CMIS 526 Exam 1 STUDY GUIDE

globalization - Answer- the integration of economies throughout the world enabled by innovation and technological progress globalization has allowed for 3 main things: - Answer- economic changes cultural changes technological changes economic changes brought on by globalization - Answer- increased international trade development of global financial systems and currency the outsourcing of labor cultural changes brought on by globalization - Answer- increased availability of multiculturalism via TV and movies increased international travel, tourism, and immigration more availability of ethnic food and restaurants increased prevalence of worldwide fads and phenomena such as Facebook, Groupon, and YouTube technological changes brought on by globalization - Answer- low-cost computing platforms and communication technologies (email, Skype, instant messaging) enforcement of global patent and copyright laws to spur further innovation the ubiquitous nature of low cost global telecom infrastructure line the internet how globalization has impacted businesses - Answer- allows for outsourcing or moving of business processes (accounting, manufacturing, security, call centers) to another company either onshore or offshore benefits of outsourcing - Answer- allows companies to reach new markets leverage skills of specialists or experts in other countries (global workforce) challenges of outsourcing - Answer- working with other governments regarding regulations, politics, etc timezone differences infrastructure-related reliability (brown outs) cultural - working with different cultural norms the changing role of the IS function in organizations - Answer- IS is no longer a "help desk" but is becoming a strategic competitive advantage - it provides efficiencies and allows for differentiation or competitive advantage example: Amazon states that "one click ordering is propriatary to them and no one else can use it." This is an IS advantage that allows for smoother transactions and a competitive advantage