Key Concepts:
Test Bank
Chapter 1: The Couple is a Unique System
E-commerce 2021:
business. technology.
R
society
U
SE
Sixteenth Edition IS
O
N
Kenneth Laudon,
N
New York University
O
C
Carol Traver,
ED
Azimuth Interactive, Inc.
M
,E-commerce 2021: business. technology. society., 16e (Laudon/Traver)
Chapter 1 The Revolution Is Just Beginning
1) Analysts estimate that by 2024, consumers will be spending around _______ in digital
transactions.
A) $180 million
B) $1.8 billion
C) $180 billion
D) $1.8 trillion
Answer: D
Difficulty: Moderate
R
AACSB: Application of knowledge
Learning Objective: 1.1: Understand why it is important to study e-commerce.
U
2) It is likely that e-commerce will eventually impact nearly all commerce.
Answer: TRUE
SE
Difficulty: Easy
AACSB: Application of knowledge
Learning Objective: 1.1: Understand why it is important to study e-commerce.
3) Why study e-commerce?
IS
Answer: E-commerce is a disruptive innovation that is different and more powerful than any of
O
the other technologies we have seen in the past century. E-commerce technologies—and the
digital markets that result—have brought about some fundamental, unprecedented shifts in
N
commerce. While other technologies transformed economic life in the twentieth century, the
evolving Internet and other information technologies are shaping the twenty-first century.
N
Difficulty: Moderate
AACSB: Application of knowledge; Written and oral communication
O
Learning Objective: 1.1: Understand why it is important to study e-commerce.
4) Which of the following best defines e-commerce?
C
A) digitally enabled commercial transactions between and among organizations and individuals
B) the use of digital technologies in a firm's daily activities
ED
C) the digital enablement of transactions and processes within an organization
D) any electronically based organizational activity that supports a firm’s market exchanges
Answer: A
Difficulty: Moderate
M
AACSB: Application of knowledge
Learning Objective: 1.2: Define e-commerce, understand how e-commerce differs from e-
business, identify the primary technological building blocks underlying e-commerce, and
recognize major current themes in e-commerce.
5) Which of the following is an example of e-business?
A) Amazon's inventory control system
B) the Amazon.com website
C) an Amazon mobile app
D) Amazon's Pinterest page
Answer: A
1
Copyright © 2022 Pearson Education, Inc.
,Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 1.2: Define e-commerce, understand how e-commerce differs from e-
business, identify the primary technological building blocks underlying e-commerce, and
recognize major current themes in e-commerce.
6) Which of the following can be considered synonymous with the term e-commerce?
A) e-business
B) digital commerce
C) the Internet
D) the Web
R
Answer: B
Difficulty: Easy
U
AACSB: Application of knowledge
Learning Objective: 1.2: Define e-commerce, understand how e-commerce differs from e-
SE
business, identify the primary technological building blocks underlying e-commerce, and
recognize major current themes in e-commerce.
7) Which of the following is not true about the use of apps?
IS
A) Users spend nearly 90% of their smartphone app minutes using their top five apps.
B) Users still spend more time using mobile browsers than they do using mobile apps.
C) Apps are easier to control and monetize than websites.
O
D) Users typically use about 20 different apps per month.
Answer: B
N
Difficulty: Difficult
AACSB: Application of knowledge
N
Learning Objective: 1.2: Define e-commerce, understand how e-commerce differs from e-
business, identify the primary technological building blocks underlying e-commerce, and
O
recognize major current themes in e-commerce.
C
8) All of the following statements about e-commerce in the United States in 2020 are true except:
A) Social e-commerce generated more revenue than mobile e-commerce.
ED
B) Mobile advertising accounted for almost 70% of all digital advertising spending.
C) On-demand service firms fueled the growth of local e-commerce.
D) Retail e-commerce and m-commerce grew as a result of the Covid-19 pandemic.
Answer: A
M
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 1.2: Define e-commerce, understand how e-commerce differs from e-
business, identify the primary technological building blocks underlying e-commerce, and
recognize major current themes in e-commerce.
9) In 2020, about ________ of Internet users in the United States accessed the Internet solely
using a mobile device.
