SOLUTION MANUAL FOR l l
IntroductionltolInformationlSystemsl9thlEditionlBylR.lKellylRainer,lBradlPrincelChapterl1-
14WithlTechnologylGuidel(1l2l3)
Chapterl1l–lIntroductionltolInformationlSystems
ChapterlOutline
1.1 WhylShouldlIlStudylInformationlSystems?
1.2 OverviewloflComputer-BasedlInformationlSystems
1.3 HowlDoeslITlImpactlOrganizations?
1.4 ImportanceloflInformationlSystemsltolSociety
LearninglObjectives
1. Identifylthelreasonslwhylbeinglanlinformedluserloflinformationlsystemslislimportantlinltoday’slworld.
2. Describelthelvariousltypesloflcomputer-basedlinformationlsystemslinlanlorganization.
3. Discusslwayslinlwhichlinformationltechnologylcanlaffectlmanagerslandlnonmanageriallworkers.
4. Identifylpositivelandlnegativelsocietalleffectsloflthelincreasedluseloflinformationltechnology.
TeachinglTipslandlStrategies
Today’slstudentsluseltechnologylinlwayslthatlwerelnotlevenldreamedlofljustlaldecadelago.lBecauseltheselstude
ntslhavelgrownluplsurroundedlbylandlusingltechnology,linformationltechnologylislanlintegrallpartlofltheirllives
.lUnfortunately,lmanylstudentslseldomlthinklaboutlthelwhyslandlwhereforeslbehindltheltechnologyltheyluselev
erylday.
Ilhavelfoundltheyloftenlfailltolrecognize,lunderstand,lorlevenlseelhowlinformationltechnologylimpactslthem,lth
eirllives,landltheirlcareers.lSolitlislimportantltolletlthemlknowlwhatlislinlitlforlthem,levenlifltheylarelnotlmajoringl
inlinformationlsystems.lTheltextbooklauthorsldolalgoodljobloflthislbylincludingla
―What’slInlITlforlMe?‖lsectionlatlthelstartlofleachlchapter.
Throughoutlthislcourse,litlislimportantlforlusltolencouragelourlstudentsltolsteplbacklandlobservelthelbiggerlpic
tureloflwhatlcompriseslthelfundamentalsloflmanagementlinformationlsystems.lUnfortunately,lyoulwilllfindls
omelstudentslwholwilllthinklthislclasslislboringlorlevenlcomplainltheylalreadyl―knowlitlall.‖
Pointloutlthatltheylshouldllooklatlthel―What’slInlITlforlMe?‖lsectionloflthelchapters.lThislshouldlbeldonelearlyli
nlthelcourse.lAslpartloflyourlintroductionslonlthelfirstldayloflclass,lyoulmightlconsiderlaskinglstudentslwhatlthe
irlmajorlis.lKnowingleachlstudent’slmajorlandlpossiblelcareerlgoalslwilllhelplyoultailorlexamples,lclassroomla
ssignmentslandldiscussionltolthelinterestsloflthelstudents.
ExplaininglhowlMISlhaslaffectedlbusinesseslaslwelllaslworkerslhelpsltolgetlstudentslinterestedlinlthislclass.lItla
lsolhelpslwhenltheylareltoldlstoriesloflhowlcomputerslhavelevolvedlandlhowlMISlandldecisionlsupportlsystemsl
(discussedlinlallatelchapter)lhavelmadelmanagementldecision-makingleasierlandlmorelreliable.
Tolsupportlyourlclassldiscussionslandlexampleslthroughlthelcourse,lIltryltolbringlinlexampleslfromlthellocallare
a.lMostlcommunitieslaroundlcollegelandluniversitylcampuseslhavelbusinesseslorlgovernment
Copyrightl©2022lJohnlWileyl&lSons,lInc. IMl1-1
,agencieslthatloperateldatalcenters.lManyltimes,lstudentslarelunawarelthatltheylarelthere.lInlmostlcases,lthelloc
allChamberloflCommercelor,liflyourlschoollhaslone,lalgrouplofllocallbusinesslleaderslwholperiodicallylmeetl
withlyourldeanlmightlhelplyoulfindltheselsites.
Youlmightlalsolconsiderlsupportinglyourlclassldiscussionslonlthelimportanceloflcomputerltechnologylwithlex
amplesloflhowlcompanieslhavelmovedltole-
mailltolsavelmoneyloverlusinglsnaillmaill(postallservice).lStudentslcanlbelintroducedltolthelconceptlthatlITlm
ustlbelpairedlwithlbusinesslprocessesltolharnesslIT’slpotential.
