MIS 301 Exam II Study Guide

co-creation

Youtube is an example of a firm exhibiting what type of customer relationship? A. dedicated personal assistance B. personal assistance C. self-service D. co-creation E. automated self-service

word-of-mouth publicity generated by its users

During Netflix's high-growth period, the DVD-by-mail business enjoyed lower marketing costs due to the: A. introduction of its online streaming model B. improved advertising campaigns for its services C. high switching costs for its users D. switch from a per-disc rental fee to a flat rate scheme E. word-of-mouth publicity generated by its users

Decentralized Decision-Making

Which of the following is NOT a risk regarding ERP installation? A. Organizational Change B. Wide-Scale Deployment C. IT Experience D. Issue Escalation E. Decentralized Decision-Making

(column) (field)

A column in a database table. Columns represent each category of data contained in a record (e.g., first name, last name, ID number, date of birth).

data mart

A database or databases focused on addressing the concerns of a specific problem (e.g., increasing customer retention, improving product quality) or business unit (e.g., marketing, engineering).

Big Data

A general term used to describe massive amount of data available to today's managers.

dashboards

A heads-up display of critical indicators that allow managers to get a graphical glance at key performance metrics.

table or file

A list of data, arranged in columns (fields) and rows (records).

Online Analytical Processing (OLAP)

A method of querying and reporting that takes data from standard relational databases, calculates and summarizes the data, and then stores the data in a special database called a data cube.

row or record

A row in a database table. Records represent a single instance of whatever the table keeps track of (e.g., student, faculty, course title).

data warehouse

A set of databases designed to support decision making in an organization.

database

A single table or a collection of related tables.

data cube

A special database used to store data in OLAP reporting.

Business Intelligence

A term combining aspects of reporting, data exploration and ad hoc queries, and sophisticated data modeling and analysis.

Analytics

A term describing the extensive use of data, statistical and quantitative analysis, explanatory and predictive models, and fact-based management to drive decisions and actions.

Expert Systems

AI systems that leverage rules or examples to perform a task in a way that mimics applied human expertise

key customers

Which of these is not a basic building block of a business model? A. key customers B. value propositions C. cost structure D. key resources E. channels

outbound logistics

According to Jennifer Hyman, what are eCommerce businesses based upon? A. inbound logistics B. product selection C. return terms D. outbound logistics

inbound logistics

According to Jennifer Hyman, what are rental businesses based upon? A. inbound logistics B. rental choice C. rental terms D. outbound logistics

false

According to the San Diego Case, because ERP design and implementation is an immensely technical and difficult task, technology-savvy companies have a higher chance at implementing a successful ERP system. False/True

false

According to the San Diego Case, school districts reported a high level of satisfaction and success with enterprise systems. True/False

true

Although sometimes referred to as "rental", Netflix's model is really a substitute good for conventional use-based media rental. True/False

true

Amazon has always sold directly to consumers. True/False

false

Amazon's inefficiency at managing cash places it at disadvantage to most brick-and-mortar retailers. True/False

true

Amazon's three pillars are large selection, customer experience, and lower prices. True/False

neural networks

An AI system that examines data and hunts down and exposes patterns, in order to build models to exploit findings.

true

An account payable is a bill that says when payment is due sometime in the future. True/False

true

At Rent the Runway, friend referrals show a significantly higher conversion rate than other marketing methods. True False

shelf space

At traditional brick and mortar retailers, _____ is the biggest constraint limiting a firm's ability to offer customers what they want when they want it. A. disintermediation B. shelf space C. shipping costs D. video piracy E. distribution rights

false

Design thinking is based on instinct rather than evidence. True/False

over-engineer

Build a model with so many variables that the solution arrived at might only work on the subset of data you've used to create it.

true

By shifting to a streaming model, Netflix stands to eliminate shipping and handling costs. True/False

fixed costs

Costs that do not vary according to production volume are called _____. A. total costs B. fixed costs C. marginal costs D. switching costs E. variable costs

information

Data presented in a context so that it can answer a question or support decision making.

