IS 290 Test 1 – Flashcards
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What is the legal protection affording an expression of an idea?
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Copyright
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What is a broad term encompassing the protection of information from accidental or intentional misuse by persons inside or outside an organization?
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Information security
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What issue concerns CIOs the most?
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enhancing customer satisfaction
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Jeremy Bridges is an executive for Green Web Designs, where his primary role is to ensure the security of business systems and develop strategies to protect the company from online viruses and hackers. What is Jeremy's role within the company?
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Chief Security Officer (CSO)
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According to Infonetics research, what is the leading cause of downtime?
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Software failure followed by human error
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The old business axiom "time is money" needs to be updated to more accurately reflect the crucial interdependence between IT and business processes. What is the recommended new phrase?
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Uptime is money
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What is intangible creative work that is embodied in physical form?
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Intellectual property
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What first-ever national appointment was made by President Barack Obama?
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National Chief Technology Officer
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What gives a person the legal right to use copyrighted material in certain situations?
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Fair use doctrine
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Trina Hauger works for Johnson Electric as a corporate lawyer, and part of her duties are to ensure the ethical and legal use of information within the company. Which of the following represents Trina's role at Johnson Electric?
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Chief Privacy Officer (CPO)
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Which of the following activities does a CIO perform?
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Ensures strategic alignment of IT with business goals, Ensures the strategic alignment of IT with business objectives, Oversees all uses of information technology
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Broad functions of a CIO include all of the following except:
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Building and maintaining strong customer processes
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Which role within a company is responsible for overseeing all uses of MIS and ensuring that MIS strategy aligns with business goals and objectives?
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Chief Information Officer (CIO)
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What are the principles and standards that guide our behavior toward other people?
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Ethics
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Which of the following is one of the four categories of costs associated with downtime?
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Revenue, financial performance, damaged reputation
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Who is responsible for ensuring the throughput, speed, accuracy, availability, and reliability of an organization's information technology?
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CTO
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Who is responsible for ensuring the security of IT systems and developing strategies and IT safeguards against hackers and viruses?
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CSO
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Which type of metrics includes number of marketing campaigns, new customer retention rates, and number of feedbacks by marketing campaign, number of prospective customers, number of new customers, number of retained customers?
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CRM metrics
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What is measured by such benchmarks as satisfaction surveys, percentage of existing customers retained, and increases in revenue dollars per customer?
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customer satisfaction
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What is eBay constantly benchmarking?
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MIS projects for efficiency and effectiveness
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What do most companies measure to determine the success of their websites?
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Traffic
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The quantifiable metrics a company uses to evaluate progress toward critical success factors are called
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Key performance indicators
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According to Peter Drucker, what are managers who do things right addressing?
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efficiency
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What is a management system, in addition to a measurement system, that enables organizations to clarify their vision and strategy and translate them into action?
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The balanced scorecard
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There is a rule for how many metrics, out of the hundreds of possible CRM metrics, should be tracked and analyzed at any given management level. What is the rule?
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Best practice is to track and analyze no more than seven (plus or minus two) metrics
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Which of the following is a type of metric based on website data?
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Number of abandoned shopping carts, number of abandoned registrations, number of visits to a website
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What is a count of the number of people who visit one site and click on an advertisement that takes them to the site of the advertiser?
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Click-through
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The balanced scorecard was developed by Drs. Robert Kaplan of the Harvard Business School and David Norton. Which systems does the balanced scorecard measure?
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BPR and ERP
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According to Peter Drucker, what are managers who do the right things addressing?
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effectiveness
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What type of metrics measure throughput, speed, and availability?
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Efficiency MIS metrics
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Which term is used to describe the ease with which people perform transactions and/or find information?
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Usability
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Which of the following is not a type of effectiveness MIS metric?
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Response time
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Which of the following is not a typical CRM metric?
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inventory metrics
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Which of the following is a type of SCM metric?
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customer order actual cycle time, inventory replenishment cycle time, customer order promised cycle time, number back order
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Which of the following is not a type of efficiency MIS metric?
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Usability
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On the graph depicting the interrelationships between efficiency and effectiveness, where does an organization ideally want to operate?
