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Study Guide

Student Objectives

After completing this chapter, you will be able to:

  1. Describe the unique features of e-commerce, digital markets, and digital goods.
  2. Analyze how Internet technology has changed value propositions and business models.
  3. Describe the various types of e-commerce and how e-commerce has changed consumer retailing and business-to-business transactions.
  4. Evaluate the role of m-commerce in business and describe the most important m-commerce applications.
  5. Compare the principal payment systems for electronic commerce.


 This activity contains 35 questions.

Question 1.
Because e-commerce is ubiquitous it reduces

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Question 2.
The ability of consumers to use the Internet to discover the actual costs merchants pay for products is called


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Question 3.
Changing the delivered product or service based on a user's preferences or prior behavior on the Internet is called

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Question 4.
Pricing a product or service on the Internet according to changing supply and demand situations is referred to as


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Question 5.
Removing the middleman and selling directly to a consumer in a digital marketplace is called


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Question 6.
Individuals use ________ sites to expand the number of business or social contacts by making connections through other people.


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Question 7.
________ are published audio broadcasts via the Internet later downloaded to portable music players.


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Question 8.
Which of the following provides a technique businesses use to help create unique personalized Web pages for each user?

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Question 9.
Companies use ________ internally to communicate and exchange ideas about projects and company news.

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Question 10.
Which of the following is currently the fastest-growing type of business-to-business e-commerce?

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Question 11.
Single, digital marketplaces based on Internet technology for many different buyers and sellers are called


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Question 12.
Web sites specifically designed for m-commerce are called


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Question 13.
Which of the following electronic payment systems extend the functionality of credit cards so they can be used for online shopping payments?

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Question 14.
Which of the following electronic payment systems were developed for purchases of less than $10?

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Question 15.
PayPal is a perfect example of


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Question 16.
Only since 2006 has consumer e-commerce "slowed" to a 25 percent annual growth rate.

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Question 17.
The technical standards for conducting e-commerce are universal standards.

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Question 18.
E-commerce greatly increases market entry costs for merchants.

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Question 19.
Information density in e-commerce markets make prices and costs less transparent.

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Question 20.
The Internet shrinks information asymmetry.

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Question 21.
In general, the cost of producing the original first unit of digital goods is relatively low.

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Question 22.
Online auctions are available for business-to-business e-commerce in addition to consumer-to-consumer e-commerce.

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Question 23.
Users must click on a banner ad to make it disappear.

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Question 24.
A portal is a "supersite" that provides a comprehensive entry point for a huge array of resources and services on the Internet.

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Question 25.
A pure-play Internet business model is one in which the business migrated from a bricks-and-mortar base to an Internet-only company.


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Question 26.
"Blog-watching" is cheaper and faster for analyzing consumer interests than traditional focus groups and surveys.

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Question 27.
Electronic data interchanges (EDI) are based on proprietary systems.

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Question 28.
Private industrial networks rely on intranets to coordinate processes between a business and its suppliers and other key business partners.


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Question 29.
Location-based applications take advantage of the unique capabilities of mobile technology.

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Question 30.
Electronic check systems are useful in business-to-business e-commerce.

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Question 31.

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To create paragraphs in your essay response, type <p> at the beginning of the paragraph, and </p> at the end.

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Question 32.

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To create paragraphs in your essay response, type <p> at the beginning of the paragraph, and </p> at the end.

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Question 33.

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To create paragraphs in your essay response, type <p> at the beginning of the paragraph, and </p> at the end.

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Question 34.

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To create paragraphs in your essay response, type <p> at the beginning of the paragraph, and </p> at the end.

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Question 35.

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To create paragraphs in your essay response, type <p> at the beginning of the paragraph, and </p> at the end.

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