E-commerce exam 1

All of the following are issues facing Pinterest except: A) copyright infringement. B) inability to attract users. C) competition. D) spam.

B

E-commerce can be defined as:

the use of the internet, the web, and mobile apps to transact business

Which of the following types of merchants has the highest share of retail online sales? A) virtual (Web only) B) catalog/call center C) retail chain D) consumer brand manufacturer

A

Above all, e-commerce is a ________ phenomenon.

technology-driven

All of the following are major technology trends in e-commerce in 2013-2014 except: A) cloud computing enables the creation of "big data" B) apps create a new platform for online marketing and commerce C) the mobile computing platform begins to rival the PC platform D) real-time advertising becomes a reality with gains in computing power and speeds

A

All of the following can be considered a precursor to e-commerce except: A) DNS. B) Baxter Healthcare's remote order entry system. C) the French Minitel. D) Electronic Data Interchange.

A

Business-to-consumer (B2C) e-commerce in the United States: A) has grown at double-digit rates between 2010 and 2013. B) is expected to account for about $40 billion in total sales in 2013. C) constitutes over 30% of the overall U.S. retail market. D) is growing more slowly as it confronts its own fundamental limitations.

A

E-Commerce can be defined as: A) the use of the Internet, the Web, and mobile apps to transact business. B) the use of any Internet technologies in a firm's daily activities. C) the digital enablement of transactions and processes within an organization. D) any digitally enabled transactions among individuals and organizations.

A

The early years of e-commerce were driven by all of the following factors except: A) an emphasis on exploiting traditional distribution channels. B) a huge infusion of venture capital funds. C) an emphasis on quickly achieving a very high market visibility. D) visions of profiting from new technology.

A

Which of the following best describes the early years of e-commerce? A) They were a technological success but a mixed business success. B) They were a technological success but a business failure. C) They were a technological failure but a business success. D) They were a mixed technological and business success.

A

Which of the following is another name for a revenue model? A) business model B) business strategy C) financial model D) financial statements

A

Which of the following is not an example of a social network? A) Wikipedia B) Twitter C) Pinterest D) Tumblr

A

Which of the following is not one of the current major social trends in e-commerce in 2013-2014? A) Concerns about online privacy decline B) Controversy over content regulation and controls continues C) E-books gain wide acceptance D) Internet security continues to decline

A

Which of the following statements about the Web is not true? A) It is the technology upon which the Internet is based. B) It was developed in the early 1990s. C) It provides access to pages written in HTML. D) It provides access to Web pages that incorporate graphics, sound, and multimedia.

A

all of the following are major social trends in e-commerce in 2015-2016 except for: A) concerns about the flood of temporary, poorly paid jobs without benefits being generated by on-demand service companies. B) the continuing conflict over copyright management and control. C) the refusal of online retailers to accept taxation of Internet sales. D) the growth of government surveillance of Internet communications.

A

which of the following is an example of an on-demand service company A) YouTube B) Airbnb C) Tumblr D) Facebook

A

Ad blockers operate in a manner very similar to which of the following? A) anti-virus software B) firewalls C) Flash cookies D) anonymous browsing

B

All of the following are characteristics of Web 2.0 sites and applications except: A) they are inherently highly interactive. B) they rely on mobile access to the Web. C) they tend to rely on user-generated content. D) they present marketers with extraordinary opportunities for targeted marketing and advertising.

B

All of the following statements about cookies are true except: A) cookies can be used with web bugs to create cross-site profiles of users B) the data typically stored in cookies includes a unique ID and e-mail address C) cookies make shopping carts possible by allowing a site to keep track of a user's actions D) the more cookies are deleted, the less accurate and server metrics become

B

Impressions are a measure of the: A) number of times an ad is clicked. B) number of times an ad is served. C) number of http requests. D) number of pages viewed.

