MIS Chapter 10 Quiz

question

Which of the following statements about EDI is not true?
answer

Today, EDI is only used for document automation.
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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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Information ________ exists when one party in a transaction has more information that is important for the transaction than the other party.
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asymmetry
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Selling the same goods to different targeted groups at different prices is called:
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price discrimination.
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Compared to digital markets, traditional markets have:
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higher transaction costs.
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A secure website that links a large firm to its suppliers and other key business partners is called a(n):
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private industrial network.
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All of the following are increased in traditional markets compared to digital markets except:
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network effects.
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All of the following are unique features of e-commerce technology, except:
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transparency.
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In the ________ revenue models, a firm offers some services for free but charges a subscription fee for premium services.
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free/freemium
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All of the following are examples of “on demand” companies except:
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Instagram.
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Exposing an individual to ads that are chosen and based on the recorded and analyzed online behavior of the individual is referred to as:
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behavioral targeting.
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Procurement involves all of the following except:
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production scheduling.
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Which of the following best illustrates the sales revenue model?
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Apple accepts micropayments for single music track downloads.
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The Internet reduces information asymmetry.
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True
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Compared to traditional goods, digital goods have:
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greater pricing flexibility.
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Market creators:
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provide a digital environment where buyers and sellers can establish prices for products.
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Uber uses a form of dynamic pricing.
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True
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Information density refers to the:
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total amount and quantity of information available to all market participants
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Behavioral targeting occurs at two levels: individual websites and through ISPs.
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False
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Craigslist is an example of:
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C2C e-commerce.
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Amazon.com is known primarily for its use of which of the following business models?
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E-tailer
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Which of the following is not one of four types of presence to be considered when building an e-commerce presence?
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Corporate
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Which of the following best illustrates the advertising revenue model?
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Facebook provides a social network for free, but shows sponsored content in users’ News Feeds.
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Netflix uses which of the following revenue models?
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Subscription
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Content providers use ________ systems to process large amounts of very small monetary transactions cost-effectively.
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micropayment
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The effort required to locate a suitable product is called:
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search costs.
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What event marked the beginning of e-commerce?
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The first paid advertisements placed on a website.
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Indirect goods are not involved firsthand in the production process.
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True
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Web personalization is used primarily as a marketing tool.
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True
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Geoadvertising sends ads to users based on their:
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GPS locations.
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Facebook’s Like button is an example of which of the following?
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Network notification
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Which of the following best illustrates the affiliate revenue model?
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Yelp receives a fee after steering a customer to a participating Web site where he or she makes a purchase.
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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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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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What is the difference between personalization and customization, as applied to e-commerce technologies?
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Personalization refers to adjusting marketing messages for a consumer; customization refers to adjusting a product or service based on a user’s preferences.

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