Chapter 1
Multiple Choice
Which of the following statements is not correct?
A. To succeed in today’s environment, it is often necessary to change business models and strategies.
B. IT enables organizations to survive in the face of business pressures.
C. IT requires small investments over a long period of time.
D. Organizations can leverage their platforms to develop Web-based applications, products, and services.
ANS: C
REF: Material following chapter opening case
The modern business environment has all of the following characteristics except:
A. global
B. interconnected
C. competitive
D. relatively static
E. real-time
ANS: D
REF: Material following chapter opening case
_____ deal with the planning for – and the development, management, and use of – technology to help people perform their tasks related to information processing.
A. IT architecture
B. IT infrastructure
C. information technology
D. management information systems
E. IT services
ANS: D
REF: 1.1 Information Systems: Concepts and Definitions
_____ is (are) data that have been organized to have meaning and value to a recipient.
A. data
B. information
C. knowledge
D. experience
E. wisdom
ANS: B
REF: 1.1 Information Systems: Concepts and Definitions
If Amazon uses a list of all your purchases (books bought, price paid, dates) to recommend other books to you, then Amazon is applying its _____.
A. data
B. information
C. knowledge
D. experience
E. wisdom
ANS: C
REF: 1.1 Information Systems: Concepts and Definitions
An organization’s information technology architecture:
A. provides a guide for current operations
B. provides a blueprint for future directions
C. integrates the information requirements of the organization and all users
D. is analogous to the architecture of a house
E. all of the above
ANS: E
REF: 1.1 Information Systems: Concepts and Definitions
_____ are the computer hardware, software, and communications technologies that are used by IT personnel to produce IT services.
A. IT components
B. IT services
C. information technology
D. information system
E. computer-based information system
ANS: A
REF: 1.1 Information Systems: Concepts and Definitions
An organization’s _____ consists of the physical facilities, IT components, IT services, and IT management that will support the entire organization.
A. information technology architecture
B. information technology infrastructure
C. information technology
D. information system
E. computer-based information system
ANS: B
REF: 1.1 Information Systems: Concepts and Definitions
_____ is the integration of economic, social, cultural, and ecological facets of life, enabled by information technologies.
A. regionalization
B. nationalization
C. globalization
D. business environment
ANS: C
REF: 1.2 The Global, Web-Based Platform
Globalization 1.0 focused on _____, Globalization 2.0 focused on _____, and Globalization 3.0 focuses on _____.
A. companies, groups, countries
B. countries, groups, companies
C. countries, companies, groups
D. groups, companies, countries
E. groups, countries, companies
ANS: C
REF: 1.2 The Global, Web-Based Platform
_____ enables computer applications to interoperate without human interaction.
A. supply-chaining
B. informing
C. uploading
D. work-flow software
E. outsourcing
ANS: D
REF: 1.2 The Global, Web-Based Platform
_____ involves taking a specific function that your company was doing itself, having another company perform that same function for you, and then integrating their work back into your operation.
A. informing
B. insourcing
C. offshoring
D. outsourcing
E. uploading
ANS: D
REF: 1.2 The Global, Web-Based Platform
_____ means that you can create content and send or post it to the Web.
A. informing
B. insourcing
C. delivering
D. participating
E. uploading
ANS: E
REF: 1.2 The Global, Web-Based Platform
If your university hires a company to manage its entire human resources function, then your university is practicing _____.
A. insourcing
B. outsourcing
C. offshoring
D. temporary hiring
E. consulting
ANS: B
REF: 1.2 The Global, Web-Based Platform
The workforce in developed countries has which of the following characteristics?
A. more diversified
B. more women
C. more single parents
D. more persons with disabilities
E. all of the above
ANS: E
REF: 1.3 Business Pressures, Organizational Responses, and IT Support
Today’s customers have which of the following characteristics?
A. less knowledge about products
B. less sophistication
C. difficulty in finding information about products
D. higher expectations
E. difficulty in comparing prices
ANS: D
REF: 1.3 Business Pressures, Organizational Responses, and IT Support
When identical items are produced in large quantities, this is called:
A. strategic systems
B. customer focus
C. continuous improvement
D. mass production
E. mass customization
ANS: D
REF: 1.3 Business Pressures, Organizational Responses, and IT Support
Which of the following is not a fact about IT careers?
