Question 1

The opening case illustrates how e-commerce has increased (choose all that apply):   A. The volume of business transactions.  B. The skill with which computers are able to handle unexpected situations.  C. The occurrence of human errors.  D. The speed at which we do business.

Accepted Answer

A. The volume of business transactions. D. The speed at which we do business.

Question 2

Businesses and organizations set up Web sites to:   A. Sell goods and services.  B. Induce people to visit a physical location.  C. Reduce operational and transaction costs.  D. Enhance their reputation.  E. All of the above.

Accepted Answer

E. All of the above

Question 3

In order to be considered as an e-commerce Web site, the site must sell some tangible good.  True False

Accepted Answer

False

Question 4

Downloading a book on an Amazon Kindle is an example of:   A. Pure e-commerce.  B. Partial e-commerce.  C. Both of these are correct.  D. Neither of these are correct.

Accepted Answer

A. Pure e-commerce.

Question 5

____ accounts for the majority of e-commerce transactions.   A. B2C  B. B2B  C. C2C  D. B2E  E. G2C

Accepted Answer

B. B2B

Question 6

eBay employs the ___ auction mechanism.   A. Forward  B. Reverse  C. Dutch  D. Proprietary eBay

Accepted Answer

A. Forward

Question 7

____ and ____ are the two major challenges for the sellers in e-commerce.   A. Order fulfillment, large orders  B. Channel conflict, advertising  C. Advertising, large orders  D. Channel conflict, order fulfillment

Accepted Answer

D. Channel conflict, order fulfillment

Question 8

In general, the e-commerce Web sites of click-and-mortar companies operate only during the business hours of their brick-and-mortar stores.  True  False

Accepted Answer

False

Question 9

In general, e-commerce Web sites of click-and-mortar companies carry the same variety of merchandise as their brick-and-mortar stores.  True False

Accepted Answer

False

Question 10

For a small-to-medium enterprise, the benefits of setting up an e-commerce store front include (choose all that apply):   A. The ability to reach a wider customer base.  B. The ability to offer a larger selection of products.  C. The ability to eliminate advertising.  D. The ability to offer lower prices to customers.

Accepted Answer

A. The ability to reach a wider customer base. B. The ability to offer a larger selection of products. D. The ability to offer lower prices to customers.

Question 11

Information is the major component of the e-commerce offerings of service industries.  True False

Accepted Answer

True

Question 12

Internet marketing typically is one-way and impersonal.  True False

Accepted Answer

False

Question 13

When organizations come to a company\'s Web site for procurement, such business is classified as a(n):   A. Buy-side marketplace.  B. Sell-side marketplace.  C. Electronic exchange.  D. None of these.

Accepted Answer

B. Sell-side marketplace.

Question 14

When organizations request for bids for contracts on their own Web site for procurement, such business is classified as a(n):   A. Buy-side marketplace.  B. Sell-side marketplace.  C. Electronic exchange.  D. None of these.

Accepted Answer

A. Buy-side marketplace.

Question 15

Vertical exchanges are typically used only to buy and sell materials required for an organization\'s support activities.  True False

Accepted Answer

False

Question 16

In an e-credit card transaction, the clearinghouse plays the following role:   A. Initiates the transfer of money  B. Validates and verifies the seller\'s payment information  C. Transfers funds between the seller\'s bank and the buyer\'s bank  D. All of these

Accepted Answer

B. Validates and verifies the seller\'s payment information

Question 17

Virtual credit cards create new credit card accounts that are valid only for a pre-defined number of transactions.  True False

Accepted Answer

False

Question 18

The fee for a monetary transaction between a buyer and a seller using PayPal is paid for by:  A. Neither party; PayPal is a free service. B. The payer. C. The payee. D. Both the payee and the payer.