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Upper right-hand corner
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The balanced scorecard views the organization from four perspectives, and users should develop metrics, collect data, and analyze their business relative to each of these perspectives. Which of the following is not one of the four perspectives in the balanced scorecard?
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leading perspective
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What does supply chain management involve?
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The management of information flows between and among stages in a supply chain to maximize total supply chain effectiveness and profitability
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Which of the following is a business-facing process?
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Budget forecasting
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What is business process reengineering?
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The analysis and redesign of workflow within and between enterprises
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What is CRM?
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Both a technology and a strategy
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What is a customer-facing process?
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The result in a product or service that is received by an organization's external customer
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What is the purpose of business process reengineering?
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To make all business processes the best-in-class
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Which of the following is a customer-facing process?
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Order shipping
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What is another term that represents CRM analysis technologies that help organizations segment their customers into categories such as best and worst customers?
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Customer segmentation
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What can effective and efficient supply chain management systems enable an organization to accomplish?
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increase its supplier power
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What is the term that identifies how frequently a customer purchases items?
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Frequency
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Which of the following is an organizational result from an effective and efficient supply chain management system?
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decrease the power of its buyers, create entry barriers thereby reducing the threat of new entrants, increase efficiencies while seeking a competitive advantage through cost leadership
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Which of the following statements is incorrect?
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CRM predicting technologies help organizations identify their customers across other applications
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What is the term that defines how recently a customer purchased items?
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Recency
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Which of the following is not one of the questions asked during the predicting phrase of CRM?
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What is the total revenue by customer
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Which company used BPR to change its industry by implementing a mobile claims process?
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Progressive Insurance
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What is a business process?
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A standardized set of activities that accomplish a specific task, such as processing a customer's order
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Which of the following is not one of the questions asked during the analyzing phase of CRM?
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What customers are at risk of leaving?
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What is enterprise-wide resource planning
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Integrates all departments and functions throughout an organization into a single IT system so that employees can make decisions by viewing enterprise-wide information on all business operations
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What is another term that represents CRM reporting technologies that help organizations identify their customers across other applications?
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customer identification
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Which of the following is not one of the questions asked during the reporting phase of CRM?
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Who are our customers?
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What is the formula that an organization can use to find its most valuable customers?
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RFM - recency, frequency, monetary value
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What is a business-facing process?
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An invisible process to the external customer but essential to the effective management of the business which includes goal setting, day-to-day planning, performance feedback, rewards, and resource allocation
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What are the phases in the evolution of CRM?
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Reporting, analyzing, predicting
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What is the key word in ERP?
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Enterprise
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Which statement is incorrect?
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CRM predicting technologies help organizations identify their customers across other applications
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Which of the following is not a criterion to determine the importance of a process for reengineering practitioners?
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Does the process fall above best in class?
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Whats is customer-facing process?
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The result in a product or service that is received by an organization's external customer
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Which of the following is a business-facing process?
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budget forecasting
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What type of system did Kaiser Permanente implement in order to improve and prolong the lives of diabetics?
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customer relationship management
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Michael Porter defined the Five Forces Model and the potential pressures that can hurt sales. Which of the following is not one of the potential pressures that can hurt sales?
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New market entrants can steal potential investment capital, substitute products can steal customers, suppliers can drive down profits by charging more for supplies
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Which of the following is a reason why competitive advantages are typically temporary?
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The competitor seeking ways to duplicate your business operations, the competitor acquiring new technology, the competitor hiring your key employees
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What is one of the most common ways a company can decrease supplier power?
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Use MIS to find and create alternative products
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What is a feature of a product or service that customers have come to expect and that entering competitors must match if they want to survive?
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entry barrier
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Identifying competitive advantages can be difficult and explains why they are typically:
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temporary
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Which of the following is similar to focused strategy versus broad strategy?
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Niche market versus large market
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Kevin Campbell is an incoming freshman at your college. Kevin is frustrated by the cost of books....and laptop. To save money, Kevin begins FB group finding others who need to buy laptops. Soon Kevin's FB group has 100,000. Kevin decides to approach computer companies to see if the group qualifies for discount. What business strategy is Kevin using to purchase laptops?
