TEST BANK for Essentials of MIS 14th Edition, by Kenneth Laudon, Jane Laudon
Complete Chapters| Verified Questions & Correct Answers|
Exam Preparation Q&As| A+ PASS
Page | 1
, Chapter 1 Information Systems in Global Business Today
1) The six important business objectives of information technology are new products, services, and
business models; customer and supplier intimacy; survival; competitive advantage; operational
excellence; and
A) improved flexibility.
B) improved decision making.
C) improved business practices.
D) improved efficiency.
E) improved business value.
Answer: B Page Ref: 13 Difficulty: Easy
AACSB: Information technology CASE: Concept
LO: 1.1: How are information systems transforming business, and why are they so essential for running
and managing a business today?
2) Verizon Corporation's use of a Web-based digital dashboard to provide managers with precise real-
time information illustrates which business objective?
A) improved flexibility
B) improved decision making
C) competitive advantage
D) survival
E) customer and supplier intimacy Answer: B
Page Ref: 15 Difficulty: Difficult
AACSB: Information technology CASE: Synthesis
LO: 1.1: How are information systems transforming business, and why are they so essential for running
and managing a business today?
Page | 2
,3) Which of the following choices may lead to competitive advantage?
1. new products, services, and business models; 2. charging less for superior products; 3. responding to
customers in real time?
A) 1 only
B) 1 and 2
C) 2 and 3
D) 1 and 3
E) 1, 2, and 3 Answer: D Page Ref: 15
Difficulty: Difficult
AACSB: Analytical thinking
CASE: Application
LO: 1.1: How are information systems transforming business, and why are they so essential for
running and managing a business today?
4) The use of information systems because of necessity describes the business objective of
A) operational excellence.
B) improved business practices.
C) competitive advantage.
D) improved flexibility.
E) survival.
Answer: E Page Ref: 15
Difficulty: Moderate
AACSB: Information technology CASE: Concept
LO: 1.1: How are information systems transforming business, and why are they so essential for
running and managing a business today?
Page | 3
, 5) The Mandarin Oriental hotel's use of computer systems to keep track of guests' preferences is an
example of
A) improved flexibility.
B) improved decision making.
C) improved efficiency.
D) customer and supplier intimacy.
E) operational excellence.
Answer: D Page Ref: 14
Difficulty: Moderate
AACSB: Information technology CASE: Application
LO: 1.1: How are information systems transforming business, and why are they so essential for
running and managing a business today?
6) The move of retail banking to use ATMs after Citibank unveiled its first ATMs illustrates the use of
information systems to achieve which business objective?
A) improved efficiency
B) customer and supplier intimacy
C) survival
D) competitive advantage
E) improved decision making Answer: C
Page Ref: 15 Difficulty: Moderate
AACSB: Information technology CASE: Application
LO: 1.1: How are information systems transforming business, and why are they so essential for
running and managing a business today?
7) Which of the following objectives best describes the business strategy behind the technologies
implemented by the San Francisco Giants, as discussed in the chapter case?
A) customer and supplier intimacy
Page | 4
Complete Chapters| Verified Questions & Correct Answers|
Exam Preparation Q&As| A+ PASS
Page | 1
, Chapter 1 Information Systems in Global Business Today
1) The six important business objectives of information technology are new products, services, and
business models; customer and supplier intimacy; survival; competitive advantage; operational
excellence; and
A) improved flexibility.
B) improved decision making.
C) improved business practices.
D) improved efficiency.
E) improved business value.
Answer: B Page Ref: 13 Difficulty: Easy
AACSB: Information technology CASE: Concept
LO: 1.1: How are information systems transforming business, and why are they so essential for running
and managing a business today?
2) Verizon Corporation's use of a Web-based digital dashboard to provide managers with precise real-
time information illustrates which business objective?
A) improved flexibility
B) improved decision making
C) competitive advantage
D) survival
E) customer and supplier intimacy Answer: B
Page Ref: 15 Difficulty: Difficult
AACSB: Information technology CASE: Synthesis
LO: 1.1: How are information systems transforming business, and why are they so essential for running
and managing a business today?
Page | 2
,3) Which of the following choices may lead to competitive advantage?
1. new products, services, and business models; 2. charging less for superior products; 3. responding to
customers in real time?
A) 1 only
B) 1 and 2
C) 2 and 3
D) 1 and 3
E) 1, 2, and 3 Answer: D Page Ref: 15
Difficulty: Difficult
AACSB: Analytical thinking
CASE: Application
LO: 1.1: How are information systems transforming business, and why are they so essential for
running and managing a business today?
4) The use of information systems because of necessity describes the business objective of
A) operational excellence.
B) improved business practices.
C) competitive advantage.
D) improved flexibility.
E) survival.
Answer: E Page Ref: 15
Difficulty: Moderate
AACSB: Information technology CASE: Concept
LO: 1.1: How are information systems transforming business, and why are they so essential for
running and managing a business today?
Page | 3
, 5) The Mandarin Oriental hotel's use of computer systems to keep track of guests' preferences is an
example of
A) improved flexibility.
B) improved decision making.
C) improved efficiency.
D) customer and supplier intimacy.
E) operational excellence.
Answer: D Page Ref: 14
Difficulty: Moderate
AACSB: Information technology CASE: Application
LO: 1.1: How are information systems transforming business, and why are they so essential for
running and managing a business today?
6) The move of retail banking to use ATMs after Citibank unveiled its first ATMs illustrates the use of
information systems to achieve which business objective?
A) improved efficiency
B) customer and supplier intimacy
C) survival
D) competitive advantage
E) improved decision making Answer: C
Page Ref: 15 Difficulty: Moderate
AACSB: Information technology CASE: Application
LO: 1.1: How are information systems transforming business, and why are they so essential for
running and managing a business today?
7) Which of the following objectives best describes the business strategy behind the technologies
implemented by the San Francisco Giants, as discussed in the chapter case?
A) customer and supplier intimacy
Page | 4
