Deck 11: E-Commerce

Question 1

Digital wallet programs are not yet available for mobile phones.

Answer 1

False

Question 2

E-commerce credit card transactions are much less likely to be fraudulent than conventional credit card transactions.

Answer 2

False

Question 3

Although some people are hesitant to send their credit card information over the Internet, it is by far the most common payment method used for online purchases.

Answer 3

True

Question 4

The policies, operations, and technologies used by a business help to define its business model.

Question 5

Some Web hosting services offer free shopping cart software that can be used with Web sites hosted on their servers.

Question 6

In order to accept credit cards, a business typically opens a merchant account or a mobile payment processing account (such as from VeriFone or Intuit).

Question 7

Consumer online auction sites, such as eBay, provide individuals with a structured medium for selling goods and services to other individuals.

Question 8

Horizontal hubs match buyers and sellers within a specific industry.

Question 9

An emerging m-commerce alternative is Near Field Communication (NFC) technology, which uses x-rays to facilitate communication between devices.

Question 10

Many online auction sites collect comments about transactions, typically called auctiontalk.

Question 11

Storefront software is available in both installed and cloud versions.

Question 12

To help with comparison shopping, a variety of comparison shopping Web sites- sometimes called shopping carts-are available to gather prices and shipping information from multiple sites for a particular product, and then summarize the results to help locate the best buys from potential vendors.

Question 13

While banner ads originally were static ads, it is more common today to use dynamic banner ads (called read-me banner ads) that play a short video or animation sequence when the page hosting the banner ad is displayed.

Question 14

E-commerce Web sites cannot be designed and developed in-house; instead, businesses have to outsource these tasks to a professional Web development company.

Question 15

Typically, a B₂C e-commerce site will use multiple payment options.

Question 16

Intermediary hubs usually receive a transaction fee from the buying organization.

Question 17

In the past few years, e-commerce spending in the United States has grown at an erratic pace.

Question 18

Financial brokerage sites generate revenue by charging commissions or transaction fees for each transaction.

Question 19

The keywords meta tag is used to specify keywords that should be associated with that page; that is, the search terms you expect people to enter when searching for your Web page.

Question 20

B2B possibilities include buying goods and services needed for business operations, as well as purchasing manufacturing supplies and raw goods.

Question 21

Many online auction sites today offer free buyer protection for items up to a certain dollar amount if the items do not arrive or are not as advertised. _________________________

Question 22

Promotion of a site refers to advertising its existence, purpose, and URL. _________________________

Question 23

Comparison shopping Web sites are sometimes called ____.

A) shopping bots
B) shopping bags
C) shopping carts
D) e-shopping

Question 24

Although e-commerce is most often implemented today via Web sites, banks, for example, have been conducting e-commerce for years using private networks. _________________________

Question 25

Sponsored links are associated with a specific search term and are the links displayed first or in a special sponsored links area whenever that term is searched for. _________________________

Question 26

With the ____, businesses sell goods or services to individual consumers.

A) business-to-consumer (B₂C) model
B) business-to-government (B₂G) model
C) business-to-business (B2B) model
D) consumer-to-consumer (C₂C) model

Question 27

Electronic check processing is the first thing that comes to mind when considering online payments. _________________________

Question 28

Service-oriented B2B sites include tax preparation, video-on-demand (VOD), travel agency, distance learning, and music subscription services. _________________________

Question 29

Web sites such Amazon.com, Walmart.com, Overstock.com, and BestBuy.com are examples of ____ sites.

A) B2B
B) B₂C
C) B₂G
D) C₂C

Question 30

Because of the low overhead costs associated with ____, new e-commerce businesses can enter the marketplace relatively inexpensively.

A) shopping carts
B) online stores
C) shopping bags
D) storebots

Question 31

Internet-only stores particularly benefit from cost reductions because they do not have the expenditure of maintaining a physical storefront, like conventional brick-and-mortar stores do. _________________________

Question 32

____ is the term used to describe conducting business transactions-generally financial transactions-via communications technology.

A) Internet-transaction
B) E-commerce
C) Net-commerce
D) Net-business

Question 33

The collection of hardware, software, people, policies, and strategies used to perform and support e-commerce is referred to as a(n) ____.

A) Net-commerce system
B) Internet B-platform
C) e-commerce system
D) EB-platform

Question 34

Perhaps the biggest disadvantage of e-commerce from a customer standpoint is the ____.

A) inability to return items
B) difficulty of using credit cards
C) risk of fraud
D) inability to see merchandise

Question 35

E-commerce performed via a mobile phone or other mobile device is referred to as air-commerce. _________________________

Question 36

The accompanying figure shows one of the leading online security companies. _________________________

Question 37

Banner ads can be emotional ads-that is, ads that are targeted to individuals based on their preferences, buying habits, or interests. _________________________

Question 38

E-commerce business models (B₂C, B2B, and so on) are not necessarily mutually exclusive. _________________________

Question 39

Businesses that sell goods and services via only the Web are often called dot-orgs. _________________________

Question 40

A(n) online retailer site usually obtains revenue when the items are initially listed for sale, as well as when the successful bidder purchases the item. _________________________

Question 41

____ bring buyers and sellers together to facilitate transactions between the two parties.

A) M-Brokers
B) E-tailers
C) Shop carts
D) Brokerage sites

Question 42

For businesses that already have an existing Web site and just need to add ordering capabilities and checkout procedures to that site, ____ can be used.

A) e-order software
B) shopping robot software
C) shopping cart software
D) online order software

Question 43

The accompanying figure shows a(n) ____ credit card.

A) B2B
B) B₂C
C) VND
D) OTP

Question 44

When intermediary hubs specialize in a specific industry (such as healthcare), they are sometimes called ____ hubs.

