Chapter 1 Overview of Electronic Commerce
1.1 True/False
1) Every company needs a business model describing how the company operates, how it generates sales, and
how it provides value to the customers and eventually profit to its owners.
2) The terms e-commerce and e-business can be used interchangeably.
3) The form EC takes depends on the degree of digitization of the product sold, the process, and the delivery
method.
4) In order for a situation to be considered as electronic commerce, the product, process, and delivery method
should all be digital.
5) Purchasing a computer from Dell’s Web site is partial EC because the merchandise is physically delivered.
6) Amazon.com can be classified as a click-and-mortar organization.
7) Pure-play organizations are old-economy organizations that perform their primary business offline, selling
physical products by means of physical agents.
8) According to Mockler, over 85 percent of EC volume is B2B.
9) Transactions conducted on Priceline.com are examples of collaborative commerce.
10) A value proposition refers to the tangible and intangible benefits that a company can derive from using EC.
11) Online publishing is an electronic commerce application.
12) A person purchasing a pair of shoes from Zappos is an example of B2B.
13) Electronic commerce is an interdisciplinary field.
14) Business models are a subset of a business plan or business case and refer to methods of doing business by
which a company can generate revenue.
15) The structure of a social network is often very simple.
1.2 Fill in the Blank
1) ________ is the process of buying, selling, transferring, or exchanging products, services, and/or information