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Chap001, Chapter 1, The Information Age In Which You Live.doc


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Chap14: E-Business Multiple Choice 1. What is the buying and selling of goods and services over the Internet? A. E-business B. E-commerce C. E-market D. E-mall Ans: B Level: Easy

Learning Outcome: 14.1 Response: This is the definition of e-commerce. 2. What is the conducting of business on the Internet, not only buying and selling, but also serving customers and collaborating with business partners? A. E-business B. E-commerce C. E-market D. E-mall Ans: A Level: Easy Learning Outcome: 14.1 Response: This is the definition of e-business. 3. Which of the following represents any business that sells its products or services to consumers over the Internet? A. B2B B. B2C C. C2B D. C2C Ans: B Level: Easy Learning Outcome: 14.2 Response: This is the definition of B2C. 4. Which of the following represents businesses buying from and selling to each other over the Internet? A. B2B B. B2C C. C2B D. C2C Ans: A Level: Easy Learning Outcome: 14.2 Response: This is the definition of B2B. 5. Which of the following represents sites primarily offering goods and services to assist consumers interacting with each other over the Internet? A. B2B B. B2C C. C2B D. C2C Ans: D Level: Easy

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Learning Outcome: 14.2 Response: This is the definition of C2C. 7. Which of the following represents any consumer that sells a product or service to a business over the Internet? A. B2B B. B2C C. C2B D. C2C Ans: C Level: Easy Learning Outcome: 14.2 Response: This is the definition of C2B. 8. Which of the following are the primary challenges to e-business models? A. Providing security B. Adhering to taxation rules C. Protecting customers D. All of the above Ans: D Level: Easy Learning Outcome: 14.3 Response: All of the above are challenges to the e-business models. 9. What is an e-shop? A. Interactive business communities providing a central market space where multiple buyers and sellers can engage in e-business activities B. Version of a retail store where customers can shop at any hour of the day without leaving their home or office C. Serves as a gateway through which a visitor can access other e-shops D. None of the above Ans: B Level: Easy Learning Outcome: 14.4 Response: This is the definition of e-shop. 10. What is an e-mall? A. Interactive business communities providing a central market space where multiple buyers and sellers can engage in e-business activities B. Version of a retail store where customers can shop at any hour of the day without leaving their home or office C. Serves as a gateway through which a visitor can access other e-shops D. None of the above Ans: C Level: Easy Learning Outcome: 14.4 Response: This is the definition of e-mall. 11. What is a business that operates in a physical store without an Internet presence? A. Brick-and-mortar business B. Pure-play business C. Click-and-mortar business D. Electronic marketplace Ans: A Level: Easy

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Learning Outcome: 14.2 Response: This is the definition of brick-and-mortar. 12. What is a business that operates on the Internet only without a physical store? A. Brick-and-mortar business B. Pure-play business C. Click-and-mortar business D. Electronic marketplace Ans: B Level: Easy Learning Outcome: 14.2 Response: This is the definition of pure-play business. 13. What is a business that operates in a physical store and on the Internet? A. Brick-and-mortar business B. Pure-play business C. Click-and-mortar business D. Electronic marketplace Ans: C Level: Easy Learning Outcome: 14.2 Response: This is the definition of click-and-mortar business. 14. What type of online auction occurs when sellers and buyers solicit consecutive bids from each other and prices are determined dynamically? A. Electronic auction B. Forward auction C. Reverse auction D. All of the above Ans: A Level: Easy Learning Outcome: 14.4 Response: This is the definition of electronic auction. 15. What type of online auction occurs when sellers use it as a selling channel to many buyers and the highest bid wins? A. Electronic auction B. Forward auction C. Reverse auction D. All of the above Ans: B Level: Easy Learning Outcome: 14.4 Response: This is the definition of forward auction. 16. What type of online auction occurs when buyers use it to purchase a product or service, selecting the seller with the lowest bid? A. Electronic auction B. Forward auction C. Reverse auction D. All of the above Ans: C Level: Easy Learning Outcome: 14.4 Response: This is the definition of reverse auction.

