IS 220 Chapter 9
Direct payment of Social Security benefits is an example of ______ e-commerce. a) government-to-citizen b) consumer-to-consumer c) consumer-to-business d) business-to-consumer e) business-to-business
A
Gemvara gained a competitive advantage by: a) allowing customers to design jewelry online. b) having limited selections. c) by attracting only customers who have purchased jewelry online previously. d) having a representative in 50 brick and mortar jewelry stores.
A
In ________ e-commerce, an organization provides information and services to its workers. a) business-to-employee b) consumer-to-consumer c) consumer-to-business d) business-to-consumer e) government-to-business
A
In the _____ marketplace model, EC technology is used to streamline the purchasing process in order to reduce the cost of items purchased, the administrative cost of procurement, and the purchasing cycle time. a) buy-side b) sell-side c) auctions d) group purchasing e) electronic exchange
A
In the _____ marketplace model, the reverse auction is typically used. a) buy-side b) sell-side c) group purchasing d) desktop purchasing e) electronic exchange
A
Inputs to the manufacturing process are known as: a) Direct materials. b) Indirect materials. c) Public exchanges. d) Maintenance supplies.
A
What area of e-commerce is especially conducive to fraud? a) Auctions. b) Online Storefronts. c) E-mail. d) Advertisements.
A
With _______ sales, the sale is almost instantaneous. a) B2C. b) B2B. c) Both B2C and B2B. d) Neither B2C nor B2B.
A
_____ are a payment mechanism that are similar to regular bank checks but are transmitted electronically, with a signature in digital form. a) Electronic checks b) Electronic credit cards c) Electronic cash transactions d) Electronic wallets e) Electronic debit cards
A
_____ connect buyers and sellers across many industries and are used mainly for indirect materials. a) Horizontal exchanges b) Vertical exchanges c) Buy-side marketplaces d) Functional exchanges e) Sell-side marketplaces
A
eBay uses a _____ auction. a) forward b) static c) reverse d) physical e) simple
A
Banner advertising: a) Is sent directly to potential customers via e-mail. b) Forces customers to click on an ad to get more information. c) Is of limited value because it cannot be customized to the target audience. d) Is another name for pop-up advertising.
B
Customers can order products online from BestBuy and buy the same products at a BestBuy store. This is an example of: a) Pure e-commerce. b) Partial e-commerce.
B
Difficulties in order fulfillment are most closely associated with which type of electronic commerce? a) business-to-business b) business-to-consumer c) government-to-citizen d) business-to-employee e) mobile commerce
B
In _____, direct and indirect materials in one industry are purchased on an as-needed basis. a) horizontal exchanges b) vertical exchanges c) buy-side marketplaces d) functional exchanges e) sell-side marketplaces
B
In order to get customers to visit retail stores, some have resorted to: a) hiring clowns. b) providing electronic incentives via smart phones c) eliminating online stores. d) providing refreshments.
B
In the _____ marketplace model, organizations attempt to sell their products or services to other organizations electronically. a) buy-side b) sell-side c) group purchasing d) desktop purchasing e) electronic exchange
B
In this type of e-commerce, buyers and sellers are individuals. a) government-to-citizen b) consumer-to-consumer c) consumer-to-business d) business-to-consumer e) business-to-business
B
In which of the following business models do businesses request quotes from suppliers and use B2B with a reverse auction mechanism? a) find-the-best-price b) electronic tendering system c) name-your-own-price d) online direct marketing e) affiliate marketing
B
Purchasing products through E-bay is usually an example of which type of e-commerce? a) Business-to-employee b) Consumer-to-consumer c) Government-to-citizen d) Business-to-business
B
The key mechanisms of the _____ marketplace model are forward auctions and electronic catalogs that can be customized for each large buyer. a) buy-side b) sell-side c) group purchasing d) desktop purchasing e) electronic exchange
B
Two questions a buyer in a B2B purchase would be asking are a) When can I get it? Will it make me money? b) Will it make me money? Will it save me money? c) Will it save me money? When can I get it? d) How much money will it save me? What will my ROI be?
