IS 3003 CH 10 T/F – Flashcards
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E-commerce refers to the use of any networking technologies to transact business.
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False
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Retail consumer e-commerce is growing at single-digit rates.
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False
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The Internet shrinks information asymmetry.
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True
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Rich media advertisements are a sales-oriented marketing format.
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False
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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.
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True
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Disintermediation provides major benefits to the distributor.
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False
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In general, for digital goods, the marginal cost of producing another unit is about zero.
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True
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An example of the service provider business model is Flickr, a photo management and sharing Web site.
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True
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An example of the content provider business model is Barnesandnoble.com, a retailer of printed books.
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False
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Web personalization is used primarily as a major marketing tool.
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True
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Podcasting allows subscribers to listen to live, streaming radio and other audio content.
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False
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Intellectual property refers to all forms of human expression, both tangible and intangible.
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False
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Ninety-six percent of all U.S. households with Internet access use a broadband connection.
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True
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Behavioral targeting occurs at two levels: individual Web sites and through ISPs.
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False
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EDI standards that take advantage of network communications have yet to be fully implemented at the industry level.
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False
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Net marketplaces may either support contractual purchasing based on long-term relationships with designated suppliers, or short-term spot purchasing.
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True
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Exchanges have become one of the most popular types of Net marketplace because they encourage competitive bidding that drives prices down.
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False
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Automobile manufacturing is an example of a vertical market.
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True
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Advertising networks track a user's behavior at thousands of Web sites.
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True
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In the free/freemium revenue model, firms offer basic services for free and charge a fee for special features.
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True
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Price transparency refers to the ability of consumers to discover what merchants actually pay for products.
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False
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Switching costs are the merchants' costs of changing prices.
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False
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Viral marketing is like traditional word-of-mouth marketing except that it is spread via online communities.
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True
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The behavioral targeting of ads results in consumers responding ten times more frequently than when delivered ads randomly.
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True
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Indirect goods are not involved firsthand in the production process.
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True
