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GCDL Practice Question: Two competing retail companies adopt cloud at the…
This GCDL practice question tests your understanding of two competing retail companies adopt cloud at the…. Read the scenario carefully and evaluate each option against the stated constraints before committing to an answer. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.
Two competing retail companies adopt cloud at the same time. Company A uses cloud to run its existing applications more cheaply (lift-and-shift). Company B uses cloud to build new personalized customer experiences, real-time inventory optimization, and a mobile-first shopping platform. Five years later, Company B significantly outperforms Company A. What does this outcome illustrate?
Answer choices
Why each option matters
Good practice is not just finding the correct option. The wrong answers often show the exact trap the exam wants you to fall into.
A
Distractor review
Company A made a mistake by moving to cloud; it should have stayed on-premises to avoid disruption
Moving to cloud was not Company A's mistake. The mistake was treating cloud purely as infrastructure without reimagining business capabilities. On-premises would have been even more constraining.
B
Best answer
Cloud adoption creates competitive advantage only when used to transform business models and customer experiences, not just to reduce infrastructure costs
This is the lesson. Cloud as infrastructure cost reduction provides efficiency gains but doesn't create sustainable competitive differentiation — competitors can do the same thing at the same cost. Cloud as business transformation (new products, better experiences, new operating models) creates differentiation that compounds over time.
C
Distractor review
Company B succeeded because it used a different cloud provider with superior technology
The question attributes the difference to what each company built with cloud (new capabilities vs. existing app migration), not which provider they used. Provider choice is not the differentiating factor.
D
Distractor review
Company B must have spent more on cloud than Company A, proving that higher cloud investment always produces better outcomes
Investment level is not the differentiating factor. Company A may have spent as much or more on its migration. The type of value created — operational efficiency vs. new customer capabilities — is the differentiator.
Common exam trap
Common exam trap: answer the scenario, not the keyword
Many certification questions include familiar terms but test a specific constraint. Read the exact wording before choosing an answer that is generally true but wrong for this case.
Technical deep dive
How to think about this question
This question should be treated as a scenario, not a definition check. Identify the problem, the constraint and the best action. Then compare each option against those facts.
KKey Concepts to Remember
- Read the scenario before looking for a memorised answer.
- Find the constraint that changes the correct option.
- Eliminate answers that are true in general but not in this case.
- Use explanations to understand the rule behind the answer.
TExam Day Tips
- Underline the problem statement mentally.
- Watch for words such as best, first, most likely and least administrative effort.
- Review why wrong options are wrong, not only why the correct option is correct.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Related practice questions
Related GCDL practice-question pages
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More questions from this exam
Keep practising from the same exam bank, or move into a focused topic page if this question exposed a weak area.
Question 1
A traditional retailer currently maintains its own data centers, purchasing servers every 3–5 years and paying for facilities, power, and staff regardless of demand. When it migrates its workloads to the public cloud, which change in cost model does it experience?
Question 2
An e-commerce company plans its infrastructure for peak shopping events (e.g., Black Friday) which drive 50× normal traffic. On-premises, they must maintain 50× capacity year-round. In the cloud, they provision 50× capacity only during peak periods. Which cloud characteristic enables this cost optimization?
Question 3
Which term describes the process by which organizations integrate digital technology into all areas of their business, fundamentally changing how they operate and deliver value to customers?
Question 4
When a company moves from maintaining its own data center to using Google Cloud, which operational responsibility does Google assume that the company previously managed?
Question 5
A hospital runs a patient records system that must remain on-premises due to strict regulatory data residency requirements. However, they also want to use cloud-based AI for diagnostic imaging analysis. Which cloud deployment model best describes their architecture?
Question 6
What is virtualization in the context of cloud computing, and why is it fundamental to how cloud providers deliver services?
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FAQ
Questions learners often ask
What does this GCDL question test?
Read the scenario before looking for a memorised answer.
What is the correct answer to this question?
The correct answer is: Cloud adoption creates competitive advantage only when used to transform business models and customer experiences, not just to reduce infrastructure costs — This scenario illustrates the critical distinction between cloud as cost reduction versus cloud as business enablement. Both companies 'adopted cloud,' but Company A treated it as infrastructure cost optimization (digitization) while Company B used it to fundamentally change customer experiences and business operations (digital transformation). The competitive divergence confirms that transformation, not mere migration, is the source of cloud's competitive value.
What should I do if I get this GCDL question wrong?
Identify which GCDL exam domain this question belongs to, then review the specific concept being tested. Practise related questions in that domain and focus on understanding why each wrong answer is tempting — not just why the correct answer is right.
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This GCDL practice question is part of Courseiva's free Google Cloud certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the GCDL exam.