Question

Certain trends in the recent past have changed the way that businesses are managed and controlled. Four important recent business trends have been: increased transparency, globalization, increased use of information technology, and renewed focus on corporate governance. Which of the following best exemplifies the trend toward the increased use of information technology?
a. High-tech companies have research labs, development centers, and call centers in emerging markets like China and India. These markets give them the benefit of cost-effective services, a qualified workforce, and competitive pricing.

b. Companies are benefiting from e-commerce by buying and selling their products and services to consumers online.

c. Steps have been taken to enhance the interaction between shareholders and company managers so that managers work toward achieving the primary goal: maximize shareholder wealth.

Answer 1

Answer:

b. Companies are benefiting from e-commerce by buying and selling their products and services to consumers online.

Explanation:

This is the example that shows the pure application of IT in business. E-commerce platforms are something every business that has an online presence has in common. Although businesses can differ by industry or niche, e-commerce is a common information technology trend.

The A. answer may indicate that it is IT related, but it is actually more related to globalization and outsourcing.