EC课本题库-2008版ec08_tif_ch16.doc

Chapter 16Launching a Successful Online Business and EC Project17Chapter 16Launching a Successful Online Business and EC Project True-False Questions1.Unlike the brick-and-mortar marketplace, the failure rate for online companies is low.Answer: FalseDifficulty:EasyPage Reference: 728AACSB: Use of information technology2.Online businesses may be pure play companies or click-and-mortar companies that add online projects, such as e-procurement or selling online, as additional marketing channels. Answer: TrueDifficulty:EasyPage Reference: 728AACSB: 3.To create successful entrepreneurial ventures in EC, Maier suggests that starting small with many founders is the best option.Answer: FalseDifficulty:EasyPage Reference: 729 AACSB: 4.The first step is creating a new company is to identify a consumer or business need in the marketplace and an innovation to address that need.Answer: TrueDifficulty:MediumPage Reference: 729 AACSB: Use of information technology5.Many good ideas and realistic initiatives have failed because of poor execution due to the lack of sufficient business skills by the owners or principals of the business.Answer: TrueDifficulty:MediumPage Reference: 730 AACSB: 6.As a general guideline, although virtually anything is available for sale on the Internet, the degree of sales success is somewhat dependent on the type of item or service being offered for sale and how it can be delivered.Answer: TrueDifficulty:MediumPage Reference: 731 AACSB: Reflective thinking7.Medium and large businesses, or those seeking external funding, must have an informal business plan.Answer: FalseDifficulty:EasyPage Reference: 731 AACSB: Use of information technology8.The primary reason an entrepreneur writes a business plan is to acquire funding from a bank, an angel investor, a venture capitalist, or the financial markets.Answer: TrueDifficulty:MediumPage Reference: 732 AACSB: Use of information technology9.Some entrepreneur may simply invest personal funds from savings, personal lines of credit, or a house mortgage since these sources of “bootstrap funding” are typically enough.Answer: FalseDifficulty:MediumPage Reference: 732 AACSB: Use of information technology10.When the entrepreneurs personal funds are insufficient, the entrepreneur will go to friends,family members, or to financial institutions.Answer: FalseDifficulty:MediumPage Reference: 732 AACSB: Use of information technology11.An important source of financial support or direct funding, for pre-VC firms is an incubator.Answer: TrueDifficulty:MediumPage Reference: 732 AACSB: 12.Venture capitalists tend to invest in companies that have identified what seems to be an outstanding business opportunity, have taken some action to make the opportunity happen, such as written a new software application or secured a patent , and need an infusion of funds and management expertise to expand and launch the business. Answer: TrueDifficulty:MediumPage Reference: 733 AACSB: Use of information technology13.There is a serious downside for start-up businesses that acquire venture capital because they lose control over the business.Answer: FalseDifficulty:MediumPage Reference: 734 AACSB: Reflective thinking14.Once the company is well known and successful, it can go to a stock exchange to raise money via an initial public offer or IPO.Answer: TrueDifficulty:MediumPage Reference: 734 AACSB: Use of information technology15.Organizational transformation is a comprehensive concept that implies not only a major change, but also a sharp break from the past.Answer: TrueDifficulty:MediumPage Reference: 736AACSB: 16.Business process management (BPM) systems monitor the execution of the business processes so that managers can analyze and change processes in response to data, rather than on just a hunch.Answer: TrueDifficulty:MediumPage Reference: 736 AACSB: Use of information technology17.Transforming an existing business to an e-business means a manager must change business processes, but not the way people work or communicate.Answer: FalseDifficulty:MediumPage Reference: 738 AACSB: 18.An informational Web site provides opportunities for the customers and the business to communicate and share information.Answer: FalseDifficulty:MediumPage Reference: 738 AACSB: Use of information technology19.Selecting a domain name is an important marketing and branding consideration for a business because it will be the businesss online address and create an identity for the business.Answer: TrueDifficulty:MediumPage Reference: 743 AACSB: Use of information technology20.Up-to-the-minute dynamic content is what attracts new and returning customers (“eyeballs”) and makes them stay longer (“stickiness”), which builds customer loyalty.Answer: TrueDifficulty:MediumPage Reference:744 AACSB: Use of information technology21.Because podcasts are audio-based media files, it enables companies to deliver audio-specific content, including music, speeches, radio-style presentations, and more.Answer: TrueDifficulty:EasyPage Reference: 747 AACSB: Use of information technology22.A offers personalize content by tracking visitors behavior via cookies, which is used to generate dynamic Web pages that recommend products based on previous purchases and recently viewed items. A offers this personalized content because it is very inexpensive and does