Chapter 1 The Information Age in Which You Live

Question 1

What is synergy?

Answer 1

combination of people, technology and information

• competitive advantages
• cheaper and faster
• increase revenue
• innovate new processes

Question 2

Business Intelligence

Answer 2

collective information

provides: effective, important and strategic decisions

Question 3

Information Quality

Answer 3

pertinent, relevant, and useful

• timeliness: when you need it? is it relevant to the time or period you need the information?
• location: can you access it?
• form: is it the necessary type? (audio, image, text), no errors?
• validity: is it credible?

Question 4

Granuality

Answer 4

extend of detail of an information

• top: general, broad information
• bottom: fine granuality, very detailed

Question 5

Ethics

Answer 5

principles and standard guide; subjective

Question 6

Break-Even Analysis

Answer 6

• fixed cost: expenses that are constant, ren/bills
• variable cost: cost of a unit production
• revenue: profit

Question 7

Porter’s Five Forces Model

Answer 7

• buyer power: high when buyers have choices; low when there’s very few choices
• supplier power: high when buyers have few choices from who to buy; low when buyers have many choices
• threat of substitute products or services: (switching cost)
• threat of new entrants
• rivalry among existing competitors

Question 8

Porter’s Three Generic Strategies

Answer 8

• overall cost leadership: same or equal quality of a product at a cheaper price from competitor
• differentiation: unique
• focus: market a certain population/area of business

Question 9

RGT

Run-Grow-Transform Framework

Answer 9

• run: offer products and services faster and cheaper
• grow: expand the market, increase and reach for more
• transform: innovate