Chapter 12 B2B E-Commerce M/C

27) All of the following are weaknesses of EDI except: A) EDI is not well suited for electronic marketplaces. B) EDI lacks universal standards. C) EDI does not provide a real-time communication environment. D) EDI does not scale easily.

B

26) Which of the following is another name for a private industrial network? A) Net marketplace B) PTX C) EDI network D) hub-and-spoke system

B

36) ________ is a method for ensuring that suppliers precisely deliver ordered parts at a specific time and to a particular location. A) Having an adaptive supply chain B) Tight coupling C) Supply-chain management D) Materials requirement planning

B

55) An ________ is an independently owned, online marketplace that connects hundreds to potentially thousands of suppliers and buyers in a dynamic, real-time environment. A) exchange B) e-distributor C) e-procurement company D) industry consortium

A

18) Which of the following is not a current major trend in B2B e-commerce? A) Large firms move toward consolidating regional B2B systems into global systems. B) Over 60% of B2B firms use Twitter and other social networks to enable collaboration. C) Firms place a growing emphasis on rapid-response and optimal supply chain rather than lowest-cost supply chains. D) B2B systems move to data storage on cloud providers and away from individual corporate data centers.

A

16) VWGroupSupply.com is an example of an: A) e-distributor. B) e-procurement Net marketplace. C) exchange. D) industry consortium.

B

32) Office supplies are an example of: A) direct goods. B) indirect goods. C) MRO goods. D) distributed goods.

B

51) An ________ primarily serves businesses that primarily buy indirect goods on a contract purchasing basis. A) e-distributor B) e-procurement Net marketplace C) exchange D) industry consortium

B

62) Private industrial networks are direct descendants of: A) e-procurement Net marketplaces. B) existing EDI networks. C) independent exchanges. D) industry consortia.

B

17) Analysts predict that B2B e-commerce in the United States will grow by 2017 to approximately: A) $6.6 billion. B) $66 billion. C) $660 billion. D) $6.6 trillion.

D

23) Which of the following statements about automated order entry systems is not true? A) They are typically owned by the suppliers. B) They no longer play an important role in B2B commerce. C) They show goods only from a single seller. D) They reduce the costs of inventory replenishment.

B

41) Which of the following statements about collaborative commerce systems is not true? A) They involve a move from a transaction focus to a relationship focus. B) They may include both customers and suppliers. C) They are open, competitive marketplaces. D) They typically include a central data repository.

C

49) An ________ primarily serves businesses that buy indirect goods on a spot purchasing basis. A) e-distributor B) e-procurement company C) exchange D) industry consortium

A

50) Which of the following statements about e-distributors is not true? A) E-distributors make money by charging a mark-up on products they distribute. B) E-distributors usually operate "private" markets. C) E-distributors operate in horizontal markets. D) E-distributor prices are usually fixed.

B

60) Which of the following statements is not true? A) The Volkswagen Group manages almost all of its procurement needs via the Internet. B) VWGroupSupply.com is an industry consortium. C) VWGroupSupply can be accessed by suppliers via standard Web browser software. D) The Volkswagen Group developed VWGroupSupply using technology from a number of vendors.

B

61) ________ is another name for transorganizational business processes. A) Supply chain management B) Collaborative commerce C) B2B e-commerce D) Value chain management

B

47) Which of the following primarily involve long-term sourcing? A) e-distributors and exchanges B) e-distributors and industry consortia C) e-procurement Net marketplaces and exchanges D) e-procurement Net marketplaces and industry consortia

D

38) EDI began as a(n) ________ system. A) document automation B) document elimination C) continuous replenishment D) MRP

A

56) An ________ primarily serves businesses that primarily buy direct goods on a spot purchasing basis. A) e-distributor B) e-procurement company C) exchange D) industry consortium

C

30) What is the first step in the procurement process? A) negotiate price B) qualify the seller and its products C) issue a purchase order D) search for suppliers

D

44) Which of the following primarily deal with indirect goods? A) e-distributors and industry consortia B) e-distributors and e-procurement Net marketplaces C) exchanges and industry consortia D) exchanges and e-procurement Net marketplaces

B

35) Which of the following is not one of the major developments in supply chain management over the past two decades? A) supply chain simplification B) EDI C) accountable supply chains D) cloud computing

D

40) A(n) ________ system continuously links the activities of buying, making, and moving products from suppliers to purchasing firms, as well as integrating order entry systems. A) EDI B) ERP C) CPFR D) SCM

D

21) Which of the following was the first step in the development of B2B commerce? A) Electronic Data Interchange (EDI) B) automated order entry systems C) digital storefronts D) private industrial networks

B

39) All of the following are potential benefits of B2B e-commerce except: A) increased production flexibility. B) increased product cycle time. C) increased opportunities to collaborate with suppliers and distributors. D) increased visibility and real-time information sharing among all participants in the supply chain network.

