Solution and Answer Guide: Bidgoli, MIS, 12e ©27, 9798214410388; Chapter 1: INFORMATION SYSTEMS IN B USINESS
Solution and Answer Guide
Bidgoli, MIS, 12e ©27, 9798214410388; CHAPTER 1: INFORMATION SYSTEMS IN BUSINESS
TABLE OF CONTENTS
Review Quiz ............................................................................................................................ 1
Review Questions ................................................................................................................. 5
Projects .................................................................................................................................. 6
Case Studies .......................................................................................................................... 7
Case Study 1-1.............................................................................................................................. 7
Case Study 1-2 ............................................................................................................................. 8
REVIEW QUIZ
1. Computer literacy is understanding the role of information in generating and using
business intelligence. True or False?
Answer: False
Computer literacy is skill in using productivity software, such as word processors,
spreadsheets, database management systems, and presentation software, as well
as having a basic knowledge of hardware and software, the Internet, and
collaboration tools and technologies.
2. Strategic information systems (SISs) focus on big-picture, long-term goals and
objectives and assist an organization or a decision maker in achieving them. True or
False?
Answer: True
An SIS usually includes the same four components as an MIS (data, database,
process, and information), but the types of data that it collects, its sources of
data, and the types of processes and analytics it performs are different.
3. Porter’s Five Forces Model analyzes an organization, its position in the marketplace,
and how information systems can be used to make it more competitive. True or False?
Answer: True
The Five Forces Model includes buyer power, supplier power, the threat of
substitute products or services, the threat of new entrants, and rivalry among
existing competitors.
© 2027 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible 1
website, in whole or in part.
, Solution and Answer Guide: Bidgoli, MIS, 12e ©27, 9798214410388; Chapter 1: INFORMATION SYSTEMS IN B USINESS
4. Information literacy is understanding the role of information in generating AI. True or
False?
Answer: False
Information literacy is understanding the role of information in generating BI.
5. Information is the second most important resource (after the human element) in any
organization. True or False?
Answer: True
Information is the second most important resource in an organization. Timely,
relevant, and accurate information is a critical tool for enhancing a company’s
competitive position in the marketplace and managing the four Ms of resources:
manpower, machinery, materials, and money.
6. Data scientists deploy statistical and mathematical models and certain AI
technologies. True or False?
Answer: True
Data scientists use statistical and mathematical models as well as AI technologies.
The ultimate goal is to generate BI and actionable information for decision making.
7. Organizations use computers and information systems to reduce costs and gain a
competitive advantage in the marketplace. True or False?
Answer: True
Organizations use computers and information systems to reduce costs and gain a
competitive advantage. Throughout this book, you will study many information
system applications.
8. GenAI is an AI tool that generates only text and images. True or False?
Answer: False
Generative AI (GenAI) is an artificial intelligence tool that generates text, images,
videos, or other data based on user requests or prompts.
9. You should always use long passwords (12 characters or longer) that mix uppercase
and lowercase letters with numbers and symbols. True or False?
Answer: True
Use long passwords that mix uppercase and lowercase letters with numbers and
symbols and change your passwords as frequently as possible.
10. The data component of an information system is considered the output to the system.
True or False?
Answer: False
The data component is considered the input to the system. The information that
users need affects the type of data that is collected and used.
© 2027 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible 2
website, in whole or in part.
, Solution and Answer Guide: Bidgoli, MIS, 12e ©27, 9798214410388; Chapter 1: INFORMATION SYSTEMS IN B USINESS
11. All of the following statements apply to the outlook for information systems except:
a. Hardware and software costs will continue to decline.
b. The computer literacy of typical information system users will improve.
c. Hackers will become more sophisticated.
d. Ubiquitous computing will be replaced by PCs.
Answer: D
Ubiquitous computing refers to computing devices everywhere, with different sizes
and power as well as access through multiple formats such as voice, touch, and
gesture. It will not be replaced by PCs.
12. Information technologies are used to gain a competitive advantage by doing all of the
following except:
a. Helping reduce the cost of operations
b. Delivering timely and accurate information
c. Replacing all key decision makers in an organization
d. Providing business intelligence
Answer: C
Key decision makers are always needed in an organization regardless of the
technology used.
13. All of the following are new IT-related jobs except:
a. GenAI engineer
b. Systems analyst
c. Social media/online-community manager
d. Search engine optimization specialist
Answer: B
The systems analyst position is not new. It has been around since the inception of
information systems.