B

The marketing technique known as ________ involves merchants offering products or services for a very low price for a short period of time. A) long tail marketing B) flash marketing C) yield management D) bait-and-switch

B

Which element of the business model refers to the presence of substitute products in the market? A) value proposition B) competitive environment C) competitive advantage D) market strategy

B

Which of the following are Amazon's primary value propositions? A) personalization and customization B) selection and convenience C) reduction of price discovery cost D) management of product delivery

B

Which of the following companies uses a transaction fee revenue model? A) Yahoo B) E*Trade C) Twitter D) Sears

B

Which of the following features of e-commerce technology allows fine-grained, highly detailed information on consumers' real-time behavior to be gathered and analyzed? A) personalization/customization B) information density C) ubiquity D) interactivity

B

Which of the following is an example of an e-commerce first mover that failed? A) Etsy B) eToys C) eBay D) E*Trade

B

Which of the following is not a major business trend in e-commerce in 2013-2014? A) Social e-commerce continues to grow B) Small businesses and entrepreneurs are hampered by the rising cost of market entry caused by increased presence of industry giants C) Facebook grows to more than 1.1 billion users D) Social and mobile advertising begins to challenge search engine marketing

B

Which of the following is the top online retailer ranked by online sales? A) Apple B) Amazon C) Staples D) Walmart

B

Which of the following is the top-selling online retail category? A) apparel/accessories B) computers/electronics C) mass merchant/department stores D) office supplies

B

Which of the following measures the average length of stay at a Web site? A) loyalty B) stickiness C) page views D) retention rate

B

Which of the following measures the percentage of customers who purchase once but never return within a year? A) retention rate B) attrition rate C) loyalty rate D) conversion rate

B

Which of the following statements about the Internet's impact on marketing is not true? A) The Internet has broadened the scope of marketing communications. B) The Internet has decreased the impact of brands. C) The Internet has increased the richness of marketing communications. D) The Internet has expanded the information intensity of the marketplace.

B

________ and ________ are typically the most easily identifiable aspects of a company's business model. A) Market strategy; market opportunity B) Value proposition; revenue model C) Value proposition; competitive environment D) Revenue model; market strategy

B

An economist is most likely to be interested in a(n) ________, rather than technical, approach to studying e-commerce

Behavioral

All of the following may lead to a competitive advantage except: A) less expensive suppliers. B) better employees. C) fewer products. D) superior products.

C

Amazon's Associates program is an example of which of the following? A) viral marketing B) local marketing C) affiliate marketing D) lead generation marketing

C

E-commerce is available just about everywhere and anytime. This is known as ________. A) richness B) information density C) ubiquity D) reach

C

In modeling online consumer behavior, the concept of "consumer skills" refers to the: A) education level of the consumer. B) communication skills of the consumer. C) knowledge consumers have about how to conduct online transactions. D) product evaluation skills of the consumer.

C

Uber has been criticized for using which of the following? A) flash marketing B) bundling C) surge pricing D) freemium

C

Which of the following involves a company giving away a certain level of product or services without charge, but then charging a fee for premium levels of the product or service? A) advertising revenue model B) subscription revenue model C) freemium strategy D) transaction fee revenue model

C

Which of the following is a characteristic of e-commerce during the Invention period? A) mobile technology B) earnings and profit emphasis C) disintermediation D) extensive government surveillance

C

Which of the following is a characteristic of e-commerce during the Invention period? A) mobile technology B) earnings and profit emphasis C) distintermediation D) extensive government surveillance

C

Which of the following is not a unique feature of e-commerce technology? A) interactivity B) social technology C) global broadcasting D) richness

C

Which of the following statements is not true? A) Information asymmetries are continually being introduced by merchants and marketers. B) Intermediaries have not disappeared. C) Overall transaction costs have dropped dramatically. D) Brands remain very important in e-commerce.

C

A Web beacon is: A) a cookie that carries a virus. B) an executable cookie. C) an automated applet for performing Web searches. D) a tiny graphics file embedded in an e-mail or Web page.

