage, physical representation, ownership, authorization, and security is the:





A.
data dictionary.
 
 
 


B.
data definition diagram.
 
 
 


C.
entity-relationship diagram.
 
 
 


D.
relationship dictionary.








A.
data dictionary.





The most prominent data manipulation language today is:

A. Access       B. DB2       C. SQL       D. C++       E. Crystal Reports


C. SQL


The type of database management approach that can handle multimedia is the





A.
hierarchical DBMS.
 
 
 


B.
relational DBMS.
 
 
 


C.
network DBMS.
 
 
 


D.
object-oriented DBMS.








D.
object-oriented DBMS.





Comparing Microsoft Excel with Microsoft Access, which one of the following statements is NOT correct? (note: think about your experience of using Excel for Assignment 1, and the discussion of database in the book)





A.
Excel is more functional on calculation.
 
 
 


B.
Excel is the most popular data analysis tools used by today's managers.
 
 
 


C.
Excel has a better protection for the data.
 
 
 


D.
Access is designed specifically for data management.
 
 
 


E.
Access is a type of relational database. Thus, it is easy for Access to retrieve and analyze data from different data files and produce useful reports. 








C.
Excel has a better protection for the data.





The process of streamlining data to minimize redundancy and awkward many-to-many relationships is called:

A. normalization.       B. data scrubbing.       C. data cleansing.       D. data defining.


A. normalization.


The tool that enables users to view the same data in different ways using multiple dimensions is:





A.
predictive analysis.
 
 
 


B.
SQL.
 
 
 


C.
data mining.
 
 
 


D.
OLAP.








D.
OLAP.





The special organizational function whose responsibilities include the technical and operational aspects of managing data, including physical database design and maintenance, is called:





A.
data administration.
 
 
 


B.
database administration.
 
 
 


C.
information policy administration.
 
 
 


D.
data auditing.








B.
database administration.





____ is an information analysis tool that involves the automated discovery of patterns and relationships in a(n) ____.





A.
Data mining, data warehouse
 
 
 


B.
Data warehousing, data mine
 
 
 


C.
Online Analytical Processing (OLAP), Online Transaction Processing (OLTP)
 
 
 


D.
Online Transaction Processing (OLTP), Online Analytical Processing (OLAP)








A.
Data mining, data warehouse
 





In a client/server network, a network server provides every connected client with an address so it can be found by others on the network.

True or False


True


Circuit switching makes much more efficient use of the communications capacity of a network than does packet switching

True or False


False


Two computers using TCP/IP can communicate even if they are based on different hardware and software platforms.

True or False


True


In a ring topology, one station transmits signals, which travel in both directions along a single transmission segment.

True or False


False


Every computer on the Internet is assigned a unique Internet Protocol (IP) address.

True or False


True


A device that acts as a connection point between computers and can filter and forward data to a specified destination is called a:





A.
hub.
 
 
 


 B.
switch.
 

  
 


C.
router.
 
 
 


D.
NIC.
 
 
 


E.
None of the above
 





B. Hub


The Internet is based on the following three key technologies:

A. TCP/IP, HTML, HTTP.       B. TCP/IP, HTTP, and packet switching.        C. client/server computing, packet switching, and the development of widely used communications standards for linking networks and computers.  
     D. client/server computing, packet switching, and HTTP.


C. client/server computing, packet switching, and the development of widely used communications standards for linking networks and computers.


The method of slicing digital messages into parcels, transmitting them along different communication paths, and reassembling them at their destinations is called:

A. packet switching.  
     B. circuit switching       C. multiplexing.       D. packet routing.       E. ATM.


A. packet switching.


The most important communication standard today for linking disparate computers and networks is:





A.
Transmission Control Protocol/Internet Protocol (TCP/IP).
 

  
 


B.
International Standards Organization (ISO).
 
 
 


C.
Open Systems Interconnection (OSI).
 
 
 


D.
File Transfer Protocol (FTP).





A. Transmission Control Protocol/Internet Protocol (TCP/IP).


Which type of network would be most appropriate for a business that comprised three employees and a manager located in the same office space, whose primary need is to share documents?

