TESTBANK for Essentials of MIS, 10e (Laudon/Laudon)

TESTBANK for Essentials of MIS, 10e (Laudon/Laudon) Essentials of MIS, 10e (Laudon/Laudon) Chapter 1 Business Information Systems in Your Career 1) Internet advertising is growing at a rate of more than 30 percent a year. Answer: FALSE Diff: 3 Page Ref: 6 AACSB: Reflective Thinking CASE: Comprehension 2) A business model describes how a company produces, delivers, and sells a product or service to create wealth. Answer: TRUE Diff: 1 Page Ref: 11 AACSB: Reflective Thinking CASE: Comprehension 3) 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 hardware and software needed. Answer: FALSE Diff: 2 Page Ref: 13 AACSB: Use of IT CASE: Comprehension 4) Computers are only part of an information system. Answer: TRUE Diff: 1 Page Ref: 15 AACSB: Use of IT CASE: Comprehension 5) Information systems literacy describes the behavioral approach to information systems, while computer literacy describes the technical approach. Answer: FALSE Diff: 1 Page Ref: 15 AACSB: Use of IT CASE: Comprehension 6) The dimensions of information systems are people, organizations, and information technology. Answer: TRUE Diff: 1 Page Ref: 16 AACSB: Use of IT CASE: Comprehension 7) In order to understand how a specific business firm uses information systems, you need to know something about the history and culture of the company. Answer: TRUE Diff: 1 Page Ref: 16 AACSB: Use of IT CASE: Comprehension 8) Developing a new product, fulfilling an order, or hiring a new employee are all examples of business processes. Answer: TRUE Diff: 1 Page Ref: 16 AACSB: Reflective Thinking CASE: Comprehension 9) Business processes are those logically related tasks for accomplishing tasks that have been formally encoded by an organization. Answer: FALSE Diff: 2 Page Ref: 16 AACSB: Reflective Thinking CASE: Comprehension 10) Employee attitudes about their jobs, employers, or technology can have a powerful effect on their abilities to use information systems productively. Answer: TRUE Diff: 1 Page Ref: 17 AACSB: Use of IT CASE: Comprehension 11) A network requires at least three computers and a shared resource. Answer: FALSE Diff: 2 Page Ref: 17 AACSB: Use of IT CASE: Comprehension 12) An IT infrastructure provides the platform on which the firm can build its information systems. Answer: TRUE Diff: 1 Page Ref: 18 AACSB: Use of IT CASE: Comprehension 13) UPS's use of Web-based tools that allow customers to embed UPS functions, such as tracking and cost calculations, into their own Web sites was an information systems solution used to achieve customer intimacy. Answer: TRUE Diff: 3 Page Ref: 19 AACSB: Analytic Skills CASE: Comprehension 14) Identifying a problem includes agreeing that a problem exists. Answer: TRUE Diff: 1 Page Ref: 21 AACSB: Reflective Thinking CASE: Comprehension 15) Political conflict is an example of the people dimension of business problems. Answer: FALSE Diff: 3 Page Ref: 22 AACSB: Reflective Thinking CASE: Comprehension 16) As a result of new public laws, accountants are beginning to perform more technical duties, such as auditing systems and networks. Answer: TRUE Diff: 2 Page Ref: 25 AACSB: Use of IT CASE: Comprehension 17) As described in the opening case of the chapter, Disney is implementing new information systems in order to create new products, games, and rides. Answer: FALSE Diff: 2 Page Ref: 3 AACSB: Reflective Thinking CASE: Comprehension 18) An understanding of enterprise-wide systems for customer relationship management is one of the skills relevant to careers in marketing. Answer: TRUE Diff: 2 Page Ref: 26 AACSB: Use of IT CASE: Comprehension 19) Whereas marketing and financial careers have been transformed by the growth in information systems, management has—so far—remained relatively unaffected. Answer: FALSE Diff: 2 Page Ref: 26 AACSB: Use of IT CASE: Comprehension 20) There are two types of outsourcing: offshore outsourcing and foreign outsourcing. Answer: FALSE Diff: 2 Page Ref: 27 AACSB: Reflective Thinking CASE: Comprehension 21) As discussed in the chapter opening case, Disney's implementation of new information systems in their amusement parks can be seen as an effort to achieve which of the primary business objectives? A) Customer and supplier intimacy B) Improved decision making C) Operational excellence D) New products and services Answer: A Diff: 3 Page Ref: 4 AACSB: Analytic Skills CASE: Analysis in terms of categorize 22) Journalist Thomas Friedman's description of the world as "flat" referred to: A) the flattening of economic and cultural advantages of developed countries. B) the use of the Internet and technology for instantaneous communication. C) the reduction in travel times and the ubiquity of global exchange and travel. D) the growth of globalization. Answer: A Diff: 2 Page Ref: 10 AACSB: Reflective Thinking CASE: Comprehension 23) The six important business objectives of information technology are: new products, services, and business models; customer and supplier intimacy; improved decision making; competitive advantage; operational excellence, and: A) flexibility. B) survival. C) improved business practices. D) improved efficiency. Answer: B Diff: 2 Page Ref: 11 AACSB: Use of IT CASE: Comprehension 24) The use of information systems because of necessity describes the business objective of: A) survival. B) improved business practices. C) competitive advantage. D) improved flexibility. Answer: A Diff: 2 Page Ref: 12 AACSB: Use of IT CASE: Comprehension 25) All of the following choices describe ways for a company to achieve a competitive advantage, except: A) producing a superior product and charging less than competitors. B) implementing information systems to support better management decision making. C) garnering more sales and profits than your competitors. D) using information systems to create new and popular products that your competitors cannot duplicate. Answer: B Diff: 3 Page Ref: 12 AACSB: Analytic Skills CASE: Analysis in terms of compare 26) Verizon's implementation of a Web-based digital dashboard to provide managers with real- time information, such as customer complaints, is an example of: A) improved flexibility. B) improved decision making. C) improved efficiency. D) customer and supplier intimacy. Answer: B Diff: 2 Page Ref: 12 AACSB: Use of IT CASE: Analysis in terms of categorize 27) The move of retail banking to use ATMs after Citibank unveiled its first ATMs illustrates the information system business objective of: A) improved efficiency. B) customer and supplier intimacy. C) survival. D) competitive advantage. Answer: C Diff: 2 Page Ref: 12-13 AACSB: Use of IT CASE: Analysis in terms of categorize 28) An information system can be defined technically as a set of interrelated components that collect (or retrieve), process, store, and distribute information to support: A) decision making and control in an organization. B) communications and data flow. C) managers analyzing the organization's raw data. D) the creation of new products and services. Answer: A Diff: 2 Page Ref: 13 AACSB: Use of IT CASE: Comprehension 29) The three activities in an information system that produce the information organizations use to control operations are: A) information retrieval, research, and analysis. B) input, output, and feedback. C) input, processing, and output. D) data analysis, processing, and feedback. Answer: C Diff: 1 Page Ref: 13 AACSB: Use of IT CASE: Comprehension 30) All of the following describe the effects of globalization, except: A) significant increases in operating costs. B) reduction of labor costs through outsourcing. C) ability to find low-cost suppliers. D) increases in transaction costs. Answer: D Diff: 3 Page Ref: 10 AACSB: Analytic Skills CASE: Analysis in terms of differentiate and appraise