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Chapter09:GlobalInformationSystems 1.E-businessbuildsontheadvantagesandstructuresoftraditionalbusinessbyaddingtheflexibilitythatnetworks offer. a.True b.False ANSWER:True 2.Ase-businessmaturesandmorecompaniesconductbusinessonline,consumerscanengageincomparisonshopping moreeasily. a.True b.False ANSWER:True 3.Theincreaseindirectbuyer–sellercommunicationthroughe-businesshaseradicatedtheopportunitiesfor intermediaries. a.True b.False ANSWER:False 4.Internationalcompanieslosetrackofproductionschedulesastheyshareinformationwiththeirsubsidiariesusinga globalinformationsystem(GIS). a.True b.False ANSWER:False 5.Aglobalinformationsystem(GIS)canbedefinedalongtwodimensions:customizationandcommunication. a.True b.False ANSWER:False 6.Aglobalinformationsystem(GIS)remainsunaffectedirrespectiveofacompany’ssizeandbusinessneeds. a.True b.False ANSWER:False 7.Currencyconversionisachallengeinglobaldatabasedevelopment,althoughsomesoftwareisavailableforthistask a.True b.False ANSWER:True

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Chapter09:GlobalInformationSystems 8.Aninformationsystemmanagerfacesdesignandimplementationissueswhendevelopingaglobalnetwork. a.True b.False ANSWER:True 9.Withasynchronoustransmission,bothpartiesonanetworkmustbeconnectedatthesametime. a.True b.False ANSWER:False 10.WiththepopularityoftheInternet,theusageofvalue-addednetworkshasincreased. a.True b.False ANSWER:False 11.Ininternationalbusinessplanning,itiscriticaltounderstandtheglobalrisksofoperatingamultinationalcorporation (MNC)—specifically,thepolitical,foreignexchange,andmarketrisks. a.True b.False ANSWER:True 12.Operationalsupportprovidedbyaglobalinformationsystem(GIS)involvesbroadandlong-termgoals. a.True b.False ANSWER:False 13.Anorganization’sstructureusuallydeterminesthearchitectureofitsglobalinformationsystem(GIS). a.True b.False ANSWER:True 14.Inamultinationalstructure,financialmanagementisdecentralized. a.True b.False ANSWER:False 15.Localhardwareandsoftwarevendorsinfluencewhichapplicationsamultinationalcompanychooses. a.True b.False ANSWER:True Copyright Cengage Learning. Powered by Cognero.

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Chapter09:GlobalInformationSystems 16.Inanorganizationwithaglobalstructure,toachieveorganizationalefficiency,duplicateinformationsystemsmustbe eliminated. a.True b.False ANSWER:False 17.Inanorganizationwithaglobalstructure,theheadquarters’countryhastheresponsibilityofselling,marketing,and tailoringproductstotherequirementsandtastesofthecountriesofitssubsidiaries. a.True b.False ANSWER:False 18.Inanorganizationwithaninternationalstructure,informationsystemspersonnelareregularlyexchangedamong locationstoencouragejointdevelopmentofapplicationsformarketing,finance,andproduction. a.True b.False ANSWER:True 19.Companieswithatransnationalstructurehavedecreasedefficiencyinproductioncostsbecauseproductionissprea acrossmorelocations. a.True b.False ANSWER:False 20.Lackofstandardizationcanimpedethedevelopmentofacohesiveglobalinformationsystem(GIS)thatiscapableo sharinginformationresourcesacrossborders. a.True b.False ANSWER:True 21.Timezonescanalsoposedifficultiesinmanagingaglobalinformationsystem(GIS). a.True b.False ANSWER:True

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Chapter09:GlobalInformationSystems 22.Theexpansionofglobalmarketsisamajorfactorindevelopingglobalinformationsystemstohandlethe_____ demandsofintegratedworldwideservices. a.customers’ b.sellers’ c.suppliers’ d.dealers’ ANSWER:a 23._____areconsideredthefirstlarge-scaleinteractiveglobalsystem. a.Creditcardservices b.Hotelreservationsystems c.Airlinereservationsystems d.Carrentalservices ANSWER:c 24.Amanufacturermovingoperationstoanothercountrybecauseofadvantagesavailableinthatcountryisinvolvedin _____theoperations. a.generalizing b.standardizing c.regionalizing d.centralizing ANSWER:c 25.Thegrowingtrendtowarduniversalcustomersandproductsmeans_____hasbecomeanimportantfactorin purchasingandthesupplychain. a.globalization b.economization c.industrialization d.modernization ANSWER:a 26.Bygeneratinganddeliveringtimelyandrelevantinformationsupportedbynetworks,_____createsnew opportunitiesforconductingcommercialactivities. a.cybersquatting b.e-business c.phishing d.transborderdataflow ANSWER:b