B
Which of the following is a problem that e-commerce can cause for the airline industry? a) Too many fares b) Mistakes in fares c) Too few fares d) No fares offered on certain routes e) Too many fares offered on certain routes
B
Which of the following is not an advantage of e-tailing? a) You can buy from home, 24 hours per day. b) You have only a few products to choose from. c) You can obtain detailed information on products. d) You can compare competitors' products and prices. e) All of the above
B
Which type of electronic exchange connects buyers with sellers within a specific industry? a) Public exchanges b) Vertical exchanges c) Horizontal exchanges d) Functional exchanges
B
_____ are software mechanisms that provide security measures and convenience for electronic commerce purchasing. a) Electronic checks b) Digital wallets c) Purchasing cards d) Smart cards e) Person-to-person payments
B
_____ use credit card numbers, transmitted electronically over the Internet, to pay for goods and services. They are either unencrypted or encrypted, with coded data readable by an intermediary between the buyer's and seller's banks. a) Electronic checks b) Electronic credit cards c) Electronic cash transactions d) Electronic wallets e) Electronic debit cards
B
______ are a form of e-cash that enable you to store a fixed amount of prepaid money and then spend it as necessary. a) Electronic checks b) Stored-value money cards c) Purchasing cards d) Smart cards e) Person-to-person payments
B
_________ is a broad term that refers to the buying and selling of goods and services over the Internet, as well as servicing customers and collaborating with partners. a) Electronic commerce b) E-business c) Digitization d) Social networking
B
eBay is an example of which type of e-commerce? a) government-to-citizen b) consumer-to-consumer c) consumer-to-business d) business-to-consumer e) business-to-business
B
All of the following are limitations of traditional payment methods in electronic commerce except: a) Cash cannot be used because there is no face-to-face contact. b) Paying for goods and services via the mail takes more time. c) Not all organizations accept credit cards. d) It is more secure for the buyer to use the telephone than to complete a secure transaction on a computer. e) None of the above
D
Business-to-business electronic commerce involves electronic relationships with: a) Customers. b) Suppliers. c) Resellers. d) All of these
D
Companies use Web sites for commerce for all of the following reasons except: a) To reduce operational and transaction costs. b) To enhance their reputation. c) To sell goods and services. d) To reduce the amount of actual cash they need to deal with. e) To induce people to visit a physical location.
D
Cyberbanking offers all of the following advantages except: a) It is convenient for customers. b) It saves time for customers. b) It includes inexpensive transactions for the bank. c) It can help recruit remote customers. d) It is more expensive for the customer.
D
If you are an worker managing your fringe benefits over your company's intranet, you are engaging in _________ e-commerce. a) business-to-business b) business-to-consumer c) consumer-to-consumer d) business-to-employee e) government-to-citizen
D
In _____, needed services such as temporary help or extra space are traded on an as-needed basis. a) horizontal exchanges b) vertical exchanges c) buy-side marketplaces d) functional exchanges e) sell-side marketplaces
D
In the _____ B2B application, the orders of many buyers are aggregated so that they comprise a large volume, in order to merit more seller attention. a) buy-side b) sell-side c) auctions d) group purchasing e) electronic exchange
D
PayPal is an example of a business that offers: a) Electronic checks. b) Electronic cash. c) Stored-value money cards. d) Person-to-person payments.
D
The degree of digitization relates to all of the following except: a) the product or service sold b) the process by which the product is produced c) the delivery agent or intermediary d) the size of e-commerce transactions e) none of the above
D
The indiscriminate distribution of electronic ads without the permission of the receiver is referred to as: a) Advertising abuse. b) Harassment. c) E-harassment. d) Spamming.
D
The use of electronic commerce may eliminate the need for: a) Brokers. b) Employees. c) Agents. d) All of these.
D
Which of the following items has the highest degree of digitization? a) A book that is out of stock in a store and is being shipped to your home. b) A book that is advertised on the Internet but that you buy in a store. c) A book you order online to be shipped to your home d) An e-book you order online for a reader such as a Kindle or Nook.
D
Which of the following statements is false? a) E-business means using Internet technologies. b) E-business is internally focused. c) E-business integrates all company functions into one IT infrastructure. d) The customer sees no benefit from e-business.
