Electronic Commerce 2012 7E Test Bank Chapter 14

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Electronic Commerce 2012, 7e (Turban) Chapter 14 E-Commerce: Regulatory,

Ethical, and Social Environments 14.1 True/False Question: Violation of copyrights on

the Internet is a major problem for creators and distributors of intellectual property such as

movies, music, and books. Answer:

Question: Business ethics is a form of applied ethics that examines ethical principles and

moral or ethical problems that arise in a business environment. Answer:

Question: Acts or activities that are unethical are also illegal. Answer:

Question: The USA PATRIOT Act allows employers to monitor their electronic workplace.

Answer:

Question: According to a survey conducted by the 24/7 Wall St. Company, workers spend

approximately 12 hours online each week on personal matters during work. Answer:

Question: A corporate code of ethics should specify whether the company allows

employees to set up their own Web pages on the company intranet and the rules for private

e-mail usage during working hours. Answer:

Question: EC Web site content needs to be reviewed by attorneys with cyberlaw expertise

to ensure that there is nothing unethical or illegal and that all required statements and

disclaimers are properly included. Answer:

Question: Creations of the mind, such as inventions, literary and artistic works, and

symbols, names, images, and designs, used in commerce are known as private property.

Answer:

Question: The Communications Decency Act gives U.S. law enforcement the right to shut

down websites without trial or defense if it finds the central reason for the site is to

distribute copyrighted information illegally. Answer:

Question: Digital technologies make it possible to produce and distribute a high-quality

duplicate of any digital recording with minimal effort and cost. Answer:

Question: Trade secrets serve to protect tangible technological inventions, especially in

traditional industrial areas. Answer:

Question: In 2010, the Supreme Court ruled that patents cover abstract ideas. Answer:

Question: A trademark is a symbol businesses use to identify their goods and services.

Answer:

Question: Unlike hate sites that can cause problems for corporations or lead to lawsuits,

fan sites are beneficial and welcomed by the entertainment industry. Answer:

Question: Virtually all U.S. states and the federal government, either by statute or by

common law, recognize the right to privacy, but few government agencies actually follow

all the statutes. Answer:

Question: Internet regulation at a federal level is authorized by the USA PATRIOT Act.

Answer:

Question: Legal precedents are decisions by judges that may be used as standards in

similar legal cases that follow. Answer:

Question: Government supercomputers are capable of reading every e-mail sent, listening

to every mobile conversation, reading every text message, knowing every user location,

and following every credit card purchase besides tracking every website visited by Internet

users around the globe. Answer:

Question: RFIDs can be used to track individuals. Answer:

Question: Ethical principles that apply to the collection and use of personal information,

such as notifying customers of information practices before collecting it, do not apply to

information collected in e-commerce. Answer:

Question: Under the Dodd-Frank Act, privacy notices guarantee consumers certain rights

while shopping online. Answer:

Question: Contemporary information systems should be built to encourage compliance and

maximize the possibility of accountability for violations. Answer:

Question: Several public organizations and private companies attempt to protect

consumers and build users trust and confidence in the Internet through a seal of quality,

such as Trustmark and BBBOnLine. Answer:

Question: Electronic signatures improve EC by helping to distinguish between legitimate

and fraudulent transactions and build trust and predictability needed by parties doing

business online. Answer:

Question: Online sellers can better protect themselves against fraud by requiring customers

whose billing address is different from the shipping address to call their bank and have the

alternate address added to their bank account. Answer:

Question: Digital reference is a generic, technology-neutral term that refers to the various

methods by which one can sign an electronic record. Answer:

Question: Biometric controls provide access procedures that match every valid user with a

unique user identifier. Answer:

Question: According to the Gartner Group, 40 percent of the worlds data centers are

constrained by heat, space, and power requirements. Answer:

Question: Green software refers to software products that help companies save energy or

comply with EPA requirements. Answer:

Question: Sustainability regulations such as RoHS in the European Union (EU) will

increasingly impact how supply chains function regardless of location. Answer:

Question: Electronic Product Environmental Assessment Tool (EPEAT) is a searchable

database of computer hardware that meets a strict set of environmental criteria. Answer:

Question: Teleconferencing or virtual work offers many green benefits, including reducing

rush hour traffic, improving air quality, improving highway safety, and improving health

care. Answer:

Question: Virtual universities are helping to reduce the digital divide. Answer:

Question: Various EC tools can help increase our safety at home and in public, such as

e-911 systems; global collaborative commerce technologies, e-procurement, and

e-government efforts at information sharing. Answer:

Question: Some believe that exposure to cellular mobile communication radiation may

cause health problems; however, it may take years before the truth of this claim is known.

Answer:

Question: The branch of philosophy that deals with what is considered to be right and

wrong best defines A) ethics. B) due process. C) intellectual property law. D) business law.

