MIS CUMULATIVE QUIZ QUESTIONS CH 1-10
Bitcoin transactions are recorded in a public ledger known as the bitcoin wallet.
False
Which of the following statements is true about corporations and blogging?
CEOs use blogs for purposes that include a combination of marketing, sharing ideas, press response, image shaping, and reaching consumers directly.
The firm's period between paying suppliers for products and collecting funds from customers who purchase these products is referred to as the ______.
Cash conversion cycle
Data analytics and business intelligence are driving discovery and innovation.
True
Disruptive innovations don't need to perform better than incumbents; they simply need to perform well enough to appeal to their customers (and often do so at a lower price)
True
Many disruptive firms were started by former employees of the disrupted giants.
True
Allowing third-party sellers to list their products on Amazon is controversial. Why would Amazon allow products sold by others to appear on its site?
all of the above are true
Netflix offered its subscribers a selection of over one hundred thousand DVD-by-mail titles, while other video rental firms can only offer as much as three thousand. This presents a significant _____ for Netflix over its rivals.
scale advantage
Moore's Law kicked in during the 1970s for the _____________, and minicomputers were a hit.
second wave
While the size of the tail in the long tail phenomenon is disputable, one fact that is critical to remain above this debate is that:
selection attracts customers, and the Internet allows large-selection inventory efficiencies that offline firms can't match.
Which of the following statements about technology is true?
Technological improvements can often be copied by rivals, leading to a profit-eroding arms race.
Peer production refers to:
users collaboratively working to create content, products, and services.
The set of activities through which a product or service is created and delivered to customers is known as a(n) _____.
value chain
In an industry where nearly every major player outsources manufacturing to low-cost countries, Zara is highly _____, keeping huge swaths of its production process in-house.
vertically integrated
Storage that is wiped clean when power is cut off from a device is known as _____.
volatile memory
Which of the following is a source of bargaining power of buyers?
Greater choice of products
The global pandemic caused the demand for online grocery delivery in the United States to increase by _____ percent in just a few months.
100
An estimated ____ hours of video are uploaded to YouTube each minute is a great example of the use and impact of social media.
500
At the start of the pandemic, FreshDirect saw an increase in online orders. Website traffic increased by _________ percent
800
Which of the following is an example of agency pricing?
A department store gets a cut on the selling price of a product, which is set by the product's manufacturer.
_______ is a randomized group of experiments used to collect data and compare performance among two options studied.
A/B testing
Th fast food restaurant Chipotle pulled it's app from Apple's App Store when customer demand caused the firm's servers to crash. Which Amazon product could have provided Chipotle's technology staff with the computing resources needed to handle the massive, unprecedented demand?
AWS
CEO and cofounder Dave McInerney's main goal of launching FreshDirect was to
Address the quality gap between store-bought and restaurant goods
Which of the following is an example of collaborative consumption?
Airbnb
Which area of corporate law is connected to technology?
All of the above are true. (Privacy, Piracy, Patents, Intellectual Property)
Marketers can leverage social media channels for:
All of the above: - competitive intelligence - generating customer input - disseminating information - reinforcing a customer's relationship with the firm
Which of the following is true of the Kindle?
Amazon doesn't look to make money directly from Kindle hardware sales.
One contributor to the ease with which young entrepreneurs can have success is low-cost distribution to massive markets worldwide. This is enabled by
App stores
Which platform contributed to Apple and Google's domination of the mobile market?
App stores
Tech firms are among the best performing firms in the world. According to the chapter, which firm is the most valuable in the United States, and has also posted some of the most profitable quarters of any business in any industry?
Apple
Which of the following is an example of a measure taken by a firm to encourage the development of complementary goods?
Apple offering a regular conference and online materials for its software developers, and an online app store where they can sell their products.
The acronym API stands for
Application Programming Interface
By going public, Netflix encountered competition from the large, established firms Wal-Mart and Blockbuster. What aspect of Netflix going public lured these firms into the market?
By going public, Netflix was required to disclose its financial position.
Moore's Law states that:
Chip performance per dollar doubles every eighteen months.
You are at a packed stadium for the big game and you want to upload a photo of your team's touchdown using Instagram. Your mobile phone shows five bars of service, but you still can't access the Internet. This is likely an example of ______.
Congestion effects
Early attempts at the online grocery business were unsuccessful because
Consumers were fine with the conventional way of shopping
Which of the following describes competitive advantage related to data which a firm can leverage and rivals are not able to mimic
Data asset
Which of the following criteria, according to James Surowiecki, is necessary for a crowd to be "smart"?
