Question 1

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

Accepted Answer

In 2009, the top 500 e-tailers indeed accounted for a significant portion of all online sales, dominating the market and showcasing the concentration of online retailing among a relatively small number of large players.

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.

Accepted Answer

Despite the collapse of many dot-com companies in the early 2000s, the overall trend has been a significant and rapid increase in e-commerce sales, with more consumers and businesses buying and selling goods and services online.

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.

Accepted Answer

As the pool of new Internet users diminishes, the growth rate of new online shoppers will naturally slow down, pushing e-retailers to focus on increasing the average spending of existing customers to sustain growth.

Question 4

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

Accepted Answer

E-tailing can have a higher cognitive shopping overhead due to the lack of physical interaction, making it harder to establish mutual trust compared to retailing, where face-to-face interactions can facilitate trust more easily.

Question 5

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

Accepted Answer

Commodities with standard specifications, such as books, CDs, and airline tickets, are easier for consumers to understand and compare, leading to more efficient and higher volume sales transactions.

Question 6

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

Accepted Answer

Online marketing between a seller and a buyer is direct marketing because it involves direct communication or distribution of information to the potential customer without the use of intermediaries.

Question 7

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

Accepted Answer

The answer of When compared to the traditional job market,...

Question 8

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

Accepted Answer

The electronic job market allows job seekers to compare job listings, salary ranges, and requirements across various platforms, enabling them to better understand their market value based on their skills, experience, and the demand for their profession.

Question 9

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

Accepted Answer

SSL (Secure Sockets Layer) encryption and digital certificates are standard security technologies for establishing an encrypted link between a server and a client—typically a web server (website) and a browser, or a mail server and a mail client (e.g., Outlook). SSL ensures that all data passed between the web server and browsers remain private and integral, and digital certificates verify the authenticity of the website to the visiting users.

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.

Accepted Answer

The number of checks processed by the U.S. Federal Reserve System has significantly decreased over the years due to the rise of electronic payments and banking technologies, while commercial automated clearinghouse (ACH) volume has indeed increased, reflecting a shift towards electronic transactions.

Question 11

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

Accepted Answer

A click-and-mortar strategy involves combining traditional brick-and-mortar operations with online presence, allowing the business to leverage multiple channels for sales, customer engagement, and service.

Question 12

Business rating sites can aid consumer purchase decisions.

Accepted Answer

Business rating sites provide reviews and ratings from other consumers, which can help potential customers make informed decisions by learning about others' experiences with a product or service.

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.

Accepted Answer

Amazon's grocery delivery service is known as Amazon Fresh, not AmazonConnect. AmazonConnect is actually a cloud-based contact center service.

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.

Accepted Answer

Retailing involves selling goods or services directly to consumers. While companies like Proctor & Gamble may use various distribution channels, including direct sales in some cases, they still rely on retailers for efficient distribution to reach a wider market. The statement that such companies do not need retailers contradicts the fundamental role of retailers in the distribution chain.

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.

Accepted Answer

E-tailers is the term used for retailers who sell their products or services over the Internet.

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.

Accepted Answer

The answer of Conducting e-commerce where the online channel of...

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.

Accepted Answer

The "pull" vehicle distribution process, where vehicles are produced and distributed based on actual customer demand rather than forecasted demand, offers several competitive advantages. These include virtually real-time market feedback, significant cost savings in finished vehicle inventory carrying costs, and improved customer satisfaction and pricing due to the ability to better match supply with demand.

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.

Accepted Answer

The answer of A type of online mall that is...

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

Accepted Answer

All of the above options use the Internet job market. Employers use it to find employees, classified ads can be posted online for job opportunities, and job agencies use the internet to connect job seekers with potential employers.

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.

Accepted Answer

The answer of Advantages of the electronic job market for...

Quiz 3: Retailing in Electronic Commerce: Products and Services

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

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

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.

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

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

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

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

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

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

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

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

Business rating sites can aid consumer purchase decisions.

Amazon.com experienced each of the following except

Each of the following describes retailing except:

Retailers who sell over the Internet are called

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

Competitive advantages of a "pull" vehicle distribution process include

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

Which of the following parties use the Internet job market?

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.