Answer:

Question: The right to be left alone and free from unreasonable personal intrusions best

defines A) intrusion protection. B) privacy. C) social law. D) patent law. Answer:

Question: According to a study by Robert Half Technology, the top time waster is A)

online games. B) personal email. C) social networks. D) gambling. Answer:

Question: Which of the following states the rules and expected behaviors and actions? A)

citizenship B) job description C) company mission statement D) corporate code of ethics

Answer:

Question: Corporate Web policy guidelines include each of the following except A) issue

word-of-mouth acceptable use policies (AUP). B) make it clear to employees that they

cannot use copyrighted or trademarked material without permission. C) post disclaimers

concerning content. D) have attorneys with cyber law expertise review Web content.

Answer:

Question: An Internet acceptable use policy (AUP) is an important safeguard because A) it

is required by the FTC. B) it includes a corporate code of ethics. C) without a formal AUP,

it is much more difficult to enforce acceptable behaviors and eliminate unacceptable

behaviors and punish violators. D) employees may be using company e-mail to advertise

their own businesses. Answer:

Question: Intellectual property law is the area of law that is associated with each of the

following except A) business contracts. B) visual and performing arts. C) patent law,

and video games. Answer:

Question: An exclusive right of the author or creator of a book, movie, musical

composition, or other artistic property to print, copy, sell, license, distribute, transform to

another medium, translate, record, perform, or otherwise use best defines A) patent. B)

Question: Which of the following extends a copyright to 70 years after the death of the

author? A) Carry Grant Copyright Extension Act B) Communications Privacy and

Consumer Empowerment Act C) Sonny Bono Copyright Extension Act D) Sarbanes-Oxley

Act Answer:

Question: Which of the following intellectual property laws protects confidential business

information? A) patent law B) trademark law C) law of licensing D) trade secret law

Answer:

Question: Which of the following intellectual property laws protects inventions and

discoveries? A) patent law B) trade secret law C) law of licensing D) trademark law

Answer:

Question: Which intellectual property law is correctly matched with its protection? A)

Patent law protects inventions. B) Trade secret law protects creations of the mind. C)

discoveries. Answer:

Question: Use of the work without permission or contracting for payment of a royalty best

defines A) fair use. B) infringement. C) cyberlifting. D) digital rights violation. Answer:

Question: Which of the following gives the authorities dramatic new copyright

enforcement powers allowing them to take down entire domains dedicated to online piracy

rather than just targeting files that actually infringe copyright law? A) Federal Trademark

Dilution Act B) Communications Decency Act C) Copyright Enforcement Bill D)

Anti-Cybersquatting Consumer Protection Act Answer:

Question: Each of the following statements about digital rights management (DRM) is true

except A) DRM are technology-based protection measures. B) DRM technologies were

developed with strict regard for privacy protection. C) typically, the content is a

copyrighted digital work to which the vendor holds right. D) DRM is an umbrella term for

any arrangement that allows a vendor of content in electronic form to control the material

and restrict its usage. Answer:

Question: An umbrella term for any of several arrangements that allow a vendor of content

in electronic form to control the material and restrict its usage best defines A) fair use. B)

electronic conservatorship. C) digital rights management. D) digital patent. Answer:

Question: Fair use means A) copyrighted material can be used for noncommercial

purposes without paying royalties or getting permission. B) a copyright holder has

exclusive rights to the invention for a fixed number of years. C) the author or creator of a

book, movie, or musical composition can use his or her creations for an unlimited number

of years. D) copyrighted material can be digitally protected against misuse. Answer:

Question: The use of famous trademarks in public that diminishes the capacity of the mark

to distinguish goods or services, or tarnishes the mark in the eyes of the consumer best

defines A) copyright infringement. B) trademark dilution. C) patent theft. D) social use.

Answer:

Question: A domain name that criticizes an organization or person best defines A)

repudiation site. B) cyberstalking. C) cyberbashing. D) cyberflaming. Answer:

Question: Each of the following statements apply to hate Web sites except A) web sites

that contain legitimate complaints that are not defamatory, sponsored by competitors, or

infringe upon trademark rights by confusing consumers are usually protected by the First

Amendment. B) many hate sites are directed against large corporations such as Wal-Mart,

Microsoft, and Nike. C) cyberbashing is the registration of a domain name that criticizes

an organization or person. D) the intent of most hate Web sites is to commit fraud. Answer:

Question: Section 5 of the FTC Act does each of the following except A) prohibits unfair

or deceptive EC practices. B) gives the FTC authority to take action against companies

whose lax security practices could expose customers financial information to theft or loss.

