Final answer:
The only option that is not a fundamental reason for business applications of information technology is 'increased operational costs'. Information technology aims to enhance communication, improve efficiency, and streamline processes, with the general intent to minimize costs and not increase them.
Step-by-step explanation:
All of the following are fundamental reasons for business applications of information technology except: increased operational costs. When businesses incorporate information technology, they do so with several positive intentions which include:
- Enhanced communication: Information technology greatly improves the flow of communication within an organization and with external stakeholders, which is critical for efficient business operations.
- Improved efficiency: Automation and better management of business processes through technology lead to increased productivity and efficiency.
- Streamlined processes: Technology allows for more coordinated and integrated processes, often resulting in less overhead and reduced chance for error.
The option of increased operational costs is not a fundamental reason for the application of information technology in business. It is actually a concern that businesses aim to minimize with the use of technology. The goal is often to lower costs and achieve economies of scale through automation, outsource labor to cost-effective regions, and to leverage technology to manage long-distance business relationships, as is the case with telecommunications.
Furthermore, the advent of the internet and advancement in telecommunications have made it possible for businesses of all sizes to reach a wider market, with technology facilitating both global trade and a shift towards a postindustrial society where information is a key commodity.