Information Systems in E-Commerce Test Questions
Course Introduction
This course explores the role of information systems in the context of e-commerce, examining how technology enables and transforms online business operations. Students will learn about the architecture and components of e-commerce systems, including web technologies, security protocols, databases, and payment solutions. The course covers the integration of information systems with business strategy, digital marketing, customer relationship management, and supply chain operations. Emphasis is placed on the design, implementation, and management of secure and scalable e-commerce platforms, as well as current trends and challenges in the digital marketplace.
Recommended Textbook E Commerce 2014 10th Edition by Kenneth C. Laudon
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Chapter 1: The Revolution Continues
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Q1) Price transparency refers to the ability of merchants to segment the market into groups willing to pay different prices.
A)True
B)False
Answer: False
Q2) Which type of e-commerce is distinguished by the type of technology used in the transaction rather than by the nature of the market relationship?
A)consumer-to-consumer (C2C)
B)social e-commerce
C)mobile e-commerce
D)business-to-business (B2B)
Answer: C
Q3) Which of the following is a mobile photo-sharing application?
A)WordPress
B)Tumblr
C)Wikipedia
D)Instagram
Answer: D
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Page 3
Chapter 2: E-Commerce Business Models and Concepts
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Q1) A perfect market is one in which:
A)there are no competitive advantages or asymmetries because all firms have equal access to all the factors to production.
B)one firm develops an advantage based on a factor of production that other firms cannot purchase.
C)one participant in the market has more resources than the others.
D)competition is at a minimum, as each niche market within an industry is served by the company with the greatest competitive advantage.
Answer: A
Q2) ________ occurs when there are no differences among products or services and the only basis for choosing a particular product or service is price.
Answer: Commoditization
Q3) Which of the following is an unfair competitive advantage?
A)brand name
B)access to global markets
C)lower product prices
D)superior technology
Answer: A
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Chapter 3:
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Q1) The model of computing in which firms and individuals obtain computing power and software over the Internet is called ________ computing.
A)mobile
B)mainframe
C)client/server
D)cloud
Answer: D
Q2) Which of the following is the core communications protocol for the Internet?
A)Telnet
B)FTP
C)TCP/IP
D)SSL
Answer: C
Q3) ________ is a utility program that allows you to track the path of a message you send from your client to a remote computer on the Internet.
Answer: Tracert
Q4) An iPad is an example of a(n)________ computer.
Answer: tablet
Page 5
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Q1) Which of the following is not a type of application server?
A)proxy server
B)mail server
C)ad server
D)FTP server
Q2) A standard known as ________ makes it possible to access data from any application regardless of what database is used.
Q3) Apache Web server software is based on Microsoft's Windows operating system.
A)True
B)False
Q4) Advantages of dynamic page generation include all of the following except:
A)lowered menu costs.
B)market segmentation.
C)nearly cost-free price discrimination.
D)client-side execution of programming.
Q5) The practice of owning (or leasing)and managing your own Web servers but housing them in a vendor's physical facility is known as ________.
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Q6) The development of a(an)________ is the major milestone of the planning phase of developing an e-commerce presence.
Chapter 5: E-Commerce Security and Payment Systems
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Q1) ________ is a form of online payment system for monthly bills.
Q2) An example of a privacy violation of e-commerce security is:
A)your e-mail being read by a hacker.
B)your online purchasing history being sold to other merchants without your consent.
C)your computer being used as part of a botnet.
D)your e-mail being altered by a hacker.
Q3) In order to accept payments by credit card, online merchants typically must have a merchant account established with a bank or financial institution.
A)True
B)False
Q4) Which of the following is not a key point of vulnerability when dealing with e-commerce?
A)the client computer
B)the server
C)the communications pipeline
D)the credit card companies
Q5) A(n)________ is a feature of viruses, worms, and Trojans that allows an attacker to remotely access a compromised computer.
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Chapter 6: E-Commerce Marketing and Advertising Concepts
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Q1) An interstitial ad is typically contained in a pop-up window that the user must close in order to continue.
A)True
B)False
Q2) Studies of the effects of social "connectedness" on Internet purchases indicate that the more "connected" an individual:
A)the less purchasing that individual does.
B)the less that individual is influenced by friends' purchases.
C)the more that individual shares purchasing decisions with friends.
D)the more purchasing that individual does.
Q3) Evidence suggests that real-time customer chat increases sales.
A)True
B)False
Q4) The incremental cost of building the next unit of a good is called the:
A)demand curve.
B)variable cost.
