Social Networks, Auctions, and Portals Part 1

E-commerce: business. technology. society Chapter 11 Social Networks, Auctions, and Portals 1) One of the first online virtual communities was: A) The Well. B) Myspace. C) AOL. D) Salon.com. Answer: A 2) The technology used by early online communities was limited to mostly: A) instant messaging. B) FTP. C) e-mail. D) bulletin boards. Answer: D 3) Which of the following is a community of members who self-identify with a demographic or geographic category? A) practice network B) sponsored community C) affinity community D) interest-based social network Answer: C 4) PredictWallStreet is an example of a(n): A) interest-based social network. B) affinity community. C) sponsored community. D) practice network. Answer: A 5) A website designed around a community of members who self-identify with a demographic or geographic category is classified as a(n): A) interest-based social network. B) affinity community. C) practice network. D) sponsored community. Answer: B 6) Instagram is an example of a(n): A) interest-based social network. B) affinity community/social network. C) general community/social network. D) practice network. Answer: C 7) Which social network functionality allows users to view a list of updates from friends as well as advertisements and notifications in chronological order? A) message board B) timeline C) friends' network D) newsfeed Answer: D 8) In 2018, around what percentage of the total United States population used social networks? A) 50% B) 60% C) 70% D) 80% Answer: C 9) Which of the following is the second leading social network in the United States in terms of monthly unique visitors? A) Twitter B) LinkedIn C) Instagram D) Pinterest Answer: B 10) Which of the following is a leading social network in Germany? A) Xing B) Tuenti C) Orkut D) Mixi Answer: A 11) Each of the following is one of the top seven social network sites in the United States, in terms of monthly unique visitors, except: A) Tumblr. B) Myspace. C) Instagram. D) Pinterest. Answer: B 12) Facebook owns which of the following? A) Pinterest B) Snapchat C) WhatsApp D) Tumblr Answer: C 13) In 2017, Fortune 500 companies used ________ more than Facebook. A) Twitter B) Tumblr C) LinkedIn D) Pinterest Answer: C 14) On which of the following do users spent the least amount of time per day? A) Snapchat B) Tumblr C) LinkedIn D) Pinterest Answer: C 15) When did the first online communities form? A) the 1970s B) the 1980s C) the 1990s D) the 2000s Answer: B 16) BlackPlanet is an example of a(n) ________ social network. A) practice-based B) interest-based C) affinity-based D) general Answer: C 17) Which of the following is an example of a practice network? A) PredictWallstreet B) Instagram C) DebatePolitics D) Doximity Answer: D 18) Which of the following has the highest penetration of social network usage among the general population? A) North America B) Latin America C) Europe D) Asia-Pacific Answer: A 19) In 2018, which age group had the fastest growing rate of Facebook usage? A) 12-34 B) 35-45 C) 46-65 D) adults over 65 Answer: D 20) Which of the following early leaders in social networking has been reinvented as a musicoriented social network? A) Vevo B) Myspace C) Polyvore D) Tumblr Answer: B 21) Which of the following now owns LinkedIn? A) Facebook B) Google C) Microsoft D) Verizon Answer: C 22) Which of the following companies purchased Instagram? A) Google B) Apple C) Facebook D) Microsoft Answer: C 23) Which of the following statements about Instagram is not true? A) Instagram trails only Facebook in U.S. ad revenue. B) Instagram is a social network that focuses on video and photo sharing. C) Instagram is growing more quickly than Facebook. D) Instagram users spend more time on Instagram than Facebook users spend on Facebook. Answer: D 24) Howard Rheingold, one of The Well's early participants, coined the term ________ to refer to "cultural aggregations that emerge when enough people bump into each other often enough in cyberspace." A) social networks B) virtual communities C) community portals D) social forums Answer: B 25) A(n) ________ offers members focused discussion groups, help, information, and knowledge related to an area of shared interest. A) practice network B) general community C) affinity community D) interest-based social network Answer: A 26) The amount of time visitors spend on a site is a measure of: A) reach. B) loyalty. C) conversation. D) engagement. Answer: D 27) More than two-thirds of Internet users worldwide participate in social networks. Answer: TRUE 28) Facebook is the fastest growing of the most popular social networks. Answer: FALSE 29) A community site created by a corporation is called a sponsored community site. Answer: TRUE 30) Describe the evolution of social networks from their earliest appearance. Answer: The earliest social networks, in the mid-1980s and 1990s were community bulletin boards, or discussion groups, like The Well. In the early 2000s, technology changed, bringing in blogging, photo sharing features. As the Internet user population expanded, more and more socially oriented sites appeared, including Facebook, allowing users to share content directly with each other. More recently, in the late 2000s and early 2010s, as the Internet became available to browse (and post to) via mobile devices, more and more photo and video sharing social networks have emerged, such as Pinterest and Instagram. A new crop of social networks launched since 2008 (i.e., Snapchat and WhatsApp) focus on messaging. 