14. Which type of business uses virtual or digital keys to enhance efficiency and improve
customer service?
a. Banks
b. Hotels
c. Hospitals
d. Grocery stores
Answer: B
Many hotels offer customers a virtual key at selected properties. Guests can
bypass a crowded check-in desk and enter their rooms by using their smartphones.
15. Students can use ChatGPT to do all of the following except:
a. Check the grammar and spelling of a document.
b. Generate summaries.
c. Draft e-mails.
d. Take the course quiz.
Answer: D
Students should not be allowed to use ChatGPT while taking a course quiz.
© 2027 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible 3
website, in whole or in part.
, Solution and Answer Guide: Bidgoli, MIS, 12e ©27, 9798214410388; Chapter 1: INFORMATION SYSTEMS IN B USINESS
16. All of the following are examples of social media except:
a. Reddit
b. HRIS (human resource information systems)
c. Facebook
d. X (formerly Twitter)
Answer: B
An HRIS is not social media. A personnel information system or HRIS is designed to
provide information that helps decision makers in personnel carry out their tasks
more effectively.
17. Knowledge workers should know all of the following except:
a. The type of programming language used for generating BI
b. How data is collected
c. Why data is collected
d. Internal and external sources of data
Answer: A
Knowing the type of programming language used for generating BI is not needed by
knowledge workers.
18. All of the following are examples of external data sources except:
a. Customers, competitors, and suppliers
b. Government agencies and financial institutions
c. Labor and population statistics
d. Programmers and systems analysts
Answer: D
Programmers and systems analysts are two job titles in the information systems
field; they have nothing to do with external data sources.
19. To be useful, information must have all of the following qualities except:
a. Timeliness
b. Graphical format
c. Integration with other data and information
d. Consistency and accuracy
Answer: B
A graphical format is useful in some cases; however, it is not mandatory.
20. All of the following are capabilities and features of HRIS software except:
a. Payroll processing
b. Improving routing and delivery schedules
c. Benefits management
d. Recruiting/onboarding
Answer: B
Improving routing and delivery schedules is a responsibility of a logistics
information system (LIS).
© 2027 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible 4
website, in whole or in part.
Solution and Answer Guide
Bidgoli, MIS, 12e ©27, 9798214410388; CHAPTER 1: INFORMATION SYSTEMS IN BUSINESS
TABLE OF CONTENTS
Review Quiz ............................................................................................................................ 1
Review Questions ................................................................................................................. 5
Projects .................................................................................................................................. 6
Case Studies .......................................................................................................................... 7
Case Study 1-1.............................................................................................................................. 7
Case Study 1-2 ............................................................................................................................. 8
REVIEW QUIZ
1. Computer literacy is understanding the role of information in generating and using
business intelligence. True or False?
Answer: False
Computer literacy is skill in using productivity software, such as word processors,
spreadsheets, database management systems, and presentation software, as well
as having a basic knowledge of hardware and software, the Internet, and
collaboration tools and technologies.
2. Strategic information systems (SISs) focus on big-picture, long-term goals and
objectives and assist an organization or a decision maker in achieving them. True or
False?
Answer: True
An SIS usually includes the same four components as an MIS (data, database,
process, and information), but the types of data that it collects, its sources of
data, and the types of processes and analytics it performs are different.
3. Porter’s Five Forces Model analyzes an organization, its position in the marketplace,
and how information systems can be used to make it more competitive. True or False?
Answer: True
The Five Forces Model includes buyer power, supplier power, the threat of
substitute products or services, the threat of new entrants, and rivalry among
existing competitors.
© 2027 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible 1
website, in whole or in part.
, Solution and Answer Guide: Bidgoli, MIS, 12e ©27, 9798214410388; Chapter 1: INFORMATION SYSTEMS IN B USINESS
4. Information literacy is understanding the role of information in generating AI. True or
False?
Answer: False
Information literacy is understanding the role of information in generating BI.
5. Information is the second most important resource (after the human element) in any
organization. True or False?
Answer: True
Information is the second most important resource in an organization. Timely,
relevant, and accurate information is a critical tool for enhancing a company’s
competitive position in the marketplace and managing the four Ms of resources:
manpower, machinery, materials, and money.
