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Chapter One1) The process of buying, selling, or exchanging products, services, or information via the computer best definesA) electronic collaboration.B) electronic commerce.C) Tweeting.D) cyber sales.2) A broader definition of EC that includes not just the buying and selling of goods and services, but also servicing customers, collaborating with business partners, and conducting electronic transactions within an organization best definesA) e-business. B) e-tailing. C) e-collaboration. D) cyber business.3) EC can take several forms depending on the degree of digitization of the following three dimensions:A) the product or service sold, the process, and the delivery method.B) the business process, the collaboration, and the transaction.C) the payment method, the delivery method, and the production method.D) the marketing channel, the agent, and the collaboration method.4) Old-economy organizations that perform their primary business offline, selling physical products by means of physical agents best definesA) click-and-mortar organizations.B) pure-play organizations.C) classic commerce organizations.D) brick-and-mortar organizations.5) A network that uses the Internet to link multiple intranets best definesA) corporate net.B) collaboration network.C) extranet.D) relational network.6) Dell collaborating electronically with its partners and providing customer service online is an example ofA) B2C. B) e-CRM. C) C2B. D) B2B2C.7) Electronic commerce applications includeA) direct marketing.B) online banking.C) m-commerce.D) all of the above.8) The e-commerce model in which all of the participants are businesses or other organizations is calledA) business-to-consumer.B) business-to-business.C) business-to-business-to-consumer.D) consumer-to-consumer.9) The e-commerce model in which a business provides some product or service to a client business that maintains its own customers is calledA) business-to-consumer.B) business-to-business.C) business-to-business-to-consumer.D) consumer-to-consumer.10) Ebay auctions are mostlyA) business-to-employees.B) consumer-to-business.C) business-to-consumer.D) consumer-to-consumer.11) The second generation of Internet-based services that lets people collaborate and share information online in new ways, such as social networking sites, wikis, communication tools, and folksonomies best definesA) Wii. B) Web 2.0. C) EC 2.0. D) SNS2.12) A category of Internet applications that helps connect friends, business partners, or individuals with specific interests by providing free services such as photo presentation, e-mail, blogging, and so on using a variety of tools best describesA) social networking.B) public networking.C) intranet.D) extranet.13) Using Web 2.0 tools, companies canA) encourage consumers to rate and comment on products.B) allow consumers to create their own topic areas and build communities.C) provide incentives such as sweepstakes and contests for customers to get involved in new product or service design and marketing campaigns.D) do all of the above.14) A _ is a companys method of doing business to generate revenue to sustain itself.A) marketing strategyB) business modelC) value chainD) business plan15) According to the _ revenue model, customers pay a fixed amount, usually monthly, to receive some type of service.A) subscription feesB) transaction feesC) advertising feesD) affiliate fees16) Which of the following is not a major revenue model?A) attributive feeB) salesC) transaction feesD) subscription fees17) According to the _ revenue model, companies receive commissions for referring customers to others EC Web sites.A) advertising feesB) subscription feesC) affiliate feesD) transaction fees18) Large private organizational buyers and government agencies make large-volume or large-value purchases through _, also known as reverse auctions.A) electronic tendering systemsB) online direct marketingC) name-your-own-price modelsD) viral marketing19) According to the _, an organization can increase brand awareness or even generate sales by Web-based word-of-mouth marketing or promoting a product or service to other people.A) electronic tendering systems modelB) online direct marketing modelC) name-your-own-price modelsD) viral marketing model20) Benefits of e-commerce to customers includeA) ubiquity.B) instant delivery.C) no sales tax.D) all of the above.Chapter Two1) Each of the following is a main function of traditional and electronic markets exceptA) matching buyers and sellers.B) facilitating the exchange of information, goods, services, and payments associated with market transactions.C) financing the transformation of raw materials into finished products.D) providing an institutional infrastructure, such as a legal and regulatory framework that enables the efficient functioning of the market.2) The portion of an e-sellers business through which customers interact, including the sellers portal, electronic catalogs, shopping cart, and payment gateway is theA) front end of the business.B) back end of the business.C) infrastructure for the business.D) intermediary in the business.3) Activities related to order aggregation and fulfillment, inventory management, purchasing from suppliers, accounting and finance, packaging, and delivery are done in theA) front end of the business.B) back end of the business.C) infrastructure of the business.D) intermediary in the business.4) The elimination of various types of agents that mediate between buyers and sellers, such as travel and insurance agents, is referred to asA) automation.B) disintermediation.C) remediation.D) e-distribution.5) Online