Decentralized
Three recent customers posted tweets about their satisfaction with your products and as a result your website traffic has increased. This is an example of
Earned media
FreshDirects three-tier model
Eliminates middlemen which allows them to work directly with suppliers
Nokia is a cell phone brand that offers digital cameras as part of its cell phone products. It is now in direct competition with camera brands such as Canon and Sony, and has become the world's largest seller of cameras. This is an example of:
Envelopment
_____ is a nonprofit organization that shares audit information on contract manufacturers among members of the apparel industry and other industries.
Fair Factories Clearinghouse
Social media and mobile phone use are decreasing expectations for corporate ethics and customer service.
False
_______ is a nonvolatile, chip-based storage, often used in mobile phones, cameras, and MP3 players.
Flash memory
Startup firms can struggle to gain lower prices from rivals, but FreshDirect seems to have found several ways to gain lower supplier prices. FreshDirect buys direct from suppliers, eliminating any markup from a middleman. In addition to this, the firm employs other methods to get lower prices from suppliers. Which of the following is not a way FreshDirect helps suppliers in exchange for supplier agreement to offer it better pricing terms?
FreshDirect shares warehouse space with farmers and livestock producers
1 _____ = 1 billion bytes
Gigabyte
Sergey Brin and Larry Page were both twenty-something doctoral students at Stanford University when they founded:
Which of the following strategies was followed by Amazons founder?
He postponed profit harvesting.
Which of the following is not a benefit achieved through Zara's integration of technology throughout the firm?
Higher markdowns
Which of the following is true of disruptive technologies?
Initially underperforming incumbents, over time their performance attributes improve to the point where they invade established markets
The number of times average warehouse inventory sells out and is replenished is referred to as:
Inventory turns
What is the likely implication of a large and active wiki community?
It becomes more likely that content is up-to-date and errors are quickly corrected.
Which of the following statements is true?
It is not uncommon for a big retailer like Amazon to be able to hold products for a month or longer without having to pay for them.
What is crowdsourcing?
It is the act of taking a job traditionally performed by a designated agent and outsourcing it to an undefined generally large group of people in the form of an open call.
FreshDirect opted customer-focused error handling because
It was less expensive than losing a lifetime of orders from the customer
Tech impact is reaching beyond the confines of Earth itself. According to an example in your chapter, how was a tool on the International Space Station recently acquired?
It was printed on-demand using 3D printing technology
Which of the following is true of Amazon?
Its cloud computing business is one of the largest players in that category.
Amazon was started by:
Jeff Bezos
Zara holds a competitive advantage over its rivals in spite of:
Keeping large portions of its production processes in-house.
Uber and PayPal used similar strategies when trying to jumpstart network effects that were vital in creating their dominance. What did each do?
Leveraged viral customer promotions by giving incentives to consumers who helped recruit friends to the service.
Microsoft's Live Maps and Virtual Earth 3D was a late entrant to the Internet mapping game. Users had already put in countless hours building resources that meshed with Google Maps and Google Earth. However, by adopting the same keyhole markup language (KML) standard used by Google, any work done by users for Google in KML could be used by Microsoft. What strategy of Microsoft has allowed it to catch up with Google?
Making a new product compatible with the leading standard
_____ Law is said to be at play when the value of a product or service increases as its number of users expands.
Metcalfe's
________ was just a sophomore when he began building computers in his dorm room at the University of Texas. His firm would one day claim the top spot among PC manufactures worldwide.
Michael Dell
Which statement best describes the relationship between network effects and innovation?
Network effects increase innovation within a standard but decrease the number of innovative offerings that compete against a strongly established standard.
Why do online grocers have a competitive advantage over traditional grocery stores?
Online grocers collect data to customize the shopping experience
_______ are critical for capturing sales data, and are usually linked to systems which manages a firm's inventory
Point-of-sale systems
Crowdsourcing tools and question-answer sites like __________ allow firms to reach out for expertise beyond their organizations.
Quora
Which of the following is an example of volatile memory?
Random-access memory
The ________ is a piece of U.S. legislation that raises executive and board responsibility and ties criminal penalties to certain accounting and financial violations
Sarbanes-Oxley Act
The new Amazon Go concept store shows how a tech giant could really advance retail. Th initial concept shows a store without cashiers and registers, where customers enter by ________.
Scanning an app
Which of the following is a way to recognize potentially disruptive innovations?
Seeking the opinions of venture capitalists, research academics, and passionate internal engineering staff
Which of the following products or services is not subject to network effects?