D

All of the following are major business trends in e-commerce in 2013-2014 except for: A) the growth of a new app-based online economy. B) the expansion of the localization of e-commerce. C) the emergence of a new social e-commerce platform. D) the eclipse of search engine marketing by the mobile advertising platform.

D

All of the following were visions of e-commerce expressed during the early years of e-commerce except: A) a nearly perfect competitive market. B) friction-free commerce. C) disintermediation. D) fast follower advantage

D

Creating multiple variations of information goods and selling these to different market segments at different prices is called: A) bundling. B) customization. C) dynamic pricing. D) versioning.

D

Interactivity in the context of e-commerce can be described as the A) the ability to physically touch and manipulate a product B) complexity and content of a message C) the ability of consumers to create and distribute content D) the enabling of two-way communication between consumer and merchant

D

Which of the following features of e-commerce technology has reduced the cost of delivering marketing messages and receiving feedback from users? A) ubiquity B) richness C) interactivity D) universal standards

D

Which of the following is a characteristic of the Consolidation phase of e-commerce? A) predominance of pure online strategies B) emphasis on revenue growth versus profits C) first mover advantages D) shift to a business-driven approach

D

Which of the following is a characteristic of the Reinvention phase of e-commerce? A) massive proliferation of dot-com start-ups B) widespread adoption of broadband networks C) rapid growth of search engine advertising D) widespread adoption of consumer mobile devices

D

Which of the following is a mobile photo-sharing application? A) WordPress B) Tumblr C) Wikipedia D) Instagram

D

Which of the following is not a characteristic of a perfect competitive market? A) Price, cost, and quality information are equally distributed. B) A nearly infinite set of suppliers compete against one another. C) Customers have access to all relevant information worldwide. D) It is highly regulated.

D

Which of the following is not true about search engine advertising? A) Spending on search engine advertising constitutes almost half of all online advertising spending B) The top three search engine providers supply over 95% of all online searches C) The click-through rate for search engine marketing has been fairly steady over the years D) Search engine advertising is the fastest growing type of online advertising

D

Which of the following is not true about search engine advertising? A) Spending on search engine advertising constitutes over 40% of all online advertising spending. B) The top three search engine providers supply over 95% of all online searches. C) The click-through rate for search engine marketing has been fairly steady over the years. D) Search engine advertising is the fastest growing type of online advertising.

D

Which of the following is not true about the use of apps? A) The average U.S. consumer spends about 2 hours a day using apps. B) Users spend more time using apps than they do using desktops or mobile Web sites. C) Apps are easier to control and monetize than Web sites. D) Google can use Web crawlers to index apps.

D

Which of the following is not true regarding e-commerce today? A) Economists' visions of a friction-free market have not been realized. B) Consumers are less price-sensitive than expected. C) There remains considerable persistent price dispersion. D) The market middlemen disappeared.

D

Which of the following is one of the three primary societal issues related to e-commerce? A) liability B) anonymity C) equity D) individual privacy

D

Which of the following online advertising formats attracted the least amount of spending in 2015? A) search B) classifieds C) rich media D) e-mail

D

Which of the following qualities is least likely to decrease a consumer's search costs? A) ubiquity B) global reach C) information density D) richness

D

Which of the following statements about e-commerce in the United States in 2013 is not true? A) Mobile e-commerce generates more revenue than social e-commerce B) Approximately 155 million Americans are expected to make at least one purchase online C) The amount of data that the average American consumes continues to increase D) Growth rates for B2C e-commerce are higher in the United States than in Europe

D

________ refers to the displacement of market middlemen.

Disintermediation

T/F An interstitial ad is typically contained in a pop-up window that the user must close in order to continue

False

T/F As economists had envisioned, prices of products sold on the Web are consistently lower than elsewhere, and the online marketplace is characterized by decreasing price dispersion

False

T/F E-business involves commercial transactions involving an exchange of value across organizational boundaries

False

T/F In the United States today, single, white, young college-educated males with high income dominate the Internet in terms of percentage of Internet usage.