A) 8%
B) 21%
C) 28%
2
Copyright © 2022 Pearson Education, Inc.
, D) 34%
Answer: B
Difficulty: Difficult
AACSB: Information technology
Learning Objective: 1.2: Define e-commerce, understand how e-commerce differs from e-
business, identify the primary technological building blocks underlying e-commerce, and
recognize major current themes in e-commerce.
10) Which of the following is not a major business trend in e-commerce in 2020-2021?
A) The mobile app ecosystem continues to grow.
B) Retail e-commerce revenues exceed B2B e-commerce revenues for the first time.
C) On-demand service companies garner multibillion-dollar valuations.
R
D) Social e-commerce continues to grow.
Answer: B
U
Difficulty: Moderate
AACSB: Application of knowledge
SE
Learning Objective: 1.2: Define e-commerce, understand how e-commerce differs from e-
business, identify the primary technological building blocks underlying e-commerce, and
recognize major current themes in e-commerce.
IS
11) Which of the following is not a major technology trend in e-commerce in 2020-2021?
A) Cloud computing enables content stored on Internet-based servers to be accessed by
O
consumer devices such as smartphones.
B) Firms are turning to business analytics to make sense out of big data.
N
C) Smart speakers provide an additional platform for e-commerce.
D) Growth of the Internet of Things slows down.
N
Answer: D
Difficulty: Difficult
O
AACSB: Information technology
Learning Objective: 1.2: Define e-commerce, understand how e-commerce differs from e-
C
business, identify the primary technological building blocks underlying e-commerce, and
recognize major current themes in e-commerce.
ED
12) Which of the following has not been the subject of concern about its increasing market
dominance in 2020-2021?
A) Amazon
M
B) Google
C) Netflix
D) Facebook
Answer: C
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 1.2: Define e-commerce, understand how e-commerce differs from e-
business, identify the primary technological building blocks underlying e-commerce, and
recognize major current themes in e-commerce.
13) Which of the following statements about the mobile platform is not true?
A) In 2020, about 93% of Internet users in the United States used a mobile device to access the
3
Copyright © 2022 Pearson Education, Inc.
Test Bank
Chapter 1: The Couple is a Unique System
E-commerce 2021:
business. technology.
R
society
U
SE
Sixteenth Edition IS
O
N
Kenneth Laudon,
N
New York University
O
C
Carol Traver,
ED
Azimuth Interactive, Inc.
M
,E-commerce 2021: business. technology. society., 16e (Laudon/Traver)
Chapter 1 The Revolution Is Just Beginning
1) Analysts estimate that by 2024, consumers will be spending around _______ in digital
transactions.
A) $180 million
B) $1.8 billion
C) $180 billion
D) $1.8 trillion
Answer: D
Difficulty: Moderate
R
AACSB: Application of knowledge
Learning Objective: 1.1: Understand why it is important to study e-commerce.
U
2) It is likely that e-commerce will eventually impact nearly all commerce.
Answer: TRUE
SE
Difficulty: Easy
AACSB: Application of knowledge
Learning Objective: 1.1: Understand why it is important to study e-commerce.
3) Why study e-commerce?
IS
Answer: E-commerce is a disruptive innovation that is different and more powerful than any of
O
the other technologies we have seen in the past century. E-commerce technologies—and the
digital markets that result—have brought about some fundamental, unprecedented shifts in
N
commerce. While other technologies transformed economic life in the twentieth century, the
evolving Internet and other information technologies are shaping the twenty-first century.
N
Difficulty: Moderate
AACSB: Application of knowledge; Written and oral communication
O
Learning Objective: 1.1: Understand why it is important to study e-commerce.
4) Which of the following best defines e-commerce?
C
A) digitally enabled commercial transactions between and among organizations and individuals
B) the use of digital technologies in a firm's daily activities
ED
C) the digital enablement of transactions and processes within an organization
D) any electronically based organizational activity that supports a firm’s market exchanges
Answer: A
Difficulty: Moderate
M
AACSB: Application of knowledge
Learning Objective: 1.2: Define e-commerce, understand how e-commerce differs from e-
business, identify the primary technological building blocks underlying e-commerce, and
recognize major current themes in e-commerce.
