1. Describe the process by which organizations develop their information systems. Information system exist to help organizations achieve their strategiesAn organization competitive strategy is what determines its goals and objectivesTherefore, a company’s competitive strategy determines the structure, features, and functions of its information systemOrganizations examine the structure of their industry and determine a competitive strategy, which determined value chains (its goals and objectives), which determines business processes. The structure of business processes (competitive strategy) determines the design of supporting information systems.2. Briefly explain Porter's five forces model. -Bargaining (交交) power of customers (number of customers, size of each order, cost o changing, differences between competitors)-Threat of substitutes(availability of substitute, substitute performance, cost of substitute, switching costs)-Bargaining power of suppliers (number of suppliers, size of suppliers, uniqueness of service, cost of changing)-Threat of new entrants (time and cost of entry, specialist knowledge, economies of scale, barriers 交交 to entry)-Rivalry 竞交 (number of competitors, quality differences, switching cosy, customer loyalty)3. What are the four competitive strategies firms can choose from according to Porter's model? Cost, differentiate; industry wide, focus (can be combine of two)4. Briefly describe the concepts of value, margin, and value chain. Value: the amount of money that a customer is willing to pay for a resource, product, or serviceMargin (交竞): the difference between the value that an activity generates and the cost of the activityValue Chain: a network of value creating activitiesCost of business process=cost of inputs+cost of activitiesMargin= Value of all outputs- costBu5. List the primary activities in a generic value chain. Inbound Logistics (交交), Operations/Manufacturing, Outbound Logistics (交交交), Sales and Marketing, and Customer Service.6. Distinguish between the primary and support activities of a value chain. Primary-contribute directly to the production, sale and service of the product. Support-contribute indirectly to the production, sale and service of the product.7. What are support activities in a value chain? Procurement 交竞 (finding vendors 竞交, set up contractual agreement and negotiating prices)Technology (includes research and development, other activities for developing new techniques, methods and procedures)Human Resources: recruiting 交交, compensation 交交, evaluation, and training of full time and parttime employeesFirm's Infrastructure 交竞竞交: general management, finance, accounting, legal and government affairs8. What is the central idea of business process design? Business Process: a network of activities that generate value by transforming inputs into outputs. /network of value adding activitiesActivities= receives inputs and produces outputRepository: a collection of somethingOrganizations should not automate 交交竞交交 or improve existing functional systems. Rather, they should create new, more efficient business processes that integrate 交交 the activities of all departments involved in the value