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Increasing buyer power
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Shawn McGill is on the executive board for ABC Pharmaceuticals. The company produces the number-one-selling cancer-fighting drug on the market. Due to its incredible success, ABC has decided to increase the cost of the frug from $8 a pill to $15 a pill. Which force is ABC using?
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Supplier power
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Updating business strategies is a continuous undertaking, as internal and external environments:
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rapidly change
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What is a standardized set of activities that accomplishes a specific task?
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Business process
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What is the support value activity that hires employees and provides them with training and compensation?
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Human resource management
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If a supplier has high power, what can it do to influence its industry?
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charge higher prices, limit quality of services, shift costs to industry participants
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When buyer power is low, supplier power is typically:
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high
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The process of gathering info about the competitive environment, including competitors plans, activities, and products, to improve a company's ability to succeed is the definition of:
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competitive intelligence
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A ____ advantage features a product or service on which customers place a greater value than they do on similar offerings from competitors.
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competitive
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Paula is the owner and operator of a high-end online custom clothing company. Paula has never heard of Porter's Five Forces Model, and she wants to understand why she should perform an analysis using it. If you were tasked with explaining Porter's Five Forces Model to Paula, what would be the primary reason she would want to use this type of analysis?
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To help Paula evaluate the attractiveness of the clothing industry
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MIS can add value to both primary activities and support activities in the value chain. Which of the following is not an example of a company adding value by using MIS in a primary activity?
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Scottrade Corp. creating an online system for employees to track paychecks, benefits, the wellness-rewards program, and other employee benefit items
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Your boss, Tom Repicci, has asked you to analyze the airline industry using Porter's three generic strategies, Which of the following companies are using a differentiation strategy?
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British Airways, Singapore Airways, and Virgin Atlantic
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The Victory Wireless store in Denver is currently offering a fabulous marketing strategy for potential new iPhone customers. Victory Wireless offers customers who purchase an iPhone with a two-year subscription a free Otterbox phone case, car charger, ear phones....In terms of Porter's Five Forces, what is Victory Wireless attempting to achieve with this marketing strategy?
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Decrease Buyer Power
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Which one of Porter's Five Forces is high when it us easy for new competitors to enter a market and low when there are significant entry barriers to joining a market?
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threat of new entrants
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MIS can add value to both primary and support activities within a business. Which of the following is not an example of a company adding value by the use of MIS in a support activity?
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Netflix creating a business strategy for the video rental market that delivers videos via the mail
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What includes support-value activities and is used to determine how to create the greatest possible value for customers?
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value chain analysis
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Competitive intelligence is the process of gathering info about the competitive environment, including:
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competitors plans, competitors employees, competitors differentiated processes
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Steve Jobs and Apple created big advantage in the technology industry with the introduction of the iPod, iPhone.... What are these all examples of?
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First-mover advantage, competitive advantage, competitive intelligence
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Which of the following represents a company in a supply chain?
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Supplier and customer
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Greg Provenzo owns and runs a Blockbuster. Greg is implementing a drive-thru rental process that is the same as you wold find fast food. Video Plus is attempting to recreate. Greg's system is an example of a:
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first-mover advantage
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What includes all parties involved, directly or indirectly, in obtaining raw materials or a product?
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supply chain
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John Cleaver is the CEO of Tech World, which is a rental store that sells computers...John and his team are meeting to brainstorm new ideas on how to grow the business. One idea is to mimic the product of a competitor that is attempting to sell a new product in a different industry. After performing a Porter's Five Forces analysis, John determines that all of the forces are high in this new industry. What should he do?
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Not introduce the product. Because all five forces are strong, introducing the product would be a highly risky business strategy
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Which of the following offers an example of a company operating a narrow, focused market operating as the low-cost provider?
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Payless Shoes
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Sandy Fiero works as the CKO for Bend Lumbar Company. She has been given the responsibility to create a product or service that will bring an added value to its customers to increase the company's revenue. Sandy determines that the best value she can add is by creating a service that offers free next-day shipping on any order over $50. Where in the value chain is Sandy adding value?
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The primary value activity outbound logistics
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Which of the following represents procurement as part of the support value activities in a value chain analysis?