Productivity Improvements and Software benefits

Even though it was very difficult to quantify, ____ would result from the added functionality that the new system would offer. Productivity Improvements and Software benefits Issue Escalation Soft benefits Productivity improvements

data aggregators

Firms that collect and resell data.

a and b only

How does Rent the Runway utilize data analytics? a. To learn about the lifetime of the materials, the necessary amount of slack inventory due to late returns, and expectations on turn-around time. b. To determine the best-timed schedule for updates and ensure that only the small centrally managed analytics team receives data to protect information from other businesses for competitive advantage. c. To determine which email campaigns are most effective, refine feedback on customers' satisfaction, and improve the firm's approach through A/B testing results. d. A and B only. e. A and C only.

all of the above

Hyman is passionate about which of the following? A. personally making the choice to speak up so that the world can change for the positive B. diversifying who can become an entrepreneur C. removing inequity in business by using critical thinking and common sense D. supporting women entrepreneurs E. all of the above

all of the above

Hyman's career advice to others includes which of the following? A. pursue your dreams for your family life and career life B. just go for it C. free your mind from the fear of failure D. be confident like jennifer tends to be E. avoid catastrophizing scenarios F. believe in your inner resilience G. all of the above

false

Implementing an ERP system works best for organizations looking to ensure decision-making is highly centralized. False/True

usage

In her role as a leader, what is the metric that Hyman monitors that is essentially Rent the Runway's KPI? A. profit margin B. awareness building C. product choice D. usage E. customer service quality

(If I am not going to speak up, who will?) (what is the point of life if not to have a voice and try to change the world for good?) (a great leader knows when to flex the altitude) (b, c, d)

In her role as a leader, which of the following statements does hyman make? A. We are in a race that we must win at all costs. B. If I am not going to speak up, who will? C. what is the point of life if not to have a voice and try to change the world for good? D. a great leader knows when to flex the altitude.

Database Administrator (DBA)

Job title focused on directing, performing, or overseeing activities associated with a database or set of databases. These may include (but not necessarily be limited to): database design, creation, implementation, maintenance, backup and recovery, policy setting and enforcement, and security.

Machine Learning

Leverages massive amounts of data so that computers can act and improve on their own without additional programming.

scale advantage

Neftlix offers its subscribers a selection of over one hundred thousand titles, while other video rental firms can only offer as much as three thousand. This presents a significant _____ for Netflix over its rivals. A. studio performance B. variable cost C. price advantage D. marginal cost E. scale advantage

true

Netflix's initial revenue model was based on a flat-rate monthly subscription fee rather than a per-disc rental fee. False/True

all of the above

Which of the following are unique features or challenges for Rent the Runway? a. To establish a good relationship with customers, Rent the Runway makes expenditures on keeping slack inventory, allowing for back-up outfit rentals, and hiring readily available stylists who customers can contact. b. 100% of the inventory is returned, so Rent the Runway must account for forward and reverse logistics. c. Designers need to be convinced that the rental service would not dilute their brand name. d. All of the above. e. A and C only.

legacy system

Older information systems that are often incompatible with other systems, technologies, and ways of conducting business. Incompatible legacy systems can be a major roadblock to turning data into information, and they can inhibit firm agility, holding back operational and strategic initiatives.

false

Once the ERP system would be implemented, SDCS would be relieved of any ongoing costs since the only costs associated with an ERP system are one-time installation costs. True/False

true

One challenge that Rent the Runway Unlimited faces, is that it requires women to rethink their relationship with clothing ownership. True/False

true

Physical retailers are limited by shelf space and geography. False/True

(outbound logistics) (metrics) (KPI) (vertical integration) (inbound logistics) (a, c, d, f)

Which of the following concepts that we have discussed in class does Jennifer Hyman, a Harvard Business School MBA grad and a CEO of a major company, mention? a. Outbound logistics b. Two-sided markets c. Metrics (KPI) d. Vertical integration e. Gamification f. Inbound logistics

Omnichannel

Providing customers with a unified experience across customer channels, which may include online, mobile, catalog, phone, and retail. Pricing, recommendations, and incentives should reflect a data-driven, accurate, single view of the customer.

false

Rent the Runway is primarily focused on logistics regarding product delivery, not product returns. True/False

false

Rent the Runway is the fashion equivalent of Netflix's new video on-demand service. True/False

false

Rent the Runway leverages technology for efficiency but outsources dry-cleaning to a network of trusted firms that are nearest to customers to save money, quicken shipping, and support local stores. True/False

canned reports

Reports that provide regular summaries of information in a predetermined format.

Database Management System (DBMS)

Sometimes called "database software"; software for creating, maintaining, and manipulating data.

false

Strong brands are not influenced by customer experience. True/False

false

Successful companies' cost structures are always value-driven rather than cost driven. true/false

loyalty card

Systems that provide rewards and usage incentives, typically in exchange for a method that provides a more detailed tracking and recording of customer activity. In addition to enhancing data collection, loyalty cards can represent a significant switching cost.

transaction processing systems (tps)

Systems that record a transaction (some form of business-related exchange), such as a cash register sale, ATM withdrawal, or product return.

true

The "best-of-the-breed" approach is not recommended for educational institutions due to high risk, numerous problems, and low probability of success that comes with integrating multiple software packages. False/True

customer-supplier relationships that ensure the seller offers desirable products

Which of these is not one of the four types of key partnerships? A. strategic alliances between non-competitors B. coopetition: strategic partnerships between competitors C. customer-supplier relationships that ensure the seller offers desirable products D. joint ventures to develop new businesses E. buyer-supplier relationships to assure reliable supplies

HR because it required the least modification

The San Diego City School District issued a request for proposal (RFP) for the implementation of software in three different sectors. What module did they choose to start with? Why? A. HR because it required the least modification B. SIS because SIS systems were considered to be the "holy grail" of ERP modules C. HR because the best system on the market offered an entire 50% of functionality D. SIS to mitigate risk.SIS because it would be inexpensive.HR because it required the least modification

Multiple software, increase

The ____ ERP system would guarantee that the district had almost all of the functionality that it wanted. This would ____ the complexity and cost of implementation. A. HR, mitigate B. "Best-of-breed", decrease C. San Diego City School District, mitigate D. Multiple software, increase

false

The costs associated with streaming digital content largely remain fixed. False/True

relational database

The most common standard for expressing databases, whereby tables (files) are related based on common keys.

e-discovery

The process of identifying and retrieving relevant electronic information to support litigation efforts.

data mining

The process of using computers to identify hidden patterns in, and to build models from, large data sets.

Inventory Turnover Ratio

The ratio of a company's annual sales to its inventory.

Jeff Bezos

Who is Amazon's founder and CEO? A. Steve Jobs B. Bill Gates C. Marissa Mayer D. Jeff Bezos

no

The very best ideas and the very best entrepreneurs come from those who have had experienced success. Yes/No

ad hoc reporting tools

Tools that put users in control so that they can create custom reports on an as-needed basis by selecting fields, ranges, summary conditions, and other parameters.

All of the above are problems school districts face during implementation.

Which of the following is NOT a problem school districts face when implementing an ERP system? A. School district personnel tend to lack knowledge regarding ERP systems and IT B. Compared to other industries, education managers spend disproportionately low on IT funding C. Districts often underinvest in consultants when implementing the ERP system D. Changing leadership cripples districts' efforts to modernize during the lengthy process of implementation E. All of the above are problems school districts face during implementation.

(logistics) (technology) (a, f)

What areas of Rent the Runway did Jennifer Hyman expect to outsource that ended up being the core competency of the firm and in which 90% of the company works? a. Logistics b. Fashion c. Marketing d. Advertising e. Luxury procurement f. Technology g. Sales

implement an affordable insurance program for low to middle class citizens

What did Rodriguez-Pastor not do? A. collaborate with leading institutes to develop new programs B. enter the education industry by creating awards and creating his own school C. stimulate local economies by purchasing goods from its supermarkets D. implement an affordable insurance program for low to middle class citizens

E-commerce culture as opposed to brick-and-mortar shopping.

What does Run the Runway's CEO claim is the key driving force of the firm's business? a. E-commerce culture as opposed to brick-and-mortar shopping. b. A pressure on women on social media to not repeat outfits. c. Designers who are willing to sacrifice initial sales for an outlet where potential customers sample their clothes. d. Providing unique items that are not sold anywhere else.

When a firm's potential partners see that firm as a threat

What is a channel conflict? A. When a firm's potential partners see that firm as a threat B. Deep discounts of a limited quantity of inventory C. Products that get more valuable as two classes of participants expand D. A randomized group of experiments

customer personalization

What is a key feature of Amazon? A. Inefficiency B. Customer personalization C. Slow processing time D. Brick-and-mortar storefront

Gauges customer response for Option A versus Option B

What is an A/B Test? A. Gauges customer response for Option A versus Option B B. A unique tracking string in a web browser C. Embedding data in software D. A marketing affiliate program

An initial offering that allows entrepreneurs and developers to collect feedback and validate assumptions that underlie a business idea.

What is an MVP? a. The final product offering developed after running high-tech tests that will be released on the market after screening. b. An initial offering that allows entrepreneurs and developers to collect feedback and validate assumptions that underlie a business idea. c. The best selling product of a firm's product line. d. The desired product that a firm works towards creating as data reveals the product will maximize revenues.

low risk of success

What is not a risk of design thinking? A. conflict with existing products B. low risk of success C. integration throughout entire business ecosystem D. conflict with traditional strategy making

kindle

What is one of Amazon's most successful products? A. Blender B. Kindle C. Washing machine D. Car

Awareness, evaluation, purchase, delivery, after sales

What is the correct order of channel phases?

Build rapport, evoke stories, explore emotions, question statements

What is the correct path for interview for empathy? A. Question statements, evoke stories, explore emotions, thank & wrap-up B. Explore emotions, evoke stories, question statements, thank & wrap-up C. Build rapport, evoke stories, explore emotions, question statements D. Build rapport, explore emotions, evoke stories, question statements

To find a problem that is broad enough to cover a wide range of solutions and narrow enough to provoke unique ideas

What is the purpose of HMW questions? A. To launch brainstorming questions B. To find a problem that is broad enough to cover a wide range of solutions and narrow enough to provoke unique ideas C. To understand the context of your problem statement D. All of the above

sending out a survey

What technique was not mentioned in the experiment mixtape? A. Asking a user to draw something B. Sending out a survey C. Prototyping a vending machine by having a human handout the products D. Creating a feedback grid

build an innovative team of leaders

What was one strategy Rodriguez-Pastor did to transform Interbank? A. build an innovative team of leaders B. outsource talent from top colleges C. model his company off of foreign banks D. implement employee benefits that rivaled other companies

benefits for employees

What was the inequity that Jennifer Hyman said that she was part of perpetuating related to? A. firing decisions B. benefits for employees C. promotion decisions D. hiring decisions

leverage the cost of an investment across increasing units of production

When firms enjoy economies of scale they: A. have a wider employee base than their competitors B. leverage investment costs to decrease their subscriber acquisition costs C. leverage the cost of an investment across increasing units of production D. have a greater share of liquid assets than rivals E. have bigger production facilities than their competitors

a and b only

Which of the following are true regarding customer lifetime value? It is difficult to estimate the costs of retaining a customer. CLV is often considered the net present value of future profits from a customer relationship. Acquisition costs should be equal to the estimated customer lifetime value. A and B only. All of the above.

artificial intelligence

computer software that seeks to reproduce or mimic human thought, decision making, or brain functions

knowledge

insight derived from experience and expertise

Genetic Algorithms (GAs)

model building techniques where computers examine many potential solutions to a problem, iteratively modifying various mathematical models, and comparing the mutated models to search for a best alternative

Data

raw facts and figures

transaction

some kind of business exchange

target a wide audience

what did proctor & gamble not do? A. create new advertisements B. develop new products C. target a wide audience D. prototype products based on geography

conclusion

which is not a design thinking stage? a. invent b. test c. prototyping d. conclusion