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Chapter09:GlobalInformationSystems 27._____cansimplifycommunication,improvebusinessrelationships,andoffernewopportunitiestobothconsumers andbusinesses. a.Afirewall b.TheInternet c.Adatabase d.Anantivirus ANSWER:b 28.SomecompaniescreateseparateWebsitesforeachcountryinwhichtheydobusiness.Thisiscalled_____ofa Website. a.standardization b.localization c.centralization d.generalization ANSWER:b 29.Whichofthefollowingstatementsistrueofaglobalinformationsystem(GIS)? a.Itisspecifictoeachnation. b.Itfacilitatescommunicationbetweenheadquartersandsubsidiariesinothercountries. c.Itdiffersfromatypicalinformationsysteminthatitonlyincorporatestechnologies,notoperations. d.Itgivesfullautonomytoaninternationalcompany’ssubsidiarieswithoutexercisinganycontrol. ANSWER:b 30.Aninternationalcompanywithaglobalinformationsystem(GIS)inplace_____. a.hasrestrictedaccesstonewglobalmarkets b.doesnotrequireaglobaldatabase c.failsinthecoordinationofitsactivities d.canincreaseitscontroloveritssubsidiaries ANSWER:d 31.Whichofthefollowingisconsideredtobeacorefunctionofaglobalinformationsystem(GIS)? a.Tacticalplanning b.Strategicplanning c.Operationalplanning d.Contingencyplanning ANSWER:b

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Chapter09:GlobalInformationSystems 32.Oneofthedimensionsalongwhichaglobalinformationsystem(GIS)isdefinedis_____,whichreferstotheuseo managerialpowertoensureadherencetoanorganization’sgoals. a.standardization b.transparency c.control d.coordination ANSWER:c 33.Inthecontextofaglobalinformationsystem(GIS),_____istheprocessofmanagingtheinteractionamong activitiesindifferentspecializedpartsofanorganization. a.coordination b.socialization c.regionalization d.globalization ANSWER:a 34.Controlinaglobalinformationsystem(GIS)requires_____. a.variabledefinitionsusedacrossanorganization b.adecentralizedarchitecturefordata c.flexibleformatsforreports d.definedbehaviorsfordifferentprocesses ANSWER:d 35.Coordinationinaglobalinformationsystem(GIS)requiresa(n)_____architecturefordata,standardizationwithin departments,theabilitytocommunicatethesestandardstootherdepartments,collaborationsystems,and technologiesthatsupportinformalcommunicationandsocialization. a.passive b.autocratic c.decentralized d.centralized ANSWER:c 36.Thecoordinationdimensionofaglobalinformationsystem(GIS)requires_____. a.technologiesthatsupportformalcommunication b.acentralizedarchitecturefordata c.standardizationwithindepartments d.segregatedsystems ANSWER:c

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Chapter09:GlobalInformationSystems 37.Thecontroldimensionofaglobalinformationsystem(GIS)requiresa(n)_____architecturefordata,standardized definitionsusedacrossanorganization,standardformatsforreports,definedbehaviorsfordifferentprocesses,and performance-trackingsystems. a.open b.informal c.decentralized d.centralized ANSWER:d 38.Inaglobalinformationsystems(GIS),whichofthefollowingistrueofhighcoordination? a.Offerstheabilitytomaintaincontrolofmarketneedsaroundtheworld b.Providesflexibilityinrespondingtocollaboratorsindifferentcountriesandmarkets c.Offerstheabilitytocontrolandblockknowledgebetweendepartments d.Increasesefficiencyandeffectivenessinmeetingcustomer’sneeds ANSWER:a 39.Designingandimplementingaglobaldatabaseisatechnicalchallenge,mainlybecauseofthe_____. a.variationsinbusinessneedsandsizeofanorganization b.differentcharactersetsusedforthenamesofpeopleandplaces c.lackofcontrolandcoordinationinaglobalinformationsystem(GIS) d.needtotransferdataacrossculturalandgeographicboundaries ANSWER:b 40._____networksofferelectronicdatainterchangestandards,encryption,securee-mail,datasynchronization,and otherservicestoconductinternationalbusiness. a.Crawler-based b.Value-added c.Human-powered d.Brick-and-mortar ANSWER:b 41.A(n)_____networkforglobalcontroloveranorganization’sresourcesisthefoundationofanyglobalinformation system(GIS). a.integrated b.segregated c.separate d.individual ANSWER:a

