MGMT 107 Midterm Exam Questions with Verified Solutions Graded A+
The most important component of an information system is
a. hardware
b. software
c. people
d. data - Answers c. people
In order to be cost-effective, information must be
a. timely
b. an input to another system
c. comprehensive
d. worth the cost of producing it - Answers d. worth the cost of producing it
The intensity of each of Porter's Five Forces determines
a. the bargaining power of buyers
b. how profitable the industry is
c. how long the company will be in business
d. how high the entry barriers will be - Answers b. how profitable the industry is
The National Football League (NFL) is the undisputed leader in the professional American
football industry (college football games are played at different times so as not to compete for
the same viewers). Recent attempts to launch competing leagues (USFL, XFL, and AFL) have
been unsuccessful, but the NFL is compelled to spend an enormous amount of money and
effort innovating and marketing its entertainment services. This is an example of which of the
Five Forces?a. bargaining power of suppliers
b. rivalry among existing firms
c. threat of new entrants
d. threat of substitutes - Answers c. threat of new entrants
Locking in customers and suppliers to your company's product or service is an example of
a. switching costs
, b. product differentiation
c. establishing alliances
d. competitive advantage - Answers a. switching costs
Businesses seek to use IT in order to gain __________ over other businesses seeking the same
customers.
a. sway
b. competitive advantage
c. dominance
d. relative advantage - Answers b. competitive advantage
Every stage of the value chain accumulates __________ and adds value to the product.
a. experience
b. defects
c. costs
d. service - Answers c. costs
A strategic __________ with other organizations might be used to establish standards, reduce
purchasing costs, and jointly promote products.
a. alliance
b. lawsuit
c. rivalry
d. switching cost - Answers a. alliance
In a one-to-many relationship, the foreign key is stored in the table on the __________ side of the
relationship.
a. important
b. many
c. one
d. cardinal - Answers b. many
When transforming a data model into a database design, designers represent relationships by
The most important component of an information system is
a. hardware
b. software
c. people
d. data - Answers c. people
In order to be cost-effective, information must be
a. timely
b. an input to another system
c. comprehensive
d. worth the cost of producing it - Answers d. worth the cost of producing it
The intensity of each of Porter's Five Forces determines
a. the bargaining power of buyers
b. how profitable the industry is
c. how long the company will be in business
d. how high the entry barriers will be - Answers b. how profitable the industry is
The National Football League (NFL) is the undisputed leader in the professional American
football industry (college football games are played at different times so as not to compete for
the same viewers). Recent attempts to launch competing leagues (USFL, XFL, and AFL) have
been unsuccessful, but the NFL is compelled to spend an enormous amount of money and
effort innovating and marketing its entertainment services. This is an example of which of the
Five Forces?a. bargaining power of suppliers
b. rivalry among existing firms
c. threat of new entrants
d. threat of substitutes - Answers c. threat of new entrants
Locking in customers and suppliers to your company's product or service is an example of
a. switching costs
, b. product differentiation
c. establishing alliances
d. competitive advantage - Answers a. switching costs
Businesses seek to use IT in order to gain __________ over other businesses seeking the same
customers.
a. sway
b. competitive advantage
c. dominance
d. relative advantage - Answers b. competitive advantage
Every stage of the value chain accumulates __________ and adds value to the product.
a. experience
b. defects
c. costs
d. service - Answers c. costs
A strategic __________ with other organizations might be used to establish standards, reduce
purchasing costs, and jointly promote products.
a. alliance
b. lawsuit
c. rivalry
d. switching cost - Answers a. alliance
In a one-to-many relationship, the foreign key is stored in the table on the __________ side of the
relationship.
a. important
b. many
c. one
d. cardinal - Answers b. many
When transforming a data model into a database design, designers represent relationships by