ITlislimportantltolbusinesslleaderslallloverlthelworld.lTherelarelsalarylstatisticslforlalllmajors.lYoulcanlgetlthis
linformationlfromlUSAlToday’slwebsitelatlwww.usatoday.com,lPayscale.coml(www.payscale.com),lorlSala
ry.coml(www.salary.com).lHistorically,ltherelarelusuallylalfewlIT-relatedljobslinltheltopl10lhighest-
payingljobslforlcollegelgrades.lThislusuallylgetslsomelstudents’lattention,lespeciallylifltheylrealizelthatliflthey
larelmoreltechnologicallylsavvyltheylwillltendltolmakelmorelmoney.
Finally,lhavelyourlstudentsllooklatllocallhelp-
wantedladsltolseelhowlmanyljoblpostingslforlwhatlmightlbelconsideredlnon-technicalljobslrequirelsomelITlknowledge.
Blackboard/CMSlSuggestions
Mostlcollegeslandluniversitieslhaveldesignlrequirementslonlthelstructureloflonlinelcourseslandlwhatlshouldlb
elincludedlinlthelcampus’slcourselmanagementlsystem,lwhetherlthelclasslislonlinelorlasla
supplementltolanlin-personllecture-
basedlclass.lSolwhatlIlamlincludinglinlthislsectionlforlthislandlthelrestloflthelchapterlInstructorlManualslislbasedl
onlwhatlIlhavellearnedlfromlnearlylfifteenlyearslteachinglthislclass,landlalmostltenlyearslteachinglitlonline.
Ilusuallylstartltheltermlwithlanlonlineldiscussionlquestionlaskinglthelstudentslaboutltheirlmajors,lwhatltheylthi
nkltheirltechnicallknowledgelisl(thislcanlsometimeslbelsurprisinglbecauseltheylusuallyloverestimatelwhatlthe
ylreallylknow),landlifltheylhavelanylfearslaboutltechnology.lForlthislexercise,lIlusuallyldolnotlpermitlotherslinl
thelclassltolcommentlonlanotherlstudent’slresponse.lIluselthislmainlyltolgaugelthelknowledgelandlbackground
loflthelclass.
Ilalwayslrecordlalshortlvideolforleachlchapterlforlmylonlinelclasses.lIlhavelfoundlthatliflIlrecordlalcompletellect
ure,lmostlstudentsldolnotlwatchlit.lSolIldolalten-ltolfifteen-minutelchapterloverviewlvideo.
Iflyoularelteachinglanlonlinelclasslorlarellookinglforlalshortlvideolforlallecturelclass,lIlcanlusuallylfindltopic-
relevantlvideoslonlYouTube.lSometimesltheylarelproductldemoslorlsaleslvideos,lbutltheylstilllusuallylprese
ntlrelevantlinformationlorlconcepts.
OpeninglCase:lThelDigitallandlPhysicallTransformationloflGrocerylStores
1. Providelexamplesltoldescribelthelphysicalltransformationslundertakenlbylthelgrocerylindustry.
ANSWER:
Physicalltransformationslinclude:
- Self-checkoutlaisles
- Basedlonldigitalltechnologyl(machinellearning),lmicrofulfillmentlcenterslarelbeinglbuiltlandlusedlforl
quickerldeliverylofle-commercelorders
- Openinglsmallerllocationslwithlgreaterlconveniencel(aslopposedltollargelbig-boxlstores)
- Physicalldeliverylmethodslarelusedl(basedlonltechnology)lsuchlasldriverlesslvehicleslandldrones
Copyrightl©2022lJohnlWileyl&lSons,lInc. IMl1-2
,Level:lEasy
Section/LearninglObjective:lSectionl1.1/LearninglObjectivel1lBloo
m’slCategory:lApplication
AACSBlCategory:lTechnology
2. Providelexamplesltoldescribeltheldigitalltransformationslundertakenlbylthelgrocerylindustry.
ANSWER:
Digitalltransformationslinclude:
- Electronicllabellingltolreplacelpaperlbarlcodesl(digitallpricing)
- IoTlsensorslthatlcanlhelplwithlmeasurementloflproductlandlcontrollingltemperature
- Smartlshelveslthatlassistlwithlinventorylmanagement
Digitallcheckoutlprocesseslincludinglfaciallrecognitionlforlcustomerlidentitylandlpaymentlverifi
cation,laslwelllaslscanlandlgol(aslopposedltolcashierlenabledlcheckout)
NOTE:lStudentslmaylincludeltransformationslthatlhavelbothlphysicallandldigitallimpactslinltheirlresponsel
tolquestionsl1landl2.
