MIS Chapter 10 Test Bank
1. 1) E-commerce refers to the use of any networking technologies to transact
business.: FALSE
2. 2) Retail consumer e-commerce is growing at single-digit rates.: FALSE
3. 3) The Internet shrinks information asymmetry.: TRUE
4. 4) Rich media advertisements are a sales-oriented marketing format.: -
FALSE
5. 5) All previous mass media in modern history, including the printing press, use a
broadcast model where content is created in a central location by experts.: TRUE
6. 6) Disintermediation provides major benefits to the distributor.: FALSE
7. 7) In general, for digital goods, the marginal cost of producing another unit is
about zero.: TRUE
8. 8) An example of the service provider business model is Flickr, a photo
management and sharing Web site.: TRUE
9. 9) An example of the content provider business model is Barnesandno-
ble.com, a retailer of printed books.: FALSE
10.10) Web personalization is used primarily as a major marketing tool.: TRUE
11.11) Podcasting allows subscribers to listen to live, streaming radio and other
audio content.: FALSE
12.12) Intellectual property refers to all forms of human expression, both
, MIS Chapter 10 Test Bank
tangible and intangible.: FALSE
13.13) Ninety-six percent of all U.S. households with Internet access use a
broadband connection.: TRUE
14.14) Behavioral targeting occurs at two levels: individual Web sites and
through ISPs.: FALSE
15.15) EDI standards that take advantage of network communications have yet to
be fully implemented at the industry level.: FALSE
16.16) Net marketplaces may either support contractual purchasing based on long-
term relationships with designated suppliers, or short-term spot pur- chasing.: TRUE
17.17) Exchanges have become one of the most popular types of Net market- place
because they encourage competitive bidding that drives prices down.-
: FALSE
18.18) Automobile manufacturing is an example of a vertical market.: TRUE
19.19) Advertising networks track a user's behavior at thousands of Web sites.:
TRUE
20.20) In the free/freemium revenue model, firms offer basic services for free and
charge a fee for special features.: TRUE
, MIS Chapter 10 Test Bank
21.21) Through what channel did e-commerce first evolve?
A) Online advertising sales
B) Internet portals
C) Online book sales
D) Internet service providers: A
22.22) Based on your reading of the chapter, e-commerce is:
A) still in a revolutionary phase.
B) widely accepted by consumers, although technology is still quickly chang- ing.
C) not yet fully accepted by consumers, although much of its driving technol- ogy is
firmly in place.
D) well entrenched as a form of modern commerce.: A
23.23) A marketplace extended beyond traditional boundaries and removed from a
temporal and geographic location is called a(n):
A) exchange.
B) marketspace.
C) online marketplace.
D) e-hub.: B
24.24) Which of the following is not a recent development in e-commerce?
A) Wireless Internet connections grow rapidly.
1. 1) E-commerce refers to the use of any networking technologies to transact
business.: FALSE
2. 2) Retail consumer e-commerce is growing at single-digit rates.: FALSE
3. 3) The Internet shrinks information asymmetry.: TRUE
4. 4) Rich media advertisements are a sales-oriented marketing format.: -
FALSE
5. 5) All previous mass media in modern history, including the printing press, use a
broadcast model where content is created in a central location by experts.: TRUE
6. 6) Disintermediation provides major benefits to the distributor.: FALSE
7. 7) In general, for digital goods, the marginal cost of producing another unit is
about zero.: TRUE
8. 8) An example of the service provider business model is Flickr, a photo
management and sharing Web site.: TRUE
9. 9) An example of the content provider business model is Barnesandno-
ble.com, a retailer of printed books.: FALSE
10.10) Web personalization is used primarily as a major marketing tool.: TRUE
11.11) Podcasting allows subscribers to listen to live, streaming radio and other
audio content.: FALSE
12.12) Intellectual property refers to all forms of human expression, both
, MIS Chapter 10 Test Bank
tangible and intangible.: FALSE
13.13) Ninety-six percent of all U.S. households with Internet access use a
broadband connection.: TRUE
14.14) Behavioral targeting occurs at two levels: individual Web sites and
through ISPs.: FALSE
15.15) EDI standards that take advantage of network communications have yet to
be fully implemented at the industry level.: FALSE
16.16) Net marketplaces may either support contractual purchasing based on long-
term relationships with designated suppliers, or short-term spot pur- chasing.: TRUE
17.17) Exchanges have become one of the most popular types of Net market- place
because they encourage competitive bidding that drives prices down.-
: FALSE
18.18) Automobile manufacturing is an example of a vertical market.: TRUE
19.19) Advertising networks track a user's behavior at thousands of Web sites.:
TRUE
20.20) In the free/freemium revenue model, firms offer basic services for free and
charge a fee for special features.: TRUE
, MIS Chapter 10 Test Bank
21.21) Through what channel did e-commerce first evolve?
A) Online advertising sales
B) Internet portals
C) Online book sales
D) Internet service providers: A
22.22) Based on your reading of the chapter, e-commerce is:
A) still in a revolutionary phase.
B) widely accepted by consumers, although technology is still quickly chang- ing.
C) not yet fully accepted by consumers, although much of its driving technol- ogy is
firmly in place.
D) well entrenched as a form of modern commerce.: A
23.23) A marketplace extended beyond traditional boundaries and removed from a
temporal and geographic location is called a(n):
A) exchange.
B) marketspace.
C) online marketplace.
D) e-hub.: B
24.24) Which of the following is not a recent development in e-commerce?
A) Wireless Internet connections grow rapidly.
