Test Bank for: Management Information Systems: Managing the Digital
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rt Firm, 16th Edition By Kenneth C. Laudon, Jane P. Laudon.
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Management Information Systems: Managing the Digital Firm, 15e (Laudon) Chapter
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rt 1 r t Information Systems in Global Business Today rt rt rt rt rt
1) Which of the following is not one of the six strategic business objectives of
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rt information systems? rt
A) New products and services rt rt rt
B) Improved decision making rt rt
C) Competitive advantage rt
D) Improved employee morale rt rt
E) Survival
rt Answer:
rt D
Difficulty: r t Challenging
AACSB: Information technology r t rt
LO: 1-1: How are information systems transforming business, and why are they so essential
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rt for running and managing a business today?
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2) Verizon's use of a web-based digital dashboard to provide managers with precise real-
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time information enabled it to improve which of the following?
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A) Compliance with regulations rt rt
B) Managerial decision making rt rt
C) Efficiency in creation of new products rt rt rt rt rt
D) Employee morale rt
E) Intimacy with its suppliers rt rt rt
rt Answer: B r t
Difficulty: r t Challenging
Test Bank rt Page 1
rt
,AACSB: Information technology
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LO: 1-1: How are information systems transforming business, and why are they so essential
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rt for running and managing a business today?
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3) Which of the following may lead to competitive advantage?
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1. New products, services, and business models;
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Test Bank rt Page 2
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,2. Charging less for superior products; rt rt rt rt
3. Responding to customers in real time rt rt rt rt rt
A) 1 only rt
B) 1 and 2 rt rt
C) 2 and 3 rt rt
D) 1 and 3 rt rt
E) 1, 2, and 3 rt rt rt
rt Answer: E r t
Difficulty: Challenging r t
rt AACSB: Analytical thinking r t rt
LO: 1-1: How are information systems transforming business, and why are they so essential
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rt for running and managing a business today?
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4) A firm that invests in an information system because it is a necessity of doing business
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rt does so because it is seeking to achieve which of the following business objectives?
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A) Operational excellence rt
B) Improved decision making rt rt
C) Competitive advantage rt
D) Customer intimacy rt
E) Survival
rt Answer:
r t E
Difficulty: r t Moderate
AACSB: Information technology r t rt
LO: 1-1: How are information systems transforming business, and why are they so essential
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rt for running and managing a business today?
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5) The Mandarin Oriental's use of computer systems to keep track of guests' preferences
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rt is an example of which of the following?
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A) Improved flexibility rt
Test Bank rt Page 3
rt
, B) Improved decision making
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C) Improved efficiency
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D) Customer intimacy
rt
Test Bank
rt Page 4
rt
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rt Firm, 16th Edition By Kenneth C. Laudon, Jane P. Laudon.
rt rt rt rt rt rt rt rt rt
Management Information Systems: Managing the Digital Firm, 15e (Laudon) Chapter
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rt 1 r t Information Systems in Global Business Today rt rt rt rt rt
1) Which of the following is not one of the six strategic business objectives of
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rt information systems? rt
A) New products and services rt rt rt
B) Improved decision making rt rt
C) Competitive advantage rt
D) Improved employee morale rt rt
E) Survival
rt Answer:
rt D
Difficulty: r t Challenging
AACSB: Information technology r t rt
LO: 1-1: How are information systems transforming business, and why are they so essential
r t rt rt rt rt rt rt rt rt rt rt rt rt
rt for running and managing a business today?
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2) Verizon's use of a web-based digital dashboard to provide managers with precise real-
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time information enabled it to improve which of the following?
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A) Compliance with regulations rt rt
B) Managerial decision making rt rt
C) Efficiency in creation of new products rt rt rt rt rt
D) Employee morale rt
E) Intimacy with its suppliers rt rt rt
rt Answer: B r t
Difficulty: r t Challenging
Test Bank rt Page 1
rt
,AACSB: Information technology
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LO: 1-1: How are information systems transforming business, and why are they so essential
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rt for running and managing a business today?
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3) Which of the following may lead to competitive advantage?
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1. New products, services, and business models;
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Test Bank rt Page 2
rt
,2. Charging less for superior products; rt rt rt rt
3. Responding to customers in real time rt rt rt rt rt
A) 1 only rt
B) 1 and 2 rt rt
C) 2 and 3 rt rt
D) 1 and 3 rt rt
E) 1, 2, and 3 rt rt rt
rt Answer: E r t
Difficulty: Challenging r t
rt AACSB: Analytical thinking r t rt
LO: 1-1: How are information systems transforming business, and why are they so essential
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rt for running and managing a business today?
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4) A firm that invests in an information system because it is a necessity of doing business
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rt does so because it is seeking to achieve which of the following business objectives?
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A) Operational excellence rt
B) Improved decision making rt rt
C) Competitive advantage rt
D) Customer intimacy rt
E) Survival
rt Answer:
r t E
Difficulty: r t Moderate
AACSB: Information technology r t rt
LO: 1-1: How are information systems transforming business, and why are they so essential
r t rt rt rt rt rt rt rt rt rt rt rt rt
rt for running and managing a business today?
rt rt rt rt rt rt
5) The Mandarin Oriental's use of computer systems to keep track of guests' preferences
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rt is an example of which of the following?
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A) Improved flexibility rt
Test Bank rt Page 3
rt
, B) Improved decision making
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C) Improved efficiency
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D) Customer intimacy
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Test Bank
rt Page 4
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