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CHAPTER TWO
STRATEGIC E-MARKETING AND PERFORMANCE METRICS
Multiple Choice
1. Which of the following is a goal oriented focus of strategic planning?
a. growth
b. competitive position
c. geographic scope (e.g., expansion)
d. all of the above
2. The four performance areas of the balanced scorecard include all of the following except
________.
a. customer perspective
b. internal business perspective
c. learning and growth perspective
d. metrics perspective
3. Regarding customers and business partners, e-marketing is capable of improving the overall
value propositions by ________.
a. increasing benefits for customers
b. decreasing costs for customers and the company
c. increasing the revenues
d. all of the above
4. The various levels of organizational commitment to e-business include all of the following,
except ________.
a. activity
b. business process
c. enterprise
d. business policy
5. The costs associated with the organization’s value proposition include, for example,
________.
a. time
b. energy
c. psychic
d. all of the above
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6. Which of the following is true about business use of informational technology?
a. It generally increases benefits to stakeholders.
b. It generally lowers costs to stakeholders.
c. It can lead to a decrease in value to stakeholders.
d. All of the above.
7. Which of the following is not a viable competitive position for a firm within its given
industry?
a. industry leader (e.g., Google)
b. price leader (e.g., Priceline)
c. quality leader (e.g., Mercedes)
d. business model leader (e.g., Borders)
8. Corporate level business strategies that include information technology components, such
as internet, digital databases) are known as ________.
a. marketing strategies
b. e-business strategies
c. e-marketing strategies
d. corporate strategies
9. Which of the following is not one of the four appropriate rationales for choosing the
objectives of a strategic plan?
a. strategic justification
b. personal justification
c. technical justification
d. financial justification
10. Important elements of value include all of the following except ________.
a. customers’ perception of product benefits
b. partners’ perception of product costs
c. customer evaluations of support services
d. all of the above
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11. Which of the following processes is unlikely to be carried out at the activity level of e-
business commitment?
a. customer relationship management
b. online purchasing
c. e-mail
d. dynamic pricing online
12. Which of the following is not an activity which is likely to be practiced at the business
process level of e-business commitment?
a. content publishing
b. knowledge management
c. direct selling
d. database marketing
13. ________ are specific measures designed to evaluate the effectiveness and efficiency of an
organization’s operations.
a. Strategic outcomes
b. Key performance metrics
c. Business models
d. Strategic objectives
14. ________ can be learned from dividing net profits by total assets.
a. Return on investment (ROI)
b. Market capitalization
c. Earnings
d. Income
15. Profits and return on investment (ROI) are among the most common metrics used to assess
performance from the ________ perspective.
a. customer
b. internal
c. innovation/learning
d. financial
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16. Content sponsorship, direct selling, and social networking, occur at the ________ of the e-
business model.
a. activity level
b. business process level
c. enterprise level
d. none of the above
17. Database marketing and customer relationship management (CRM) occur at the ________
of the e-business model.
a. activity level
b. business process level
c. enterprise level
d. none of the above
18. Within the e-business model, e-mail occurs ________.
a. at the activity level
b. at the business process level
c. at the enterprise level
d. none of the above
19. As one of the social media performance metrics, action metrics could include all of the
following except:
a. click-through
b. share of voice
c. event attendance
d. purchase
20. The internal perspective of the Balanced Scorecard gives particular attention to ________.
a. market share
b. shareholder value
c. supply chain value to the company
d. customer satisfaction
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True/False
21. The Balanced Scorecard is based on three stakeholder perspectives.
a. True
b. False
22. Return on investment (ROI) is a popular metric used to measure performance regarding the
financial perspective or the Balanced Scorecard.
a. True
b. False
23. As a marketer using the social commerce business model, you would leverage social media
and consumer interactions to facilitate online sales.
a. True
b. False
24. Objectives, strategies and tactics exist exclusively at the executive level.
a. True
b. False
25. In order to determine whether a business model is an appropriate fit for a given firm it is
important to consider connected activities and price.
a. True
b. False
26. All e-business models are internet business models.
a. True
b. False
27. Customer relationship management focuses only on retaining existing individual
customers.
a. True
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28. The Balanced Scorecard can be used by all types of businesses.
a. True
b. False
29. Strategy represents the means to achieve a goal.
a. True
b. False
30. An e-business model is a method by which the organization sustains itself in the long term
using information technology resources and principles.
a. True
b. False
31. Information technology always lowers costs to business stakeholders.
a. True
b. False
32. Growth in market share is the main way for e-commerce companies to evaluate long term
performance.
a. True
Essay
33. What are four types of justifications that a decision maker may cite to support or oppose an
organizational or marketing campaign?
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34. From the customer’s perspective, what are the value-added benefits of e-marketing?
35. Business organizations may vary according to their e-business activities. What are the
different levels of commitment to e-business available to these organizations?
36. What are the most important considerations in selecting social media performance metrics?
37. What are the four perspectives of the Balanced Scorecard?
38. On what bases can organizations appraise or evaluate their business models?
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39. The Balanced Scorecard provides several metrics for evaluating the customer perspective.
What are these specific metrics?