6. Data scientists deploy statistical and mathematical models and certain AI
technologies. True or False?
Answer: True
Data scientists use statistical and mathematical models as well as AI technologies.
The ultimate goal is to generate BI and actionable information for decision making.
7. Organizations use computers and information systems to reduce costs and gain a
competitive advantage in the marketplace. True or False?
Answer: True
Organizations use computers and information systems to reduce costs and gain a
competitive advantage. Throughout this book, you will study many information
system applications.
8. GenAI is an AI tool that generates only text and images. True or False?
Answer: False
Generative AI (GenAI) is an artificial intelligence tool that generates text, images,
videos, or other data based on user requests or prompts.
9. You should always use long passwords (12 characters or longer) that mix uppercase
and lowercase letters with numbers and symbols. True or False?
Answer: True
Use long passwords that mix uppercase and lowercase letters with numbers and
symbols and change your passwords as frequently as possible.
10. The data component of an information system is considered the output to the system.
True or False?
Answer: False
The data component is considered the input to the system. The information that
users need affects the type of data that is collected and used.
© 2027 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible 2
website, in whole or in part.
, Solution and Answer Guide: Bidgoli, MIS, 12e ©27, 9798214410388; Chapter 1: INFORMATION SYSTEMS IN B USINESS
11. All of the following statements apply to the outlook for information systems except:
a. Hardware and software costs will continue to decline.
b. The computer literacy of typical information system users will improve.
c. Hackers will become more sophisticated.
d. Ubiquitous computing will be replaced by PCs.
Answer: D
Ubiquitous computing refers to computing devices everywhere, with different sizes
and power as well as access through multiple formats such as voice, touch, and
gesture. It will not be replaced by PCs.
12. Information technologies are used to gain a competitive advantage by doing all of the
following except:
a. Helping reduce the cost of operations
b. Delivering timely and accurate information
c. Replacing all key decision makers in an organization
d. Providing business intelligence
Answer: C
Key decision makers are always needed in an organization regardless of the
technology used.
13. All of the following are new IT-related jobs except:
a. GenAI engineer
b. Systems analyst
c. Social media/online-community manager
d. Search engine optimization specialist
Answer: B
The systems analyst position is not new. It has been around since the inception of
information systems.
14. Which type of business uses virtual or digital keys to enhance efficiency and improve
customer service?
a. Banks
b. Hotels
c. Hospitals
d. Grocery stores
Answer: B
Many hotels offer customers a virtual key at selected properties. Guests can
bypass a crowded check-in desk and enter their rooms by using their smartphones.
15. Students can use ChatGPT to do all of the following except:
a. Check the grammar and spelling of a document.
b. Generate summaries.
c. Draft e-mails.
d. Take the course quiz.
Answer: D
Students should not be allowed to use ChatGPT while taking a course quiz.
© 2027 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible 3
website, in whole or in part.
, Solution and Answer Guide: Bidgoli, MIS, 12e ©27, 9798214410388; Chapter 1: INFORMATION SYSTEMS IN B USINESS
16. All of the following are examples of social media except:
a. Reddit
b. HRIS (human resource information systems)
c. Facebook
d. X (formerly Twitter)
Answer: B
An HRIS is not social media. A personnel information system or HRIS is designed to
provide information that helps decision makers in personnel carry out their tasks
more effectively.
17. Knowledge workers should know all of the following except:
a. The type of programming language used for generating BI
b. How data is collected
c. Why data is collected
d. Internal and external sources of data
Answer: A
Knowing the type of programming language used for generating BI is not needed by
knowledge workers.
18. All of the following are examples of external data sources except:
a. Customers, competitors, and suppliers
b. Government agencies and financial institutions
c. Labor and population statistics
d. Programmers and systems analysts
Answer: D
Programmers and systems analysts are two job titles in the information systems
field; they have nothing to do with external data sources.
19. To be useful, information must have all of the following qualities except:
a. Timeliness
b. Graphical format
c. Integration with other data and information
d. Consistency and accuracy
Answer: B
A graphical format is useful in some cases; however, it is not mandatory.
20. All of the following are capabilities and features of HRIS software except:
a. Payroll processing
b. Improving routing and delivery schedules
c. Benefits management
d. Recruiting/onboarding
Answer: B
Improving routing and delivery schedules is a responsibility of a logistics
information system (LIS).
© 2027 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible 4
website, in whole or in part.
