Exam 2: Information Systems and Strategy

________ is a reference point used as a baseline measurement.

An IT company uses industry average as a standard for measuring its financial performance. Here, the industry standard is used as a(n)________.

Videoconferencing has evolved as an alternative for business travel. This best illustrates ________.

The threat of substitutes is high when alternative products are available.

All types of organizational strategies leverage information systems to succeed.

Which of the following best describes support activities?

A low-cost leadership strategy means offering a highly differentiated product at a price that is lower than the market price.

Which of the following strategies is devised to raise switching costs?

The power of suppliers is high when there are many suppliers in a market.

Explain how rivalry among competitors affects businesses.

Which of the following statements describes the product differentiation strategy?

"Total value transfer of tangible goods happens at the point of sale." Which of the following statements contradicts this judgment?

The ecosystem in which a company is embedded is a(n)________.

Sustaining technologies are radical and unexpected breakthroughs that replace lower-end products and rapidly overtake high-end products of the market.

Rivalry in an industry is high when the ________.

Companies are embedded in a complex ecosystem where events in one arena affect the whole community.

Which of the following best describes the primary goal of a focused niche strategy?

Carbon Automotive manufactures engines for different cars. The company supplies its products to leading car manufacturers in Europe and America. Which of the following statements indicates that Carbon has high bargaining power?

What are network effects? Provide an example.

E-government involves ________.