markets that are owned and operated by a single company and that are either sell-side or buy-side are known asA) private e-marketplaces.B) commercial portals.C) e-malls.D) B2B marketplaces.6) Public e-marketspaces areA) usually B2B markets.B) often owned by a third party or consortium.C) usually regulated by the government.D) all of the above.7) Major department and discount stores are classified asA) general malls.B) specialized malls.C) regional stores.D) pure-play stores.8) Each of the following is a specialized mall exceptA) .B) .C) .D) 1800.9) Functionalities provided by EC merchant server software includeA) electronic catalogs.B) search engines.C) shopping carts.D) all of the above.10) The presentation of product information in an electronic form and also serving as the backbone of most e-selling sites describesA) e-distributor.B) Kindle.C) e-magazine.D) electronic catalog.11) Search tools that search the contents of a users or organizations computer files, rather than searching the Internet areA) desktop search tools.B) enterprise search tools.C) search engine tools.D) host search tools.12) An order-processing technology that allows customers to accumulate items they wish to buy while they continue to shop best definesA) intelligent agent.B) e-fulfillment agent.C) electronic shopping cart.D) mobile portal.13) A market mechanism that uses a competitive process in which a seller solicits consecutive bids from buyers or a buyer solicits bids from sellers best definesA) electronic shopping.B) request for proposal.C) auction.D) request for quotation.14) The most common and traditional form of auctions in which one seller entertains bids from many buyers best describesA) forward auctions.B) reverse auctions.C) bidding auction systems.D) tendering systems.15) The dynamic pricing configuration where the resulting price is determined by each partys bargaining power, supply and demand in the items market, and possibly business environment factors best describesA) one buyer, one seller.B) one seller, many potential buyers.C) one buyer, many potential sellers.D) many sellers, many buyers.16) Benefits of e-auctions to sellers includeA) anonymity.B) convenience of bidding anywhere and any time.C) lack of differentiation.D) optimal price is determined by the market.17) All of the following are benefits of e-auctions to buyers except:A) can liquidate large quantities quickly.B) convenience of bidding anywhere and any time.C) opportunity to bargain.D) opportunities to find unique items.18) Which of the following statements about bartering is false?A) It is the oldest method of trade.B) It is primarily done between individuals and private parties.C) The problem with bartering is that it is difficult to find trading partners.D) Intermediaries can be helpful, but they are expensive and very slow.19) A form of blogging that allows users to write messages, usually up to 140 characters, and publish them either to be viewed by anyone or by a restricted group that can be chosen by the user describesA) cybertexting.B) microblogging.C) tagging.D) vlog.20) Types of business activities in virtual worlds include each of the following exceptA) creating and managing a virtual business.B) conducting regular business activities, such as advertising.C) providing services for those who build, manage, or make money with virtual properties.D) assembling physical products.Chapter 31) Each of the following describes retailing except:A) A retailer is a sales intermediary.B) Many manufacturers sell directly to consumers and through wholesalers and retailers.C) E-tailing makes it easier for a manufacturer to sell directly to customers by cutting out the intermediary.D) Companies that produce a larger number of products, such as Proctor & Gamble, do not need retailers for efficient distribution.2) Retailers who sell over the Internet are calledA) cyber marketers.B) e-tailers.C) B2B commerce marketers.D) brick-and-mortar operations.3) What is the primary advantage of catalog sales?A) Catalogs eliminate the constraints of space and time.B) Customers prefer catalog shopping to e-tailing.C) Catalogs increase interest in products that are then bought online.D) Products and services can both be sold via catalogs.4) With all else being equal in the online environment, goods with any of the following product characteristics are expected to facilitate greater online sales except:A) relatively expensive items.B) high brand recognition.C) digitized format.D) frequently purchased items.5) Dells distribution strategy is best described asA) a brick-and-mortar strategy.B) a shared service mall strategy.C) a click-and-mortar strategy.D) direct marketing from a manufacturer.6) The Wal-mart marketing strategy is best described asA) a brick-and-mortar strategy.B) a shared service mall strategy.C) a click-and-mortar strategy.D) direct marketing by a manufacturer.7) Competitive advantages of a pull vehicle distribution process includeA) virtually real-time market feedback.B) large cost savings in finished vehicle inventory carrying costs.C) improved customer satisfaction and pricing.D) all of the above.8) A type of online mall that is basically a directory organized by product type best describesA) referring directory.B) mall with shared services.C) brick-and-mortar retailer.D) cyber directory.9) An online seller of travel services that generates revenue by charging fees for its services is an example of aA) market maker.B) transaction broker.C) content disseminator.D) viral marketer.10) A marketer that uses e-mail to advertise to potential customers is called aA) market maker.B) transaction broker.C) content