A. The four-fastest growing U.S. jobs that require college degrees from 2002 through 2012 are IT-related.
B. Highly-skilled IT jobs will typically not be offshored.
C. There are no computing jobs.
D. MIS majors usually receive high starting salaries.
ANS: C
REF: 1.4 Why Are Information Systems Important to You?
Chapter 2
Multiple Choice
Which of the following statements about information systems is not correct?
A. Information systems are concentrated in the IS Department.
B. Information systems tend to follow the structure of the organization.
C. Information systems are based on the needs of employees.
D. Any information system can be strategic.
E. Managing information systems is difficult.
Ans: A
Ref: Discussion immediately following Chapter opening case
A collection of related files, tables, and so on that stores data and the associations among them is _____.
A. hardware
B. software
C. database
D. network
E. procedures
Ans: C
Ref: 2.1 Types of Information Systems
Which of the following is not a major capability of information systems?
A. perform high-speed, high-volume numerical computations
B. provide fast, accurate communications among organizations
C. store very small amounts of information in a very large space
D. increase the effectiveness and efficiency of people working in groups
E. automate semiautomatic business processes
Ans: C
Ref: 2.1 Types of Information Systems
Two information systems that support the entire organization are:
A. Enterprise resource planning systems, dashboards
B. Transaction processing systems, office automation systems
C. Enterprise resource planning systems, transaction processing systems
D. Expert systems, office automation systems
E. Expert systems, transaction processing systems
Ans: C
Ref: 2.1 Types of Information Systems
When your purchases are swiped over the bar-code reader at the point-of-sale terminals at Wal-Mart, a _____ records the data.
A. transaction processing system
B. functional area information system
C. dashboard
D. enterprise resource planning system
E. office automation system
Ans: A
Ref: 2.1 Types of Information Systems
Supply chain systems are which type of information system?
A. departmental information systems
B. enterprisewide information systems
C. interorganizational information systems
D. end-user computing systems
E. individual information systems
Ans: C
Ref: Types of Information System
_____ attempt to duplicate the work of human experts by applying reasoning capabilities.
A. expert systems
B. dashboards
C. functional area information systems
D. decision support systems
E. business intelligence systems
Ans: A
Ref: 2.1 Types of Information Systems
_____ provide rapid access to timely information and direct access to structured information in the form of reports.
A. expert systems
B. dashboards
C. functional area information systems
D. decision support systems
E. business intelligence systems
Ans: B
Ref: 2.1 Types of Information Systems
Information-based industries are most susceptible to which one of Porter’s five forces?
A. threat of entry of new competitors
B. bargaining power of suppliers
C. bargaining power of customers
D. threat of substitute products
E. rivalry among existing firms in an industry
Ans: D
Ref: 2.2 Competitive Advantage and Strategic Information Systems
For most companies, the Web _____ the threat that new competitors will enter the market by _____ traditional barriers to entry.
A. decreases, increasing
B. increases, decreasing
C. increases, increasing
D. decreases, decreasing
Ans: B
Ref: 2.2 Competitive Advantage and Strategic Information Systems
The threat of competitors’ entering a market is very high in industries that perform a(n) _____ role, and in industries where the primary product or service is _____.
A. intermediation, physical
B. broker, physical
C. sales, financial
D. financial, digital
E. intermediation, digital
Ans: E
Ref: 2.2 Competitive Advantage and Strategic Information Systems
Buyer power is _____ when buyers have many choices from whom to buy and _____ when buyers have few choices.
A. high, the same
B. high, low
C. low, low
D. low, high
E. low, the same
Ans: B
Ref: 2.2 Competitive Advantage and Strategic Information Systems
Porter’s competitive forces model helps organizations identify _____, where his value chain model helps organizations identify specific _____.
A. competitive opportunities, activities
B. general strategies, activities
C. activities, competitive opportunities
D. activities, general strategies
E. primary activities, support activities
Ans: B
Ref: 2.2 Competitive Advantage and Strategic Information Systems
_____ activities create value for which customers are willing to pay, where _____ activities do not add value directly to the firm’s products or services.
A. Support, primary
B. Human resource management, inbound logistics
C. Procurement, operations
D. Primary, support
E. Accounting, outbound logistics
Ans: D
Ref: 2.2 Competitive Advantage and Strategic Information Systems
Offering different products, services, or product features is which strategy for competitive advantage?