A. Wireless network in infrastructure mode       B. Domain-based LAN       C. Peer-to-peer network  
     D. Campus area network


C. Peer-to-peer network


All network components connect to a single hub in a:

A. star network.  
     B. bus network.       C. ring network.       D. domain network.       E. peer-to-peer network.


A. star network.


In a bus network:





A.
signals are controlled and directed by a central hub or computer system.
 
 
 


B.
multiple hubs are organized in a hierarchy.
 
 
 


C.
messages pass from computer to computer in a loop.
 
 
 


D.
signals are broadcast to the next station.
 
 
 


 E.
signals are broadcast in both directions to the entire network.
 





E. signals are broadcast in both directions to the entire network.


Bandwidth is:





A.
the number of frequencies that can be broadcast through a medium.
 
 
 


B.
the number of cycles per second that can be sent through a medium.
 
 
 


C.
the total number of bytes that can be sent through a medium per second.
 
 
 


 D.
the difference between the highest and lowest frequencies that can be accommodated on a single channel.





D. the difference between the highest and lowest frequencies that can be accommodated on a single channel.


The total amount of digital information that can be transmitted through any telecommunications medium is measured in:





A.
bps.
 

  
 


 B.
hertz.
 
 
 


C.
baud.
 
 
 


D.
gigaflops.





A. bps.


Digital subscriber lines:





A.
operate over existing telephone lines to carry voice, data, and video.
 

  
 


B.
operate over coaxial lines to deliver Internet access.
 
 
 


C.
are very high-speed data lines typically leased from long-distance telephone companies.
 
 
 


D.
have up to twenty-four 64-Kbps channels.





A. operate over existing telephone lines to carry voice, data, and video.


Which protocol is the Internet based on?





A.
Packet-switching
 
 
 


B.
Circuit-switching
 
 
 


C.
Frame relay
 
 
 


D.
FTP
 
 
 


 E.
TCP/IP





E. TCP/IP


In the domain name "http://myspace.blogging.com", what are the root, top-level, second-level, and third-level domains, respectively?





A.
"http://", myspace, blogging, com
 
 
 


B.
"http://", com, blogging, myspace
 
 
 


 C.
".", com, blogging, myspace
 

  
 


D.
".", myspace, blogging, com





C. ".", com, blogging, myspace


The Internet is based on client/server technology in which:





A.
the data, such as e-mail messages and web pages, resides on servers.
 

  
 


B.
the data of e-mail messages normally resides on client computers.
 
 
 


C.
applications reside on servers and all data resides on client computers.
 
 
 


D.
all data resides on servers and applications reside on client computers.





A. the data, such as e-mail messages and web pages, resides on servers.


Web browser software requests Web pages from the Internet using which protocol?





A.
URL
 
 
 


 B.
HTTP
 

  
 


C.
DNS
 
 
 


D.
HTML





B. HTTP


Which technology uses the Internet Protocol to deliver voice information in digital form using packet switching?

A. TCP/IP       B. VPN        C. VoIP  
     D. None, voice information is digitally delivered using ATM


C. VoIP


What is the main concern of using Wi-Fi for wireless networking in business. (you may refer to the discussion of WiFi at Wikipedia: http://en.wikipedia.org/wiki/Wi-Fi#Network_security for the question)





A.
capacity: the speed of data transmission is too slow for Wi-Fi.
 
 
 


 B.
security: Wi-Fi wireless networks are vulnerable to intruders.
 

  
 


C.
cost: it is too expensive to set up a Wi-Fi system either in the infrastructure mode or the ad hoc mode.
 
 
 


D.
popularity: today most laptops do not have wireless NICs to receive Wi-Fi signals.





B. security: Wi-Fi wireless networks are vulnerable to intruders


Based on its features, RFID is most appropriate for ______.





A.
processing transactions.
 
 
 


 B.
managing supply chain and logistics.
 

  
 


C.
lowering network costs.
 
 
 


D.
improving communication with clients.





B. managing supply chain and logistics.


Which of the following is not considered a defining feature of Web 2.0?





A.
interactivity
 
 
 


B.
real-time user control
 
 
 


C.
social participation
 
 
 


 D.
cloud computing
 

  
 


E.
User-generated content







D. cloud computing


The only products that can be delivered over the Internet are those that can exist in a digital form.

True or False


True


In E-Commerce, personalization is the process of tailoring Web pages to specifically target individual consumers.

True or False


True


Information asymmetry exists when one party in a transaction has more information for the transaction than the other party.

True or False


True


Disintermediation provides major benefits to the distributor.

True or False


False


Web sites can gather bountiful detailed information about customer behavior and demographics.

True or False


True


You are planning the requirements for a site tracking and reporting system for your company Web site. Which of the following information requirements would not be essential for this function?





