CIS 105 ASU week 2

________ are products or services that are nearly identically offered from multiple vendors. For such products and services, consumers are highly ________ since they have so many similar choices.

Commodities Price-focused

We interpret, favor, and recall information that helps corroborate our pre-existing beliefs rather than contradict them. This effect gets even stronger for emotionally charged issues.

Confirmation Bias.

Primary components of the value chain

inbound logistics, operations, outbound logistics, marketing and sales, and support

Is a cognitive bias for an individual to rely too heavily on an initial piece of information offered when making decisions

Anchoring

Technology that super-imposes content, such as images and animation on top of real world images

Augmented reality

The process of comparing business processes and performance metrics to best practices and top metrics from other companies

Benchmarking

Supporting sales, marketing, and in some cases R and I

Customer Relationship Management (CRM)

The reduction of bias particularly with respect to judgment and decision making. Biased judgement and decision-making is that which systematically deviates from prescription of objective standards such as facts logic, and rational behavior of prescriptive norms.

Debiasing

Enabled existing fiber to carry more transmissions than ever before

Dense Wave Division multiplexing (DWDM)

Path throughout which products or services get customers

Distribution channels

What are ways to avoid anchoring bias

Document decision making process using spreadsheets, Benchmark based on data and available evidence, Consider alternatives

Businesses benefit from__________when the cost of an investment can be spread across increasing units of production or in serving a growing customer base

Economies of scale

The cost of an investment can be spread across increasing units of production or in serving a growing customer base

Economies of scale

The effect of the confirmation bias is stronger for...

Emotionally charged issues and for deeply entrenched beliefs

Software implement in modules to automate the entire value chain

Enterprise Resource Planning (ERP)

True or False: Data is not a switching cost, and it does not play a critical role in differentiation

False

Is the network of devices, vehicles, and home appliances that contain electronics, software, actuators, and connectivity, which allows these things to connect, interact, and exchange data

Internet of things (IoT)

what are the sources of switching costs

Learning costs Information and data Financial commitment Contractual commitment Search costs Loyalty programs

Is the study of algorithms and statistical models that computer systems use to progressively improve their performance on a specific task. _________ algorithms build a mathematical model of sample data, known as "training data", in order to make predictions or decisions without being explicitly programmed to perform the task

Machine Learning

Operational effectiveness is_________ but not _________ to yield sustainable dominance over the competition

Necessary; Sufficient

Exists when a product or service becomes more valuable as more people use it

Network effects

Refers to performing the same tasks better than rivals perform them

Operational effectiveness

A tool for analyzing competition of a business. It draws from industrial organization (IO) economics to derive five forces that determine the competitive intensity and, therefore, the attractiveness (or lack of it) of an industry in terms of its profitability.

Porter's Five Force Analysis.

The degree to which a business or activity yields profit or financial gain.

Profitability.

Sustainable advantage comes from assets and business models that are __________

Rare and valuable

Advantages related to a firm's size

Scale advantages

A system of many tiny microelectromechanical systems (MEMS) such as sensors, robots, or other devices, that can detect, for example, light, temperature, vibration, magnetism, or chemicals.

SmartDust

Refers to performing different activities from those rivals, or the same activities in a different way

Strategic positioning

True or False: Technology can often be easy to copy, and technology alone rarely offers sustainable advantage

True

True or False: the rise of open sourced software has lowered computing costs for start-up and blue chip companies worldwide

True

True or false: The value chain can be used to map a firms efficiency and to benchmark it against rivals, reveals opportunities to use technology to improve processes and procedures.

True.

True or false: distribution channels is the path of through which products or services get to customers.

True.

Ways to avoid the confirmation bias.

Try to take a contrary viewpoint. Build models or spreadsheets that force us to benchmark other alternatives than the one we are leaning toward.

A Resource-based view of competitive advantage is when a firm must maintain sustainable competitive advantage, it must control a set of exploitable resources that have 4 critical characteristics. What are those characteristics?

Valuable, rare, imperfectly imitable, and nonsubstitutable

A set of activities that a company performs to produce value.

Value chain.

The symbolic embodiment of all the information connected with a product or service

brand

Linking inbound and outbound logistics with operations

Supply Chain Management (SCM)

Describe technology platforms that, broadly speaking, are based on the scientific disciplines of artificial intelligence and signal processing. These platform encompass machine learning, reasoning, natural language processing, speech recognition, and vision (object recognition), human-computer interaction, dialog, and narrative generation, among other technologies.

Cognitive Computing (CC)

True or false: Network effects exist when a product or service becomes less valuable as more people use it.

False

True or false: Technology can be difficult to copy, and technology always offers sustainable competitive advantage.

False

Exists when savvy rivals watch a pioneer's efforts, learn from their successes and missteps, then enter the market quickly with a comparable or superior product at a lower cost

Fast follower problem

What are the secondary components to the value chain

Firm infrastructure Human resource management Technology/research and development Procurement

What can a theoretical or conceptual framework do?

Guide decision making.

A branded graphical presentation developed and used by the American research advisory and information technology firm Gartner to represent the maturity, adoption, and social application of specific technologies.______________ provides a graphical and conceptual presentation of the maturity of emerging technologies through the 5 phases.

Hype cycle

Incubator ideas

Industry

When customers do not know enough information about a product to bargain effectively

Information asymmetry

What are Porter's Five Forces?

Intensity of the rivalry among existing competitors, threat of new entrants, threat of substitute products or services, bargaining power of suppliers, bargaining power of buyers

Financial performance that consistently out performs their industry peers

Sustainable Competitive Advantage

Consumers incur an expense to move from one product or service to another

Switching costs