Question 1

When a firm develops ways to differentiate its products from a competitor's, it is pursuing a cost leadership strategy.

Accepted Answer

A) True 
 B)False

Question 2

All the employees within a marketing department, from clerical staff to top managers, form a cross-functional team.

Accepted Answer

A) True 
 B)False

Question 3

One of the reasons people form virtual companies is to keep new entrants out of a market.

Accepted Answer

A) True 
 B)False

Question 4

When a firm develops ways to differentiate their products and services from their competitors', it is pursuing a _______________ strategy.

Accepted Answer

A)  differentiation 
B)  alliance 
C)  innovation 
D)  marketing

Question 5

According to the textbook case, the Matter Page System at Goodwin Proctor increases efficiency of their attorneys by.

Accepted Answer

A)  Separating the client billing, documents, and contact data 
B)  Enabling the attorneys to launch more than one application at a time to find information 
C)  Requiring the attorneys to spend more time researching their cases 
D)  Pulling all the client billing, documents and contact data into a single "one-stop-shop" for users

Question 6

The goal of knowledge management systems (KMS) is to help knowledge workers _______________ important business knowledge.

Accepted Answer

A)  create 
B)  organize 
C)  distribute 
D)  All of the choices are correct.

Question 7

When a firm makes such radical changes to its business processes for producing products and services that it alters the fundamental structure of an industry, it is pursuing an innovation strategy.

Accepted Answer

A) True 
 B)False

Question 8

By nurturing an entrepreneurial spirit, an agile company provides powerful incentives for employee responsibility, adaptability, and innovation.

Accepted Answer

A) True 
 B)False

Question 9

Investments in information technology can allow a business to lock in customers and suppliers, and lock out competitors, by building valuable new relationships with them.

Accepted Answer

A) True 
 B)False

Question 10

Although large investments in technology can create entry barriers for present or prospective players in an industry, the barriers can evaporate over time as competitors employ the new technologies. This is an example of IT becoming a competitive _______________.

Accepted Answer

The answer of Although large investments in technology can create...

Question 11

All of the following are primary business processes, except:

Accepted Answer

A)  Customer relationship management 
B)  Targeted marketing 
C)  Technology development 
D)  Just-in-time warehousing

Question 12

When a firm strives to find ways to help its suppliers and customers reduce their costs or to increase the costs of their competitors, it is pursuing a strategy of _______________.

Accepted Answer

A)  innovation 
B)  alliance 
C)  cost leadership 
D)  growth

Question 13

Companies that consistently offer the best value from the customer's perspective must provide two key services: keeping track of their individual customers' preferences and selling products or services at lowest price.

Accepted Answer

A) True 
 B)False

Question 14

Business process reengineering (BPR) combines a strategy of promoting business innovation with a strategy of making major improvements to business operations so that a company can become a much stronger and more successful competitor in the marketplace.

Accepted Answer

A) True 
 B)False

Question 15

A sales company such as eBay would be most likely to use information technology to promote _______________.

Accepted Answer

A)  online stock trading 
B)  point-of-sale inventory tracking 
C)  online auctions 
D)  virtual manufacturing alliances

Question 16

Using an information system to make customers and/or suppliers reluctant to change to another competitor is called:

Accepted Answer

A)  Growth strategy 
B)  Building switching costs 
C)  Creating alliances 
D)  Raising barriers to entry

Question 17

A(n) _______________ strategy is a competitive strategy by which a firm seeks to become a low-cost producer of products and services in the industry.

Accepted Answer

A)  cost leadership 
B)  differentiation 
C)  innovation 
D)  alliance

Question 18

The practice of becoming the largest purchaser of products from a given supplier is an example of:

Accepted Answer

A)  Cost leadership 
B)  Growth strategies 
C)  Differentiation 
D)  Locking in the supplier

Question 19

In the Internet world, a firm's biggest competitor may be one that is not yet in the marketplace but could emerge almost overnight.

Accepted Answer

A) True 
 B)False

Question 20

Companies like Wal-Mart use information technology to implement competitive strategies for strategic advantage.

Accepted Answer

A) True 
 B)False

Exam 2: Competing With Information Technology

When a firm develops ways to differentiate its products from a competitor's, it is pursuing a cost leadership strategy.

All the employees within a marketing department, from clerical staff to top managers, form a cross-functional team.

One of the reasons people form virtual companies is to keep new entrants out of a market.

When a firm develops ways to differentiate their products and services from their competitors', it is pursuing a _______________ strategy.

According to the textbook case, the Matter Page System at Goodwin Proctor increases efficiency of their attorneys by.

The goal of knowledge management systems (KMS) is to help knowledge workers _______________ important business knowledge.

When a firm makes such radical changes to its business processes for producing products and services that it alters the fundamental structure of an industry, it is pursuing an innovation strategy.

By nurturing an entrepreneurial spirit, an agile company provides powerful incentives for employee responsibility, adaptability, and innovation.

Investments in information technology can allow a business to lock in customers and suppliers, and lock out competitors, by building valuable new relationships with them.

Although large investments in technology can create entry barriers for present or prospective players in an industry, the barriers can evaporate over time as competitors employ the new technologies. This is an example of IT becoming a competitive _______________.

All of the following are primary business processes, except:

When a firm strives to find ways to help its suppliers and customers reduce their costs or to increase the costs of their competitors, it is pursuing a strategy of _______________.

Companies that consistently offer the best value from the customer's perspective must provide two key services: keeping track of their individual customers' preferences and selling products or services at lowest price.

Business process reengineering (BPR) combines a strategy of promoting business innovation with a strategy of making major improvements to business operations so that a company can become a much stronger and more successful competitor in the marketplace.

A sales company such as eBay would be most likely to use information technology to promote _______________.

Using an information system to make customers and/or suppliers reluctant to change to another competitor is called:

A(n) _______________ strategy is a competitive strategy by which a firm seeks to become a low-cost producer of products and services in the industry.

The practice of becoming the largest purchaser of products from a given supplier is an example of:

In the Internet world, a firm's biggest competitor may be one that is not yet in the marketplace but could emerge almost overnight.

Companies like Wal-Mart use information technology to implement competitive strategies for strategic advantage.