MIS Chapter 10

A third-party Net marketplace that connects many buyers and suppliers for spot purchasing is called a(n) A. exchange. B. vertical market. C. private exchange. D. e-hub.

A

An extranet that links a large firm to its suppliers and other key business partners is called a(n) A.E-hub B.market space C.exchange D. private industrial network

A

Compared to traditional goods, digital goods have A. greater pricing flexibility. B. lower marketing costs. C. higher production costs. D. higher inventory costs.

A

Compared to traditional markets, digital markets have A. lower distributed delivery costs. B. higher marginal costs per unit. C. equivalent copying costs. D. similar inventory costs.

A

E-hubs are more ________ than private industrial networks. A. transaction-oriented B. collaborative C. independent D. supply-chain oriented

A

In which of the following revenue models does a website charge a fee for access to some or all of its offerings on a continual , regular basis ? A. Subscription B. free/freemium C. transaction fee D. sales

A

Reducing the business process layers in a distribution channel is called A. disintermediation. B. BPR. C. market segmentation. D. network effects.

A

The lowered costs of information storage, processing, and communication, along with the improvement of data quality has resulted in which unique quality of e-commerce? A. information density B. richness C. customization D. interactivity

A

Through what channel did e-commerce first evolve? A. online advertising sales B. internet portals C. online book sales D. Internet service providers

A

Which of the following best describes why small world theory is important to e-commerce? A. the products bought online by one individual will influence purchases by others B. the greater the number of people using your product, the more valuable it becomes C. You do not need to attract a large consumer base to become profitable D. Global products create a global community

A

Which of the following bests illustrates the transaction fee revenue model ? A. ebay receives a small fee from a seller if a seller is successful in selling an item B. Epinions receives a fee after steering a customer to a participating web site where he or she makes a purchase C. Flickr provides basic services for free , but charges a premium for advanced services D. Apple accepts micropayments for single music track downloads

A

Which of the following is not one of the current main areas of growth in mobile e-commerce ? A. sales of financial services B. retail sales at the top mobile companies C. sales of digital content D. sales of apps

A

You are advising an accounting firm that wants to establish its first Web site. Approximately how much of the Web site budget should you assign to purchasing software ? A. 10 percent B. 25 percent C. 50 percent D. none , as no software will need to be purchased

A

____________ describes the concept that a large group of people is better at making correct decisions than a single person. A. the wisdom of crowds B. Outsourcing C. Crowdsourcing D. Social graphing

A

A mapping of a person's significant online, personal relationships is called a social A. Web B. graph C. community D. map

B

Consumers selling goods and services electronically to other consumers best describes: A. disintermediation. B. C2C electronic commerce. C. M-commerce. D. B2C electronic commerce.

B

EDI is A. the use of Internet technologies for electronic data transactions. B. the exchange between two organizations of standard transactions through a network. C. electronic data invoicing. D. electronic delivery infrastructure.

B

Exposing an individual to ads that are chosen and based on the recorded and analyzed online behavior of the individual is referred to as A. clickstream advertising B. behavioral targeting C. online Profiling D. long tail marketing

B

Goods that are involved in the actual production process are referred to as A. raw materials B. direct goods C. purchasing goods D. indirect goods

B

How is the Internet and e-commerce causing severe disruption to the existing advertising business model? A. Ties between customer and businesses are being rethought. B. Technology players such as Yahoo! seek to dominate online advertising. C. New methods of advertising, such as blog advertising, are emerging. D. The market entry costs for online advertising services are extremely low.

B

Information ________ exists when one party in a transaction has more information that is important for the transaction than the other party. A. transparency B. asymmetry C. complexity D. imbalance

B

Market creators A. save users money and time by processing online sales transactions B. provide a digital environment where buyers and sellers can establish prices for products C. create revenue by providing digital content over the web D. sell prysical products directly to consumers of individual businesses

B

The effort required to locate a suitable product is called A. price discrimination. B. search costs. C. menu costs. D. transparency costs.

B

Transaction brokers A. generate revenue from advertising or from directing buyers to sellers. B. save users money and time by processing online sales dealings. C. provide a digital environment where buyers and sellers can establish prices for products. D. sell physical products directly to consumers or individual businesses.

B

Which of the following is NOT one of the unique features of e-commerce technology? A. information density B. transparency C. richness D. social technology

B

Which of the following is an example of a geosocial mobile service? A. Kickstarter.com B. foursquare C. shopkick D. facebook

B

Which of the following is the least costly wat to build a Web site ? A. Outsource the Web site development to overseas vendors B. Use a hosted solution and pre-built templates. C. Build your site yourself from scratch using existing software. D. Use a site-building package

B

Which of the following statements about B2B e-commerce is not true ? A. eighty percent of onlicB2B e-commerce is still based on EDI B. B2B e-commerce represents approximately three-quarters of the overall B2B marketplace C. B2B e-commerce only includes commercial transactions between firms D. B2B e-commerce revenues in 2012 were over $ 4 trillion

B

You are building an e-commerce Web site that will sell e-books and are looking for a hosted solution. Which of the following functionalities is least important for your business goals ? A. site tracking system B. inventory management C. digital catalog D. customer database

B

eBay is an example of A. a click-and-mortar business. B. C2C electronic commerce. C. B2C electronic commerce. D. an online exchange.