A) vertical
B) horizontal
C) centered
D) subscription

Question 45

____ is an online payment service that allows individuals to transfer money easily from their online payment account to someone else's.

A) SimpleTech
B) PayPal
C) Wal-Mart
D) eBay

Question 46

To reassure customers, all e-commerce sites should develop and display a ____ policy stating how collected customer information will be used.

A) business model
B) customer
C) privacy
D) database

Question 47

Online auction sites that are designed for transactions between businesses are referred to as ____ auction sites.

A) C2G
B) C₂C
C) consumer online
D) business online

Question 48

Instead of selling an actual physical or electronic product to customers, ____ sell access to online services.

A) subscription sites
B) video-on-disk sites
C) online auction sites
D) B₂G sites

Question 49

____ account numbers are essentially disposable credit card numbers that can be used to buy goods and services that will be charged to the customer's regular credit card.

A) Temporary
B) Virtual
C) Prepaid
D) Online

Question 50

If you own the trademark to your business name, the ____ Consumer Protection Act protects your trademark in cyberspace.

A) Anticybersquatting
B) Online
C) Cyberbusiness
D) Trademark

Question 51

Although B₂C was initially expected to be the most prominent type of e-commerce business model, revenues from the ____ model are now expected to far surpass the B₂C marketplace.

A) C₂C
B) B₂G
C) B2B
D) B₂E

Question 52

In order to accept credit cards, a business typically opens an e-commerce merchant account, also called a(n) ____.

A) Internet merchant account
B) Net merchant account
C) Internet business account
D) Web card account

Question 53

The C₂C model is also known as the ____ model.

A) B2B
B) P₂P
C) B₂G
D) B₂C

Question 54

____ is the process of building the Web site, including developing all of the components to be used on the Web site, creating the actual Web pages, testing the site, and publishing the site.

A) Web site planning
B) Web site design
C) Web site deployment
D) Web site development

Question 55

Companies that follow the ____ do not sell goods or services directly to others, but instead bring buyers and sellers together within a specific industry or business process.

A) business-to-government (B₂G) model
B) person-to-person (P₂P) model
C) business-to-business (B2B) model
D) intermediary hub model

Question 56

____ seals are issued by the Certificate Authority issuing the site's SSL or EV SSL certificate and are designed to remind shoppers that the site is protected by that certificate.

A) Privacy
B) Protection
C) Warranty
D) Security

Question 57

Common ____ activities include providing online order status information, links for tracking delivery shipments, downloadable product manuals, and online technical support, such as via e-mail or live chat.

A) C₂C
B) eCRM
C) eCMS
D) CBT

Question 58

____ businesses sell products and services to local, state, and federal government buyers.

A) B2B
B) C₂C
C) B₂C
D) B₂G

Question 59

____ is the situation when a customer places items in his or her cart but never actually purchases them.

A) Shopping cart abandonment
B) Customer abandonment
C) Customer turn-around
D) Window shopping

Question 60

Instead of a formal auction with a specific ending time and an automatic winner, dynamic pricing sites-such as ____-allow buyers to bid on items or services listed for sale, and then the seller decides whether or not to accept each offer on an individual basis.

A) PriceGrabber.com
B) eBay
C) Priceline.com
D) PayPal

Question 61

One of the most recognized privacy seals is the ____ trustmark.

A) PayPal
B) TRUSTe
C) SimpleTech
D) Peer Impact

Question 62

Many e-commerce sites include ____________________-activities used to support customers and increase their satisfaction and loyalty.

Question 63

Each time an online credit card transaction is made, the bank obtains the money from the issuing credit card company and transfers it to the ____________________.

Question 64

Widely-used ____________________ services that an e-commerce Web site might include are online order tracking, online versions of product instruction manuals, and customer service via e-mail or live chat.

Question 65

The ____________________ model includes any type of e-commerce transaction taking place between two businesses.

Question 66

____________________ sites facilitate the exchange of financial items (such as stocks, bonds, futures, and options) between buyers and sellers.

Question 67

Many ____________________ are available to gather prices, shipping, and delivery information from multiple sites for a particular product and summarize the results to help locate the best buys from potential vendors.

Question 68

A(n) ____________________ exchange site is designed to help match organizations with goods or services to sell with potential buyers who desire those resources.

Question 69

____ tags are used by many (but not all) search engines to classify the Web page when it is added to a search database.

A) Page
B) Search
C) Site
D) Meta

Question 70

Both manufacturers and online retailers-often called ____________________ -can sell directly to customers via their Web sites.

Question 71

Digital coupons consist of codes-typically called ____________________-that are entered into the appropriate location on a checkout page to deduct the coupon amount from a purchase total.

Question 72

The accompanying figure shows a ____ seal.

A) privacy
B) trust
C) security
D) warranty

Question 73

Dynamic multimedia ads are also called ____________________ ads.

Question 74

____________________ software is a type of software that can be used to create an online store.

Question 75

A market exchange site is sometimes referred to as a(n) ____________________.

Question 76

____________________ credit cards are credit cards that are preloaded with a specific amount of money, which becomes the total liability of the card.

Question 77

Businesses can use ____________________ services, which submit the site's keywords and other data to several search sites at one time.

Question 78

____________________ is the process of making changes to Web pages, as needed, to increase their visibility in search site results.

Question 79

Instead of selling an actual physical or electronic product to customers, ____________________ sites sell access to online services.

Question 80

____ are special HTML or XHTML codes that provide information about a Web page and that are inserted into a Web page's code at the time the page is created.

A) Meta tags
B) Web site tags
C) Alpha tags
D) Creation tags