CMIS 526 Exam with questions and
100% Correct answers
determine which activities need to be optimized to improve performance, cut costs, and then
gain or sustain competitive advantage
global business strategies - ANSWER home replication
global
multidomestic
transnational
home replication - ANSWER international business seen as extension of home business
used in homogeneous markets
focuses on core business of home market
unable to react to local market conditions due to it being based on home market
global business strategy - ANSWER centralized organization with standardized offerings
across markets
used in homogeneous markets
standardized products allow for economies of scale
inability to react to local market conditions
IS has centralized systems with multiple networks connecting all to the main
,office/hub
multidomestic business strategy - ANSWER federation of associated business units
decentralized
used in very heterogeneous markets
ability to quickly react to local conditions
differing product offerings limit economies of scale
limited integration limits knowledge sharing
IS is decentralized with two-way communication between office and
subsidiaries with local databases
transnational business strategy - ANSWER some aspects are centralized and others are
decentralized
networks are integrated and used in integrated global
markets can achieve benefits of multidomestic and global
strategies very complex and difficult to manage
IS has distributed and shared systems with linkages across the enterprise and common
data resources are utilized
the importance of revenue models - ANSWER a revenue model is how a firm will
earn revenue
generates profits and produce an investment on capital
examples: Netflix- subscription based model, model subscribers=more money; Amazon-
uses web to reach customers all around the world, large customers
, allows for quick inventory turnover which allows for lower prices with volume based profit;
newspapers- ad space being purchased to offset papers' production costs; web advertising is
inexpensive and cost of web advertising is based on how many actual people click on it, meaning
you get more for your investment (enabling business-to-consumer e-commerce)
approaches to applying concepts of freeconomics - ANSWER it is the leveraging of
digital technologies to provide free goods and services to customers as a business
strategy to gain competitive advantage
can be done in any industry
in a competitive market the price is set by marginal cost (cost of producing an additional unit
of output)
in certain industries the cost to provide one more person on email for example is nothing
by having more users at low "cost of one more" you gain customers and have a
competitive advantage by having the most customers
this is an extension of the basic advertising model that Google and Yahoo use - because the user
is not paying does not mean that someone else is not paying for ads or making money from click
bait, etc. associated with eBusiness
6 capabilities of the internet/web - ANSWER info dissemination
integration
mass customization
interactive communication
transactional support
disintermediation
100% Correct answers
determine which activities need to be optimized to improve performance, cut costs, and then
gain or sustain competitive advantage
global business strategies - ANSWER home replication
global
multidomestic
transnational
home replication - ANSWER international business seen as extension of home business
used in homogeneous markets
focuses on core business of home market
unable to react to local market conditions due to it being based on home market
global business strategy - ANSWER centralized organization with standardized offerings
across markets
used in homogeneous markets
standardized products allow for economies of scale
inability to react to local market conditions
IS has centralized systems with multiple networks connecting all to the main
,office/hub
multidomestic business strategy - ANSWER federation of associated business units
decentralized
used in very heterogeneous markets
ability to quickly react to local conditions
differing product offerings limit economies of scale
limited integration limits knowledge sharing
IS is decentralized with two-way communication between office and
subsidiaries with local databases
transnational business strategy - ANSWER some aspects are centralized and others are
decentralized
networks are integrated and used in integrated global
markets can achieve benefits of multidomestic and global
strategies very complex and difficult to manage
IS has distributed and shared systems with linkages across the enterprise and common
data resources are utilized
the importance of revenue models - ANSWER a revenue model is how a firm will
earn revenue
generates profits and produce an investment on capital
examples: Netflix- subscription based model, model subscribers=more money; Amazon-
uses web to reach customers all around the world, large customers
, allows for quick inventory turnover which allows for lower prices with volume based profit;
newspapers- ad space being purchased to offset papers' production costs; web advertising is
inexpensive and cost of web advertising is based on how many actual people click on it, meaning
you get more for your investment (enabling business-to-consumer e-commerce)
approaches to applying concepts of freeconomics - ANSWER it is the leveraging of
digital technologies to provide free goods and services to customers as a business
strategy to gain competitive advantage
can be done in any industry
in a competitive market the price is set by marginal cost (cost of producing an additional unit
of output)
in certain industries the cost to provide one more person on email for example is nothing
by having more users at low "cost of one more" you gain customers and have a
competitive advantage by having the most customers
this is an extension of the basic advertising model that Google and Yahoo use - because the user
is not paying does not mean that someone else is not paying for ads or making money from click
bait, etc. associated with eBusiness
6 capabilities of the internet/web - ANSWER info dissemination
integration
mass customization
interactive communication
transactional support
disintermediation