A. cost leadership
B. differentiation
C. innovation
D. operational effectiveness
E. customer-orientation
Ans: B
Ref: 2.2 Competitive Advantage and Strategic Information Systems
Introducing new products and putting new features in existing products is which strategy for competitive advantage?
A. cost leadership
B. differentiation
C. innovation
D. operational effectiveness
E. customer-orientation
Ans: C
Ref: 2.2 Competitive Advantage and Strategic Information Systems
Improving the manner in which internal business processes are executed is which strategy for competitive advantage?
A. cost leadership
B. differentiation
C. innovation
D. operational effectiveness
E. customer orientation
Ans: D
Ref: 2.2 Competitive Advantage and Strategic Information Systems
When Amazon welcomes you by name back to its Web site on your second visit, this is an example of which strategy for competitive advantage?
A. cost leadership
B. differentiation
C. innovation
D. operational effectiveness
E. customer orientation
Ans: E
Ref: 2.2 Competitive Advantage and Strategic Information Systems
The impact of IT on managers’ jobs is all of the following except:
A. gives managers time to get into the field
B. managers can spend more time planning
C. managers must spend more time managing fewer employees
D. managers can gather information more quickly
E. none of the above
Ans: C
Ref: 2.2 Competitive Advantage and Strategic Information Systems
Porter’s _____ help(s) companies identify general strategies, where his _____ help(s) to identify specific activities where companies can use the strategies for greatest impact.
A. Value chain model, competitive forces model
B. Primary activities, support activities
C. Competitive forces model, primary activities
D. Competitive forces model, value chain model
E. Value chain model, support activities
Ans: D
Ref: 2.2 Competitive Advantage and Strategic Information Systems
Which of the following statements concerning information resources is not correct?
A. Information resources include all the hardware, information systems and applications, data, and networks in an organization.
B. Without their information resources, organizations cannot function.
C. Information resources typically do not change quickly.
D. Information resources are expensive to acquire, operate, and maintain.
Ans: C
Ref: 2.4 Managing Information Resources
_____ is the direct use of information systems by employees in their work.
A. Transaction processing systems
B. Executive information systems
C. Decision support systems
D. Management information systems
E. End-user computing
Ans: E
Ref: 2.4 Managing Information Resources
Dividing the responsibility for developing and maintaining information resources between the Information System Department and end users depends on all of the following except :
A. Size of the organization
B. Amount and type of information resources in the organization
C. Organization’s revenue and profits
D. Organization’s attitude towards computing
E. Maturity level of the organization’s information technologies
Ans: C
Ref: 2.4 Managing Information Resources
The role of the director of the Information Systems Department is changing from more _____ to more _____.
A. hands-on, managing
B. technical, managerial
C. operational, technical
D. hands-on, decision-making
E. managerial, technical
Ans: B
Ref: 2.4 Managing Information Resources
Chapter 3
Which of the following was not one of TJX’s problems?
A. The company’s security was originally breached.
B. The company disclosed the security breach to its customers too quickly.
C. The attackers had the company’s encryption key.
D. The company did not know about the breach immediately when it occurred.
E. The company did not know which data were stolen and when.
Ans: B
Response: Chapter opening case
Various organizations that promote fair and responsible use of information systems often develop _____:
A. a code of ethics
B. a strategic plan
C. a mission statement
D. responsibility charters
E. a goals outline
Ans: A
Response: 3.1 Ethical Issues
What is _____ is not necessarily _____.
A. Illegal, unethical
B. Ethical, illegal
C. Unethical, illegal
D. Unethical, legal
E. Ethical, legal
Ans: C
Response: 3.1 Ethical Issues
_____ issues involve collecting, storing and disseminating information about individuals.
A. privacy
B. accuracy
C. transferability
D. property
E. accessibility
Ans: A
Response: 3.1 Ethical Issues
_____ issues involve the authenticity and fidelity of information that is collected and processed.
A. privacy
B. accuracy
C. transferability
D. property
E. accessibility
Ans: B
Response: 3.1 Ethical Issues
_____ issues involve who may obtain information and how much they should pay for this information.
A. privacy
B. accuracy
C. transferability
D. property
E. accessibility
Ans: E
Response: 3.1 Ethical Issues
Which of the following statements is correct?
A. An individual’s right to privacy is absolute.
B. It is difficult to determine and enforce privacy regulations.
C. An individual’s right to privacy supersedes the needs of society.
D. Advances in information technologies have not affected individual privacy.