False

T/F Information systems researchers take a purely technical approach to e-commerce

False

T/F Online shoppers tend to browse for available products rather than search for specific products they have determined in advance

False

T/F Over 50% of the world's population is now online

False

T/F Price is more important than convenience as a factor in online purchase decisions

False

T/F Price transparency refers to the ability of merchants to segment the market into groups willing to pay different prices

False

T/F Social e-commerce is the largest type of e-commerce

False

T/F The emergence of entrepreneurial social and local firms is one of the hallmarks of the Consolidation period of e-commerce

False

A firm that is first to market in a particular area and that moves quickly to gather market share is referred to as a(n) ________.

First mover

In ________ commerce, information is equally distributed, transaction costs are low, prices can be dynamically adjusted to reflect actual demand, intermediaries decline, and unfair competitive advantages are eliminated.

Friction-Free

Describe the basic Web policy of large firms during the Invention period

Maintain a basic Static web site

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

A(n) ________ occurs when everyone in a group receives value because all participants use the same tool or product

Network Effect

The targeting of marketing messages to specific individuals by adjusting the message to a person's name, interests, and past purchases is called ________.

Personalization

The total number of users or customers an e-commerce business can obtain is a measure of its ________.

Reach

The integration of video, audio, and text marketing messages into a single marketing message and consuming experience is an example of what?

Richness

________ refers to the complexity and content of a message

Richness

E-commerce technologies have changed 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

T/F Bundling is the process of selling two or more products together for a price that is less than the sum of the two product's individual prices

True

T/F Cookies, when combined with Web beacons, can be used to create cross-site profiles.

True

T/F Cost transparency refers to the ability of consumers to discover the actual costs merchants pay for products

True

T/F Customization involves changing a delivered product or service based upon a consumer's preferences or past purchasing behavior

True

T/F E-commerce as we know it today would not exist without the Internet

True

T/F Evidence suggests that real-time customer chat increases sales

True

T/F Management scientists are interesting in e-commerce as an opportunity to study how business firms can exploit the Internet to achieve more efficient business operations

True

T/F No one academic perspective dominates research about e-commerce

True

T/F Online traffic is driven by offline brands and shopping.

True

T/F Research shows that the two most important factors shaping the decision to purchase online are utility and trust

True

T/F Retail e-commerce is expected to continue growing at double-digit growth rates in 2013-2014

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 digital divide still persists along age, income, ethnic, and education dimensions.

True

T/F The fact that e-commerce is conducted on the basis of universal standards decreases market entry costs for merchants

True

T/F The future of e-commerce will include an increase in regulatory activity both in the United States and worldwide

True

T/F There are two primary approaches to e-commerce: behavioral and technical

True

T/F Ubiquity decreases cognitive energy outlays

True

T/F Web 2.0 describes a set of applications and technologies that encourage and rely on user- and consumer-generated interactivity and content

True

E-commerce is available just about everywhere and anytime. This is known as ________.

Ubiquity

Network externalities are related to what feature of e-commerce technology?

Universal Standards

The ________ was the original "killer app" that made the Internet commercially interesting and extraordinarily serviceable.

World Wide Web

________ is the world's largest online consumer-generated video posting site.

Youtube

Interactivity in the context of e-commerce can be described as the:

enabling the two-way communication between consumer and merchant

________ refers to any disparity in relevant market information among parties in a transaction

information assymetry

The first evolutionary phase of e-commerce, from 1995 to 2000, characterized as technology-driven and ungoverned, was a period of ________.

innovation/invention

A(n) ________ extends the marketplace beyond traditional boundaries.

marketplace

The costs incurred by merchants in having to change product prices (such as the costs of reentering prices into computer systems) are referred to as ________ costs.

menus

What is the best definition of transaction cost?

the cost of participating in a market