not impact performance.Answer: FalseDifficulty:HardPage Reference: 748 AACSB: Use of information technology23.Web designers execute successful site navigation through consistency and through navigation aids such as a navigation bar, a navigation column, a site map, and search tools.Answer: TrueDifficulty:MediumPage Reference: 754 AACSB: 24.Web site usability means that people who use the Web site can do so quickly and easily to accomplish their tasks and may also consider such factors as cost-effectiveness and usefulness.Answer: TrueDifficulty:MediumPage Reference: 756 AACSB: Use of information technology25.Card-not-present (CNP) transactions increase the risk and uncertainty of online transactions, which increases transaction fees to offset the increased risks.Answer:TrueDifficulty:EasyPage Reference: 757 AACSB: Multiple Choice Questions 26.When creating a new business, the first step is to:a.write a business case or plan. b.acquire financing needed to make the business successful. c.investigate all existing opportunities. d.identify a consumer or business need that isnt presently being met. Answer: DDifficulty:EasyPage Reference: 729 AACSB:27.The principle reason for writing a business plan is to:a.help the founders remember what they are trying to vide an operational framework for the business.c.acquire external vide strategic direction to employees.Answer: CDifficulty:EasyPage Reference: 732 AACSB:28.The key difference between an e-business plan and a traditional business plan is that the entrepreneur must:a.understand all aspects of the technology required to implement the plan.b.understand that the Internet is a unique sales channel.c.understand that traditional rules do not apply when doing business on the Internet.d.develop a ten-year plan.Answer: BDifficulty:MediumPage Reference: 732 AACSB:29.The difference between a business plan and a business case is:a.business cases are brief and general, while business plans are long and detailed.b.a business case is a part of every business plan.c.all businesses need a business case, but only new businesses need a business plan.d.all new businesses should have a business plan, but only existing businesses planning a major EC or IT initiative should develop a business case.Answer: DDifficulty:MediumPage Reference: 732 AACSB: 30.A(n) _ is a wealthy individual who contributes personal funds and possibly expertise at the earliest stage of business development.a.entrepreneurb.venture capitalistc.angeld.incubatorAnswer: CDifficulty:EasyPage Reference: 732AACSB:31.A(n) _ is a company, university, or nonprofit organization that supports promising businesses in their initial stages of development.a.entrepreneurb.venture capitalistc.angeld.incubatorAnswer: DDifficulty:EasyPage Reference: 732 AACSB:32._ is money invested in a business by an individual or a group of individuals in exchange for equity in the business. a.venture capitalb.operating capitalc.start-up fundingd.advance fundingAnswer: ADifficulty:EasyPage Reference: 733 AACSB:33.The greatest difficulty in dealing with venture capital is:a.the loss of control a venture capitalist demands.b.finding a willing venture capitalist.c.finding the money a venture capitalist will require.d.relocating the business to an incubator.Answer: BDifficulty:EasyPage Reference: 733 AACSB:34.The relationship between stock price and when an investor invests is: a.IPO investors will pay the highest price per share.b.the venture capitalist will pay the highest price per share.c.the entrepreneur will pay the highest price per shared.the angel investor will pay the highest price per shareAnswer: ADifficulty:MediumPage Reference: 734 AACSB:35.Chaplins Pet Store has been in business for many years. Chaplin, the present owner, decides to open an online sales channel where he can advertise and sell the same gourmet pet food. This is an example of adding:a.a storefront.b.e-procurement.c.a portal.d.a reverse auctionAnswer: ADifficulty:MediumPage Reference: 735 AACSB:36.Reprise Electronics, a conglomerate that manufactures and sells all kinds of electronic goods under several brand names, currently has separate Web sites for each of its brands. The company decides to bring all of the Web sites together through a single site that, in addition to providing links to the brand pages, will also provide general information about how to select electronic merchandise and informational pages about the Reprise company today and its management team. This is an example of adding: a.a storefront.b.e-procurement.c.a portal.d.a reverse auction.Answer: CDifficulty:MediumPage Reference: 735 AACSB:37.In an organizational transformation:a.there are incremental changes to the ways things have always been done.b.the change may affect only one or a few of the functional areas of the business.c.there is a change in outlook, but rarely a change in procedures or investment in infrastructure.d.there is always a sharp break with the past and every aspect of the business will probably change.Answer: DDifficulty:MediumPage Reference: 736AACSB:38.A(n) _ Web site does little more than provide information about the business and its eractivec.transactionald.dynamicAnswer: ADifficulty:MediumPage Reference: 738AACSB:39.A major entertaining company has four studios that have been in the same location for more than ten years. The