CHAPTER 14 INFORMATION NEEDS FOR GLOBAL BUSINESS ACTIVITIES

Question 1

It allows businesses to position themselves favorably in the international marketplace so they can attain their business goals and objectives.

Answer 1

Strategic Resource

Question 2

This allows them to function more efficiently and effectively than their competitors and gives them the best possible global business opportunities.

Answer 2

Competitive Advantage

Question 3

Developing and managing a suitable information system is much easier in a ___________ _________ ________ than in an international business environment.

Answer 3

domestic business environment

Question 4

refers to the nation’s transportation and communications systems.

Answer 4

Infrastructure

Question 5

is a computer-based system that provides information about company operations around the world to managers of a multinational organization

Answer 5

global information system

Question 6

are those pieces of information that feed the global information system database. These inputs reflect both internal organization inputs and external environment inputs.

Answer 6

Data inputs

Question 7

are the parts of an information system that manage the database and system operations.

Answer 7

Operational components

Question 8

To ensure that the information system functions properly, companies implement controls to regulate the systems.

Answer 8

System Controls

Question 9

To regulate the functioning of the database systems, companies set up _____ ______systems. Examples include data files and data dictionaries.

Answer 9

database management

Question 10

To allow access to data and analytical tools, companies typically set up

Answer 10

user interface systems.

Question 11

Ideally, user interface systems use _____ , which are symbols that are meaningful across cultures.

Answer 11

icons

Question 12

To allow inquiry and analysis, applications systems companies will install _____ _________ . These systems address such questions as
“What is?” “What has happened in the past?” “Why?” and “What if?”

Answer 12

application systems

Question 13

Output from ____ _____ allows inquiries
and analyses to be shared with relevant persons.

Answer 13

reporting systems

Question 14

_________ ________ are the various types of data generated from an information system. Managers rely on system outputs as they direct company operations in the global business environment.

Answer 14

System outputs

Question 15

______ ______outputs data such as sales forecasts and budgets that allow managers to position their products more effectively in the global marketplace.

Answer 15

Product management

Question 16

_______outputs data such as media plans and impact reports that help global managers to share information more effectively.

Answer 16

Communication

Question 17

____ _____ outputs data such as territory design and sales quota planning that help global managers to market their products more effectively around the world.

Answer 17

Sales management

Question 18

______ ______outputs data such as financial modeling and strategy simulations that help top-level company managers to direct global business operations more effectively.

Answer 18

Senior management

Question 19

should understand the value of an effective global information system and support that system in every way possible. They should also realize that such an information system evolves over time and requires continual maintenance and refinement.

Answer 19

Top-level managers

Question 20

are an obstacle to the collection and transmission of
information. In languages that are not closely related, ideas cannot be simply translated from one language to another.

Answer 20

Language differences

Question 21

toward such things as secrecy, authority, and risk taking are reflected in the communication of cultural groups.

Answer 21

Attitudes

Question 22

The environment also creates potential information challenges. Competition, currency fluctuations,
and inflation rates vary from country
to country.

Answer 22

Business and Financial Environment

Question 23

Information needs also vary widely within multinational businesses, creating additional challenges to global information systems.

Answer 23

DIFFERING INFORMATION NEEDS

Question 24

The ____ _ _____that is exercised within a multinational organization also creates challenges to global information systems.

Answer 24

degree of control

Question 25

means that managers at company headquarters make most major decisions. Favors a broad view of corporate strategy when decisions are made.

Answer 25

Centralization

Question 26

means that local managers at different company locations around the world make most major decisions

Answer 26

Decentralization

Question 27

Data sources present challenges to global information systems. Data sources
are either primary sources or secondary sources.

Answer 27

Sources of Data

Question 28

are data collected by the user firsthand for a specific purpose

Answer 28

primary data

Question 29

are data not collected by the user but available for his or her use

Answer 29

Secondary Data

Question 30

The ____ _____ _____ is a major issue in data collection. The quality relates to the validity, reliability, and comparability of the data.

Answer 30

quality of the data

Question 31

The extent to which the data measures what the user expects it to measure is called

Answer 31

Data Validity

Question 32

The consistency of the gathered data is called the

Answer 32

Data Reliability

Question 33

The extent to which secondary data from different sources are measured, computed, and reported in the exact same ways is called

Answer 33

Data Comparability

Question 34

Those in charge of a global information system must be concerned about the adequacy of the data collection and transmission from company offices worldwide to company headquarters.

Answer 34

Communication Technology

Question 35

Another type of technology problem can arise from having to transmit data through local systems, which are sometimes under the control of the domestic postal, telephone, or telegraph agency.

Answer 35

Host-Country Requirements