31) Describe four shared characteristics of social networks. Answer: Social networks involve (1) a group of people, (2) shared social interactions, (3) common ties among members, and (4) people who share an area for some period of time. 32) If a large number of Internet users set Facebook as their primary destination on their web browser, should Facebook be considered a portal? Answer: Student answers will vary but should include reference to social networks broadening their offerings to become more portal-like. An example answer is: While Facebook can be a primary destination, the goal of Facebook is to keep users occupied and communicating with each other. One of the main goals of a portal is to provide avenues to third party content and other areas of the Internet. Although social networks are aiming to include portal-like features, to keep and grow audiences, the primary goals of a portal currently don't include social sharing. 33) What business models do social networks use? Answer: The most popular general social networks, such as Facebook, have adopted an advertising model, and make money from ads displayed to users. There are number for profit and non-profit networks that stay afloat from user donations, member dues, premium services, or through sponsorship financing. 34) Discuss the impact social networks have had on how businesses operate, communicate, and serve their customers. Answer: Social networks have had an important impact on how businesses operate, communicate, and serve their customers. The most visible business firm use of social networks is as a marketing and branding tool. The most popular social network tool for large corporate businesses is LinkedIn, with 98% of the Fortune 500 using LinkedIn. Twitter is the second most popular, used by 88%, while 85% use Facebook. A less visible marketing use of networks is as a powerful listening tool which has strengthened the role of customers and customer feedback systems. Social networks are where corporate brands and reputations are formed, and firms today take very seriously the topic of "online reputation," as evidenced by social network posts, commentary, chat sessions, and Likes. In this sense, social network sites have become an extension of corporate customer relationship management systems and extend existing market research programs. Beyond branding, social network sites are being used increasingly as advertising platforms to contact a somewhat younger audience than websites and e-mail, and as customers increasingly shift their eyeballs to social networks. Rosetta Stone, for instance, uses its Facebook page to display videos of its learning technology, encourage discussions and reviews, and post changes in its learning tools. Public social networks like Facebook have not been used extensively in firms as collaboration tools thus far. However, in 2016, Facebook launched its Workplace app, designed to spur collaboration and networking inside large firms. Over 14,000 organizations worldwide use this relatively new app. 35) ________ of procurement officers use auctions to purchase goods. A) Approximately 80% B) Less than a quarter C) Over one third D) Approximately 25% Answer: C 36) All of the following are benefits of auctions except: A) more efficient price discovery. B) lower transaction costs. C) decreased price transparency. D) increased market efficiency. Answer: C 37) ________ is the market leader in C2C auctions. A) Amazon B) eBay C) uBid D) eBid Answer: B 38) Which of the following is not a risk or cost of Internet auctions? A) delayed consumption costs B) equipment costs C) price transparency D) trust risks Answer: C 39) The fact that participating in an Internet auction means that you will need to purchase a computer, learn to use it, and pay for Internet access, is an example of ________ costs. A) equipment B) fulfillment C) delayed consumption D) monitoring Answer: A 40) All of the following are solutions to the problem of high monitoring costs except: A) seller rating systems. B) watch lists. C) proxy bidding. D) fixed pricing. Answer: A 41) Which of the following types of auctions "shields the brand" of the seller? A) English auction B) Name Your Own Price auction C) Dutch auction D) penny auction Answer: B 42) Which of the following allows the consumer to enter a maximum price and the auction software automatically places incremental bids, up to that maximum price, as their original bid is surpassed? A) watch lists B) proxy bidding C) sealed bidding D) price matching Answer: B