B

which of the following best illustrates the affiliate revenue model? A. ebay receives a small fee from a seller if a seller is successful in selling an item B. Epinions receives a fee after steering a customer to a participating web site where he or she makes a purchase C. Flickr provides basic services for free , but charges a premium for advanced services D. Apple accepts micropayments for single music track downloads

B

Digital goods are goods that are A. produced digitally. B. sold over digital networks. C. delivered digitally. D. used with digital equipment.

C

Information density refers to the A. richness---- Complexity and content --------- of a message B. total amount and quantity of information delivered to consumers by merchants C. total amount and quantity of information available to all market participants D. amount of information available to reduce price transparency.

C

The integration of video, audio, and text marketing messages into a single marketing message and consumer experience describes which dimension of e-commerce technology? A. ubiquity B. personalization/customization C. richness D. interactivity

C

The process of sourcing goods and materials, negotiating with suppliers, paying for goods, and making delivery arrangements is called A. e-procurement. B. SCM C. procurement D. sourcing

C

Varying a product's price according to the supply situation of the seller is called ________ pricing. A. menu B. flexible C. dynamic D. asymmetric

C

Which feature of internet technology has had the most effect in the internet's rapid spread across the globe? A. ubiquity B. Global reach C. universal standards D. social technology

C

Which of the following businesses utilizes the content provider Internet business model? A. Amazon.com B. eBay.com C. CNN.com D. Motocross.com

C

Compared to digital markets, traditional markets have A. lower search costs. B. stronger network effects. C. higher delayed gratification effects. D. higher transaction costs.

D

Netflix's public announcement of a reward for atechnology solution to its movie recommendation system is an example of A. prediction markets B. Behavioral targeting C. long-tail marketing D. crowdsourcing

D

Selling Products and services directly to individual consumers via the internet best describes A. B2B e-commerce B. C2C e-commerce C. M-commerce D. B2C e-commerce

D

Selling the same goods to different targeted groups at different prices is called price ________. A. customization B. opacity C. gouging D. discrimination

D

The act of engaging consumers in a dialog that dynamically adjusts the experience to the individual describes which dimension of e-commerce technology? A. ubiquity B. personalization/customization C. richness D. interactivity

D

The quality of ubiquity, as it relates to e-commerce, is illustrated by A. the same set of standards being used across the globe. B. plentiful, cheap information. C. the enabling of commerce worldwide. D. the availability of Internet technology everywhere and anytime.

D

Which of the following Internet business models does Amazon.com use? A. Content provider B. portal C. market creatot D. e-tailor

D

Which of the following best illlustrates the sales revenue model ? A. ebay receives a small fee from a seller if a seller is successful in selling an item B. Epinions receives a fee after steering a customer to a participating website where he or she makes a purchase C. FLickr provides basic services for free, but charges a premium for advanced services D. Apple accepts micropayments for a single music track downloads

D

Which of the following is NOT a recent development in e-commerce? A. growth of wireless Internet connections B. online, interactive models for newspapers and other traditional media C. use of blogs as a commercial medium D. transformation of the music recording industry

D

Which of the following statements about m-commerce payments is NOT true? A. IN 2012, m-commerce represented less than 10 percent of all e-commerce B. M-commerce is the fastest growing form of e-commerce C. M-commerce annual revenues are approximately $30 billion D. In 2012, the top grossing category of m-commerce was e-book sales

D

Which of the following was the leading online advertising format in 2012 ? A. display ads B. e-mail C. classifieds D. search engine

D

You are planning the requirements for a site tracking and reporting system for your company Website. Which of the following information requirements would not be essential for this function? A. number of unique visitors B. pages visited C. products purchased D. secure credit card clearing

D

Amazon's recommender system is an example of the network notification feature of social e-commerce.

F

An example of the content provider business model is Barnesandnoble.com, a retailer of printed books.

F

Because of outsourcing and increased automation, the costs of system maintenace and content creation have fallen and typically make up less than a quarter of web site budgets.

F

Behavioral targeting occurs at two levels: individual web sites and though ISPs.

F

Consumer e-commerce is still growing at approximately 25% annually.

F

Disintermediation provides major benefits to the distributor.

F

E-commerce refers to the use of any networking technologies to transact business.

F

EDI standards that take advantage of network communications have yet to be fully implemented at the industry level.

F

Eighty five percent of online retailers now have m-commerce web sites .

F

Exchanges have become one of the most popular types of net marketplace because they encourage competitive bidding that drives prices down.

F

Intellectual property refers to all forms of human expression, both tangible and intangible.

F

Podcasting allows subscribers to listen to live, streaming radio and other audio content.

F

All previous mass media in modern history, including the printing press, use a broadcast model where content is created in a central location by experts.

T

Automobile manufacturing is an example of a vertical market.

T

In general, for digital goods, the marginal cost of producing another unit is about zero.

T

In general, the cost of hardware, software , and telecommunications for building and operating a web site has fallen by over 50 percent since 2000.

T

Net Marketplaces may either support contractual purchasing based on long term relationships with designated suppliers or short term spot purchasing.

T

Ninety-six percent of all U.S. households with internet access use a broadband connection.

T

Telecommunications hardware and software is typically the least costly portion of a web site budget.

T

The Internet shrinks information asymmetry.

T