A.
number of unique visitors
 
 
 


B.
pages visited
 
 
 


C.
products purchased
 
 
 


 D.
secure credit card clearing





D. secure credit card clearing


The lowered costs of information storage, processing, and communication, along with the improvement of data quality has resulted in which unique quality of e-commerce?

A. Information density  
     B. Richness       C. Customization       D. Interactivity


A. Information density


How are the Internet and e-commerce causing severe disruption to the existing advertising business model?





A.
Ties between customer and businesses are being rethought.
 
 
 


B.
Technology players such as Yahoo! seek to dominate online advertising and expand into offline ad brokerage.
 

  
 


 C.
New methods of advertising, such as blog advertising, are emerging.
 
 
 


D.
The market entry costs for online advertising services are very low.





B. Technology players such as Yahoo! seek to dominate online advertising and expand into offline ad brokerage.


eBay is an example of ____ e-commerce.





A.
transaction processing
 
 
 


B.
EDI
 
 
 


C.
B2B
 
 
 


D.
B2C
 
 
 


 E.
C2C





E. C2C


Which one of the following is NOT an advantage of E-Commerce?





A.
Round-the-clock service: provide better service on a 24/7 basis.
 
 
 


B.
Reduced transaction cost: costs of searching for buyers, sellers etc. are reduced
 
 
 


C.
Increased reach and extended distribution channels: we can contact more potential customers than before.
 
 
 


 D.
Information asymmetry: the information asymmetry is increased between sellers and buyers.
 

  
 


E.
Information density: we can provide our customers more information about out products and services.





D. Information asymmetry: the information asymmetry is increased between sellers and buyers.


The effort required to locate a suitable product is called

A. price discrimination.        B. search costs.  
     C. menu costs.       D. shopping costs.       E. surfing costs.


B. search costs.


The cost to a merchant of changing the price of a product is called a:





A.
pricing cost.
 
 
 


B.
dynamic pricing cost.
 
 
 


 C.
menu cost.
 

  
 


D.
switching cost.





C. menu cost.


Exposing an individual to ads that are chosen and based on the recorded and analyzed online behavior of the individual is referred to as:





A.
clickstream advertising.
 
 
 


 B.
behavioral targeting.
 

  
 


C.
online profiling.
 
 
 


D.
long-tail marketing.





B. behavioral targeting.


Which of the following was the leading marketing format in 2010?





A.
display ads
 
 
 


B.
e-mail
 
 
 


C.
classifieds
 
 
 


 D.
search engine





D. search engine


____ involves the exchange of standard business documents such as invoices and purchase orders.





A.
VoIP
 
 
 


 B.
EDI
 

  
 


C.
ERP
 
 
 


D.
Private industrial networks





B. EDI


Which of the following statements about m-commerce is not true?





A.
In 2010, m-commerce represented less than 10 percent of all e-commerce.
 
 
 


B.
M-commerce is the fastest growing form of e-commerce.
 
 
 


C.
M-commerce applications are especially popular in Europe, Japan, and South Korea.
 
 
 


 D.
In 2010, the top-grossing category of m-commerce was e-book sales.





D. In 2010, the top-grossing category of m-commerce was e-book sales.


Which of the following is NOT one of the categories of services that are popular for m-commerce?





A.
location-based services
 
 
 


B.
financial services
 
 
 


C.
games and entertainment
 
 
 


 D.
retail shopping





D. retail shopping


E-commerce sites should primarily be driven by





A.
technology
 
 
 


B.
infrastructure
 
 
 


 C.
consumer needs
 

  
 


D.
investors
 
 
 


E.
human resources





C. consumer needs


Because of outsourcing and increased automation, the costs of system maintenance and content creation have fallen and typically make up less than a quarter of Web site budgets.

True or False


False








Five classical roles of a manager.


planning, organizing, coordinating, deciding, and controlling


five forces of the competitive force model


traditional competitors, new market entrants, substitute products and services, customers, suppliers


what is a digital firm?


- significant business relationship started are enabled and mediated

- core business processes are accomplished through digital networks

- Key corporate assets are managed digitally


Four stages of decision making.


1) Intelligence
2) Design
3) Choice
4) Implementation


four generic strategies for dealing with competitive forces, enabled by IT


low-cost leadership
product differentiation
focus on niche market
Strengthen customer and supplier intimacy


3 more contemporary behavior models for a manager


Interpersonal
Informational
Decisional


Information Revolution at Organizations


1) Data systems
2) Management Information Systems
3) Strategic MIS
4) Knowledge Management Systems