company includes a page on its Web site with addresses, phone numbers, and general e-mail addresses for each of these studios. None of this information has changed since the Web site was developed. This is an example of _ anizationald.functionalAnswer: BDifficulty:EasyPage Reference: 744 AACSB:40.Secondary content that offers a coupon, rebate, or special service is called: a.up motion.Answer: DDifficulty:MediumPage Reference: 745 AACSB:41.Reviews, testimonials, expert advice, or further explanation about the product are called:a.up motion.Answer: CDifficulty:MediumPage Reference: 745 AACSB:42.The _ is how Web pages are organized, labeled, and navigated to support browsing and searching. a.Web designb.Web site rmation architectured.Web layoutAnswer: CDifficulty:MediumPage Reference: 751AACSB:43.Creating content that offers upgraded or more expensive versions of the product is called:a.up motion.Answer: ADifficulty:MediumPage Reference: 745 AACSB:44.One of the first decisions to be made in building a Web site is:a.the domain nameb.whether to provide personalized contentc.how to protect the Web site from hackersd.who will host it.Answer: DDifficulty:MediumPage Reference: 739 AACSB:45.A(n) _ is an exact duplicate of the original Web site physically located on a Web server on another continent.a.backup siteb.mirror sitec.a download sited.a hot siteAnswer: BDifficulty:MediumPage Reference: 741 AACSB:46.The Web hosting option under which the business acquires the hardware, software, staff, and dedicated telecommunications services needed to host a Web site is called:a.self-hosting.b.mirror hostingc.using a storebuilder.d.ISP hosting.Answer: ADifficulty:MediumPage Reference:743 AACSB:47.The _ is the name-based address that identifies an Internet-connected server.a.domain nameb.IP addressc.URL named.host nameAnswer: ADifficulty:EasyPage Reference: 743 AACSB:48.Content not available anywhere else on the Web is called:a.reserved modity content.c.premium content.d.restricted content.Answer: CDifficulty:MediumPage Reference: 759 AACSB:49.The concept of consistency in Web site design includes: a.making sure Web pages look the same no matter which browser a customer is using.b.making sure all visitors consistently find what they are looking for.c.making sure the messages sent to customers who contact the company are consistent.d.making sure customers are treated consistently when they contact customer service.Answer: ADifficulty:MediumPage Reference: 753 AACSB:50.All of the following are advantages of building Web sites internally EXCEPT:a.it allows the company to use in-house expertise.b.it allows the company to protect proprietary technology.c.it provides the fastest speed to market.d.it allows the company to exert greater control on the process and the resulting site.Answer: CDifficulty:MediumPage Reference: 754 AACSB:51.Banks are more selective about who gets an account for accepting credit cards online becausea.dot com failures have made banks less willing to work with online companies.b.CNP transactions are less secure and riskier.c.fees are higher for online processingd.online transactions do not produce much revenue for banksAnswer: BDifficulty:MediumPage Reference: 757 AACSB:52.In addition to providing an easy mechanism for buying books, the A Web site is easily searchable by book title and author. It also has book reviews and suggests titles based on previous purchase activity. These enhancements make the Amazon site a favorite for readers. This is an example of:a.CNPb.using a meta ernal Web site promotiond.search engine optimizationAnswer: CDifficulty:MediumPage Reference: 757 AACSB:53._offers one of the most popular storefront packages at with three levels of merchant solutions: starter, standard, and professional.a.Googleb.A c.eBayd.Yahoo!Answer: DDifficulty:MediumPage Reference: 761 AACSB:54.Options for acquiring storefronts include all of the following EXCEPT:a.Build from scratch.b.Join a mall.c.Build them from componentsd.Build from templates or storebuilders.Answer: BDifficulty:EasyPage Reference: 760 AACSB:55.Before choosing the appropriate Web site development option, you need to consider all of the following issues in order to generate a list of requirements and capabilities EXCEPT:a.Who are the target customers?b.What kinds of products or services will the business sell online?c.Can customers place orders online?d.What might be the reaction of competitors?Answer: DDifficulty:MediumPage Reference: 761 AACSB: Fill In the Blanks56.A business plan is a written document that identifies a companys goals and outlines how the company intends to achieve those goals and at what cost.Difficulty:EasyPage Reference: 731 AACSB: 57.A business case is a document that justifies the investment of internal, organizational resources in a specific application or project. Difficulty:MediumPage Reference: 731 AACSB: 58.A wealthy individual who contributes personal funds and possibly expertise at the earliest stage of business development is called a(n) angel investor. Difficulty:MediumPage Reference: 732 AACSB: 59.A company, university, or nonprofit organization that supports businesses in their initial stages of development is called a(n) incubator. Difficulty:EasyPage Reference: 732 AACSB: 60.Venture capital is money invested in a business by an individual, a group of individ