Deck 3: Retailing in Electronic Commerce: Products and Services

Question 1

The top 500 e-tailers accounted for 65 percent of all online sales in 2009.

Answer 1

True

Question 2

The amount and percentage of goods and services sold on the Internet is increasing rapidly, despite the failure of many dot-com companies.

Answer 2

True

Question 3

As the number of Internet users reaches saturation, the rate of increase of online shoppers will slow, which creates the challenge for e-retailers to increase the amount spent online.

Answer 3

True

Question 4

When comparing retailing to e-tailing, e-tailing has a lower cognitive shopping overhead due to easy-to-establish mutual trust.

Question 5

Commodities with standard specifications (e.g., books, CDs, airline tickets) are expected to facilitate higher sales volumes.

Question 6

Marketing done online between any seller and buyer is indirect marketing.

Question 7

When compared to the traditional job market, an advantage of the online job market is its long life cycle.

Question 8

An advantage of the electronic job market for job seekers is that they can assess their market value.

Question 9

Customers accessing a bank system from the outside must go through encryption provided by SSL and digital certification verification.

Question 10

The number of checks the U.S. Federal Reserve System processes has remained constant, but commercial automated clearinghouse (ACH) volume has increased significantly.

Question 11

A traditional brick-and-mortar store with a mature Web site that uses a click-and-mortar strategy can leverage multichannels.

Question 12

Business rating sites can aid consumer purchase decisions.

Question 13

Amazon.com experienced each of the following except

A) maintaining its position as the number one e-tailer in 2008.
B) declaring its first profit in January 2002.
C) establishing a grocery delivery service called AmazonConnect.
D) attracting at least 615 million visitors in 2009.

Question 14

Each of the following describes retailing except:

A) A retailer is a sales intermediary.
B) Many manufacturers sell directly to consumers and through wholesalers and retailers.
C) E-tailing makes it easier for a manufacturer to sell directly to customers by cutting out the intermediary.
D) Companies that produce a larger number of products, such as Proctor & Gamble, do not need retailers for efficient distribution.

Question 15

Retailers who sell over the Internet are called

A) cyber marketers.
B) e-tailers.
C) B2B commerce marketers.
D) brick-and-mortar operations.

Question 16

Conducting e-commerce where the online channel of a business is integrated with the physical retail business as opposed to being a separate channel best defines

A) referral economy.
B) direct marketing.
C) considered commerce.
D) click-and-mortar retailers.

Question 17

Competitive advantages of a "pull" vehicle distribution process include

A) virtually real-time market feedback.
B) large cost savings in finished vehicle inventory carrying costs.
C) improved customer satisfaction and pricing.
D) all of the above.

Question 18

A type of online mall that is basically a directory organized by product type best describes

A) referring directory.
B) mall with shared services.
C) brick-and-mortar retailer.
D) cyber directory.

Question 19

Which of the following parties use the Internet job market?

A) employers seeking employees
B) classified ads
C) job agencies
D) all of the above

Question 20

Advantages of the electronic job market for employers include each of the following except

A) charging online processing fees.
B) providing greater equal opportunity for job seekers.
C) learning how to use their voice effectively in an interview.
D) conducting interviews online.

Question 21

Advantages of the electronic market for job seekers include each of the following except

A) assessing their market value.
B) competing with less qualified applicants.
C) marketing themselves directly to potential employers.
D) communicating quickly with potential employers.

Question 22

E-banking

A) saves time and money.
B) is more expensive for banks.
C) is primarily done using wireless devices.
D) is done by less than 40 percent of U.S. adult Internet users.

Question 23

Which of the following is not an online banking application category?

A) informational
B) delivery
C) administrative
D) transactional

Question 24

The portal online banking application provides

A) financial education information.
B) current bank and local news.
C) links to local business.
D) bill-pay services.

Question 25

Implementation issues for online financial transactions include

A) security.
B) imaging systems.
C) fee issues.
D) all of the above.

Question 26

The attention-grabbing behavior of agencies that go out to consumer environments and boast about how great a brand or item is in order to spread the word best defines

A) referral economy.
B) blasting.
C) sneezing.
D) shouting.

Question 27

________ are retailers who sell over the Internet.

Question 28

Conducting e-commerce where the online channel of a business is integrated with the physical retail business as opposed to being a separate channel describes ________.

Question 29

Broadly, marketing that takes place without intermediaries between manufacturers and buyers describes ________.

Question 30

________ are retailers who do business in the non-Internet, physical world in traditional brick-and-mortar stores.

Question 31

Virtual e-tailers can be categorized as ________ and ________.

Question 32

A business model where a company sells in multiple marketing channels simultaneously describes ________.

Question 33

________ and ________ are two types of online malls.

Question 34

A ________ is a type of mall that is basically a directory organized by product type.

Question 35

The B2C business model that combines community services with selling or affiliate marketing is ________.

Question 36

The ________ is the online B2C business model where a manufacturer sells to a business, but delivers to individual customers.

Question 37

________ is the online B2C business model where manufacturers customize their products and services via online orders.

Question 38

Various banking activities conducted from home or the road using an Internet connection describes ________.

Question 39

________, ________, ________, ________, and ________ are the five types of online banking applications.

Question 40

________ is the risk of not having sufficient funds to pay obligations as they come due.

Question 41

A grocer that takes orders online and provides deliveries on a daily or other regular schedule or within a very short period of time defines ________.

Question 42

Express delivery made fairly quickly after an online order is received defines ________.

Question 43

Gateways to e-storefronts and e-malls describes ________.

Question 44

The effect upon sales of consumers receiving a referral or recommendation from other consumers defines ________.

Question 45

The process whereby intermediaries take on new intermediary roles describes ________.

Question 46

________ is the situation in which an online marketing channel upsets the traditional channels due to real or perceived damage from competition.

Question 47

List the seven characteristics that enable items to facilitate higher sales volumes in an online environment.

Question 48

List five business models by distribution channel.

Question 49

List five of the online revenue models for online travel services.

Question 50

Identify five advantages of the online job market over the traditional job market.