disseminator.D) viral marketer.11) A company that creates and manages many-to-many markets is called aA) market maker.B) transaction broker.C) content disseminator.D) viral marketer.12) Compared to the traditional job market, the online job marketA) has a shorter life cycle.B) is usually specialized and local in scope.C) tends to be less reliable.D) tends to be much less expensive.13) Which of the following parties use the Internet job market?A) employers seeking employeesB) classified adsC) job agenciesD) all of the above14) Advantages of the electronic job market for employers include each of the following exceptA) charging online processing fees.B) providing greater equal opportunity for job seekers.C) learning how to use their voice effectively in an interview.D) conducting interviews online.15) Advantages of the electronic market for job seekers include each of the following exceptA) assessing their market value.B) competing with less qualified applicants.C) marketing themselves directly to potential employers.D) communicating quickly with potential employers.16) E-bankingA) saves time and money.B) is more expensive for banks.C) is primarily done using wireless devices.D) is done by less than 40 percent of U.S. adult Internet users.17) Which of the following is not an online banking application category?A) informationalB) deliveryC) administrativeD) transactional18) The portal online banking application providesA) financial education information.B) current bank and local news.C) links to local business.D) bill-pay services.19) Gateways to storefronts and e-malls areA) shopping portals.B) shopbots.C) shopping browsers.D) intelligent search engines.20) Charles wants to buy a John Lennon lithograph over the Internet, but he is unwilling to pay for it until he inspects it to ascertain authenticity. The auction site thorough which he purchases the painting agrees to hold his money until he tells them to release it to the seller. This is an example ofA) an escrow service.B) a trustmark.C) a warranty.D) a verification.Chapter Four1) A _ is so5meone whose advice or view carries some weight in making a final purchasing decision.A) initiator B) influencer C) decider D) buyer2) In the consumer decision process, which of the following roles ultimately makes the buying decision or any part of it?A) buyer B) initiator C) influencer D) decider3) Banner advertising on Web sites helps trigger a realization that there is a gap between reality and a desired state, which occurs in the _ stage of the EC purchase decision-making process. A) need identification B) information searchC) evaluationD) product brokering4) EC businesses generate user profiles in each of the following ways except byA) asking users to fill in a questionnaire.B) using cookies, spyware, or Web bugs to observe what people are doing online.C) using customer segmentation to identify customers preferences.D) basing them on what customers have purchased online before.5) The use of cookiesA) is one of the most controversial issues in EC.B) has not helped Internet marketers target their ads.C) is a widely used method for mass marketing.D) is being replaced by adware and spyware programs.6) Examples of personalization includeA) notifying a customer when an auction comes to a close.B) allowing a user to personalize Web site attributes.C) sending an instant alert to customers mobile devices, notifying them about a drop in a products price.D) all of the above.7) By increasing customer loyalty, EC companies achieve each of the following benefits exceptA) lower marketing and advertising costs.B) lower click through rates.C) lower transaction costs.D) lower customer turnover expenses.8) The psychological status of willingness to depend on another person or organization best definesA) e-shopping. B) trust. C) satisfaction. D) e-sugging.9) Finding information and knowledge that describe the relationships among consumers, products, marketing methods, and marketers is the goal ofA) market segmentation.B) e-tailing.C) market research.D) collaborative filtering.10) Which of the following major factors is the most important predictor of online buying behavior?A) product information requestedB) number of related e-mailsC) number of orders madeD) gender11) The tiny graphics files embedded in e-mail messages and in Web sites that transmit information about users and their movements to a Web server areA) cookies. B) shopbots. C) spyware. D) Web bugs.12) Customer movements on the Internet best describesA) Internet traffic.B) clickstream behavior.C) transaction tracking.D) hits.13) Which of the following statements about Web mining is false?A) Web mining uses data mining techniques for discovering and extracting information from Web documents.B) Web mining explores both Web content and Web usage.C) Web mining uses customer data to infer or predict customer interest in other products or services.D) Usage analysis is derived from clickstream data.14) Once a company knows a consumers preferences, the company can predict, without asking the consumer directly, what other products or services that consumer might enjoy throughA) active Web bugs.B) spyware.C) collaborative filtering.D) personalization.15) The ethical issue raised by collaborative filtering isA) spamming.B) invasion of privacy.C) theft of intellectual property.D) security.16) Banner ads that appear when a predetermined word is queried from a search engine areA) personalized banners.B) random banners.C) keyword banners.D) stylized banners.17) An ad that appears underneath the current browser window, so when the user close

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