Chapter 12: Managing Electronic Commerce Implementations
1. The keys to successful implementation of any information technology project are planning and execution.
a.
True
b.
False
True
1
Easy
12.01
United States – BUSPROG: Technology
Bloom’s: Knowledge
2. A successful business plan for an electronic commerce initiative should include activities that identify the initiative’s
specific objectives and link those objectives to business strategies.
a.
True
b.
False
True
1
Easy
12.01
United States – BUSPROG: Technology
Bloom’s: Knowledge
3. Organizations of different sizes will have different objectives for their electronic commerce initiatives.
a.
True
b.
False
True
1
Easy
12.01
United States – BUSPROG: Technology
Bloom’s: Knowledge
4. The rapid changes in hardware and software technologies simplify the estimation of information technology project
costs.
a.
True
b.
False
False
1
Easy
12.01
United States – BUSPROG: Technology
Bloom’s: Knowledge
5. Opportunity costs show up in the accounting records of a firm.
a.
True
b.
False
Chapter 12: Managing Electronic Commerce Implementations
6. Increased customer satisfaction is a tangible benefit of electronic commerce.
a.
True
b.
False
False
1
Easy
12.01
United States – BUSPROG: Technology
7. In the context of assessing the benefits of electronic commerce, auction sites can set goals for the number of bidders
and sellers.
a.
True
b.
False
True
1
Easy
12.01
United States – BUSPROG: Technology
8. Total cost of ownership techniques measure the amount of income that will be provided by a specific current
expenditure.
a.
True
b.
False
9. Return on investment measurements can be biased in a way that gives undue weight to costs because it is usually easier
to quantify costs than benefits.
a.
True
b.
False
10. Return on investment focuses on benefits that cannot be predicted.
a.
True
b.
False
11. A weakness of return on investment is that it tends to emphasize short-run benefits over long-run benefits.
a.
True
b.
False
12. An online business initiative’s success depends on it being integrated into the activities in which the business is
already engaged.
a.
True
b.
False
True
1
Easy
12.03
United States – BUSPROG: Technology
Bloom’s: Knowledge
13. When measuring the achievements of the internal team of an electronic commerce project, measurements must be
monetary.
a.
True
b.
False
Easy
12.02
United States – BUSPROG: Analytic
Bloom’s: Knowledge
14. The first step in determining which parts of an electronic commerce project to outsource is to create an internal team
that is responsible for the project.
a.
True
b.
False
15. Old-style technology development incubators have yielded much better results than strategic partner incubators.
a.
True
b.
False
False
1
Easy
12.03
United States – BUSPROG: Technology
Bloom’s: Knowledge
16. Companies hire content creators to create content that is specific for their Web sites.
a.
True
b.
False
17. The internal team of an organization decides which parts of a project to outsource.
a.
True
b.
False
18. If the benefits exceed the costs of a project by a comfortable margin, the company invests in the project.
a.
True
Bloom’s: Knowledge
Chapter 12: Managing Electronic Commerce Implementations
b.
False
19. The information used in project portfolio management differs somewhat from the information used to manage specific
projects.
a.
True
b.
False
20. Project management software tracks the details of how each project is accomplishing its specific goals.
a.
True
b.
False
True
1
Easy
12.04
United States – BUSPROG: Technology
Bloom’s: Knowledge
21. Project management software is limited to managing the people and tasks of an internal team and does not extend to
external stakeholders.
a.
True
b.
False
False
1
Easy
12.04
United States – BUSPROG: Technology
Bloom’s: Knowledge
22. The development times for all electronic commerce projects are relatively long.
a.
True
b.
False
True
1
23. Electronic commerce initiatives are, in general, more successful than other types of information systems
implementations.
a.
True
b.
False
True
1
Easy
12.04
United States – BUSPROG: Technology
Bloom’s: Knowledge
24. The internal team of an organization must determine the staffing needs of the electronic commerce initiative.
a.
True
b.
False
25. A postimplementation audit should result in a comprehensive report that analyzes the project’s overall performance.
a.
True
b.
False
26. _____ can be used to improve the value that the business provides to its customers by working with the customers.
a.
Cost reduction strategies
b.
Downstream strategies
c.
Upstream strategies
d.
Purchasing strategies
Easy
12.04
United States – BUSPROG: Technology
Bloom’s: Knowledge
27. _____ focus on reducing costs or generating value by working with suppliers or inbound shipping and freight service
providers.
a.
Horizontal integration strategies
b.
Vertical integration strategies
c.
Downstream strategies
d.