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17. What is a community of interest? A. People interact with each other on specific topics, such as golfing and stamp collecting B. People come together to share certain life experiences, such as cancer patients, senior citizens, and car enthusiasts C. People participate in imaginary environments, such as fantasy football teams and playing one-on-one with Michael Jordan D. None of the above Ans: A Level: Easy Learning Outcome: 14.4 Response: This is the definition of a community of interest. 18. What is a community of relations? A. People interact with each other on specific topics, such as golfing and stamp collecting B. People come together to share certain life experiences, such as cancer patients, senior citizens, and car enthusiasts C. People participate in imaginary environments, such as fantasy football teams and playing one-on-one with Michael Jordan D. None of the above Ans: B Level: Easy Learning Outcome: 14.4 Response: This is the definition of a community of relations. 19. What is a community of fantasy? A. People interact with each other on specific topics, such as golfing and stamp collecting B. People come together to share certain life experiences, such as cancer patients, senior citizens, and car enthusiasts C. People participate in imaginary environments, such as fantasy football teams and playing one-on-one with Michael Jordan D. None of the above Ans: C Level: Easy Learning Outcome: 14.4 Response: This is the definition of a community of fantasy. 20. Which of the following is an e-business challenge? A. Improved information content B. Increased convenience C. Decreased cost D. Increasing liability Ans: D Level: Easy Learning Outcome: 14.3 Response: Increased liability is an e-business challenge. 21. Which of the following is an e-business benefit? A. Adhering to taxation rules B. Protecting customers C. Decreased cost D. Increasing liability Ans: C Level: Easy Learning Outcome: 14.3 Response: Decreased cost is an e-business benefit.

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True/False 22. E-business is the buying and selling of goods and services over the Internet. Ans: F Level: Easy Learning Outcome: 14.1 Response: E-commerce is the buying and selling of goods and services over the Internet. 23. Business-to-consumer applies to any business that sells its products or services to consumers over the Internet. Ans: T Level: Easy Learning Outcome: 14.2 Response: Business-to-consumer applies to any business that sells its products or services to consumers over the Internet. Essay 24. Describe how IT accelerates and enhances e-business. Ans: IT accelerates and enhances e-business through the multiple opportunities a business can touch customers, enrich products and services with information, and reduce costs. IT maximizes convenience, and improves communications globally. Learning Outcome: 14.1 Level: Easy 25. Differentiate between B2B and B2C e-business models. Ans: B2B applies to companies buying from and selling to each other over the Internet. B2C applies to any business or organization that sells its products or services to consumers over the Internet. Learning Outcome: 14.2 Level: Easy 26. Compare the four types of e-business models. Ans: Business-to-business (B2B) Applies to businesses buying from and selling to each other over the Internet. Business-to-consumer (B2C) Applies to any business that sells its products or services to consumers over the Internet. Consumer-to-business (C2B) Applies to any consumer that sells a product or service to a business over the Internet. Consumer-to-consumer (C2C) Applies to sites primarily offering goods and services to assist consumers interacting with each other over the Internet. The primary difference between B2B and B2C are the customers; B2B customers are other businesses while B2C markets to consumers. Overall, B2B relations are more complex and have higher security needs; plus B2B is the dominant e-business force, representing 80 percent of all online business. Learning Outcome: 14.2 Level: Easy 27. Describe the benefits and challenges associated with e-business. Ans: e-business is the conducting of business on the Internet, not only buying and selling, but also serving customers and collaborating with business partners. E-business benefits include: Highly accessible, Increased customer loyalty, Improved information content, Increased convenience, Increased global reach, Decreased cost. E-business challenges include: Protecting consumers, Leveraging existing systems, Increasing liability, Providing security, Adhering to taxation rules Learning Outcome: 14.3 Level: Easy 28. Explain the differences among e-shops, e-malls, and online auctions. Ans: An e-shop is a version of a retail store where customers can shop at any hour of the day without leaving their home or office. An e-mall consists of a number of e-shops; it serves as a gateway through

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which a visitor can access other e-shops. An online auction is a place where buyers and sellers come together to auction items and prices are determined dynamically. Learning Outcome: 14.4 Level: Easy


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