Level:lMedium
Section/LearninglObjective:lSectionl1.1/LearninglObjectivel1lBloo
m’slCategory:lApplication
AACSBlCategory:lTechnology
3. Whichltransformationslarelmorelimportantlforlthelgrocerylindustry:lphysicallorldigital?lSupportlyou
rlanswer.
ANSWER:
Responseslwilllvarylbutlshouldlbelbasedlonlthelinformationlprovided,lincludinglexampleslandlaldescriptio
nloflthelimpactlthelchangelhas.lIdeally,lregardlessloflwhichloptionlislchosen,litlshouldlbelsupportedlwithlall
ogicallreasonlasltolwhylitlislandlwilllcontinueltolbelimportantlforlthelindustry.
Level:lMedium
Section/LearninglObjective:lSectionl1.1/LearninglObjectivel1lBloo
m’slCategory:lAnalysis
AACSBlCategory:lTechnology
IT’slAboutlBusinessl1.1lThelDigitallTransformationloflVietnam
1. Informationltechnologiesldolnotlalwayslleadltoltransformationlinlorganizationsl(orlcountries).
a. ExplainlhowlthelpoliciesloflthelVietnameselgovernmentlledltoltheldigitalltransformationloflthelcou
ntry.
b. ConsiderlthelRoyallSpiritlGroup’slDBWlfactory.lProvidelexamplesloflbothltechnologicallandlnon
technologicallinitiativeslthatldrovelthelfactory’slsustainableloperations.
c. ConsiderlAppota,lTiki,lSkinlosophy,landlTimo.lDidltechnologicallinitiativesldriveleachlco
mpany’slsuccess?lIflso,lprovidelexamplesloflsuchlinitiativeslforleachlcompany.
ANSWER:
1a)lInlthel1980slthelgovernmentslchangeltolalmarket-
basedleconomylresultedlinlthelabilityltolestablishlprivatelbusinesses,lwhichltransformedltoltheltelecommu
nicationslindustry.lItlwaslnollongerlcontrolledlbylthelcommunistlpartylandlrestrictedltolgovernmentlofficia
ls.
1b)
1c)lAppota:lThelcompany’slsuccesslislbasedlonltechnologicallgrowthlandlinitiativeslsuchlaslthe
Copyrightl©2022lJohnlWileyl&lSons,lInc. IMl1-3
, developmentloflanle-wallet,lWi-Filpassword-
sharinglfacility,laslwelllasldevelopmentloflphysicallproductslthatlfunctionlvialsmartphonesl(i.e.,lalsm
artllock).
Tiki:lThelcompanylhaslsucceededlinlalignmentlwithle-
commercelgrowth.lInladditionltolthelproductslbeinglsoldlviale-
commerce,lTikilisllookingltolcontinuelgrowthlthroughluselofldigitallpayments.lTheylarelseeingltheluselofl
e-walletslgrowlinlalignmentlwithldigitalltransactions.
Skinlosophy:l80%loflthelcompany’slsaleslarelonline,lwhichlindicateslalclearldependencylonltech
nologyluselaslalkeyldriverloflsuccess.
Timo:lTheluselofltechnologylislthelbasislforlthelcompany’slbusinesslmodel.lVirtuallylallltransactionslcanlb
eldonelremotelylandltherelisllittleltolnolneedltolmeetlwithlalbanklrepresentative.lInstead,lcustomersluselthel
applforltheirlpurchaseslandlotherlfinancialltransactions.
.
Level:lEasy
Section/LearninglObjective:lSectionl1.1/LearninglObjectivel1lBloo
m’slCategory:lApplication
AACSBlCategory:lTechnology
2. Explainlhowltheldevelopmentlofltheltelecommunicationslinfrastructurel(fiber-
opticlcableslandlwireless)lwaslalkeyldriverloflthelcountry’sldigitalltransformation.
