

E-Commerce Review Questions
Course Introduction
E-Commerce explores the principles, technologies, and strategies behind the buying and selling of goods and services over digital platforms. The course covers topics such as online business models, digital marketing, payment systems, security and privacy issues, supply chain management, and legal considerations in e-commerce. Students will gain an understanding of the operational, technical, and strategic challenges faced by businesses in the digital marketplace, as well as hands-on experience in designing, launching, and managing e-commerce solutions.
Recommended Textbook Ecommerce 2013 9th Edition by
Kenneth C. Laudon
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12 Chapters
1032 Verified Questions
1032 Flashcards
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Page 2

Chapter 1: The Revolution Is Just Beginning
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86 Flashcards
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Sample Questions
Q1) Which of the following statements about the Web is not true?
A) It is the technology upon which the Internet is based.
B) It was developed in the early 1990s.
C) It provides access to pages written in HTML.
D) It provides access to Web pages that incorporate graphics, sound, and multimedia.
Answer: A
Q2) A company's online inventory control process is an example of e-business, as opposed to e-commerce.
A)True
B)False
Answer: True
Q3) All of the following can be considered a precursor to e-commerce except:
A) DNS.
B) Baxter Healthcare's remote order entry system.
C) the French Minitel.
D) Electronic Data Interchange.
Answer: A
Q4) ________ refers to the complexity and content of a message. Answer: Richness
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Chapter 2: E-Commerce Business Models and Concepts
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Sample Questions
Q1) Your startup firm has developed Web-based note-taking software that allows participants to create and share virtual notes attached to existing Web pages. You anticipate marketing your online application to Web development and design companies. Which of the following revenue models is the most appropriate for your new company?
A) advertising
B) transaction fee
C) affiliate
D) subscription
Answer: D
Q2) All of the following use an advertising revenue model except:
A) Facebook.
B) Yahoo.
C) Google.
D) Amazon.
Answer: D
Q3) In the ________ revenue model, a Web site that offers users content or services charges a fee for access to some or all of its offerings.
Answer: subscription
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Page 4
Chapter 3: E-Commerce Infrastructure: the Internet,

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Sample Questions
Q1) FTP is a protocol used to transfer files to and from a server.
A)True
B)False
Answer: True
Q2) An iPad is an example of a(n) ________ computer.
Answer: tablet
Q3) ________ is a utility program that allows you to check the connection between your client and a TCP/IP network.
A) Ping
B) Telnet
C) Tracert
D) Finger
Answer: A
Q4) WLAN-based Internet access derives from the same technological foundations as telephone-based wireless Internet access.
A)True
B)False
Answer: False
Page 5
Q5) Outside of e-mail, using a(n) ________ is the most common online daily activity.
Answer: search engine
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Sample Questions
Q1) Which of the following details the actual hardware components to be used in a system?
A) architecture plan
B) system functionalities plan
C) logical design
D) physical design
Q2) All of the following can enhance page delivery speed except:
A) using edge caching services.
B) using specialized content delivery networks.
C) increasing local bandwidth.
D) increasing the dynamic content on the pages.
Q3) ________ verifies that the business objectives of the system as originally conceived are in fact working.
A) System testing
B) Acceptance testing
C) Unit testing
D) Implementation testing
Q4) ________ is a language that Microsoft invented to compete with JavaScript.
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Q5) A SWOT analysis describes strengths, weaknesses, opportunities, and ________.

Chapter 5: E-Commerce Security and Payment Systems
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Sample Questions
Q1) Spoofing a Web site is also called ________.
Q2) Which of the following is not an example of a PUP?
A) adware
B) browser parasite
C) drive-by download
D) spyware
Q3) Software that is used to obtain private user information such as a user's keystrokes or copies of e-mail is referred to as:
A) spyware.
B) a backdoor.
C) pupware.
D) adware.
Q4) ________ refers to the ability to ensure that an e-commerce site continues to function as intended.
A) Nonrepudiation
B) Authenticity
C) Availability
D) Integrity
Q5) To internal computers, a proxy server is known as the ________.
Q6) ________ is a form of online payment system for monthly bills.
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Chapter 6: E-Commerce Marketing Concepts: Social,
Mobile, Local
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Sample Questions
Q1) Discuss four features of social e-commerce that are driving its growth.
Q2) Which of the following activities is the one engaged in by the highest percentage of online users?
A) using e-mail
B) using a social networking site
C) researching products and services
D) reading news
Q3) All of the following are fixed price strategies except:
A) bundling.
B) versioning.
C) free pricing.
D) yield management.
Q4) Which of the following is not one of the main elements of a comprehensive multi-channel marketing plan?
A) local marketing
B) offline marketing
C) social marketing
D) mobile marketing
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Q5) Discuss the types of effects Internet use has on people's social lives. Are all the effects negative?