Upstream strategies
28. The _____ of an electronic commerce implementation includes the costs of hardware, software, Internet connections,
design work outsourced, salaries and benefits for employees involved in the project, and the cost of maintaining the site
once it is operational.
a.
total cost of ownership
b.
change management cost
c.
top line cost
d.
opportunity cost
1
12.01
United States – BUSPROG: Technology
Bloom’s: Knowledge
29. Identify a true statement about opportunity cost.
a.
It excludes the value of customers
never obtained.
b.
It includes cost reductions not achieved in the company’s supply
chain.
c.
It excludes the costs of sales not made.
d.
It includes the benefits that a company obtains from an
electronic commerce initiative.
30. Which of the following techniques measures the amount of income that will be provided by a specific current
expenditure?
a.
Optimal Inventory Analysis
b.
Cost analysis
c.
Total cost of ownership
d.
Return on Investment
31. _____ is an example of a return on investment technique.
a.
Downstream strategy
b.
Revenue analysis
c.
Total cost of ownership
d.
Net present value
32. Finding a contractor who can handle an entire project for a company is known as _____.
a.
outsourcing
b.
liaising
c.
coaching
d.
lobbying
33. The approach in which an outsourcing team trains a company’s information systems professionals in a new
technology before handing the operation of a site over to them is known as _____.
a.
partial outsourcing
b.
late outsourcing
c.
full outsourcing
d.
early outsourcing
d
1
Easy
12.03
United States – BUSPROG: Technology
Bloom’s: Knowledge
34. In _____, a company identifies specific portions of the project that can be completely designed, developed,
implemented, and operated by another firm that specializes in a particular function.
a.
partial outsourcing
b.
late outsourcing
c.
insourcing
d.
onshoring
1
Easy
12.03
United States – BUSPROG: Technology
Bloom’s: Knowledge
35. A(n) _____ is a company that offers start-up companies a physical location with offices, accounting and legal
assistance, computers, and Internet connections at a very low monthly cost.
Chapter 12: Managing Electronic Commerce Implementations
a.
public relations firm
b.
incubator
c.
distributor
d.
venture capital firm
36. A company’s top technology manager is its _____.
a.
operations manager
b.
human resource manager
c.
systems analyst
d.
chief information officer
d
1
Easy
12.04
United States – BUSPROG: Technology
Bloom’s: Knowledge
37. _____ is an example of a commercial project management software product.
a.
Oracle Linux
b.
Microsoft Silverlight
c.
Microsoft Office
d.
Oracle Primavera
d
Moderate
12.04
United States – BUSPROG: Technology
Bloom’s: Comprehension
38. A downside of using internal incubators for technology development is that:
a.
technology developed by the company would
be controlled by the parent company.
b.
the company has to reinvest in a new incubator
candidate if the existing one has obtained venture
capital financing.
c.
the company has to develop technology which
will not be used by their own business
operations.
d.
technology developed in the incubator will never be
launched.
1
Moderate
12.03
United States – BUSPROG: Technology
Bloom’s: Comprehension
39. The value of the accumulated mass of employees’ knowledge about the business and its processes is known as _____.
a.
stock value
b.
intellectual capital
Chapter 12: Managing Electronic Commerce Implementations
c.
return on investment
d.
total cost of ownership
40. An approach of outsourcing the maintenance of an electronic commerce system after it has become a stable part of
business operations of a company is called _____.
a.
partial outsourcing
b.
early outsourcing
c.
late outsourcing
d.
component outsourcing
Easy
United States – BUSPROG: Technology
Bloom’s: Knowledge
41. Project management is best defined as:
a.
a technique in which each project is monitored
as if it were an investment in a financial
portfolio.
b.
the process of helping employees cope with changes in
an information system project.
c.
a collection of formal techniques for planning
and controlling the activities undertaken to
achieve a specific goal.
d.
a formal review of a project after it is up and running
to gather lessons learned from both successful and
unsuccessful projects.
1
Easy
United States – BUSPROG: Technology
Bloom’s: Knowledge
42. A(n) _____ should be a member of the internal team that sets the objectives for the project in case specific proposals
for plan modifications and additional funding need to be made later on.
a.
business manager
b.
Web programmer
c.
application specialist
d.
content creator
43. A(n) _____ is a person with specific training or skills in tracking costs and the accomplishment of specific objectives
in an electronic commerce initiative.
Chapter 12: Managing Electronic Commerce Implementations
a.
Web programmer
b.
content manager
c.
project manager
d.
application programmer
44. A(n) _____ is responsible for keeping track of multiple Web sites in use by a project or keeping track of the projects
that will combine to create a larger Web site.
a.
