Test Bank for: Management Information Systems: Managing the Digital Firm, 16th Edition By Kenneth C. Laudon, Jane P. Laudon.

Test Bank for: Management Information Systems: Managing the Digital
t t t t t t t t




t Firm, 16th Edition By Kenneth C. Laudon, Jane P. Laudon.
t t t t t t t t t




Management Information Systems: Managing the Digital Firm, 15e (Laudon) Chapter 1
t t t t t t t t t t




t Information Systems in Global Business Today t t t t t




1) Which of the following is not one of the six strategic business objectives of information
t t t t t t t t t t t t t t




systems?
t




A) New products and services
t t t




B) Improved decision making t t




C) Competitive advantage t




D) Improved employee morale t t




E) Survival
Answer: D
t t




Difficulty: Challenging t




AACSB: Information technology
t t




LO: 1-1: How are information systems transforming business, and why are they so essential for
t t t t t t t t t t t t t t




running and managing a business today?
t t t t t t




2) Verizon's use of a web-based digital dashboard to provide managers with precise real-time
t t t t t t t t t t t t




information enabled it to improve which of the following?
t t t t t t t t t




A) Compliance with regulations t t




B) Managerial decision making t t




C) Efficiency in creation of new products t t t t t




D) Employee morale t




E) Intimacy with its suppliers t t t




Answer: B
t t




Difficulty: Challenging t




AACSB: Information technology
t t



Test Bank t Page 1t

,LO: 1-1: How are information systems transforming business, and why are they so essential for
t t t t t t t t t t t t t t




running and managing a business today?
t t t t t t




3) Which of the following may lead to competitive advantage?
t t t t t t t t




1. New products, services, and business models;
t t t t t




Test Bank
t Page 2t

,2. Charging less for superior products; t t t t




3. Responding to customers in real time t t t t t




A) 1 only t




B) 1 and 2 t t




C) 2 and 3 t t




D) 1 and 3 t t




E) 1, 2, and 3 t t t




Answer: E
t t




Difficulty: Challenging t




AACSB: Analytical thinking
t t t




LO: 1-1: How are information systems transforming business, and why are they so essential for
t t t t t t t t t t t t t t




running and managing a business today?
t t t t t t




4) A firm that invests in an information system because it is a necessity of doing business does
t t t t t t t t t t t t t t t t




so because it is seeking to achieve which of the following business objectives?
t t t t t t t t t t t t t




A) Operational excellence t




B) Improved decision making t t




C) Competitive advantage t




D) Customer intimacy t




E) Survival
Answer: E
t t




Difficulty: Moderate t




AACSB: Information technology t t




LO: 1-1: How are information systems transforming business, and why are they so essential for
t t t t t t t t t t t t t t




running and managing a business today?
t t t t t t




5) The Mandarin Oriental's use of computer systems to keep track of guests' preferences is an
t t t t t t t t t t t t t t




example of which of the following?
t t t t t t




A) Improved flexibility t




B) Improved decision making t t




C) Improved efficiency t


Test Bank t Page 3 t

, D) Customer intimacy
t




Test Bank
t Page 4
t