Chapter 7: E-Commerce Marketing Communications
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Sample Questions
Q1) The amount spent on online advertising in 2012 accounts for approximately 10 percent of the total amount spent on all advertising.
A)True
B)False
Q2) A common form of ________ is targeted content (or advertorials), in which editorial content is combined with an ad message to make the message more valuable and attractive to its intended audience.
Q3) Studies have shown that the most successful marketing campaigns concentrate efforts along a single marketing channel.
A)True
B)False
Q4) Online advertising methods include sponsorships, e-mail marketing, and referrals. A)True
B)False
Q5) The ________ rate is an e-mail campaign metric that measures the percentage of e-mails that could not be delivered.
Q6) A(n) ________ ad opens beneath a user's browser window.
Q7) Google's AdSense is an example of network keyword or ________ advertising.
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Chapter 8: Ethical, Social, and Political Issues in E-Commerce
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Sample Questions
Q1) Under the ________ Act, American intelligence authorities are permitted to tap into whatever Internet traffic they believe is relevant to the campaign against terrorism, in some circumstances without judicial review.
Q2) Thus far, the most important online privacy legislation that has been directly influenced by the Federal Trade Commission's FIP guidelines is the Children's Online Privacy Protection Act (COPPA).
A)True
B)False
Q3) ________ is collected data that can be used to identify and locate an individual.
A) A personal profile
B) P3P
C) Anonymous information
D) PII
Q4) Describe and evaluate the different methods that are being used to protect online privacy. Which of these methods do you think is or could be the most effective?
Q5) ________ involves the creation of digital images that characterize online individual and group behavior.
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Chapter 9: Online Retail and Services
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Sample Questions
Q1) In a(n) ________ model, products are made prior to orders received based on estimated demand.
Q2) Describe the vision of online retailing during the early days of e-commerce. Did these predictions and assumptions turn out to be true?
Q3) Which of the following has experienced the most significant online growth?
A) offline general merchandisers
B) virtual merchants
C) catalog merchants
D) manufacturer-direct firms
Q4) Groupon is an example of local commerce.
A)True
B)False
Q5) Gross margin is defined as gross profit:
A) minus total operating expenses.
B) divided by net sales revenues.
C) divided by cost of sales.
D) minus net income.
Q6) Almost 80 million households now use online banking.
A)True
B)False
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Chapter 10: Online Content and Media
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Sample Questions
Q1) Which of the following is not a current trend in online content?
A) Sales of music in digital form produce more revenue than sales of physical units.
B) Readership of newspapers in print form continues to exceed online readership.
C) Consumers increasingly accept the notion of paying for premium content.
D) Console game sales stagnate in comparison to online gaming.
Q2) E-book revenues in 2012 were approximately ________.
A) $42 million
B) $420 million
C) $4.2 billion
D) $42 billion
Q3) Which of the following together comprised the largest component of online paid content in 2012?
A) online games and online TV
B) online music and online games
C) online music and online video
D) online video and online games
Q4) Explain the difference between the wholesale and agency revenue models for e-books.
Q5) Explain the concept of media convergence.
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Chapter 11: Social Networks, Auctions, and Portals
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Sample Questions
Q1) Most of today's well-known portals began as search engines.
A)True
B)False
Q2) Consumers in auctions are driven solely by value maximization.
A)True
B)False
Q3) The world's leading portal/search engine site, in terms of unique visitors, is:
A) Yahoo.
B) MSN/Bing.
C) AOL.
D) Google.
Q4) Which of the following is not a risk or cost of Internet auctions?
A) delayed consumption costs
B) equipment costs
C) price transparency
D) trust risks
Q5) Revenue per customer decreases as the audience focus of a portal moves from general audience to a more focused and targeted audience.
A)True
B)False
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Chapter 12: B2B E-Commerce: Supply Chain Management and
Collaborative Commerce
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Sample Questions
Q1) All of the following are potential benefits of B2B e-commerce except:
A) lower administrative costs.
B) lower search costs.
C) lower price transparency.
D) lower transaction costs.
Q2) The bias of industry consortia is toward large buyers.
A)True
B)False
Q3) All of the following statements about e-distributors are true except:
A) e-distributors make money by charging a mark-up on products they distribute.
B) e-distributors usually operate "private" markets.
C) e-distributors operate in horizontal markets.
D) e-distributor prices are usually fixed.
Q4) An ________ primarily serves businesses that primarily buy direct goods on a spot purchasing basis.
A) e-distributor
B) e-procurement company
C) exchange
D) industry consortium
Q5) How are social networks being used in B2B e-commerce?
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