IS 3003 CH 10 T/F

question

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

False
question

Retail consumer e-commerce is growing at single-digit rates.
answer

False
question

The Internet shrinks information asymmetry.
answer

True
question

Rich media advertisements are a sales-oriented marketing format.
answer

False
question

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.
answer

True
question

Disintermediation provides major benefits to the distributor.
answer

False
question

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

True
question

An example of the service provider business model is Flickr, a photo management and sharing Web site.
answer

True
question

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

False
question

Web personalization is used primarily as a major marketing tool.
answer

True
question

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

False
question

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

False
question

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

True
question

Behavioral targeting occurs at two levels: individual Web sites and through ISPs.
answer

False
question

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

False
question

Net marketplaces may either support contractual purchasing based on long-term relationships with designated suppliers, or short-term spot purchasing.
answer

True
question

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

False
question

Automobile manufacturing is an example of a vertical market.
answer

True
question

Advertising networks track a user’s behavior at thousands of Web sites.
answer

True
question

In the free/freemium revenue model, firms offer basic services for free and charge a fee for special features.
answer

True
question

Price transparency refers to the ability of consumers to discover what merchants actually pay for products.
answer

False
question

Switching costs are the merchants’ costs of changing prices.
answer

False
question

Viral marketing is like traditional word-of-mouth marketing except that it is spread via online communities.
answer

True
question

The behavioral targeting of ads results in consumers responding ten times more frequently than when delivered ads randomly.
answer

True
question

Indirect goods are not involved firsthand in the production process.
answer

True

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