ANSWER:
Althoughlcostly,lthelabilityltolhavelphoneslincreasedlinlthel1990slwithlsignificantlchangeloccurringlinlthelearly
l2000s.lAtlthatltime,lthelgovernmentlincreasedlthelnumberlofltelecommunicationllinkslsolthatlalllprovinces
lwouldlbelconnected.lAtlthelsameltime,lforeignlinvestmentlbeganlforlthelindustryl(Siemens),lwhichlwouldl
leveragelthelinfrastructure.lBothlofltheselimprovementslhelpedlmobilelnetworkslemerge.lWithlincreasedli
nfrastructure,laccesslandlbothlpersonallandlbusinessluselincreased,lleadingltolbusinesslstart-
upslandlnewlwaysloflpurchasinglandlsellinglexistinglproductslandlservices.
Level:lEasy
Section/LearninglObjective:lSectionl1.1/LearninglObjectivel1lBloo
m’slCategory:lApplication
AACSBlCategory:lTechnology
3. WhylwaslVietnam’sldigitalltransformationlalstrategiclnecessitylforlthelcountry?lConsiderlexa
mpleslfromlthelcountry’sleconomicldevelopmentlinlyourlanswer.
ANSWER:
Priorltolthelchangelinlgovernmentlpolicy,lVietnamlwasloneloflthelpoorestlcountrieslinlthelworld.l Theldigit
alltransformationlhaslincreasedlinternetlaccesslandlcontributedltolsignificantlgrowthslinlthe
country’slGDPl(morelthanl$6,000lperlcapitalinlearlyl2020).lItlislnowloneloflthelmostldigitallecon
omieslinlSoutheastlAsia.lSomelkeylfactslinclude:
- 96%loflInternetlusersl(66lmillionltotallusers)laccesslthelInternetlvialmobileldevices
- 95%loflthelurbanlpopulationlownslalsmartphone
- Morelthanl45lmillionlpeoplelroseloutloflpovertylbylearlyl2020
- Thelcountry’slmobilele-commercelmarketlvaluelexceededl$3lbillionlasloflMayl2020
Level:lEasy
Section/LearninglObjective:lSectionl1.1/LearninglObjectivel1lBloo
m’slCategory:lApplication
AACSBlCategory:lTechnology
Copyrightl©2022lJohnlWileyl&lSons,lInc. IMl1-4
IntroductionltolInformationlSystemsl9thlEditionlBylR.lKellylRainer,lBradlPrincelChapterl1-
14WithlTechnologylGuidel(1l2l3)
Chapterl1l–lIntroductionltolInformationlSystems
ChapterlOutline
1.1 WhylShouldlIlStudylInformationlSystems?
1.2 OverviewloflComputer-BasedlInformationlSystems
1.3 HowlDoeslITlImpactlOrganizations?
1.4 ImportanceloflInformationlSystemsltolSociety
LearninglObjectives
1. Identifylthelreasonslwhylbeinglanlinformedluserloflinformationlsystemslislimportantlinltoday’slworld.
2. Describelthelvariousltypesloflcomputer-basedlinformationlsystemslinlanlorganization.
3. Discusslwayslinlwhichlinformationltechnologylcanlaffectlmanagerslandlnonmanageriallworkers.
4. Identifylpositivelandlnegativelsocietalleffectsloflthelincreasedluseloflinformationltechnology.
TeachinglTipslandlStrategies
Today’slstudentsluseltechnologylinlwayslthatlwerelnotlevenldreamedlofljustlaldecadelago.lBecauseltheselstude
ntslhavelgrownluplsurroundedlbylandlusingltechnology,linformationltechnologylislanlintegrallpartlofltheirllives
.lUnfortunately,lmanylstudentslseldomlthinklaboutlthelwhyslandlwhereforeslbehindltheltechnologyltheyluselev
erylday.
Ilhavelfoundltheyloftenlfailltolrecognize,lunderstand,lorlevenlseelhowlinformationltechnologylimpactslthem,lth
eirllives,landltheirlcareers.lSolitlislimportantltolletlthemlknowlwhatlislinlitlforlthem,levenlifltheylarelnotlmajoringl
inlinformationlsystems.lTheltextbooklauthorsldolalgoodljobloflthislbylincludingla
―What’slInlITlforlMe?‖lsectionlatlthelstartlofleachlchapter.
Throughoutlthislcourse,litlislimportantlforlusltolencouragelourlstudentsltolsteplbacklandlobservelthelbiggerlpic
tureloflwhatlcompriseslthelfundamentalsloflmanagementlinformationlsystems.lUnfortunately,lyoulwilllfindls
omelstudentslwholwilllthinklthislclasslislboringlorlevenlcomplainltheylalreadyl―knowlitlall.‖
Pointloutlthatltheylshouldllooklatlthel―What’slInlITlforlMe?‖lsectionloflthelchapters.lThislshouldlbeldonelearlyli
nlthelcourse.lAslpartloflyourlintroductionslonlthelfirstldayloflclass,lyoulmightlconsiderlaskinglstudentslwhatlthe
irlmajorlis.lKnowingleachlstudent’slmajorlandlpossiblelcareerlgoalslwilllhelplyoultailorlexamples,lclassroomla
ssignmentslandldiscussionltolthelinterestsloflthelstudents.
ExplaininglhowlMISlhaslaffectedlbusinesseslaslwelllaslworkerslhelpsltolgetlstudentslinterestedlinlthislclass.lItla
lsolhelpslwhenltheylareltoldlstoriesloflhowlcomputerslhavelevolvedlandlhowlMISlandldecisionlsupportlsystemsl
(discussedlinlallatelchapter)lhavelmadelmanagementldecision-makingleasierlandlmorelreliable.
Tolsupportlyourlclassldiscussionslandlexampleslthroughlthelcourse,lIltryltolbringlinlexampleslfromlthellocallare
a.lMostlcommunitieslaroundlcollegelandluniversitylcampuseslhavelbusinesseslorlgovernment
Copyrightl©2022lJohnlWileyl&lSons,lInc. IMl1-1
,agencieslthatloperateldatalcenters.lManyltimes,lstudentslarelunawarelthatltheylarelthere.lInlmostlcases,lthelloc
allChamberloflCommercelor,liflyourlschoollhaslone,lalgrouplofllocallbusinesslleaderslwholperiodicallylmeetl
withlyourldeanlmightlhelplyoulfindltheselsites.
Youlmightlalsolconsiderlsupportinglyourlclassldiscussionslonlthelimportanceloflcomputerltechnologylwithlex
amplesloflhowlcompanieslhavelmovedltole-
mailltolsavelmoneyloverlusinglsnaillmaill(postallservice).lStudentslcanlbelintroducedltolthelconceptlthatlITlm
ustlbelpairedlwithlbusinesslprocessesltolharnesslIT’slpotential.
ITlislimportantltolbusinesslleaderslallloverlthelworld.lTherelarelsalarylstatisticslforlalllmajors.lYoulcanlgetlthis
linformationlfromlUSAlToday’slwebsitelatlwww.usatoday.com,lPayscale.coml(www.payscale.com),lorlSala
ry.coml(www.salary.com).lHistorically,ltherelarelusuallylalfewlIT-relatedljobslinltheltopl10lhighest-
payingljobslforlcollegelgrades.lThislusuallylgetslsomelstudents’lattention,lespeciallylifltheylrealizelthatliflthey
larelmoreltechnologicallylsavvyltheylwillltendltolmakelmorelmoney.
Finally,lhavelyourlstudentsllooklatllocallhelp-
wantedladsltolseelhowlmanyljoblpostingslforlwhatlmightlbelconsideredlnon-technicalljobslrequirelsomelITlknowledge.
Blackboard/CMSlSuggestions
Mostlcollegeslandluniversitieslhaveldesignlrequirementslonlthelstructureloflonlinelcourseslandlwhatlshouldlb
elincludedlinlthelcampus’slcourselmanagementlsystem,lwhetherlthelclasslislonlinelorlasla
supplementltolanlin-personllecture-
basedlclass.lSolwhatlIlamlincludinglinlthislsectionlforlthislandlthelrestloflthelchapterlInstructorlManualslislbasedl
onlwhatlIlhavellearnedlfromlnearlylfifteenlyearslteachinglthislclass,landlalmostltenlyearslteachinglitlonline.
Ilusuallylstartltheltermlwithlanlonlineldiscussionlquestionlaskinglthelstudentslaboutltheirlmajors,lwhatltheylthi
nkltheirltechnicallknowledgelisl(thislcanlsometimeslbelsurprisinglbecauseltheylusuallyloverestimatelwhatlthe
ylreallylknow),landlifltheylhavelanylfearslaboutltechnology.lForlthislexercise,lIlusuallyldolnotlpermitlotherslinl
thelclassltolcommentlonlanotherlstudent’slresponse.lIluselthislmainlyltolgaugelthelknowledgelandlbackground
loflthelclass.
