Q&A Hero

Q: From 1995 through 2000, many EC projects and start-up companies were funded with little analysis of their business viability or finances.

Q: (p. 458) The basic statute for fighting water pollution in the United States is the: A. Federal Water Pollution Control Act Amendments of 1972. B. Water (Prevention and Control of Pollution) Act of 1974. C. Water Pollution Program Improvement Act. D. Safe Drinking Water Act.

Q: (p. 457) The _____ which went into effect in 2005 requires industrial nations to cut emissions of heat-trapping gases an average of 5 percent below 1990 levels by 2012. A. Montreal Protocol B. Aarhus Convention C. Barcelona Convention D. Kyoto Protocol

Q: The most important objectives of strategic assessment include each of the following except A) measure the extent to which the EC strategy and ensuing projects are delivering what they were supposed to deliver. B) determine if the EC strategy and projects are still viable in the current environment. C) reassess the initial strategy in order to learn from mistakes and improve future planning. D) identify what competitors are doing to avoid head-on competition.

Q: (p. 456) Which of the following is the predominant greenhouse gas, which makes up about 85 percent of greenhouse gas emissions? A. Chlorofluorocarbons B. Nitrous oxide C. Carbon dioxide D. Methane

Q: A methodology for conducting a comprehensive redesign of an enterprise's processes best defines A) business case. B) corporate makeover. C) redesign strategy. D) business process reengineering.

Q: (p. 455) Atmospheric gases that absorb energy radiated from the earth, decreasing its release into space are known as: A. condensibles. B. organic gases. C. greenhouse gases. D. effluents.

Q: The person who ensures the EC project gets the time, attention, and resources required and defends the project from detractors at all times best defines A) project gladiator. B) project manager. C) project champion. D) project referee.

Q: (p. 455) The Montreal Protocol set timetables to phase out worldwide: A. elimination of leaded gasoline. B. use of 96 ozone-depleting chemicals. C. emission of greenhouse gases. D. build-up of radon.

Q: Internet technologies can provide consumers with easier access to pricing information, which increases their bargaining power. To remain competitive and profitable, sellers need smarter pricing strategies, which include each of the following strategies except A) greater precision in setting prices. B) more adaptability in changing prices. C) new ways of customer segmentation for differentiated pricing. D) reducing prices.

Q: (p. 455) Which of the following are used as refrigerants, aerosol propellants, foams, and solvents? A. Herbicides B. Placebos C. Carbon monoxides D. Chlorofluorocarbons

Q: Selling the same good, but with different selection and delivery characteristics best defines A) channel marketing. B) versioning. C) selective distribution. D) cost-plus marketing.

Q: (p. 454) Ozone, when present in this major layer of the Earth's atmosphere, screens out ultraviolet energy harmful to living tissue. A. Mesosphere B. Stratosphere C. Troposphere D. Thermosphere

Q: The ________ pricing strategy means adding up all the costs involved, such as material, labor, rent, overhead, and so forth, and adding a percentage mark-up as profit. A) cost-plus B) competitor model C) revenue markup D) price percentage

Q: Security issues that need to be considered when setting an EC strategy include A) accidental alterations to or destruction of electronic information and records. B) costs to mitigate a covered loss. C) liability for damage to a third-party's computer system. D) all of the above.

Q: Discuss some basic actions multinational corporations can take to fight corruption.

Q: The likelihood that a negative outcome will occur in the course of developing and operating an electronic commerce strategy best defines A) business risk. B) technology risk. C) e-commerce risk. D) competitor risk.

Q: Discuss the main provisions of the Foreign Corrupt Practices Act (FCPA)

Q: Discuss the free trade responses to protectionism.

Q: The most dangerous risk to a company engaged in e-commerce is A) threats posed by hackers. B) business risk. C) negligent loss of data. D) customer and business partner risk.

Q: What are the basic reasons for protectionism existing in the trade histories of all nations?

Q: Which of the following can occur when a company waits to see what competitors in the industry do? A) market-driven strategy B) competitor-driven strategy C) technology-driven strategy D) second-mover strategy

Q: (p. 410) What are NAFTA, AFTA, and Mercosur?

Q: When planning a successful online EC strategy that includes social media, an important issue to consider is A) develop a consistent online and offline brand strategy. B) sell globally as well as locally. C) effectively market to existing customers. D) all of the above.

Q: Discuss some of the reasons for the failure of the WTO-led multilateral trading system in making major advances in trade liberalization.

Q: Separating a company's online operations into a new company makes sense in each of the following situations except A) when the volume of anticipated e-business is large. B) when the subsidiary can be created without dependence on current operations and legacy systems. C) when the company is unable to form new alliances, attract new talent, or raise additional funding. D) when a new business model needs to be developed apart from the constraints of current operation.

Q: What are the functions of the International Monetary Fund (IMF)?

