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ch3 Test

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5 Written Questions

4 Matching Questions

  1. The most successful solutions or methods for achieving a business objective are called
    A) value activities.
    B) best processes.
    C) core competencies.
    D) best practices.
    Answer
  2. 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.
  3. The use of Internet technologies allows companies to more easily sustain competitive advantage.
    Answer
  4. The primary activities of a firm include
    A) inbound logistics, operations, outbound logistics, sales and marketing, and service.
    B) inbound logistics, operations, outbound logistics, technology, and service.
    C) procurement, inbound logistics, operations, technology, and outbound logistics.
    D) procurement, operations, technology, sales and marketing, and services.
    Answer
  1. a D
  2. b B
  3. c FALSE
  4. d A

5 Multiple Choice Questions

  1. FALSE
  2. Mass customization
  3. FALSE
  4. D
  5. core competency

5 True/False Questions

  1. As discussed in the chapter opening case, which of the four generic strategies to combat competitive forces formed the basis of e-Bay's growth strategy?
    A) low-cost leadership
    B) focus on market niche
    C) customer and supplier intimacy
    D) product differentiation
    Answer
    TRUE

          

  2. 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) strengthen customer intimacy.
    B) differentiate their service.
    C) focus on market niche.
    D) increase efficiency.
    Answer
    C

          

  3. The term business ecosystem describes the interplay between the various organizational forces within a firm.
    Answer
    B

          

  4. A virtual company
    A) uses the capabilities of other companies without being physically tied to those companies.
    B) uses Internet technology to maintain a virtual storefront.
    C) uses Internet technology to maintain a networked community of users.
    D) provides entirely Internet-driven services, or virtual products.
    Answer
    A

          

  5. All of the following are major features of organizations that impact the use of information systems EXCEPT for
    A) business processes.
    B) environments.
    C) goals.
    D) agency costs.
    Answer
    D

          

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