D
Which type of electronic commerce does Amazon practice? a) business-to-employee b) consumer-to-consumer c) consumer- to-business d) business-to-consumer e) employee-to-business
D
_____ contain a chip that can store information and be used for several purposes. a) Electronic checks b) Stored-value money cards c) Purchasing cards d) Smart cards e) Person-to-person payments
D
_____ refers to online word-of-mouth marketing. a) Permission marketing b) One-to-one marketing c) Personalized marketing d) Viral marketing e) Direct mail
D
_____ refers to the practice of registering or using domain names for the purpose of profiting from the goodwill or trademark belonging to someone else. a) Domain spoofing b) Domain masquerading c) Domain tasting d) Cybersquatting e) Domain fraud
D
_______ e-commerce is also known as e-tailing. a) Business-to-business b) Collaborative commerce c) Intrabusiness d) Business-to-consumer e) Consumer-to-business
D
________ is the process whereby a fully automated electronic commerce transaction eliminates middlemen. a) Disintegration b) Supply chain integration c) Direct sales d) Disintermediation e) Value-added services
D
A vendor asks its business partners to place logos or banners on their Web sites. If customers click on a logo, visit the vendor's site, and make a purchase, then the vendor pays a commission to the partner. This scenario illustrates which business model? a) find-the-best-price b) electronic tendering system c) name-your-own-price d) online direct marketing e) affiliate marketing
E
Electronic business includes which of the following? a) buying and selling b) servicing customers c) collaborating with business partners d) conducting electronic transactions within an organization e) all of the above
E
_____ enable two individuals to transfer funds without using a credit card. a) Electronic checks b) Stored-value money cards c) Purchasing cards d) Smart cards e) Person-to-person payments
E
_____, which is a broader concept than _____, is the buying and selling of goods and services, as well as servicing customers, collaborating with business partners, and performing transactions within an organization. a) Business-to-business electronic commerce, business-to-customer electronic commerce b) Electronic commerce, electronic business c) Business-to-customer electronic commerce, business-to-business electronic commerce d) Business-to-business electronic commerce, intrabusiness electronic commerce e) Electronic business, electronic commerce
E
True or False? An electronic storefront can consist of one store or many stores.
False
True or False? Business-to-consumer applications comprise the majority of electronic commerce volume.
False
True or False? Each buyer needs only one e-wallet for all merchants.
False
True or False? Electronic commerce makes national and international markets less accessible.
False
True or False? Even though B2C EC is much larger by volume, B2B is more complex.
False
True or False? Hacking is the indiscriminate distribution of electronic ads without permission of the receiver.
False
True or False? In traditional commerce, one or more of the following can be digital: the product or service, the process, and the delivery agent.
False
True or False? Internet advertising is impersonal, one-way mass communication.
False
True or False? Purchasing by using electronic support is referred to as e-procurement.
False
True or False? The buy-side marketplace is similar to the business-to-consumer model.
False
True or False? The key mechanisms in the sell-side marketplace are customized electronic catalogs and reverse auctions.
False
True or False? The use of electronic commerce requires companies to hire additional employees.
False
True or False? When two companies fight over a domain name the company that has been in business the longest is automatically considered the owner of the domain.
False
True or False? You can make a purchase in a referral mall.
False
True or False? eBay is a good example of business-to-consumer electronic commerce.
False
True or false? Buying decisions in a B2B model are based entirely on logic.
False
True or false? Buying decisions in a B2C model use emotion and no logic.
False
True or false? If a company does not have a physical presence in a state, it still has to collect sales tax.
False
True or false? One of the more recent stories that deal with cross-border tax issues is the story of Sears & Roebuck.
False
True or false? Target markets are the same for B2B and B2C sales.
False
True or false? The length of time that is required to complete a sale is the same in both B2C and B2B.
False
True or false? Viral marketing uses direct marketing materials.
False
True or False? A domain name is considered to be legal when the person or business who owns the name has operated a legitimate business under that name for some period of time.
True
True or False? An electronic storefront is a Web site on the Internet that represents a single store.
True
True or False? Banners are the most common form of advertisement on the Internet.
True
True or False? Channel conflict occurs when click-and-mortar companies have problems with their regular distributors when they sell directly to customers online.
True
True or False? Forward auctions are auctions that sellers use as a channel to many potential buyers.
True
True or False? Horizontal exchanges connect buyers and sellers across many industries.
True
True or False? In most cases, traditional payment systems are not effective for electronic commerce.
True
True or False? Selling products such as books and computers on the Internet may reduce vendors' selling costs by 20 to 40 percent, with further reductions being difficult because the products must be delivered physically.
True
True or False? Smart cards can be used as credit cards, debit cards, and/or loyalty cards.
True
True or False? The key mechanisms in the sell-side marketplace are customized electronic catalogs and forward auctions.
True
True or False? The primary characteristic of auctions is that prices are determined dynamically by competitive bidding.
True
True or False? Virtual banks are those banks that are dedicated only to Internet transactions.
True
True or False? Virtual single-use credit card numbers are being issued by major credit card companies.
True
True or False? Visiting the Web site of a car manufacturer (e.g., www.gm.com), entering the specifications for the car you want, and then picking up your car at your local dealership is an example of partial electronic commerce.
