Author Question: The decision to purchase your own IT assets or rent them from external providers is also referred to ... (Read 110 times)

SGallaher96 · **on:** Jul 7, 2018

The decision to purchase your own IT assets or rent them from external providers is also referred to as the rent-versus-buy decision.

Indicate whether the statement is true or false

Question 2

Define and describe a business ecosystem. Give an example of a business ecosystem.

What will be an ideal response?

cascooper22 · **Reply #1 on:** Jul 7, 2018

Answer to Question 1

TRUE

Answer to Question 2

A business ecosystem is a collection of loosely coupled but interdependent industries (suppliers, distributors, technology manufacturers, etc.) that provides related services and products. It is similar to a value web, except that cooperation takes place across many industries rather than many firms.
Business ecosystems can be characterized as having one or a few keystone firms that dominate the ecosystem and create the platforms used by other niche firms. Keystone firms in the Microsoft ecosystem include Microsoft and technology producers such as Intel and IBM. Niche firms include thousands of software application firms, software developers, service firms, networking firms, and consulting firms that both support and rely on the Microsoft products.
Another example of a business ecosystem is the mobile Internet platform. In this ecosystem there are four industries: device makers (Apple iPhone, RIM BlackBerry, Motorola, LG, and others), wireless telecommunication firms (AT&T, Verizon, T-Mobile, Sprint, and others), independent software applications providers (generally small firms selling games, applications, and ring tones), and Internet service providers (who participate as providers of Internet service to the mobile platform).