Accepted Answer

B. The payer.

Question 19

The sales tax laws that apply to brick-and-mortar stores also apply to all e-commerce stores.  True False

Accepted Answer

False

Question 20

Due to privacy issues, it is illegal for e-commerce Web sites to use cookies to record their customer\'s past behaviors and discover their identity.  True False

Accepted Answer

False

Question 21

Cybersquatting refers to the tampering of existing Web sites and selling unrelated products.  True False

Accepted Answer

False

Question 22

Electronic business includes which of the following?  A. buying and selling B. servicing customers C. collaborating with business partners D. conducting electronic transactions within an organization E. all of the above

Accepted Answer

E. all of the above

Question 23

When e-commerce is done in a wireless environment, this is called:  A. mobile commerce B. wireless commerce C. pervasive computing D. location commerce E. consumer commerce

Accepted Answer

A. mobile commerce

Question 24

eBay is an example of which type of e-commerce?  A. consumer-to-consumer B. consumer-to-business C. business-to-consumer D. business-to-business E. government-to-citizen

Accepted Answer

A. consumer-to-consumer

Question 25

Manufacturers or retailers sell directly to customers in which of the following business models?  A. online direct marketing B. affiliate marketing C. find-the-best-price D. name-your-own-price E. electronic tendering system

Accepted Answer

A. online direct marketing

Question 26

In this type of e-commerce, buyers and sellers are individuals.  A. business-to-consumer B. business-to-business C. consumer-to-consumer D. government-to-citizen E. consumer-to-business

Accepted Answer

C. consumer-to-consumer

Question 27

The primary characteristic of auctions is that prices are determined dynamically by competitive bidding.  True False

Accepted Answer

True

Question 28

Electronic commerce makes national and international markets less accessible.  True False

Accepted Answer

False

Question 29

In the _____ marketplace model, the reverse auction is typically used.  A. desktop purchasing B. group purchasing C. electronic exchange D. buy-side E. sell-side

Accepted Answer

D. buy-side

Question 30

The key mechanisms in the sell-side marketplace are customized electronic catalogs and forward auctions.  True False

Accepted Answer

True

Question 31

Organizations typically face issues related to e-tailing including  A. Companies face issues in both of these areas B. Channel conflict C. Order fulfillment D. Companies do not face issues in either of these areas

Accepted Answer

A. Companies face issues in both of these areas

Question 32

In _____, needed services such as temporary help or extra space are traded on an as-needed basis.  A. buy-side marketplaces B. horizontal exchanges C. functional exchanges D. sell-side marketplaces E. vertical exchanges

Accepted Answer

C. functional exchanges

Question 33

A(n) _____ is automatically launched by some trigger and appears in front of the active window. A. keyword banner B. random banner C. pop-up ad D. pop-under ad E. text box

Accepted Answer

C. pop-up ad

Question 34

Which type of electronic exchange connect buyers with sellers within a specific industry?  A. Functional exchanges B. Public exchanges C. Vertical exchanges D. Horizontal exchanges

Accepted Answer

C. Vertical exchanges

Question 35

Which type of electronic payment is typically favored in B2B  A. Electronic credit cards B. Electronic checks C. Smart cards D. Electronic cash

Accepted Answer

B. Electronic checks

Question 36

Stored-value money cards contain chips with personal data.  True False

Accepted Answer

False

Question 37

Which of the following electronic payments is ideal for micropayments?  A. Purchasing cards B. Smart cards C. Electronic checks D. None of the methods listed is suited to micropayments

Accepted Answer

B. Smart cards

Question 38

The use of electronic commerce requires companies to hire additional employees.  True False

Accepted Answer

False

Question 39

When two companies fight over a domain name the company that has been in business the longest is automatically considered the owner of the domain.  True False

Accepted Answer

False

Question 40

The stock market is the only area of business that has experienced fraud on the Internet.  True False

Accepted Answer

False

Question 41

Trademark owners in the US are not allowed to sue for damages in cases of cybersquatting.  True False

Accepted Answer

False

Flashcards on Information Systems CH 7

Unlock all answers in this set

Haven't found what you were looking for?

Search for samples, answers to your questions and flashcards