Q: Factors that determine whether a first mover succeeds or fails in the EC marketplace include each of the following except A) the size of the opportunity. B) the speed of market entry. C) the nature of the product. D) whether the company can be the best in the market.

Q: What are the Bretton Woods institutions?

Q: The risks of being a first mover include each of the following except A) the high cost of pioneering EC initiatives. B) the chance that a second wave of competitors will eliminate a first mover's lead through lower cost and innovation. C) the risk that the move will be too late. D) over the long run, first movers being substantially less profitable than followers.

Q: Why is it said that the 1930 Smoot-Hawley Tariff Act "added poison to the emptying well of global trade"? Give an example.

Q: After four years in business, a magazine publisher decides to add the online distribution of its magazine to its existing traditional publishing business. The company would need to develop a A) business strategy. B) business plan. C) business case. D) business metric.

Q: Discuss the major forces that have stimulated the growth of globalization in recent years.

Q: A management tool that assesses organizational progress toward strategic goals by measuring performance in a number of different areas is A) balanced scorecard. B) BCG growth-share matrix. C) SWOT analysis. D) Web analytics.

Q: What is extortion?

Q: A strategic planning methodology that generates plausible alternative futures to help decision makers identify actions that can be taken today to ensure success in the future best defines A) business case. B) communications matrix. C) information systems planning. D) scenario planning.

Q: Explain the law of comparative advantage.

Q: A methodology that surveys external opportunities and threats and relates them to internal strengths and weaknesses best defines A) business case. B) business plan. C) SWOT analysis. D) competitor analysis grid.

Q: What is the European Union (EU)?

Q: An analytical tool in which a company looks for points of differentiation between competitors and itself is called A) SWOT analysis. B) competitor analysis grid. C) scenario planning. D) strategy assessment.

Q: (p. 404) What is meant by a multilateral trade negotiation?

Q: A tool that delineates the relationships among the key organizational objectives for all four BSC perspectives defines A) business plan. B) competitor analysis. C) SWOT analysis. D) strategy map.

Q: (p. 397) What is globalization?

Q: Specific activities and outcomes from strategy implementation include A) resource allocation. B) identifying business opportunities. C) creating a business plan. D) company analysis.

Q: (p. 423) The Foreign Corrupt Practices Act (FCPA): A. can fine individuals up to $2 million and five years in prison for violations of the law's bribery provisions. B. makes it a criminal rather than a civil offense to bribe an official of a foreign government. C. makes it legal for bribes paid by managers of one corporation to managers of another. D. contains an exception for facilitating payments intended only to restrict "routine governmental action."

Q: ________ is the continuous evaluation of progress toward the organization's strategic goals, resulting in corrective action and, if necessary, strategy reformulation. A) SWOT analysis B) Competitor analysis grid C) Scenario planning D) Strategy assessment

Q: (p. 421) In 2004, the United Nations added a tenth principle to the Global Compact requiring: A. the effective abolition of child labor. B. participant companies to adopt anti-corruption policies and controls. C. respect for the protection of internationally proclaimed human rights. D. the elimination of discrimination in employment and occupation.

Q: ________ is the process of making the selected applications and projects a reality by hiring staff; purchasing equipment; licensing, purchasing, or writing software; and contracting vendors. A) Project management B) Resource allocation C) Project planning D) Strategy assessment

Q: (p. 420) In the fight against corruption, this 1977 Act was the first major manifesto in the anti-corruption framework. A. The Sarbanes-Oxley Act B. The Smoot-Hawley Tariff Act C. The Foreign Corrupt Practices Act D. The Racketeer Influenced and Corrupt Organizations Act

Q: Many of the outcomes from the first two phases of the strategic planning process, such as a determination of goals, competitor analysis, strategic opportunities, and risk analysis come together in a ________. A) technology audit B) SWOT plan C) value proposition D) business plan

Q: (p. 418) Facilitating payments: A. are small amounts of money demanded by minor officials to perform their regular duties. B. refer to anything of value improperly requested or given in exchange for a corrupt action. C. violate anti-bribery laws and are not tolerated in any nation. D. are endemic and routine in most developed nations.

Q: Google's ________ is its expertise in information search technology. A) company analysis B) value proposition C) core competency D) functional strategy

Q: (p. 418) The debasement of integrity for money, position, privilege, or other self-benefit is termed as: A. manipulation. B. exploitation. C. lobbying. D. corruption.

Q: Specific activities and outcomes from strategy formulation include each of the following except A) risk analysis, assessment, and management. B) cost-benefit analysis. C) project plan. D) business plan.