Web graphics designer
b.
account manager
c.
chief information officer
d.
Web programmer
45. A(n) _____ must ensure that the Web pages on a site are visually appealing or easy to use.
a.
Web graphics designer
b.
Web programmer
c.
systems administrator
d.
application specialist
Easy
United States – BUSPROG: Technology
Bloom’s: Knowledge
46. _____ design and write the underlying code for dynamic database-driven Web pages.
a.
Content creators
b.
Web graphics designers
c.
Content editors
d.
Web programmers
d
1
12.04
United States – BUSPROG: Technology
Bloom’s: Knowledge
47. A(n) _____ is defined as a company that handles incoming customer telephone calls and e-mails for other companies.
a.
auditing firm
b.
call center
c.
recruiter
d.
incubator
1
48. The _____ staff functions include load estimation and load monitoring and designing and implementing fault-resistant
technologies.
a.
call center
b.
content creation
c.
database administration
d.
network operations
United States – BUSPROG: Technology
Bloom’s: Knowledge
49. Most electronic commerce sites require a _____ function to support activities such as transaction processing, order
entry, inquiry management, or shipment logistics.
a.
graphics design
b.
database administration
c.
content management
d.
content creation
United States – BUSPROG: Technology
Bloom’s: Knowledge
50. A _____ is a formal review of a project after it is up and running.
a.
postimplementation audit
b.
project management
c.
specific staffing
d.
project portfolio management
United States – BUSPROG: Technology
Bloom’s: Knowledge
51. Measurements that companies can make to assess the value of benefits to the company are often called _____.
United States – BUSPROG: Technology
Bloom’s: Knowledge
52. _____ are the foregone benefits that a company could have obtained from an electronic commerce initiative that they
chose not to pursue.
United States – BUSPROG: Technology
53. A company sells stock to the public in an event called a(n) _____.
54. The major investments in equipment, personnel, and other assets, in a company, are called _____.
55. Wealthy individuals, groups of wealthy individuals, or investment firms that look for small companies that are about
to grow rapidly and invest large amounts of money in them are known as _____.
56. Partial outsourcing is also called _____.
57. Open Workbench, OpenProj, and Redmine are open-source _____ software packages that offer many of the same
Chapter 12: Managing Electronic Commerce Implementations
features as the leading commercial products.
58. One of the first Internet incubators was _____, which helped launch companies such as CarsDirect.com, Overture,
and Tickets.com.
59. Today, managers use specific application software called _____ to help them oversee projects.
60. _____ is a technique in which each project is monitored as if it were an investment in a financial portfolio.
61. In the context of staffing for electronic commerce, a(n) _____ is responsible for managing the virtual community
elements of the Web operation.
62. In the context of project management, in _____, the chief information officer assigns a ranking for each project based
on its importance to the strategic goals of the business and its level of risk.
63. The _____ of an organization specializes in the specific techniques used to build brands and increase market share
using the Web site and other online tools, such as e-mail marketing.
64. The _____ version is the “under construction” version of a Web site, which gives the company a place to make sure
that each new feature works before exposing it to customers.
65. The _____ version of a Web site is the full operating version of the site that is available to customers and other
visitors.
66. The _____ version of a Web site has features that have passed testing and must be presented by an internal audience
for approval.
67. Online businesses that are _____ companies cannot, in general, borrow from a bank or offer bonds or stock to
investors.
68. Businesspersons who have enough money and business knowledge to evaluate an idea’s potential and provide the
initial capital to a startup and hope to profit from its rapid growth are called _____.
69. _____ are responsible for purchasing existing material and adapting it for use on Web sites.
70. A(n) _____ is a person trained in art, layout, and composition and who also understands how Web pages are
constructed.
71. The _____ ,who understands the server hardware and operating system, is responsible for the system’s reliable and
secure operation.
72. _____ personnel help design and implement customer relationship management activities in the electronic commerce
operation.
73. A postimplementation audit is also called a(n) _____.
74. The kind of service provided to keep an electronic commerce site up and running throughout a day, all the days in a
week, is often called _____.
75. The process of helping employees cope with modifications in the workplace is called _____.
76. What are the most important factors to evaluate when selecting a hosting service?
77. Briefly discuss the built-in biases in the return on investment, or ROI, technique that can lead managers to make poor
decisions.
78. What is the purpose of an incubator?
79. Describe the process of partial outsourcing?
80. Describe the role of a business manager in electronic commerce initiatives.