Exam 2: Information Systems and Strategy

Orange, an online-gaming site, has millions of users. The site has many games which pit users against each other. The relative standing of each user is presented in the form of an elaborate ranking system for each game. Users pride themselves on gaining the highest points and the highest rank possible. This rise in user participation has increased the value of Orange significantly. This is an example of ________.

A value chain can be extended by incorporating feedback from customers.

New information systems will enable the creation of electric meters that run "backwards." Which of the following best explains this statement?

Which of the following statements describes the product differentiation strategy?

Which of the following is a common way to decrease the IT spending of a company?

Creative destruction occurs when ________.

Explain various competitive strategies in business, with examples.

Which of the following companies has a focused niche strategy?

eBay's customers enrich the website by reviewing products that they purchase. These reviews are used by buyers to evaluate the sellers on eBay. eBay also provides special privileges to sellers who have higher ratings. This is an example of ________.

Which of the following organizations faces higher switching costs?

Which of the following is a primary activity of an automobile manufacturer?

Which of the following illustrates a sustaining technology?

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

A company incorporates contributions from buyers who help add value to the company's products and services. Which of the following best describes this action?

Which of the following factors increases the power of suppliers?

Which of the following illustrates a low-cost leadership strategy?

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

A benchmark is a baseline measurement considered as optimal, though it is sometimes simply an industry average.

Why do nonprofit organizations stand to gain from using information systems, just like business?

Which of the following is a support activity of a consumer goods manufacturer?