Interstate’s marketing director thinks that the company’s data mining

QUESTION

Interstate’s marketing director thinks that the company’s data mining ability should be upgraded. Which of the following, if true, strengthens his position?

A) Executives at Interstate want to use decision support systems to test business models.
B) Interstate uses VSAT communications to relay confidential information among its various branches.
C) Interstate’s various branches do a lot of electronic conferencing with one another.
D) Customers complain that the company’s website is too difficult to use.
E) Interstate’s rate of new customer acquisition has steadily declined over the last two years.

ANSWER

Answer: E
Explanation: E) Effective use of customer info can help a company find new customers. This scenario suggests that the company’s data mining ability should be improved. Choice A is an issue dealing with an interactive system, to which data mining is not directly relevant. Choices B and C deal with long-distance communications, which is not directly relevant to data mining. Choice D has to do with customer use of the company’s extranet systems and not with actual mining of data.