Chapter 9 Test Questions 100% Answered!

Which of the following is NOT a barrier to erosion of advantage? -ANSWER IT team barrier The process by which an organization is able to improve its performance over time by developing its ability to use available resources for maximum effectiveness is known as: -ANSWER Capability development Response lag is: -ANSWER A measure of the delay of competitive response to an IT-dependent strategic initiative The sustainability of a competitive advantage grounded in an IT-dependent strategic initiative is measured by: -ANSWER An estimate of the likely time delay competitors will face in replicating the leader's initiative The two major components of the IT resources barrier are: -ANSWER IT assets and IT capabilities The process by which a firm accrues or builds up a resource over time is important for you to recognize as it is often the basis for rejuvenating barriers to erosion. Such process is called: -ANSWER Asset-stock accumulation Is IT an indistinct commodity? -ANSWER No, because IT ranges from extremely complex technology (e.g., large data warehouses, infrastructure projects), to small applications (e.g., a personal web site) After evaluating an IT-dependent strategic initiative using the sustainability framework, managers are left with three possible decisions. Which of the following is NOT one of these three decisions? -ANSWER analyze the IT-dependent strategic initiative independently Which of the following are the two main dynamics for rejuvenation and strengthening of barriers of erosion? -ANSWER capability development, asset-stock accumulation When an IT initiative is being developed as part of a consortium, the leader shares the risks and costs associated with the initiative with competitors that are part of the