Ilalwayslrecordlalshortlvideolforleachlchapterlforlmylonlinelclasses.lIlhavelfoundlthatliflIlrecordlalcompletellect
ure,lmostlstudentsldolnotlwatchlit.lSolIldolalten-ltolfifteen-minutelchapterloverviewlvideo.
Iflyoularelteachinglanlonlinelclasslorlarellookinglforlalshortlvideolforlallecturelclass,lIlcanlusuallylfindltopic-
relevantlvideoslonlYouTube.lSometimesltheylarelproductldemoslorlsaleslvideos,lbutltheylstilllusuallylprese
ntlrelevantlinformationlorlconcepts.
OpeninglCase:lThelDigitallandlPhysicallTransformationloflGrocerylStores
1. Providelexamplesltoldescribelthelphysicalltransformationslundertakenlbylthelgrocerylindustry.
ANSWER:
Physicalltransformationslinclude:
- Self-checkoutlaisles
- Basedlonldigitalltechnologyl(machinellearning),lmicrofulfillmentlcenterslarelbeinglbuiltlandlusedlforl
quickerldeliverylofle-commercelorders
- Openinglsmallerllocationslwithlgreaterlconveniencel(aslopposedltollargelbig-boxlstores)
- Physicalldeliverylmethodslarelusedl(basedlonltechnology)lsuchlasldriverlesslvehicleslandldrones
Copyrightl©2022lJohnlWileyl&lSons,lInc. IMl1-2
,Level:lEasy
Section/LearninglObjective:lSectionl1.1/LearninglObjectivel1lBloo
m’slCategory:lApplication
AACSBlCategory:lTechnology
2. Providelexamplesltoldescribeltheldigitalltransformationslundertakenlbylthelgrocerylindustry.
ANSWER:
Digitalltransformationslinclude:
- Electronicllabellingltolreplacelpaperlbarlcodesl(digitallpricing)
- IoTlsensorslthatlcanlhelplwithlmeasurementloflproductlandlcontrollingltemperature
- Smartlshelveslthatlassistlwithlinventorylmanagement
Digitallcheckoutlprocesseslincludinglfaciallrecognitionlforlcustomerlidentitylandlpaymentlverifi
cation,laslwelllaslscanlandlgol(aslopposedltolcashierlenabledlcheckout)
NOTE:lStudentslmaylincludeltransformationslthatlhavelbothlphysicallandldigitallimpactslinltheirlresponsel
tolquestionsl1landl2.
Level:lMedium
Section/LearninglObjective:lSectionl1.1/LearninglObjectivel1lBloo
m’slCategory:lApplication
AACSBlCategory:lTechnology
3. Whichltransformationslarelmorelimportantlforlthelgrocerylindustry:lphysicallorldigital?lSupportlyou
rlanswer.
ANSWER:
Responseslwilllvarylbutlshouldlbelbasedlonlthelinformationlprovided,lincludinglexampleslandlaldescriptio
nloflthelimpactlthelchangelhas.lIdeally,lregardlessloflwhichloptionlislchosen,litlshouldlbelsupportedlwithlall
ogicallreasonlasltolwhylitlislandlwilllcontinueltolbelimportantlforlthelindustry.
Level:lMedium
Section/LearninglObjective:lSectionl1.1/LearninglObjectivel1lBloo
m’slCategory:lAnalysis
AACSBlCategory:lTechnology
IT’slAboutlBusinessl1.1lThelDigitallTransformationloflVietnam
1. Informationltechnologiesldolnotlalwayslleadltoltransformationlinlorganizationsl(orlcountries).
a. ExplainlhowlthelpoliciesloflthelVietnameselgovernmentlledltoltheldigitalltransformationloflthelcou
ntry.
b. ConsiderlthelRoyallSpiritlGroup’slDBWlfactory.lProvidelexamplesloflbothltechnologicallandlnon
technologicallinitiativeslthatldrovelthelfactory’slsustainableloperations.
c. ConsiderlAppota,lTiki,lSkinlosophy,landlTimo.lDidltechnologicallinitiativesldriveleachlco
mpany’slsuccess?lIflso,lprovidelexamplesloflsuchlinitiativeslforleachlcompany.
