E-commerce: Chapter 1
Analysts estimate that by 2024, consumers will be spending around ________ in digital transactions.
$1.8 trillion
It is estimated that by 2024, B2B e-commerce will generate ________ in revenues.
$9.8 trillion
In 2019, there were more than ________ Internet hosts worldwide.
1 billion.
The world's ONLINE population was estimated to be around ________ in 2020.
4 billion.
The early years of e-commerce are considered:
A stunning technological success as the Internet and the Web increased from a few thousand to billions of e-commerce transactions per year.
What is an example of e-business?
Amazon's inventory control system.
The early years of e-commerce wasn't driven by:
An emphasis on exploiting traditional distribution channels.
What is NOT an example of Web 2.0 sites and applications?
Auction sites.
What is a characteristic of the Consolidation phase of e-commerce?
Brand extension and strengthening becomes more important than creating new brands.
Which of the following statements is not true? (2)
Economists take a purely technical approach to e-commerce.
What is NOT an example of an on-demand service company?
(T/F) Price dispersion has been eliminated in e-commerce.
False
(T/F) Price transparency refers to the ease with which consumers can find out what merchants pay for products.
False
(T/F) Ubiquity increases the cognitive energy required to transact in a marketspace.
False.
What is not a major technology trend in e-commerce in 2020-2021?
Growth of the Internet of Things slows down.
What refers to any disparity in relevant market information among parties in a transaction?
Information Assymetry
What is NOT a characteristic of a perfect competitive market?
It is highly regulated.
Unfair competitive advantages occur when:
One competitor has an advantage that others cannot purchase.
What is NOT a true statement about the mobile platform?
Over 235 million individuals in the United States used tablet computer apps in 2020.
Above all, e-commerce is a ________ phenomenon.
Technology driven.
What is NOT true regarding e-commerce today?
The market middlemen disappeared.
(T/F) E-commerce and e-business systems blur together at the business firm boundary, where internal business systems link up with suppliers or customers.
True.
(T/F) The Reinvention period of e-commerce is as much a sociological phenomenon as it is a technological or business phenomenon.
True.
(T/F) The information systems discipline spans the technical and behavioral approaches to e-commerce.
True.
What is NOT a platform for C2C e-commerce.
Walmart.
What term refers to the practice of researching a product online before purchasing it at a physical store?
Webrooming
What is not a platform for social e-commerce?
Y Combinator
What is an example of an e-commerce first mover that failed?
eToys.
What was the original "killer app" that made the Internet commercially interesting and extraordinarily popular?
the Web.
The text identifies which year as the year e-commerce began?
1995.
In 2020, about ________ of Internet users in the United States accessed the Internet solely using a mobile device.
21%
What term can be considered synonymous with the term e-commerce?
Digital commerce.
What best defines e-commerce?
Digitally enabled commercial transactions between and among organizations and individuals
What is a characteristic of e-commerce during the Invention period?
Disintermediation.
What describes the basic web policy of large firms during the Invention period?
Maintain a basic, static website depicting the firm's brand.
What is a physical place you visit in order to transact called?
Marketplace
The cost incurred by merchants to change product prices (i.e., the costs of reentering prices into computer systems) is referred to as:
Menu Costs.
Which company has not been the subject of concern about its increasing market dominance in 2020-2021?
Netflix
What is the best definition of transaction cost?
The cost of participating in a market.
What canNOT be considered a precursor to e-commerce?
The development of the smartphone.
Interactivity in the context of e-commerce provides what functionality?
The enabling of two-way communication between consumer and merchant
What statement is true about the traditional tradeoff between the richness and reach of a marketing message prior to the development of the Web?
The larger the audience reached, the less rich the message.
What features of e-commerce technology is related to the concept of network externalities?
Universal Standards.
What is not true about the use of apps?
Users still spend more time using mobile browsers than they do using mobile apps.
What business application is associated with the technological development of local area networks and client/server computing?
Workgroup Automation (e.g., document sharing).
What refers to the displacement of market middlemen and the creation of a new direct relationship between producers and consumers?
Disintermediation.
What is a characteristic of the Reinvention phase of e-commerce?
Expansion of e-commerce to include services as well as goods.
What is a leading platform for social e-commerce?
Facebook.
(T/F) M-commerce is the type of e-commerce that generates the most revenue.
False
(T/F) The Internet has shown similar growth patterns as other electronic technologies of the past.
False
(T/F) The emergence of mobile, social, and local e-commerce occurred during the Consolidation period of e-commerce.
False
(T/F) The term e-commerce refers to the digital enabling of business processes both inside and outside the firm.
False
(T/F) Universal standards make price discovery more costly, slower, and less accurate.
False
What is a platform for B2B e-commerce?
Go2Paper
Business-to-consumer (B2C) e-commerce in the United States:
Grew at double-digit rates between 2010 and 2020.
What was NOT a visions of e-commerce expressed during the early years of e-commerce.
Fast Follower Advantage
What is not a unique feature of e-commerce technology?
Information Asymmetry.
What best describes the early years of e-commerce?
They were a technological success but a mixed business success.
What is an important societal issue related to e-commerce?
Intellectual Property.
Which type of e-commerce is distinguished by the type of technology used in the transaction rather than by the nature of the market relationship?
Mobile e-commerce (aka: M-commerce).
Which of the following statements is not true? (1)
Overall transaction costs have dropped dramatically.
________ represents the total number of users or customers an e-commerce business can obtain.
Reach
What is NOT a major business trend in e-commerce in 2020-2021?
Retail e-commerce revenues exceed B2B e-commerce revenues for the first time.
What feature of e-commerce technology enables merchants to market and sell "complex" goods and services to consumers via marketing messages that can integrate video, audio, and text?
Richness
What refers to the complexity and content of a message?
Richness
What is a feature of e-commerce technology that allows users to participate in the creation of online content?
Social Technology
What is NOT a correct statement about e-commerce in the United States in 2020?
Social e-commerce generated more revenue than mobile e-commerce.
________ was the first truly large-scale digitally enabled transaction system in the B2C arena.
The French Minitel
What is NOT a correct statement about the Web?
The Web is the technology upon which the Internet is based.
What is NOT an element of friction-free commerce?
Transaction costs are high.
(T/F) E-commerce poses special challenges to methods used in the past to protect intellectual property rights.
True
(T/F) E-commerce technologies provide a unique, many-to-many model of mass communication.
True
(T/F) It is likely that e-commerce will eventually impact nearly all commerce.
True
(T/F) Personalization involves targeting marketing messages to specific individuals by adjusting the message based upon a consumer's preferences or past purchasing behavior.
True
E-commerce is available just about everywhere and anytime. This is known as:
Ubiquity.