Snack chip manufacturing
Select the accurate statements 1) The world's most valuable retailer, China's Alibaba, also carries the world's largest product inventory. 2) Uber, the world's largest taxi service, owns no vehicles for hire. 3) Airbnb, the world's largest accommodation provider, owns several major hotel corporations. 4) Facebook does not create media content.
Statements 2 and 4 are accurate
The term _____ refers to computers that are among the fastest of any in the world at their time of introduction
Supercomputers
A firm's financial performance that consistently outperforms its industry's peers is known as
Sustainable competitive advantage
Crowdsourcing is
The act of taking a job traditionally performed by a designated agent (usually an employee) and outsourcing it to an undefined generally large group of people in the form of an open call.
Staying power refers to the:
The long-term viability of a product or service.
Which of the following is true of Amazon?
The three pillars of Amazon's business are large selection, convenience, and lower prices.
Which of the following statements holds true for electronic social networks?
Their key use is to discover and reinforce affiliations, identify experts, message individuals or groups, and virally share media.
Which of the following is one of Porter's five forces?
Threat of new entrants
Which of the following is true of Amazons warehousing process?
When stacking shelves in its warehouses, Amazon ensures that no two similar products sit next to each other.
Steve Chen and Chad Hurley are credited as the founders of:
YouTube
Tony Hsieh served as CEO of _____, and eventually sold the firm to Amazon for $900 million.
Zappos
Technology that super-imposes content, such as images and animation on top of real world images is called:
augmented reality
Customers who owned Nintendo's 8-bit video game console were unable to play the same games on the firm's new 16-bit Super Nintendo system. There was little incentive for existing Nintendo fans to stick with the firm. In this case, Nintendo's new offering suffered from a lack of:
backward compatibility
Two distinctly separate markets are said to undergo convergence when they:
begin to offer similar features and capabilities.
While Sony and Microsoft focused on the graphics and raw processing power favored by hard-core male gamers, Nintendo chose to develop a machine to appeal to families, women, and age groups that normally shunned violent games. The strategy adopted by Nintendo in this example is the _____ strategy.
blue ocean
A(n) _____ is the symbolic embodiment of all the information connected with a product or service.
brand
______ are products or services that add additional value to the primary product or service that makes up a network.
complementary benefits
_______ involves outsourcing production to third-party firms
contract manufacturing
Moving first pays off when the time lead is used to create:
critical resources for competitive advantage.
Brands are built through _____.
customer experience
One of the implications of price elasticity of technology products is that:
customers not only buy more products as they become cheaper, but whole new markets employing new technology open up.
Even if Netflix gave Cinematch away to its rivals, they would still not be able to make the same kind of accurate recommendations as Netflix. This is because of Netflix's _____.
data advantage
Sometimes technology can sound geeky and so technical that executives might think that it doesn't require managerial or investor attention. However many investing in the telecom sector suffered from a lack of insight on how a key technology was impacting their industry. Telecom firms failed to anticipate the impact of a technology known as ____________ which enabled existing fiber to carry more transmissions than ever before.
dense wave division multiplexing (DWDM)
According to Porter, strategy is fundamentally about being _____.
different
The paths through which products or services get to customers are known as _____.
distribution channels
Which of the following is not a data factor Amazon considers in delivering packages to customers?
employee job satisfaction
In retail in general and fashion in particular , having _______ is considered the kiss of death
excess inventory
Adobe gives away the Acrobat Reader to build a market for the sale of software that creates Acrobat files. This is an example of:
firms giving away products for half of a two-sided market to seed the market.
Netscape, which once controlled more than 80 percent of the market share in Web browsers, lost its dominant position when customers migrated to Internet Explorer, Microsoft's Web browser. Internet Explorer was easy to install and had no significant differences in terms of usability. This example serves to illustrate that:
firms with low switching costs can sometimes be rapidly overtaken by strong rivals with additional competitive advantages.
Apple, which controls over 75 percent of digital music sales, was able to dictate song pricing for years, despite the tremendous protests of the record labels. This implies that:
firms with strong market dominance can enjoy substantial bargaining power over partners.
The video game console market offers important lessons for the strategist. The video game console market is a network market in which Sony's PlayStation 2 (PS2) dominated over Microsoft's Xbox offering. This has been possible due to:
game developers favoring PS2 for its larger user base obtained because the PS2 was launched months before the Xbox.
Solid state components are less likely to fail because they:
have no moving parts
Researchers at Deloitte University suggested that blockchain could
improve financial transactions
In order to achieve a negative cash conversion cycle a firm would want to:
increase its account payable period and its inventory turns.
