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5 Written questions

5 Matching questions

  1. Exchange rate
  2. Shopping Carts
  3. Transaction taxes
  4. Order Fulfillment
  5. International business
  1. a include sales taxes, use taxes, and excise taxes, are levied on the products or services that the business sells; the sales tax issue is probably one of the most immediate concerns of e-businesses today.
  2. b Activities including selecting the merchandise, checking to make sure the order has been filled correctly, packing, shipping, and billing for the merchandise. This is one of the strengths of e-Commerce as it has significantly decreased the amount of time in which this process occurs.
  3. c an organization or business which conducts electronic commerce with nations around the globe; any business that has a storefront on the Web and has the mechanisms in place to sell and ship to countries other than its own.
  4. d the ratio at which the principal unit of two currencies may be traded; international businesses offer this information as a customer service.
  5. e A common feature of an electronic commerce site that keeps track of the items a customer has selected to purchase and that lets the customer view and update the contents of the cart, add new items to it, or remove items from it.

5 Multiple choice questions

  1. An encrypted representation of a paper check. Checks are written and sent electronically.
  2. Sets of rules and standards that allow computers to exchange information such that the information is not visible to those who are not allowed to view it.
  3. The conditions which determine a company's ability to make a profit after their expenses are deducted from their income from sales. Variables include overhead such expenses as facility, equipment, inventory, distribution and wages. E-Commerce businesses have improved their overall profitability through the increased productivity achieved through the speed of the internet and the ability to eliminate intermediary costs.
  4. The process of losing distribution channels when they are no longer needed. The growth of e-commerce has effected the need for retail intermediaries or "middlemen" that exist between the producer and the consumer. One example would be the effect that Online Ticket Purchases has had on Travel Agencies. Consumers are learning that the ability to buy directly from the producer saves money as the cost markup that occurs with the "middleman" has been eliminated.
  5. The amount of output for each hour of work. Productivity has a direct effect on the profitability of a business. Increased productivity results in a stronger economy because it deters inflation of prices and wages. Economists attribute the strong growth of productivity in the US to the speed of technological advances such as the Internet. (Oelkers, E-Commerce, p. 13.)

5 True/False questions

  1. Globalizationthe act of becoming worldwide in scope or application

          

  2. GlobalizationThe process of becoming global or world wide. In e-Commerce this refers to the removal of the geographic boundaries that traditionally exist between the seller and the customer.

          

  3. Income TaxesCompanies that assist consumers by giving them additional cost or product information, understanding local markets, carrying a broader product line, or carrying multiple product categories. Similar to the "middleman," they are a business person such as an agent, broker, or sales representative, who negotiates transactions between a business and a consumer.

          

  4. Domain extensionsEvery domain name has a suffix that indicates which top level domain (TLD) it belongs to. These are often indicative of the origin or type of site to which the domain name points. Example: in the URL--

          

  5. Payment Gatewaystaxes that are levied by national, state, and local governments on the net income generated by business activities; one of the greatest taxation concerns faced by international e-businesses.