Management Information Systems: Managing the Digital Firm
Test Bank Page 1
, Test Bank for: Management Information Systems:
Managing the Digital Firm, 17th Edition By Kenneth C.
Laudon, Jane P. Laudon.
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,Management Information Systems: Managing The Digital Firm, 17e (Laudon)
Chapter 1 Information Systems In Global Business Today
1) Which Of The Following Is Not One Of The Six Strategic Business Objectives Of
Information Systems?
A) New Products And Services
B) Improved Decision Making
C) Competitive Advantage
D) Improved Employee Morale
E) Survival
Answer: D
Difficulty: Challenging
AACSB: Information Technology
LO: 1-1: How Are Information Systems Transforming Business, And Why Are They So
Essential For Running And Managing A Business Today?
2) Verizon's Use Of A Web-Based Digital Dashboard To Provide Managers With Precise
Real-Time Information Enabled It To Improve Which Of The Following?
A) Compliance With Regulations
B) Managerial Decision Making
C) Efficiency In Creation Of New Products
D) Employee Morale
E) Intimacy With Its
Suppliers Answer: B
Difficulty: Challenging
AACSB: Information Technology
LO: 1-1: How Are Information Systems Transforming Business, And Why Are They So
Essential For Running And Managing A Business Today?
3) Which Of The Following May Lead To Competitive Advantage?
1. New Products, Services, And Business Models;
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,2. Charging Less For Superior Products;
3. Responding To Customers In Real Time
A) 1 Only
B) 1 And 2
C) 2 And 3
D) 1 And 3
E) 1, 2, And
3 Answer: E
Difficulty: Challenging
AACSB: Analytical
Thinking
LO: 1-1: How Are Information Systems Transforming Business, And Why Are They So
Essential For Running And Managing A Business Today?
4) A Firm That Invests In An Information System Because It Is A Necessity Of Doing
Business Does So Because It Is Seeking To Achieve Which Of The Following Business
Objectives?
A) Operational Excellence
B) Improved Decision Making
C) Competitive Advantage
D) Customer Intimacy
E) Survival
Answer: E
Difficulty: Moderate
AACSB: Information Technology
LO: 1-1: How Are Information Systems Transforming Business, And Why Are They So
Essential For Running And Managing A Business Today?
5) The Mandarin Oriental's Use Of Computer Systems To Keep Track Of Guests' Preferences
Is An Example Of Which Of The Following?
A) Improved Flexibility
B) Improved Decision Making
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,C) Improved Efficiency
D) Customer Intimacy
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,E) Operational
Excellence Answer: D
Difficulty: Moderate
AACSB: Information Technology
LO: 1-1: How Are Information Systems Transforming Business, And Why Are They So
Essential For Running And Managing A Business Today?
6) Competitors Were Seeking Which Of The Following Business Objectives When They
Rushed To Provide Atms After Citibank Introduced The First Atms In New York?
A) Improved Efficiency
B) Customer And Supplier Intimacy
C) Survival
D) Competitive Advantage
E) Improved Decision
Making Answer: C
Difficulty: Moderate
AACSB: Information Technology
LO: 1-1: How Are Information Systems Transforming Business, And Why Are They So
Essential For Running And Managing A Business Today?
7) Which Of The Following Is The Key Business Metric Behind The Technologies
Implemented By Kroger, As Discussed In The Chapter-Opening Case?
A) Higher Customer Satisfaction Levels
B) Survival
C) Improved Employee Morale
D) Improved Decision Making
E) Reduced Cost Of
Supplies Answer: A
Difficulty: Moderate
AACSB: Analytical
Thinking
LO: 1-1: How Are Information Systems Transforming Business, And Why Are They So
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,Essential For
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,Running And Managing A Business Today?
8) Which Of The Following Is An Example Of A Business Using Information Systems To
Create A New Product?
A) Walmart's Retaillink System
B) The Mandarin Oriental's Use Of Computers To Keep Track Of Guest Preferences
C) Verizon's Use Of A Web-Based Digital Dashboard To Provide Real-Time Company
Information For Managers
D) Apple's Creation Of The Ipod
E) Kroger's Use Of Sensors To Monitor Cold Food Storage
Temperatures Answer: D
Difficulty: Challenging
AACSB: Information Technology
LO: 1-1: How Are Information Systems Transforming Business, And Why Are They So
Essential For Running And Managing A Business Today?
9) Walmart Exemplifies The Power Of Information Systems Coupled With State-Of-
The-Art Business Practices And Supportive Management To Achieve Which Of The
Following?
A) New Products And Services
B) Operational Efficiency
C) Survival
D) Customer Intimacy
E) Competitive
Advantage Answer: B
Difficulty: Challenging
AACSB: Information Technology
LO: 1-1: How Are Information Systems Transforming Business, And Why Are They So
Essential For Running And Managing A Business Today?
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,10) How Much Did American Businesses Spend On Information Systems Hardware, Software,
And Telecommunications Equipment In 2015?
A) About $100 Million
B) About $1 Billion
C) About $100 Billion
D) About $1 Trillion
E) About $10
Trillion Answer: D
Difficulty: Moderate
AACSB: Information Technology
LO: 1-1: How Are Information Systems Transforming Business, And Why Are They So
Essential For Running And Managing A Business Today?
11) To Make Sure They Stock Clothes That Their Customers Will Purchase, A Department
Store Implements A New Application That Analyzes Spending Levels At Their Stores And
Cross-References This Data To Popular Clothing Styles. Which Of The Following Business
Objectives Is This Information Intended To Support?
A) Customer Intimacy
B) Survival
C) Operational Excellence
D) Improved Decision Making
E) New Products And
Services Answer: C
Difficulty: Moderate
AACSB: Analytical
Thinking
LO: 1-1: How Are Information Systems Transforming Business, And Why Are They So
Essential For Running And Managing A Business Today?
12) Approximately What Percent Of U.S. Businesses Have Some Form Of Remote Work
Program?
A) About 15 Percent
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, B) About 25 Percent
C) About 35 Percent
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