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Chapter09:GlobalInformationSystems 42.Aglobalnetworkmusthave_____toguidepacketstotheirdestinations. a.firewalls b.cookies c.switchingnodes d.proxyservers ANSWER:c 43.The_____factorinvolveshowimmuneacommunicationmediumistooutsideelectronicinterference. a.bandwidth b.range c.cost d.noise ANSWER:d 44.With_____transmission,bothpartiesinaglobalnetworkareconnectedatthesametime,asinaphonecall. a.synchronous b.asynchronous c.symmetric d.asymmetric ANSWER:a 45.Ifacompanyusesmultimediaapplicationsinadditiontonormalfileanddatabasesharing,_____transmissionis moreefficient. a.full-duplex b.half-duplex c.multi-duplex d.dual-duplex ANSWER:a 46.Afteraglobalnetworkisinplace,acompanymust_____. a.decidewhichtypesofinformation-sharingtechnologiesitwillbeusing b.consideritsobjectiveswhendeterminingthenetworkarchitecture c.restrictusersfromsharinginformationacrosstheglobe d.usestandardizedsoftwareandhardwareacrossallcountries ANSWER:a

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Chapter09:GlobalInformationSystems 47.Transborderdataflow(TDF)comprisesnationallawsandinternationalagreementson_____. a.ethicalstandards b.softwarelicenses c.intellectualproperties d.datasecurity ANSWER:d 48.Whichofthefollowingstatementsistrueofmultinationalcorporations(MNCs)? a.MNCsaregovernmentorganizations. b.MNCshaveassetsandoperationsinonlythehomecountry. c.MNCsdeliverproductsandservicesacrossnationalborders. d.MNCsareessentiallydecentralized. ANSWER:c 49._____supportofaglobalinformationsystem(GIS)involvesbroadandlong-termgoals. a.Tactical b.Dynamic c.Operational d.Strategic ANSWER:d 50._____supportofaglobalinformationsystem(GIS)concentratesonmedium-rangeactivitiesthatmovean organizationtowardachievinglong-termgoals. a.Differential b.Strategic c.Operational d.Tactical ANSWER:d 51.Inthecontextofaglobalinformationsystem(GIS),whichofthefollowingkindsofmanagerialsupportinvolvesday to-dayactivities? a.Operational b.Strategic c.Tactical d.Dynamic ANSWER:a

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Chapter09:GlobalInformationSystems 52._____isanoperationalrequirementforaglobalinformationsystem(GIS). a.Managementofglobaltaxrisk b.Globaldataaccess c.Managementofpoliticalconflicts d.Strategicplanningsupport ANSWER:b 53.Inthecontextofaglobalinformationsystem(GIS),consolidatingglobalreportingisacrucialtoolformanaging overseassubsidiariesbecause_____. a.itcomparesonlystandardizedreports b.itreducesthedifficultiescausedbythedifferencesinaccountingprocedures c.itisastrategicrequirementoftheGIS d.itdoesnottakeintoaccountthedifferencesinregulatorystandards ANSWER:b 54.Whichofthefollowingisastrategicrequirementforaglobalinformationsystem(GIS)? a.Managementofglobaltaxrisk b.Globaldataaccess c.Communicationbetweenheadquartersandsubsidiaries d.Consolidatedglobalreporting ANSWER:a 55.Implementinga(n)_____canbedifficultbecausecountriesdifferinculture,politics,socialandeconomic infrastructures,andbusinessmethods. a.globalinformationsystem b.managementinformationsystem c.businessinformationsystem d.applicationinformationsystem ANSWER:a 56.Whichofthefollowingistrueofinformationsystems? a.Theusageonaglobalscaleismorechallengingthandoingsoonalocalscale. b.Theyweakencommunicationbetweenorganizationsandthepublic. c.Thedesignandimplementationofaglobaldatabaseisveryeasy. d.Theydeflectdifferentiationandfocusstrategies. ANSWER:a

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Chapter09:GlobalInformationSystems 57.Whendesigningasuccessfulglobalinformationsystem(GIS),_____cannotassumeacompany’sproductsor serviceswillcontinuesellingthesamewaybecauseofpossiblechangesincustomers’needsandpreferencesand globalcompetition. a.management b.suppliers c.buyers d.unions ANSWER:a 58.Consideringanentireorganization’soperationalefficiencyiscriticalincoordinatinginternationalbusinessactivities, soglobalcompaniesneedtochangetheir_____strategiesinanefforttorespondtotheglobalmarket. a.productionandmarketing b.salesanddistribution c.servicemanagement d.localbusiness ANSWER:a 59.Ina_____structure,production,sales,andmarketingaredecentralizedandfinancialmanagementremainsthe parentcompany’sresponsibility. a.global b.universal c.transnational d.multinational ANSWER:d 60.Ina(n)_____structure,acompany’ssubsidiariesoperateautonomouslybutregularlyreporttotheparentcompany. a.multinational b.transnational c.international d.global ANSWER:a 61.Oneoftheissueswiththe_____structureisthatsubsidiariesrelyonheadquartersforallprocessandcontrol decisionsaswellassystemdesignandimplementation. a.multinational b.global c.regional d.transnational ANSWER:b

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Chapter09:GlobalInformationSystems 62.Whichofthefollowingstatementsistrueofaglobalorganizationstructure? a.Anextensivecommunicationnetworkisnecessarytomanageaglobalstructure. b.Aglobalstructureuseshighlydecentralizedinformationsystems. c.Subsidiariesexercisefullautonomyinaglobalstructure. d.Production,marketing,andhumanresourcesareeasilyintegratedusingaglobalstructure. ANSWER:a 63.Theintegrationneededtomanageproduction,marketing,andhumanresourcesisdifficulttoachievewithaglobal structurebecauseofthe_____. a.excessiveautonomygiventosubsidiaries b.presenceofduplicateinformationsystems c.useofhighlydecentralizedinformationsystems d.heavyrelianceonheadquarters ANSWER:d 64.Anorganizationwitha(n)_____structuremighthaveseveralregionaldivisionsthatshareauthorityand responsibility,butingeneralitdoesnothaveitsheadquartersinaparticularcountry. a.global b.transnational c.multinational d.international ANSWER:b 65.Foreignexchangesystemsthatallowtradersandbrokersfromaroundtheworldtointeractareanexampleof informationsystemsthatsupporta(n)_____structure. a.multinational b.global c.transnational d.international ANSWER:c 66.Initially,offshoreoutsourcingwasusedmostlyinmanufacturingtofind_____. a.cheaplabor b.bondedlabor c.skilledlabor d.childlabor ANSWER:a

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Chapter09:GlobalInformationSystems 67.Whichofthefollowingfactorshasmadeoffshoreoutsourcingattractiveforalltypesoforganizations? a.Improvedtelecommunicationsystems b.Increasedcostofcommunication c.LimitedavailabilityoftheInternet d.Reducedbandwidth ANSWER:a 68.WhichofthefollowingwasthetopAsiaPacificoffshoringcountryin2014? a.India b.Indonesia c.Japan d.SouthKorea ANSWER:a 69.Oneoftheissueswithaglobalinformationsystem(GIS)isthattoomuch_____candecreaseanorganization’s flexibilityinrespondingtolocalpreferencesandeventimedifferences. a.localization b.regionalization c.standardization d.customization ANSWER:c 70.Diverseregulatorypractices_____theintegrationprocessofaglobalinformationsystem(GIS). a.impede b.facilitate c.empower d.speedup ANSWER:a 71.Beforeaddingaglobalinformationsystem,RegalInternational,anelectronicscompanymusttakeintoconsideration the_____infrastructuresofthecountrieswhereitssubsidiariesarelocated. a.management b.social c.telecommunication d.powertransmission ANSWER:c

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Chapter09:GlobalInformationSystems 72.Thereisa(n)_____ofqualifiedinformationsystemsprofessionalsintheUnitedStatesandWesternEurope. a.abundance b.slightabundance c.slightshortage d.severeshortage ANSWER:d 73._________isamajorfactorinthewidespreaduseofglobalinformationsystems. A.E-business B.E-commerce C.E-distribution D.E-mobility ANSWER:E-business 74._________products,whichareproductsorservicesthathavebeenstandardizedforallmarkets,arebecoming increasinglyimportantininternationalmarketingefforts. A.Global B.Domestic C.Local D.Regional ANSWER:Global 75.A_________isasystemthatincorporatesallthetechnologiesandapplicationsfoundinatypicalinformation systemtogather,store,manipulate,andtransmitdataacrossculturalandgeographicboundaries. A.globalinformationsystem B.globalanalyticssystem C.globalbroadcastsystem D.globaleconomicsystem ANSWER:globalinformationsystem(GIS) 76.A_________isaninformationsystemformanagingglobaloperations,supportinganinternationalcompany’s decision-makingprocesses,anddealingwithcomplexvariablesinglobaloperationsanddecisionmaking. A.globalinformationsystem B.globalanalyticssystem C.globalbroadcastsystem D.globaleconomicsystem ANSWER:globalinformationsystem(GIS)

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Chapter09:GlobalInformationSystems 77.Thetrade-offbetweentheamountofcontrolneededandtheamountof_________needed,whicharethetwo dimensionsofaglobalinformationsystem(GIS),definesanorganization’sglobalizationstrategy. A.coordination B.stand...