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51) Network economics: A) applies the law of diminishing returns to

Question : 51) Network economics: A) applies the law of diminishing returns to : 1927924

51) Network economics:

A) applies the law of diminishing returns to communities of users.

B) applies traditional economics to networked users.

C) sees the cost of adding new members as inconsequential.

D) balances the high cost of adding new members to a community against the lower cost of using network infrastructure.

52) In network economics, the value of a commercial software vendor's software products:

A) increases as more people use them.

B) decreases as more people use them.

C) increases due to higher marginal gain in output.

D) decreases according to the law of diminishing returns.

53) A virtual company:

A) uses the capabilities of other companies without being physically tied to those companies.

B) uses Internet technology to maintain a virtual storefront.

C) uses Internet technology to maintain a networked community of users.

D) provides entirely Internet-driven services, or virtual products.

54) The emergence of the World Wide Web acted as a disruptive technology for:

A) the typewriter industry.

B) print publishing.

C) PC manufacturers.

D) microprocessor firms.

55) Which of the following best describes business globalization?

A) Businesses whose suppliers are located overseas

B) Businesses selling their products worldwide

C) Businesses moving manufacturing overseas

D) All of the above.

56) The greatest impact the Internet has had on globalization is in lowering the costs of:

A) labor.

B) telecommunications.

C) network infrastructure.

D) entry to global-scale operations.

57) The ________ strategy concentrates financial management and control out of a central home base while decentralizing production, sales, and marketing operations to units in other countries.

A) domestic exporter

B) multinational

C) franchise

D) transnational

58) The ________ strategy is characterized by heavy centralization of corporate activities in the home country of origin.

A) domestic exporter

B) multinational

C) franchise

D) transnational

59) In a ________ system configuration, separate information systems are designed and managed by each foreign unit.

A) duplicated

B) centralized

C) decentralized

D) networked

60) ________ systems are those in which development occurs at the home base but operations are handed over to autonomous units in foreign locations.

A) Transnational

B) Decentralized

C) Duplicated

D) Networked

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