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Package Title: Homework Questions
Course Title: IS 5e
Chapter Number: 7
Question Type: Multiple Selection
1) The opening case illustrates how e-commerce has increased (choose all that apply):
a) The speed at which we do business.
b) The occurrence of human errors.
c) The volume of business transactions.
d) The skill with which computers are able to handle unexpected situations.
2) Businesses and organizations set up Web sites to:
a) Sell goods and services.
b) Induce people to visit a physical location.
c) Reduce operational and transaction costs.
d) Enhance their reputation.
e) All of these.
3) In order to be considered as an e-commerce Web site, the site must sell some tangible good.
4) Downloading a book on an Amazon Kindle is an example of:
a) Pure e-commerce.
b) Partial e-commerce.
c) Both of these are correct.
d) Neither of these correct.
5) ____ accounts for the majority of e-commerce transactions.
a) B2C
b) B2B
c) C2C
d) B2E
e) G2C
6) eBay employs the ___ auction mechanism.
a) Forward
b) Reverse
c) Dutch
d) Proprietary eBay
7) ____ and ____ are the two major challenges for the sellers in e-commerce.
a) Order fulfillment, large orders
b) Channel conflict, advertising
c) Advertising, large orders
d) Channel conflict, order fulfillment
8) In general, the e-commerce Web sites of click-and-mortar companies operate only during the business hours
of their brick-and-mortar stores.
9) In general, e-commerce Web sites of click-and-mortar companies carry the same variety of merchandise as
their brick-and-mortar stores.
10) For a small–to-medium enterprise, the benefits of setting up an e-commerce store front include (choose all
that apply):
a) The ability to offer a larger selection of products.
b) The ability to eliminate advertising.
c) The ability to offer lower prices to customers.
d) The ability to reach a wider customer base.
11) Information is the major component of the e-commerce offerings of service industries.
12) Internet marketing typically is one-way and impersonal.
13) When organizations come to a company’s Web site for procurement, such business is classified as a(n):
a) Buy-side marketplace.
b) Sell-side marketplace.
c) Electronic exchange.
d) None of these.
14) When organizations request for bids for contracts on their own Web site for procurement, such business is
classified as a(n):
a) Buy-side marketplace.
b) Sell-side marketplace.
c) Electronic exchange.
d) None of these.
15) Vertical exchanges are typically used only to buy and sell materials required for an organization’s support
activities.
16) In an e-credit card transaction, the clearinghouse plays the following role:
a) Initiates the transfer of money
b) Validates and verifies the seller’s payment information
c) Transfers funds between the seller’s bank and the buyer’s bank
d) All of these
17) Virtual credit cards create new credit card accounts that are valid only for a pre-defined number of
transactions.
18) The fee for a monetary transaction between a buyer and a seller using PayPal is paid for by:
a) The payee.
b) The payer.
c) Both the payee and the payer.
d) Neither party; PayPal is a free service
19) The sales tax laws that apply to brick-and-mortar stores also apply to all e-commerce stores.
20) Due to privacy issues, it is illegal for e-commerce Web sites to use cookies to record their customer’s past
behaviors and discover their identity.
21) Cybersquatting refers to the tampering of existing Web sites and selling unrelated products.
