Deck 1: Understanding E-Business

Question 1

Electronic commerce has been conducted for thousands of years.

Answer 1

False

Question 2

Companies using EDI exchange business data with their trading partners over private networks.

Answer 2

True

Question 3

The World Wide Web is a global public network that connects private networks.

Answer 3

False

Question 4

The National Science Foundation (NSF) began overseeing the nonmilitary portions of ARPANET in the 1980s.

Question 5

Commercial activity over the NSFnet was prohibited by law until 1991.

Question 6

Individuals, small businesses, and medium-sized businesses generally connect directly to the Internet rather than connecting through an ISP.

Question 7

E-mail, Internet Relay Chat, and weblogs are all communication tools made possible by access to the Internet.

Question 8

Tim Berners-Lee based his development of the World Wide Web in part on the concept of hypertext, where text on one page links to text on another page.

Question 9

Extranet Web sites provide employees with an interface to internal systems such as accounting, customer relationship management, and other company operating systems.

Question 10

It is very easy to determine how many individuals are online around the world and which Internet services they are using.

Question 11

The one factor all Internet and Web growth estimates and predictions have in common is the decrease from year to year in the number of people around the world who have Internet access.

Question 12

Time and space are no longer limiting factors for business in the new global economic environment created by widespread Internet and Web access.

Question 13

Internet and Web access has changed buyers' expectations about how quickly transactions can be processed and how convenient it should be to access information about competing products and services.

Question 14

Sellers are dramatically gaining new economic power in the global economy because the Internet and Web provide greater access to consumer information.

Question 15

Because information is more difficult to customize, many companies are finding that the information portion of their products or services is becoming a smaller part of the total value they offer customers.

Question 16

Because of the direct linking between buyers and sellers, traditional business intermediaries, such as brick-and-mortar insurance and travel agents, are being threatened by new types of online intermediaries.

Question 17

Global access to the Internet and Web has enabled the growth of a new type of e-business intermediary, an intermediary that aggregates industry information and then makes that information available to other businesses.

Question 18

Conducting business over the Internet and the Web enables sellers to access narrow market segments that they might otherwise be unable to reach.

Question 19

E-businesses who use the Internet and the Web to exploit the global marketplace must deal with diverse language, cultural, currency, and political issues.

Question 20

Value activities are only those primary activities necessary to produce, sell, and support a company's products and services.

Question 21

A value network is the multiple relationships with suppliers, distributors, employees, and customers plus the technologies that a company depends on to produce and sell its products and services.

Question 22

E-businesses rarely operate using a combination of e-business models.

Question 23

Consumers are increasingly going online to shop for and purchase products, arrange financing, purchase and download digital products, and get customer support after the sale.

Question 24

An e-business that operates a virtual mall is following the B2V e-business model.

Question 25

Sears, Best Buy, and Barnes & Noble are examples of brick-and-click companies.

Question 26

Pure-play e-retailers operate both brick-and-mortar stores and online stores.

Question 27

eBags and Hometown Favorites are two examples of virtual merchants.

Question 28

Some e-businesses following the B2B e-business model create a marketspace for reverse auctions in which a single business bids on products or services from multiple competing businesses.

Question 29

Many non-profit organizations, government agencies, and social or religious groups are adapting e-business models to improve their operations and reduce costs.

Question 30

The process of buying and selling products and services across a telecommunications network is often called:

A) electronic commerce
B) electronic funds transfer (EFT)
C) electronic data interchange (EDI)
D) electronic data processing (EDP)

Question 31

The electronic exchange of business information between trading partners over private networks is called:

A) electronic funds transfer (EFT)
B) electronic data interchange (EDI)
C) electronic commerce (EC)
D) electronic data processing (EDP)

Question 32

A less expensive network alternative to electronic data interchange (EDI) is:

A) value-added networks
B) electronic funds transfer (EFT)
C) the Internet
D) a Web site

Question 33

The 1960s research network that became the Internet is the:

A) NSFnet
B) ISPNET
C) ARPANET
D) None of the above

Question 34

An e-business that provides access to the Internet for a fee is a(n):

A) ISP
B) CRM
C) ASP
D) NSP

Question 35

Which of the following online communication technologies is used to syndicate Web page content?

A) e-mail
B) RSS
C) VoIP telephony
D) FTP

Question 36

The program used to access and view Web pages is called a:

A) Web site
B) Web browser
C) Web server
D) Web link

Question 37

A subset of the Internet in which linked documents are stored on servers is:

A) the World Wide Web
B) a weblog
C) an Internet Relay Chat (IRC)
D) an online forum

Question 38

The economic factor that forever changed the global business environment is:

A) RSS
B) Weblogs
C) electronic linking of individuals and businesses
D) hypertext

Question 39

Ready access to consumer information via the Internet and the Web has:

A) given buyers more economic power
B) made comparison shopping more difficult
C) made the role of traditional business intermediaries more important
D) None of the above

Question 40

Which of the following e-business factors is an advantage for sellers?

A) easy comparison shopping
B) access to rich media descriptions of products and services
C) decreased costs
D) wider product availability

Question 41

Which of the following e-business factors is a disadvantage for sellers?

A) transaction security
B) unfamiliar buying processes
C) transaction and information privacy
D) rapidly changing technologies

Question 42

Which of the following e-business factors is an advantage for buyers?

A) 24/7 shopping
B) data collection and customer preference tracking
C) access to narrow market segments
D) rapidly changing technologies

Question 43

All the primary and support activities necessary to create and distribute its products or services are involved in a company's:

A) intranet
B) value chain
C) extranet
D) business plan

Question 44

Access to the Internet and the Web has enabled companies to:

A) redefine their value chains
B) view their value chains as value networks of interconnected business relationships
C) develop new ways of conducting business
D) All of the above

Question 45

An e-business that sells products or services directly to consumers is following the:

A) B2C e-business model
B) C2B e-business model
C) B2D e-business model
D) G2C e-business model

Question 46

Which of the following e-businesses follows the B2C e-business model?

A) priceline.com
B) Rackspace Managed Hosting
C) eDiets.com
D) SupplyCore

Question 47

An e-business that creates a virtual marketplace for government agency buyers and vendors that sell to them is following the:

A) B2C e-business model
B) C2B e-business model
C) B2G e-business model
D) C2C e-business model

Question 48

An example of an e-business that follows the B2G e-business model is:

A) Amazon.com
B) priceline.com
C) eDiets.com
D) ScanPlanet.com

Question 49

An example of an e-business that follows the C2C e-business model is:

A) Amazon.com
B) Staples
C) ScanPlanet.com
D) eBay

Question 50

An example of an e-business that follows the B2B e-business model is:

A) Jayde.com
B) Amazon.com
C) swapvillage.com
D) priceline.com

Question 51

An e-business that allows individual consumers to submit bids for products or services to multiple competing businesses is following the:

A) B2C e-business model
B) C2B e-business model
C) C2C e-business model
D) B2G e-business model

Question 52

An example of an e-business that follows the C2B e-business model is:

A) Amazon.com
B) Office Depot
C) Rackspace Managed Hosting
D) priceline.com

Question 53

B2C e-business includes:

A) retail sales
B) travel accommodations sales
C) entertainment venue ticket sales
D) All of the above

Question 54

Businesses that conduct their transactions from a physical location are called:

A) brick-and-click companies
B) e-retailers
C) brick-and-mortar companies
D) virtual merchants

Question 55

Which of the following B2C e-businesses follows the subscription model for generating revenues?

A) Amazon.com
B) Hometown Favorites
C) eDiets.com
D) Harry and David

Question 56

E-businesses who combine traditional mail-order business with an online store are sometimes called:

A) pure-play e-retailers
B) virtual merchants
C) brick-and-mortar companies
D) catalog merchants

Question 57

An example of a pure-play e-retailer is:

A) Barnes & Noble
B) Sears
C) Amazon.com
D) The Gap

Question 58

A specific industry in which similar products or services are developed and sold using similar methods is called a:

A) vertical market
B) horizontal market
C) online market
D) hidden market

Question 59

A virtual online marketplace is sometimes called a:

A) value-added network
B) marketspace
C) vertical market
D) reverse auction

Question 60

A type of B2B e-business that brings multiple buyers and sellers together in a virtual marketplace is a:

A) pure-play e-retailer
B) B2B exchange
C) brick-and-mortar company
D) vertical market

Question 61

An example of an e-business that supports a vertical market is:

A) Elance
B) Amazon.com
C) Staples
D) Hometown Favorites

Question 62

An example of a B2B exchange is:

A) Office Depot
B) Dairy.com
C) Amazon.com
D) Rackspace Managed Hosting

Question 63

An online classified ad venue is an example of a:

A) B2C e-business
B) B2G e-business
C) C2B e-business
D) C2C e-business

Question 64

The initial development of e-business began in the 1960s when banks began transferring money to each other by using_______________.

Question 65

Private networks used by trading partners to exchange business data are called_______________.

Question 66

A network also includes computers called_______________that give users access to shared resources such as data files.

Question 67

In 1995, the_______________was replaced by high-speed telecommunications backbones operated by commercial network providers and became the Internet as we know it today.

Question 68

_______________are electronic "bulletin boards" or discussion groups where people with common interests post, read, and reply to messages.

Question 69

The man who created and named the World Wide Web is_______________.

Question 70

Internet Explorer, Netscape, Firefox, and Opera are all examples of a_______________.

Question 71

Many companies are increasingly using a company_______________to conduct internal business transactions and exchange information between employees.

Question 72

The_______________and the Web have transformed the way buyers, sellers, employees, and business intermediaries interact with each other to conduct business transactions.

Question 73

Many companies that once engaged in business transactions only during traditional business hours now conduct those transactions online_______________.

Question 74

While the Internet and the Web are providing online opportunities for sellers, it is_______________who are dramatically gaining new economic power.

Question 75

The_______________portion of a product or service is becoming a larger part of the total value companies offer their customers.

Question 76

_______________benefit from the global e-business economy by using the Internet and Web to enhance customer service, improve communications, increase productivity, and reach new markets.

Question 77

Access to global markets is an e-business advantage for both_______________.

Question 78

The global e-business economy poses disadvantages for consumers in the form of concerns about transaction security and_______________.

Question 79

Unfamiliar buying processes and concerns about vendor reliability are e-business disadvantages to_______________.

Question 80

Internet and Web technologies improve communication and transaction speed at each link in an e-business's_______________.