Which of the Following Is True of IT Spending in an Organization

question 59

Multiple Choice

Which of the following is true of IT spending in an organization?

• A)Increased IT spending is usually associated with investor dissatisfaction and reduces companies' market value.
• B)The funds used to run a business are mainly for the kinds of IT resources that now fall into the commodity category
• C)Since IT is only an operational requirement and not a strategy enabler, companies should seek to reduce IT spending.
• D)Organizations should spend money on things that create a comparative advantage rather than on IT.

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Definitions:

Cognitive Developmental

Refers to the process by which individuals acquire and evolve in their capacity to think, reason, and understand the world.

Social Learning

A theory that suggests individuals learn behaviors, norms, and values primarily through observing and imitating others within a social context.

Cognitive Processing

The mental actions or processes involved in acquiring knowledge, understanding through thought, experience, and senses.

Mental Resources

Cognitive and emotional capacities that an individual can draw upon to perform tasks, solve problems, and manage demands, including attention, memory, and resilience.