B

22) Which of the following terms refers to the total flow of value among firms? A) total interfirm trade B) B2B commerce C) multi-tier exchange D) liquidity

A

25) Which of the following statements about B2B electronic storefronts is not true? A) They are a predecessor of automated order entry systems. B) They tend to serve horizontal markets. C) They are seller-side solutions. D) They are usually considered a type of Net marketplace.

A

31) The last step in the procurement process is: A) sending a remittance payment. B) sending the invoice. C) shipping the goods. D) delivering the goods.

A

37) B2B commerce includes all of the following business processes except: A) use of corporate intranets. B) inventory management. C) product development. D) order fulfillment.

A

48) An ________ provides electronic catalogs that represent the products of thousands of direct manufacturers. A) e-distributor B) e-procurement company C) exchange D) industry consortium

A

57) The liquidity of a market is measured by all of the following except: A) price transparency B) number of buyers and sellers in market C) volume of transactions D) size of transactions

A

64) All of the following are forms of collaboration among businesses except: A) RFQs. B) CPFR. C) demand chain visibility. D) marketing coordination and product design.

A

43) Which of the following primarily serve horizontal markets? A) e-distributors and exchanges B) e-distributors and e-procurement Net marketplaces C) e-procurement Net marketplaces and industry consortia D) exchanges and industry consortia

B

52) Which of the following is an example of an e-procurement Net marketplace? A) Exostar B) Ariba C) Grainger D) none of the above

B

54) An example of an indirect good in the fast-food industry is: A) food-grade paper. B) fax paper. C) beef. D) sugar.

B

65) Which of the following is not a typical barrier to the implementation of a private industrial network? A) It requires participating firms to share sensitive data. B) It requires the large network owners to give up some of its independence. C) It requires a significant investment of time and money. D) It requires a change of mind-set and behavior of employees.

B

24) EDI systems: A) generally serve horizontal markets. B) are seller-side solutions. C) are based on a communications standard for sharing business documents. D) no longer play an important role in B2B commerce.

C

28) Which of the following is the fastest growing form of B2B e-commerce? A) e-distributors B) exchanges C) private industrial networks D) industry consortiums

C

29) All of the following are potential benefits of B2B e-commerce except: A) lower administrative costs. B) lower search costs. C) lower price transparency. D) lower transaction costs.

C

33) The majority of interfirm trade involves: A) spot purchasing of direct goods. B) contract purchasing of indirect goods. C) contract purchasing of direct goods. D) spot purchasing of indirect goods.

C

34) Which of the following is a method of inventory cost management that seeks to eliminate excess inventory? A) lean production B) sustainable production C) just-in-time production D) supply chain simplification

C

45) Which of the following primarily deal with direct goods? A) e-distributors and independent exchanges B) exchanges and e-procurement Net marketplaces C) exchanges and industry consortia D) e-procurement Net marketplaces and industry consortia

C

46) All of the following have led to the development of outsourcing of manufacturing around the world except: A) technology. B) globalization of trade. C) environmental concerns. D) high levels of wage disparity between the developed and undeveloped worlds.

C

63) EDI document structures are defined by: A) a single international standards body. B) by individual suppliers and buyers. C) industry committees. D) each purchaser.

C

19) Walmart's global supply chain has been criticized for all of the following except: A) exploiting labor in underdeveloped countries. B) bribing officials. C) wasting energy. D) failing to be efficient.

D

20) In 2013, the total amount of B2B e-commerce in the United States was approximately: A) $4.7 billion. B) $47 billion. C) $470 billion. D) $4.7 trillion.

D

42) Which of the following is not a characteristic of the use of social networks in B2B e-commerce? A) It is typically unstructured. B) It helps develop a more personal relationship between participants in the supply chain. C) It enables participants to make decisions based on current conditions. D) They are always private.

D

53) All of the following are examples of direct goods in the auto industry except: A) sheet steel. B) shatter-resistant glass. C) rubber molding. D) desktop computers.

D

58) Which of the following is not an important theme of B2B e-commerce in 2013-2014? A) concern about supply chain risk B) concern about supply chain volatility C) concern about the accountability of supply chains D) concern about the privacy of supply chains

D

59) An ________ serves businesses that primarily buy direct goods on a contract purchasing basis. A) e-distributor B) e-procurement company C) exchange D) industry consortium

D