C) protects privacy. D) requires monitoring of employees e-mail. Answer:

Question: Companies can improve their responsibility as custodians of customers personal

data by implementing A) opt-in and opt-out information practices. B) AUP. C) e-mail

monitoring. D) firewalls. Answer:

Question: The business practice that gives consumers the opportunity to refuse sharing

information about themselves best defines A) opt-in. B) opt-out. C) right of refusal. D)

freedom of information. Answer:

Question: An agreement that requires computer users to take specific steps to allow the

collection of personal information best defines A) opt-out. B) information submission

clause. C) opt-in. D) cyberawareness. Answer:

Question: Which of the following mandated the use of filtering technologies in schools and

libraries that receive certain types of U.S. federal funding? A) Communications Decency

Act B) Federal commuter Fraud and Abuse Act C) Lanham Act D) Childrens Internet

Protection Act Answer:

Question: Methods used for collecting data about people include A) search engines. B)

RFIDs. C) site transaction logs. D) all of the above. Answer:

Question: Which of the following is one of the most common ways of gathering

information on the Internet? A) using spyware, keystroke loggers, and similar methods B)

wiretapping wireline and wireless communication lines C) reading an individuals e-mail,

IM, or text message D) reading an individuals blogs or newsgroup postings Answer:

Question: Based on Richard Clarkes 2010 definition, which of the following refers to

actions by a nation-state to penetrate another nations computers or networks for the

purposes of causing damage or disruption? A) cybercombat B) cyberwarfare C)

cyberintrusion D) cyberlashing Answer:

Question: All unwanted software programs designed to steal proprietary information or

that target data stores containing confidential information best defines A) viruses. B) target

emails. C) spyware. D) cybersniffers. Answer:

Question: Ethical principles commonly applied to the collection and use of personal

information include A) choice or consent. B) access or participation. C) integrity or

security. D) all of the above. Answer:

Question: Which of the following requires the FTC to enforce online privacy rights in EC,

including the collection and use of personal data? A) Communications Privacy and

Consumer Empowerment Act B) USA Patriot Act C) Computer Fraud and Abuse Act D)

Dodd-Frank Act Answer:

Question: A protocol allowing websites to declare their intended use of information they

collect about browsing users best defines A) Platform for Privacy Preferences Project. B)

HTML. C) Internet Data Collection Protocol. D) Cyberawareness Authentication

Signature. Answer:

Question: Which of the following is the European Unions directive that aims to regulate

the activities of any person or company that controls the collection, storage, processing, or

use of personal data on the Internet? A) EU Privacy Enforcement Act B) EU Information

Control and Disbursal Act C) EU Data Protection Directive D) EU Internet Data

Collection Act Answer:

Question: Discovery in civil litigation that deals with information in electronic format best

describes A) electronic delivery. B) electronic case files. C) metadata. D) electronic

discovery. Answer:

Question: Important EC issues include A) time and place. B) liability. C) defamation. D)

all of the above. Answer:

Question: A major computer crime law to protect computers and other Internet-connected

computers best describes A) Computer Fraud and Abuse Act. B) Sarbanes-Oxley Act. C)

American Recovery and Reinvestment Act. D) Dodd-Frank Act. Answer:

Question: EC sellers need to protect against fraud and each of the following except A)

public keys. B) customers who deny that they placed an order. C) customers who give false

credit card or bad check information in payment for products and services provided. D) use

of their name by imposter sellers. Answer:

Question: Examples of electronic signatures to help distinguish between legitimate and

fraudulent transactions include each of the following except A) a name typed at the end of

an e-mail message by the sender. B) a digitized image of a handwritten signature attached

to an electronic document. C) a secret code or PIN to identify the sender to the recipient.

D) a Web site development agreement. Answer:

Question: According to an ExecuNet survey, what percentage of hiring managers now use

social media sites to check out job candidates? A) 55 percent. B) 77 percent. C) 88 percent.

D) 66 percent. Answer:

Question: Data pertaining to the enterprise included in the law that can be used for the

purpose of implementing or validating compliance best defines A) ethical data. B) research

data. C) digital data. D) compliance data. Answer:

Question: The gap that has emerged between those who have and those who do not have

the ability to use the technology best defines A) digital divide. B) electronic divide. C)

computing divide. D) cyberdivide. Answer:

Question: The study and practice of eco-friendly computing resources which is now a key

concern for businesses in all industries best defines A) blue computing. B) red computing.

C) green computing. D) safe computing. Answer:

Question: Potential benefits of telecommuting or virtual work for an organization include

A) reduces or eliminates travel-related time and expenses. B) improves job satisfaction and

productivity. C) allows closer proximity to and involvement with family. D) increases

productivity despite distractions. Answer:

Question: Potential benefits of telecommuting or virtual work for community and society

include A) allows the movement of job opportunities to areas of high unemployment. B)

increases employment. C) reduces traffic-related pollution and congestion. D) all of the

above. Answer:

Question: A searchable database of computer hardware that meets a strict set of

environmental criteria best defines A) Electronic Product Environmental Assessment Tool.

B) Cybercollection Distribution Database. C) Digital Rights Management Database. D)

Cloud Computing and Data Management Compliance Tool. Answer:

Question: Explain the similarities and differences between laws and ethics. Answer:

Question: Identify five intellectual property law specialty areas. Answer:

Question: List ten ways that information about individuals is collected and used online.

Answer:

Question: Identify five ethical principles for privacy protection. Answer:

Question: Define green computing. Provide five guidelines for saving computing power.

Answer: