Chapter 4 - MADM 760

D

Technological forces often __________. A. decimate an entire industry B. spawn new industries C. vary substantially among industries D. all of the above

C

The ability to individualize product and service offerings to meet specific buyers needs is known as: A. outsourcing B. offshoring C. mass customization D. commoditization

Business-to-business (B2B)

businesses utilize the internet to solicit transactions from each other

reaggregate

when firms search for partners who can perform some of the activities more efficiently

information asymmetry

when one party has info that another does not

A

According to the notion of disaggregation and reaggregation, A. progressive firms have begun to form partnerships instead of fulfilling all of the business functions themselves. B. the Internet is not a viable means of product or service distribution. C. effective business models do not change. D. all of the above

e-tailing

Another term for B2C.

False

Commoditization refers to the ability to individualize product and service offerings to meet specific buyer needs.

societal values

Concepts and beliefs that members of a society tend to hold in high esteem.

B

E-tailing is synonymous with __________. A. B2B B. B2C C. C2C D. C2B

True

Environmental scanning can be difficult for large firms because of the availability of too much information.

D

How has the Internet changed strategic management? A. It promotes information symmetry. B. It can often be used as a distribution channel. C. It often reduces costs. D. all of the above

False

In The World is Flat, Thomas Friedman argued that recent global and technological changes have increased the world dominance of Western powers like the United States.

True

In many respects, social forces are the drivers of consumer markets.

True

One of the reasons that outsourcing/offshoring debates are so difficult to resolve is that different countries have markedly different regulations.

C

Outsourcing efforts can fail because: A. of unknown government regulations. B. of a lack of production infrastructure in the outsourcing firm C. a firm might outsource an activity that should not be outsourced D. all of the above

True

Reading business publications can serve as a means of environmental scanning.

D

Relocating some or all of a firm's manufacturing or other business processes to another country to reduce costs is known as: A. outsourcing B. partnering C mass customization D. none of the above

C

Scientific improvements and innovations are examples of: A. social forces B. engineering credibility C. technological forces D. none of the above

A

The Internet has: A. unleashed a number of successful business models B. unleashed only successful business models C. has rendered traditional business models as invalid D. none of the above

D

The decline in unit costs of a product or service that occurs as the absolute volume of production increases is known as: A. commoditization B. mass customization C. restructuring D. none of the above

True

The expansion of a religion in an emerging country is an example of a social force.

False

The pace of technological change relative to an industry's development is generally easy to predict.

True

The same social force can affect different industries in different ways.

clicks and bricks

The simultaneous application of both electronic ("clicks") and traditional ("bricks") forms of commerce.

C

The systematic collection and analysis of information about relevant macroenvironmental trends is known as __________. A. strategic planning B. strategic management C. environmental scanning D. none of the above.

False

The unconscious reference to one's own cultural values as a standard of judgment is known as cultural bias.

D

The unconscious reference to one's own cultural values as a standard of judgment is known as: A. cultural affluence B. cultural distinction C. cultural awareness D. none of the above

B

When a recession occurs __________. A. all industries benefit B. some industries benefit C. no industries benefit D. none of the above

D

Which of the following is a means of environmental scanning? A. reading the business section in a local newspaper B. reading the Wall Street Journal C. reading trade journals D. all of the above

C

Which of the following is not a strategic dimension of the Internet? A. focus on interactivity B. potential for cost reduction and cost shifting C. the elimination of a need for profitability D. none of the above

C

Which of the following is not an example of a social force? A. trends B. values C. industrial change D. all of the above

commoditization

a process whereby firms are having a more difficult time distinguishing their products and services from those of their rivals

culture

a society's generally accepted values, traditions, and patterns of behavior

Business-to-consumer (B2C)

businesses utilize the Internet to solicit transactions from consumers

business-to-government (B2G)

businesses utilize the Internet to solicit transactions from government entities

Consumer-to-business (C2B)

consumers utilize the Internet to solicit transactions from businesses

Consumer-to-consumer (C2C)

consumers utilize the Internet to solicit transactions from each other

outsourcing

contracting out of a firm's noncore, non-revenue-producing activities to other organizations primarily to reduce costs

partnerships

contractual relationships with enterprises outside the organization

mass customization

the ability to individualize product and service offerings to meet specific buyer needs

economies of scale

the decline in unit costs of a product or service that occurs as the absolute volume of production increases

environmental scanning

the systematic collection and analysis of information about relevant macroenvironmental trends

mobile commerce

transactions conducted in an entirely wireless environment, such as using a smartphone to both purchase and download an airline ticket or piece of music

self-reference criterion

unconscious reference to one's own cultural values as a standard of judgment

information symmetry

when all parties to a transaction share the same information concernin that transaction

disaggregate

when firms no longer perform all of their functional activities