Tuesday, August 18, 2009

WEEK 2 QUESTIONS

CHAPTER 1







1. What are the characteristics of the modern business environment?



The characteristics of the modern business environement include that it is global; interconnected; 24/7- you can access files, work etc 24 hours a day, 7 days a week due to the internet; e-commerce; it is always changing








2. What is meant by a web-based, global platform, what does it provide, and how has it affected business?



A web-based global platfrom enables individuals to connect, compute, communicate, collaborate and compete everywhere and anywhere. It allows for access to limitless amounts of information, services and entertainment








3. What are the main pressures that characterize the modern global business environment?



Some of the main pressures in the modern global business environement include:
-social responsibility



-ethical issues



-terrorist attacks



-information overload



-changing workforce








4. What are/discuss some of the common, IT oriented organizational responses to these pressures?



Organisational responses to these pressures include:



-strategic systems



-having a greater focus on the customer



-custom-make to order



-e-business and e-commerce








5. How are IT architecture and IT infrastructure are interrelated?



IT architecture is a general plan of how IT is to be used by/within an organisation. It is useful for planning as it shows how the IT will fit together.



IT infrastructure is the actual implementation that will provide for effective Information systems, including the hardware, software, services and people involved








6. Is the Internet an infrastructure, an architecture, or an application program? or something else. Why?

The internet is an infrastructure. The internet is part of the organisational infrastructure that supports an organisation. Without the internet, many businesses would not be able to run. It is a vital infrastructure of many organisations. It is an organisation's platform, and a platform is part of an IT infrastructure.


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CHAPTER 2




1.What is the difference between an 'application' and a computer-based information systems?




An application program is a computer program that supports a specific task, a business or another application program.



A computer based information system is an information system that uses computer technology to perform some, or all of its intended tasks.








2. What are strategic information systems?



A strategic information system provides a competitive advantage by helping an organisation implement its strategic goals and increase its performance and productivity








3. According to Porter, what are the five forces that could endanger a firm’s position in its industry or marketplaces?



According to Porter, the 5 forces that could endanger a firm's position in its industry or in marketplaces are:



-the threat of new entry of competitors



-the bargaining power of supplies



-the bargaining power of employees



-the threat of substitute products or services



-the rivalry among existing firms in the industry








4. In relation to Porter's value chain model, what is meant by primary activities and support activities, and how does IT support these activities?



Primary activities are those business activities that relate to the production and distribution of the firm's products and services, thus creating value for which customers are willing to pay.
Support activities don't add value directly to the firm's products or services. Rather, they contribute to the firm's competitive advantage by supporting the primary activities.








5. Discuss the logic of building information systems in accordance with the organizational hierarchical structure.
It is both logical and important to build information systems in accordance with the organisational hierarchical structure as you will need different systems to run different parts of the business.













6. How has the Internet affected each of the five forces in Porter’s competitive forces model.

The internet has had a major effect on Porter's competitive forces model. The internet has increased the threat that new compeititors will enter the market. Buyer power has increased as consumers can access the internet 24/7, and find cheaper prices through websites such as eBay. However, it has also increased supplier power, as all people who have access to the internet can view your product. It globalises your product. The internet has not had a major effect on substitute products, as substitute products have always been available for purchase, with or without the internet.

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