Q: (p. 416) These are laws that seek to influence governments and agencies to purchase U.S.-made goods and services rather than foreign-made goods and services. A. Blue laws B. "Buy American" laws C. The laws of comparative advantage D. Soft laws

Q: Which of the following involves scanning the business environment to collect and interpret relevant information about direct competitors, indirect competitors, and potential competitors? A) environmental evaluation B) competitor evaluation C) corporate espionage D) competitor analysis

Q: (p. 413) Exporting a product at a price below the price it normally sells for in its home market is known as: A. structural adjustment. B. dumping. C. free trade. D. offshoring.

Q: The development of strategies to exploit opportunities and manage threats in the business environment in light of corporate strengths and weaknesses best defines A) strategy alignment. B) strategy formulation. C) strategy initiation. D) strategy completion.

Q: (p. 412-413) All of the following are true of protectionism EXCEPT: A. industries must be shielded from foreign competition. B. large trade deficits of the United States must be reduced. C. maximum gain on a worldwide basis will be realized if capital flows are unrestricted. D. trade barriers in foreign countries restrict American imports to them.

Q: Projections of the business technological, political, economic, and other environments are called A) forecasts. B) SWOT analysis. C) competitive intelligence. D) value propositions.

Q: (p. 412) This doctrine propounds that government should protect business interests from foreign competitors. A. Protectionism B. The law of comparative advantage C. The marginalist theory D. The Truman Doctrine

Q: The unique combination of resources, experiences, and expertise within a particular firm is called their A) corporate strategy. B) core competencies. C) functional strategy. D) competitive advantage.

Q: (p. 412) This theory follows that maximum gain on a worldwide basis will be realized if there are no impediments to trade, if there is free competition in pricing, and if capital flows are unrestricted. A. The marginalist theory B. The law of comparative advantage C. "Buy American" laws D. The Doctrine of Protectionism

Q: A specific outcome of the strategy initiation phase is a clear statement of the company's ________, which summarizes the customer segment, competitor target, and the core differentiation of one's product from the offerings of competitors. A) company analysis B) value proposition C) core competency D) functional strategy

Q: (p. 412) According to this theory, efficiency and the general economic welfare are optimized when each country produces that for which it enjoys a cost advantage. A. The marginalist theory B. The Doctrine of Protectionism C. "Buy American" laws D. The law of comparative advantage

Q: Specific outcomes from the strategy initiation phase include each of the following except A) competitor analysis. B) forecasts. C) day-to-day operations. D) company analysis.

Q: (p. 411) This has been the official policy of the United States since the end of World War II. A. Global trade compliance B. Free trade C. Globalization D. Sovereignty

Q: (p. 411) The flow of goods and services across borders unhindered by government-imposed restrictions such as taxes, tariffs, quotas, and rules is known as: A. free trade. B. global trade compliance. C. globalization. D. sovereignty.

Q: A specific outcome of the strategy initiation phase is the ________, which includes the vision, mission, value proposition, goals, capabilities, constraints, strengths, and weaknesses of the company. A) company analysis B) value proposition C) core competency D) functional strategy

Q: (p. 410) This agreement was formed in 1967 by five countriesthe Philippines, Indonesia, Malaysia, Singapore, and Thailand. A. EU B. NAFTA C. Mercosur D. ASEAN

Q: Each of the following about the strategic planning process is true except A) the strategic planning process is cyclical and continuous. B) the process of developing a strategy may be even more important than the strategy. C) the strategic planning process forces corporate executives, a company's general manager, or a small business owner to assess the current position of the firm, where it should be, and how to achieve objectives. D) the strategic planning process begins with strategy formulation.

Q: (p. 410) This is an agreement negotiated in 1991 among Argentina, Brazil, Paraguay, and Uruguay. A. EU B. NAFTA C. Mercosur D. ASEAN

Q: The initial phase of strategic planning in which the organization examines itself and its environment best defines A) value proposition. B) feasibility study. C) strategic alignment. D) strategy initiation.

Q: (p. 410) The first step in the formation of this organization was taken in 1987 when the United States and Canada signed a free trade agreement. A. IMF B. EU C. WTO D. NAFTA

Q: A process for developing a strategy and plans for aligning information systems with the organization's business strategies best defines A) business planning. B) business case. C) strategic information systems planning. D) strategic alignment.

Q: (p. 409) All of the following countries are part of NAFTA except: A. Argentina. B. Canada. C. the United States. D. Mexico.

Q: Technological e-commerce challenges include each of the following except A) cost. B) integration. C) software standards. D) distrust.

Q: General strategies for competitive advantage include each of the following except A) customer or supplier lock-in. B) entry barriers. C) stabilization. D) growth.

Q: (p. 409) The fundamental objective of this organization was to prevent a recurrence of Europe's devastating wars such as World War I and World War II. A. IMF B. EU C. WTO D. NAFTA

Q: The formulation and execution of a vision of how a new or existing company intends to do business electronically best defines A) e-commerce policy. B) e-commerce strategy. C) e-commerce case. D) e-commerce focus.