Question 1

The New York Stock Exchange conducts ____ auctions of stocks and bonds in which the auctioneer, called a specialist, manages the market for a particular stock or bond issue.
A)sealed-bid double
B)first-price sealed
C)open-cry double
D)second-price sealed-bid

Accepted Answer

The answer of The New York Stock Exchange conducts ____...

Question 2

Companies, called ____ take an item and create an online auction for that item, handle the transaction, and remit the balance of the proceeds after deducting a fee.
A)auction consignment services
B)liquidation brokers
C)sniping brokers
D)escrow services

Accepted Answer

Auction consignment services take an item and create an online auction for that item, handle the transaction, and remit the balance of the proceeds after deducting a fee. Liquidation brokers specialize in selling large quantities of goods or assets, usually at a discount. Sniping brokers use software to place bids on an item in the last seconds of an auction, hoping to win the item at a lower price. Escrow services hold the funds of a transaction until all conditions of the sale have been met. However, they do not typically handle auctions.

Question 3

A ____ is the amount by which one bid must exceed the previous bid.
A)minimum bid increment
B)deposit bid
C)reserve bid
D)maximum bid increment

Accepted Answer

The minimum bid increment is the amount by which one bid must exceed the previous bid. The other options are not related to this definition.

Question 4

The Chicago Board of Trade conducts ____ auctions of commodity futures and stock options.
A)first-price sealed-bid
B)sealed-bid double
C)open-outcry double
D)second-price sealed-bid

Accepted Answer

The Chicago Board of Trade conducts open-outcry double auctions of commodity futures and stock options. Open-outcry is a method of public auction where traders shout out their bids and offers to buy or sell, creating a competitive and transparent trading environment. The double auction format involves buyers and sellers submitting orders to the exchange, which are then matched by an auctioneer who determines the clearing price at which the maximum amount of goods can be traded.

Question 5

Smaller businesses often sell their unusable and excess inventory to ____, which are firms that find buyers for these items.
A)inventory specialists
B)liquidation brokers
C)inventory removal services
D)secondary marketers

Accepted Answer

Liquidation brokers are firms that specialize in finding buyers for unusable and excess inventory from smaller businesses. They typically purchase the inventory at a discounted price and then resell it to interested buyers.

Question 6

Existing auction sites, such as eBay, are inherently more valuable to customers than new auction sites.This is called a(n)____.
A)opt-in effect
B)lock-in effect
C)lock-out effect
D)opt-out effect

Accepted Answer

The block-in effect refers to the tendency of customers to stick with existing platforms or services that they are already comfortable with and have established a history with. In the case of auction sites, customers are more likely to use established sites like eBay rather than trying out new, unknown auction sites.

Question 7

Because social networking sites ask their members to provide demographic information about themselves, the potential for ____________________ marketing on these types of sites is very high.

Accepted Answer

The answer of Because social networking sites ask their members...

Question 8

Large companies sometimes have ____ who find buyers for unusable inventory items.
A)liquidation specialists
B)inventory specialists
C)accountants
D)auditors

Accepted Answer

Liquidation specialists are experts in selling off unusable inventory items at discounted prices to buyers who are willing to purchase them. This helps the company get rid of the excess inventory and also recoup some of the cost. Inventory specialists are responsible for managing and maintaining inventory levels, while accountants and auditors are more focused on financial reporting and management. Therefore, the best choice is A.

Question 9

Many people think of Priceline.com as a ____ auction site.
A)double
B)shill bid
C)sealed-bid
D)seller-bid

Accepted Answer

The answer of Many people think of Priceline.com as a...

Question 10

Started at Duke University in 1979, ____________________ was a set of interconnected computers devoted to storing information on specific topics.

Accepted Answer

The answer of Started at Duke University in 1979, ____________________...

Question 11

____________________-wave advertising fees are based less on up-front site sponsorship payments and more on the generation of revenues from continuing relationships with people who use the social networking sites.

Accepted Answer

The answer of ____________________-wave advertising fees are based less on...

Question 12

The social networking site ____________________ was based on the idea that no more than six persons separated anyone in the world from any other person.

Accepted Answer

The answer of The social networking site ____________________ was based...

Question 13

The most common format used on eBay is a computerized version of the ____ auction.
A)Dutch
B)sealed-bid
C)English
D)Vickrey

Accepted Answer

The English auction is the most common format used on eBay. It is also known as an open ascending price auction, where the bidding starts at a low price and increases as more bidders join in until it reaches the highest bid.

Question 14

In an auction, a third-party ____ service can be used to hold the buyer's payment until he or she receives and is satisfied with the purchased item.
A)insurance
B)risk management
C)escrow
D)guarantee

Accepted Answer

An escrow service is used as a neutral third-party to hold funds until both parties have fulfilled their obligations in a transaction. In an auction, the buyer's payment can be held in escrow until they receive and approve the purchased item before releasing the funds to the seller. This helps to ensure that both parties are protected and satisfied with the transaction. Insurance and risk management may provide coverage for potential issues in a transaction, but they do not act as a neutral intermediary. A guarantee may provide certain assurances or promises, but it does not necessarily involve holding funds in escrow.

Question 15

One rough measure of ____________________ is how long each user spends at a Web site.

Accepted Answer

The answer of One rough measure of ____________________ is how...

Question 16

In 1999, Geocities was purchased by ____________________ for $5 billion.

Accepted Answer

The answer of In 1999, Geocities was purchased by ____________________...

Question 17

Web sites that create communities based on the connections between ideas and that are more abstract are called ____________________ virtual communities.

Accepted Answer

The answer of Web sites that create communities based on...

Question 18

____________________ refers to the conversion of existing regular site visitors seeking free information or services into fee-paying subscribers or purchasers of services.

Accepted Answer

The answer of ____________________ refers to the conversion of existing...

Question 19

By the late 1990s, virtual communities were selling ____________________ to generate revenue.

Accepted Answer

The answer of By the late 1990s, virtual communities were...

Question 20

Usenet ____________________ were message posting areas in which interested persons (primarily from the education and research communities)could discuss various topics.

Accepted Answer

The answer of Usenet ____________________ were message posting areas in...

Quiz 6: Social Networking, Mobile Commerce, and Online Auctions

The New York Stock Exchange conducts ____ auctions of stocks and bonds in which the auctioneer, called a specialist, manages the market for a particular stock or bond issue.

Companies, called ____ take an item and create an online auction for that item, handle the transaction, and remit the balance of the proceeds after deducting a fee.

A ____ is the amount by which one bid must exceed the previous bid.

The Chicago Board of Trade conducts ____ auctions of commodity futures and stock options.

Smaller businesses often sell their unusable and excess inventory to ____, which are firms that find buyers for these items.

Existing auction sites, such as eBay, are inherently more valuable to customers than new auction sites.This is called a(n) ____.