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Purchases inputs, such as raw materials, resources, equipment, and supplies
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Your boss Ty Jacobs has asked you to analyze the music industry using Porters. Which represents the threat of substitute products or services in the music industry?
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Game systems like Wii and social networks like FB
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What is a competitive advantage?
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feature of a product or service on which customers place a greater value than on similar offerings from competitors
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According to Porters three generic strategies for entering a market, if you have a focused strategy what market should you target?
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niche market
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The goal of value chain analysis is to identify processes in which the firm can add value foe the customer and create a competitive advantage for itself with a ____ or ____
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cost advantage, product differentiation
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Amazon.com uses a customer-profiling system whenever a customer visits its website. Using this system Amazon can offer products tailored to that particular customer's profile and buying pattern. What is Amazon using to achieve this competitive advantage?
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product differentiation
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How can a company reduce the threat of substitute products or services?
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offer additional value through wider product distribution
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Callie Crystal owns and operates one of the most successful local coffee shops in Denver. Each time a customer purchases their 100th cup of coffee they receive a free pound of coffee of their choice. What is Callie attempting to create with her unique marketing program?
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Reducing buyer power with a loyalty program
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____make customers reluctant to switch to another product or service
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switching costs
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When a company is the first to market with a competitive advantage, this is called a first-mover advantage. All of the following companies were first movers except ___
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Microsoft bing search engine
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Business intelligence is info collected from multiple sources. Which of the following provides an example of a source that would be included in business intelligence?
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suppliers, competitors, and customers
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Greg works for Geneva Steel Corp. Greg's duties include managing the overall processes for the company and transforming the steel resources into goods. Which department would Greg most likely work in?
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Operations manager
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MIS is a business function. Which of the following does MIS perform to help aid the company in decision making and problem solving?
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moves information about people, moves information about products, moves information about processes across the company to improve systems
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Data is useful for understanding individual sales, but to gain deeper insight into a business, data needs to be turned into info. Which of the following offers an example of turning data into info?
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who are my best customers? what is my worst-selling product? what is my best-selling product?
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One challenge that companies today sometimes have is that they are departmentalized and the departments act independently of each other. One solution that can help a company work interdependently includes _____
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Management information systems
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Feedback is info that returns to its original transmitter and modifies the transmitters actions. What would the original transmitter include?
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Input, Transform, Output
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Most companies are organized by departments or functional areas. Which of the following is not a common department found in a company?
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Payroll
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Shelby Black runs a successful hair salon in downtown LA. One of Shelby's tasks is to input positive and negative customer reviews into her computer system. What type of info is Shelby gathering?
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Feedback
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How are the majority of companies today typically organized?
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By departments or functional areas
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Which of the below is the key term that defines the confirmation or validation of an event or object?
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Fact
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IT enables business success and innovation (T/F)
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true
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Which of the following is considered data?
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Quantity sold
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What is the name of a company's internal MIS department?
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MIS, IT, IS
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The department within a company that records, measures, and reports monetary transactions is called ____
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accounting
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Information technology can enable departments to more efficiently and effectively perform their core ____
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business operations
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The department within a company that supports sales by planning, pricing, and promoting goods or services is called _____
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marketing
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The department within a company that performs the function of selling goods or services is called _____
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sales
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Which of the following represents the relationship between functional areas in a business?
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Interdependent
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What is data converted into a meaningful andy useful context?
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Information
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Consider a washing machine as a system. Which of the following represents the inputs?
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dirty clothes, water, and detergent
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Consider an oven as a system. Which of the following represents feedback?
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A light indicating that the oven has reached the preheated temperature
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MIS can be an important enabler of business success and innovation. Which of the below statements is accurate when referring to MIS?
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MIS is a valuable tool that can leverage the talents of people who know how to use and manage it effectively
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What is a way of monitoring the entire system in a company by viewing the multiple inputs being processed to produce outputs
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systems thinking
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What type of metrics includes number of marketing campaigns, new customer retention rates, and number of feedbacks by marketing campaign?
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CRM metrics
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What type of metrics includes number back order, customer order promised cycle time, and customer order actual cycle time?
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SCM metrics