ANSWER:
1a)lInlthel1980slthelgovernmentslchangeltolalmarket-
basedleconomylresultedlinlthelabilityltolestablishlprivatelbusinesses,lwhichltransformedltoltheltelecommu
nicationslindustry.lItlwaslnollongerlcontrolledlbylthelcommunistlpartylandlrestrictedltolgovernmentlofficia
ls.
1b)
1c)lAppota:lThelcompany’slsuccesslislbasedlonltechnologicallgrowthlandlinitiativeslsuchlaslthe
Copyrightl©2022lJohnlWileyl&lSons,lInc. IMl1-3
, developmentloflanle-wallet,lWi-Filpassword-
sharinglfacility,laslwelllasldevelopmentloflphysicallproductslthatlfunctionlvialsmartphonesl(i.e.,lalsm
artllock).
Tiki:lThelcompanylhaslsucceededlinlalignmentlwithle-
commercelgrowth.lInladditionltolthelproductslbeinglsoldlviale-
commerce,lTikilisllookingltolcontinuelgrowthlthroughluselofldigitallpayments.lTheylarelseeingltheluselofl
e-walletslgrowlinlalignmentlwithldigitalltransactions.
Skinlosophy:l80%loflthelcompany’slsaleslarelonline,lwhichlindicateslalclearldependencylonltech
nologyluselaslalkeyldriverloflsuccess.
Timo:lTheluselofltechnologylislthelbasislforlthelcompany’slbusinesslmodel.lVirtuallylallltransactionslcanlb
eldonelremotelylandltherelisllittleltolnolneedltolmeetlwithlalbanklrepresentative.lInstead,lcustomersluselthel
applforltheirlpurchaseslandlotherlfinancialltransactions.
.
Level:lEasy
Section/LearninglObjective:lSectionl1.1/LearninglObjectivel1lBloo
m’slCategory:lApplication
AACSBlCategory:lTechnology
2. Explainlhowltheldevelopmentlofltheltelecommunicationslinfrastructurel(fiber-
opticlcableslandlwireless)lwaslalkeyldriverloflthelcountry’sldigitalltransformation.
ANSWER:
Althoughlcostly,lthelabilityltolhavelphoneslincreasedlinlthel1990slwithlsignificantlchangeloccurringlinlthelearly
l2000s.lAtlthatltime,lthelgovernmentlincreasedlthelnumberlofltelecommunicationllinkslsolthatlalllprovinces
lwouldlbelconnected.lAtlthelsameltime,lforeignlinvestmentlbeganlforlthelindustryl(Siemens),lwhichlwouldl
leveragelthelinfrastructure.lBothlofltheselimprovementslhelpedlmobilelnetworkslemerge.lWithlincreasedli
nfrastructure,laccesslandlbothlpersonallandlbusinessluselincreased,lleadingltolbusinesslstart-
upslandlnewlwaysloflpurchasinglandlsellinglexistinglproductslandlservices.
Level:lEasy
Section/LearninglObjective:lSectionl1.1/LearninglObjectivel1lBloo
m’slCategory:lApplication
AACSBlCategory:lTechnology
3. WhylwaslVietnam’sldigitalltransformationlalstrategiclnecessitylforlthelcountry?lConsiderlexa
mpleslfromlthelcountry’sleconomicldevelopmentlinlyourlanswer.
ANSWER:
Priorltolthelchangelinlgovernmentlpolicy,lVietnamlwasloneloflthelpoorestlcountrieslinlthelworld.l Theldigit
alltransformationlhaslincreasedlinternetlaccesslandlcontributedltolsignificantlgrowthslinlthe
country’slGDPl(morelthanl$6,000lperlcapitalinlearlyl2020).lItlislnowloneloflthelmostldigitallecon
omieslinlSoutheastlAsia.lSomelkeylfactslinclude:
- 96%loflInternetlusersl(66lmillionltotallusers)laccesslthelInternetlvialmobileldevices
- 95%loflthelurbanlpopulationlownslalsmartphone
- Morelthanl45lmillionlpeoplelroseloutloflpovertylbylearlyl2020
- Thelcountry’slmobilele-commercelmarketlvaluelexceededl$3lbillionlasloflMayl2020
Level:lEasy
Section/LearninglObjective:lSectionl1.1/LearninglObjectivel1lBloo
m’slCategory:lApplication
AACSBlCategory:lTechnology
Copyrightl©2022lJohnlWileyl&lSons,lInc. IMl1-4
