Which of the Following Illustrates the Use of Information Systems

question 9

Multiple Choice

Which of the following illustrates the use of information systems to achieve product differentiation?

• A)A hot tub dealer's use of information systems to determine which models and options its customers are most likely to buy
• B)A shoe manufacturer's use of information systems in selling custom, made-to-order shoes directly to customers
• C)A PC manufacturer's use of information systems to facilitate direct access from suppliers to production schedules
• D)A grocery store chain's use of information systems to produce products and services at a lower price than competitors

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Definitions:

Long Run

A period in which all factors of production and costs are variable, allowing for all possible adjustments in production and operations.

Break-Even

The point at which total cost and total revenue are equal, meaning the business or project is not making a loss nor profit.

Peak Efficiency

Peak Efficiency is the optimal state of operation where resources and processes produce maximum output with minimum waste or inefficiency.

ATC Curve

The Average Total Cost curve graphically represents the total cost per unit of output produced, calculated by dividing the total cost by the quantity of output.