True
True or false? Viral marketing can be online or offline.
True
True or false? Viral marketing results in improved sales.
True
A _____ is automatically launched by some trigger and appears behind the active window. a) keyword banner b) random banner c) pop-up ad d) pop-under ad e) text box
D
A(n) _____ is automatically launched by some trigger and appears in front of the active window. a) keyword banner b) random banner c) pop-up ad d) pop-under ad e) text box
C
Amazon clouds the issue because the company has which of the following in many states, but not a "parent company" presence? a) Fulfillment centers. b) Headquarters. c) Fulfillment partners. d) Server farms.
C
In _____ auctions, there is one buyer who wants to buy a product. Suppliers submit bids, and the lowest bid wins. a) forward b) static c) reverse d) physical e) simple
C
In _______ e-commerce, the sellers and buyers are organizations. a) government-to-citizen b) consumer-to-consumer c) business-to-business d) business-to-consumer e) consumer-to-business
C
In ____________, needed services such as temporary help or extra office space are traded on an "as-needed" basis. a) Vertical exchanges. b) Horizontal exchanges. c) Functional exchanges. d) All of these.
C
Internet advertising improves on traditional advertising in all of the following ways except: a) Internet ads can be updated at any time at minimal cost. b) Internet ads can reach large numbers of potential buyers all over the world. c) Internet ads are always more effective than other types of advertising. d) Internet ads can make effective use of multimedia. e) Internet ads are current.
C
Organizations typically face issues related to e-tailing including a) Channel conflict b) Order fulfillment c) Companies face issues in both of these areas. d) Companies do not face issues in either of these areas
C
Purchasing cards are most often used by: a) Individuals making online purchases. b) Businesses making online purchases. c) Businesses making relatively small, unplanned purchases. d) Businesses buying items that are on their current year's budget.
C
Purchasing products and services online often cuts out the middleman, who has traditionally sold the product and/or service. This is process is called: a) Straight-to-consumer services. b) Replacement of brick-and-mortar stores. c) Disintermediation. d) Dysfunctionalization.
C
Pure-play organizations: a) Only sell their products in traditional brick-and-mortar stores. b) Sell their products both online and in traditional brick-and-mortar stores. c) Only sell their products online. d) Only sell their products to other businesses.
C
The advantages of electronic commerce for consumers include all of the following except: a) You can buy from home 24 hours per day, 7 days per week. b) You have a wider variety of products to choose from. c) You typically cannot access additional information, so you do not have information overload. d) You can easily compare prices and features. e) You can find unique items.
C
The practice of using similar but not identical domain names is called _____. a) domain spoofing b) domain masquerading c) domain tasting d) cybersquatting e) domain fraud
C
Which of the following is a lure of e-commerce? a) Limited number of products offered to customers. b) Easy fulfillment. c) Lower transaction costs. d) No returns.
C
Which of the following is not an effect that E-commerce has had on organizations? a) E-commerce enables smaller businesses to operate in areas dominated by larger companies. b) E-commerce increases the number of potential customers to whom the company can market its products. c) E-commerce is a costly medium for increasing market share. d) E-commerce removes many barriers for start-up businesses. e) E-commerce makes it easy to reach customers around the world.
C
Which of the following is not an electronic commerce application? a) home banking b) buying stocks c) evaluating an employee d) conducting an auction e) buying real estate
C
Which of the following statements regarding the relationship between electronic commerce and search is not correct? a) Purchases often follow successful online searches. b) Shopping carts are often abandoned after unsuccessful online searches. c) Retailers will provide fewer product details to avoid information overload for customers. d) Customers will be able to find the closest store offering the product that they want. e) Customers will have more relevant product information in the near future.
C
Which type of electronic commerce is the largest by volume? a) business-to-employee b) consumer-to-consumer c) business-to-business d) business-to-consumer e) none of the above
C
_____ are typically used for unplanned B2B purchases for amounts under $2000. a) Electronic checks b) Stored-value money cards c) Purchasing cards d) Smart cards e) Person-to-person payments
C
_____ auctions are the most common auction model for large purchases. a) Forward b) Static c) Reverse d) Physical e) Simple
C
_____ auctions employ a request for quotation. a) Forward b) Static c) Reverse d) Physical e) Simple
C
_____ offer(s) consumers incentives to accept advertising and e-mail voluntarily. a) Viral marketing b) Personalized marketing c) Permission marketing d) Paper catalogs e) Direct mail
C