Zara's staff members regularly collect data from customers at its stores. This data is used to:
inform designers on customer preferences and staff on store sales results.
Citing Wikipedia as a reference is not considered a good practice because Wikipedia:
is not original source material, but rather a clearinghouse of information.
Sony, a firm once synonymous with portable music, has ceded its market dominance to Apple because:
it failed to take advantage of opportunities presented by Moore's Law.
Worldwide auction leader eBay started operations in Japan just five months after Yahoo! launched its Japanese auction service. But eBay was never able to mount a credible threat and ended up pulling out of the market. This example shows that:
it's imperative to move first in markets influenced by network effects.
Technology experts in the area of process design:
leverage technology to make firms more efficient.
Viral promotion involves:
leveraging a firm's customers to promote a product or service.
Firms that can't generate cash quickly enough are referred to as having _____.
liquidity problems
Video games may desire ______ latency in order to have a more realistic player experience.
low
The practice of windowing involves:
making content available to a distribution channel for a specified time period under a different revenue model.
One month into the pandemic, FreshDirect was
meeting the demands of increased business
The _______ is the part of a computer that executes the instructions of a computer program.
microprocessor
By heavily focusing on its software and operating systems, Microsoft missed the opportunity to dominate the disruptive
mobile market
Collaborative filtering is a classification of software that
monitors trends among customers to personalize an individual customer's experience.
The phrase "time-based, data-driven results" refers to which of the following
more data collected over time, strengthens competitive advantage
Amazon Web Services (AWS)
offer several advantages, including increased scalability, reliability, and security.
The long tail is a phenomenon whereby firms can make money by
offering a selection of products or services vastly greater than conventional retailers.
A market dominated by a small number of powerful sellers is known as a(n) _____.
oligopoly
The e-commerce strategy that blends online and offline sales is called
omnichannel
A market is said to be _____ if it derives most of its value from a single class of users.
one-sided
A company uses radio frequency identification (RFID) to keep track of its inventory. This is an example of the impact of technology in the area of
operations
Advertisements and sponsorships are components of
paid media
Operational effectiveness refers to
performing the same tasks better than rivals perform them
The third wave of computing was characterized by the introduction of ______
personal computers
A prediction market involves:
polling a diverse crowd and aggregating opinions to form a forecast of an eventual outcome.
The degree to which complete information is available is known as:
price transparency
Multicore processors are formed by:
putting two or more lower power processor cores on a single chip.
1 petabyte = 1 _____ bytes
quadrillion
Price elasticity refers to the:
rate at which demand for a product or service fluctuates with price change.
Technology experts in the area of _____ specialize in technology for competitive advantage.
strategy
____ are substances that are capable of enabling as well as inhibiting the flow of electricity
semiconductors
Grid computing is a type of computing in which:
special software is installed on several computers enabling them to work together on a common problem.
Which of the following factors represents one of the sources of value derived from network effects?
staying power
_____ refers to performing different tasks than rivals or the same tasks in a different way
strategic positioning
If a new entrant hopes to attract customers from an established incumbent, the new entrant must ensure that the value they offer exceeds the incumbents' value in addition to any perceived _____.
switching costs
Many firms have developed and deployed innovative information systems, only to see these systems go unused by key staff members. How has Zara helped ensure its systems will be used by staff?
system use drives store success and as much as 70 percent of salaries are tied to sales performance
E-waste is particularly difficult to address because of:
the complexity of the modern value chain
Some of the radical changes brought about by new technologies include:
the creation of unprecedented set of security an espionage threats
Yahoo!'s mobile team didn't have an executive champion to protect and nurture the team during the pioneering phase when financial results couldn't be realized. It couldn't show substantial results, so managers were reassigned. This is an example of:
the creosote bush effect
The long tail nature of the blogging phenomenon is demonstrated by:
the niche content that is discoverable through search engines and that is often shared via other types of social media.
Churn rate is a term that refers to the:
the rate at which customers leave a product or service
The acronym VoIP is considered by many to be a disruptive innovation. It refers to:
the technology used in internet telephony
Some firms are opting for internal social media platforms because
they are seeking security and customization
Big firms fail to see disruptive innovations as a threat because:
they primarily focus on the bottom line
____ is the super tiny on-off switches in a chip that work collectively to calculate or store things in memory
transistors
A(n) ______ refers to an internet vandal and mischief-maker.
troll
Technology experts in the area of user-interface design:
work to make sure systems are intuitive and easy to use