C)marginal cost.
D)fixed cost.
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Q5) Define and describe the functionality of customer relationship management (CRM)systems.
Chapter 7: E-Commerce Marketing Communications
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Q1) A ________ is a post on Facebook about a friend's activity that an advertiser has paid to have distributed to your News Feeds.
Q2) ________ refers to the number of interactions among members of a group and reflects the "connectedness" of the group, even if these connections are forced on users..
Q3) What has changed in online marketing since 2007?
Q4) Which of the following statements is not true?
A)About 30% of Facebook's ad revenue is 2013 is expected to come from its mobile ad platform.
B)Facebook Home is Facebook's app for iOS devices.
C)Mobile ads are displayed in users' News Feeds.
D)Facebook's mobile ad revenues are growing at an estimated 40% in 2013.
Q5) Google provides the leading location-based marketing platform.
A)True
B)False
Q6) Which of the following is the first step in the social marketing process?
A)community
B)amplification
C)fan acquisition
D)engagement
Page 9
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Chapter 8: Ethical, Social, and Political Issues in E-Commerce
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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) Deep packet inspection uses software installed on client computers to collect and analyze detailed information on page content viewed by users.
A)True
B)False
Q3) Which ethical principle states that, when confronted with an ethical dilemma, individuals should take the action that achieves the greater value for all of society?
A)the Golden Rule
B)Universalism
C)the Collective Utilitarian principle
D)the Social Contract rule
Q4) Which of the following technologies allows you to send e-mail without a trace?
A)anonymous surfing
B)P3P
C)anonymous remailers
D)public key encryption
Page 10
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Chapter 9: Online Retailing and Services
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Q1) In the United States, the service sector accounts for about 75% of all economic activity.
A)True
B)False
Q2) Which of the following is not one of the seven major segments of the retail industry?
A)electronics and computers
B)specialty stores
C)gasoline and fuel
D)food and beverage
Q3) Current liabilities are debts of the firm that will be due within:
A)three months.
B)six months.
C)one year.
D)two years.
Q4) All of the following are challenges for catalog merchants except:
A)high costs of printing and mailing.
B)building a credible Web site.
C)the need to bring staff in or manage new technology.
D)building sophisticated order entry and fulfillment systems.
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Chapter 10: Online Content and Media
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Q1) The average American still spends more time watching television than using the Internet.
A)True
B)False
Q2) Amazon's ________ is not just an e-book reader but also a media and entertainment portable device.
Q3) Which of the following statements about the online newspaper audience is not true?
A)Online newspaper readership is growing at 17% a year.
B)The online newspaper audience is highly engaged.
C)The people who read newspapers online tend to be less educated than those who visit YouTube.
D)Online newspapers reach over 75% of individuals in households earning more than $100,000 a year.
Q4) Who was the first major fiction writer to create an e-book-only volume of a new work?
A)Mary Higgins Clark
B)Stephen King
C)Dan Brown
D)Anne Rice
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Chapter 11: Social Networks, Auctions, and Portals
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Q1) iVillage.com is an example of a(n):
A)interest-based social network.
B)affinity community.
C)sponsored community.
D)practice network.
Q2) All of the following types of auctions have a buyer bias except:
A)English auction.
B)sealed bid market.
C)name your own price auction.
D)group buying.
Q3) The stock market is an example of a(n):
A)English auction.
B)Group buying auction.
C)Dutch auction.
D)double auction.
Q4) Sponsored community sites are network sites created by government, non-profit, or for-profit organizations.
A)True
B)False
Q5) The time spent watching and reviewing auction bids is a part of ________ costs.
Page 13
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Chapter 12: B2b E-Commerce: Supply Chain Management and Collaborative
Commerce
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Q1) ________ purchasing involves long-term written agreements to purchase specified products, with agreed-upon terms and quality, for an extended period of time.
Q2) Which of the following primarily deal with indirect goods?
A)e-distributors and industry consortia
B)e-distributors and e-procurement Net marketplaces
C)exchanges and industry consortia
D)exchanges and e-procurement Net marketplaces
Q3) ________ services include automation of a firm's entire procurement process on the buyer side and automation of the selling business processes on the seller side.
Q4) The essential characteristic of ________ is that they bring hundreds to thousands of suppliers into a single Internet-based environment to conduct trade.
Q5) Private industrial networks are the most prevalent form of Internet-based B2B commerce.
A)True
B)False
Q6) ________ is a set of production methods that focuses on the elimination of waste throughout the customer value chain.
Page 14
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