MIS Ch. 3

Question 0

What are Porter’s 4 competitive strategies?

Answer 0

1. ) Cost
2. ) Differentiation
3. ) Industry-Wide
4. ) Focus

Question 1

What is the 5 forces model of industry structure?

Answer 1

1. ) Bargaining power of customers
2. ) Threat of substitutions
3. ) Bargaining power of suppliers
4. ) Threat of new entrants
5. ) Rivalry

Question 2

Value

Answer 2

The amount of money that a customer is willing to pay for a resource, product, or service

Question 3

Margin

Answer 3

The difference between the value that an activity generates and the cost of the activity

Question 4

Value Chain

Answer 4

A network of value-creating activities

• Consists of 5 Primary Activities & 4 Support Activities

Question 5

Linkages

Answer 5

Interactions across value activities

Question 6

Business Process

Answer 6

A network of activities that generate value by transforming inputs into outputs

Question 7

Business Process

Answer 7

A network of activities that generate value by transforming inputs into outputs

Question 8

Cost

Answer 8

The cost of the inputs plus the cost of the activities

Question 9

Activity

Answer 9

A business function that receives inputs and produces outputs

Question 10

Repository

Answer 10

A collection of something

Question 11

Switching Costs

Answer 11

Organizations lock in customers by making it difficult or expensive for customers to switch to another product.