Management Information System (MIS) Practice Exam

What allows two or more businesses to collaborate effectively over the Internet?

1. Intranet

2. Extranet

3. Internet protocol

4. Cloud services

The correct answer is: Extranet

The correct answer is extranet, which serves as a vital platform for enabling collaboration between two or more businesses over the Internet. An extranet extends a company's intranet by providing authorized external parties—such as partners, suppliers, and customers—secure access to relevant data and systems. This secure connection fosters cooperation by allowing companies to share documents, manage projects, and communicate effectively in real-time, which enhances productivity and strengthens partnerships. In contrast, an intranet is a private network accessible only to a company's employees, making it unsuitable for collaboration with external entities. Internet protocols are foundational standards that govern data exchange over the Internet but do not directly facilitate collaborative business activities. Cloud services, while useful for sharing resources and applications, do not inherently imply collaboration between multiple distinct businesses in the same way an extranet does. Therefore, the extranet is specifically designed to bridge businesses securely and effectively, making it the ideal solution for collaborative endeavors.