5) Which of the following is an example of e-business?
A) Amazon's inventory control system
B) the Amazon.com website
C) an Amazon mobile app
D) Amazon's Pinterest page
Answer: A
1
Copyright © 2022 Pearson Education, Inc.
,Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 1.2: Define e-commerce, understand how e-commerce differs from e-
business, identify the primary technological building blocks underlying e-commerce, and
recognize major current themes in e-commerce.
6) Which of the following can be considered synonymous with the term e-commerce?
A) e-business
B) digital commerce
C) the Internet
D) the Web
R
Answer: B
Difficulty: Easy
U
AACSB: Application of knowledge
Learning Objective: 1.2: Define e-commerce, understand how e-commerce differs from e-
SE
business, identify the primary technological building blocks underlying e-commerce, and
recognize major current themes in e-commerce.
7) Which of the following is not true about the use of apps?
IS
A) Users spend nearly 90% of their smartphone app minutes using their top five apps.
B) Users still spend more time using mobile browsers than they do using mobile apps.
C) Apps are easier to control and monetize than websites.
O
D) Users typically use about 20 different apps per month.
Answer: B
N
Difficulty: Difficult
AACSB: Application of knowledge
N
Learning Objective: 1.2: Define e-commerce, understand how e-commerce differs from e-
business, identify the primary technological building blocks underlying e-commerce, and
O
recognize major current themes in e-commerce.
C
8) All of the following statements about e-commerce in the United States in 2020 are true except:
A) Social e-commerce generated more revenue than mobile e-commerce.
ED
B) Mobile advertising accounted for almost 70% of all digital advertising spending.
C) On-demand service firms fueled the growth of local e-commerce.
D) Retail e-commerce and m-commerce grew as a result of the Covid-19 pandemic.
Answer: A
M
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 1.2: Define e-commerce, understand how e-commerce differs from e-
business, identify the primary technological building blocks underlying e-commerce, and
recognize major current themes in e-commerce.
9) In 2020, about ________ of Internet users in the United States accessed the Internet solely
using a mobile device.
A) 8%
B) 21%
C) 28%
2
Copyright © 2022 Pearson Education, Inc.
, D) 34%
Answer: B
Difficulty: Difficult
AACSB: Information technology
Learning Objective: 1.2: Define e-commerce, understand how e-commerce differs from e-
business, identify the primary technological building blocks underlying e-commerce, and
recognize major current themes in e-commerce.
10) Which of the following is not a major business trend in e-commerce in 2020-2021?
A) The mobile app ecosystem continues to grow.
B) Retail e-commerce revenues exceed B2B e-commerce revenues for the first time.
C) On-demand service companies garner multibillion-dollar valuations.
R
D) Social e-commerce continues to grow.
Answer: B
U
Difficulty: Moderate
AACSB: Application of knowledge
SE
Learning Objective: 1.2: Define e-commerce, understand how e-commerce differs from e-
business, identify the primary technological building blocks underlying e-commerce, and
recognize major current themes in e-commerce.
IS
11) Which of the following is not a major technology trend in e-commerce in 2020-2021?
A) Cloud computing enables content stored on Internet-based servers to be accessed by
O
consumer devices such as smartphones.
B) Firms are turning to business analytics to make sense out of big data.
N
C) Smart speakers provide an additional platform for e-commerce.
D) Growth of the Internet of Things slows down.
N
Answer: D
Difficulty: Difficult
O
AACSB: Information technology
Learning Objective: 1.2: Define e-commerce, understand how e-commerce differs from e-
C
business, identify the primary technological building blocks underlying e-commerce, and
recognize major current themes in e-commerce.
ED
12) Which of the following has not been the subject of concern about its increasing market
dominance in 2020-2021?
A) Amazon
M
B) Google
C) Netflix
D) Facebook
Answer: C
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 1.2: Define e-commerce, understand how e-commerce differs from e-
business, identify the primary technological building blocks underlying e-commerce, and
recognize major current themes in e-commerce.
13) Which of the following statements about the mobile platform is not true?
A) In 2020, about 93% of Internet users in the United States used a mobile device to access the
3
Copyright © 2022 Pearson Education, Inc.
