Chapter 8 E-Commerce Essay

Chapter 8-E-Commerce Essay 86. How does e-commerce relate to the value chain concept? ANSWER: POINTS: DIFFICULTY: Answers will vary. The Internet can increase the speed and accuracy of communication between suppliers, distributors, and customers. Moreover, the Internet's low cost means companies of any size can take advantage of value chain integration, which is the process of multiple companies in a shared market working together to plan and manage the flow of goods, services, and information from manufacturers to consumers. This process optimizes the value chain's efficiency, thus creating a competitive advantage for all companies involved. 1 Moderate REFERENCES: Define e-commerce and describe its advantages, disadvantages, and business models. QUESTION TYPE: Essay HAS VARIABLES: False LEARNING OBJEC MIS9.BIDG.19.08.01 TIVES: TOPICS: KEYWORDS: Value chain and e-commerce Understand DATE CREATED: DATE MODIFIED: 87. Provide examples of how e-commerce can enhance a value chain. ANSWER: Answers will vary. E-commerce can enhance a value chain by offering new ways to reduce costs or improve operations, including the following: a. Using e-mail rather than regular mail to notify customers of upcoming sales can reduce costs. POINTS: b. Selling to customers via the company Web site can generate new sources of revenue, particularly from customers who live far away from the company's headquarters or physical store. c. Offering online customer service can make products or services more appealing to customers. 1 Moderate DIFFICULTY: REFERENCES: Define e-commerce and describe its advantages, disadvantages, and business models. QUESTION TYPE: Essay HAS VARIABLES: False LEARNING OBJECMIS9.BIDG. 19.08.01 TIVES: TOPICS: Value chain and e-commerce KEYWORDS: Understand DATE CREATED: DATE MODIFIED: 88. Explain the concept of click-and-brick e-commerce with an example. ANSWER: Answers will vary. Many companies now operate as a mix of traditional commerce and e-commerce and have some kind of e-commerce presence. These companies, referred to as click-and-brick e-commerce, capitalize on the advantages of online interaction with their customers yet retain the benefits of having a physical store location. For example, customers can buy items from the company's Web site but take them to the physical store if they need to return items. POINTS: 1 DIFFICULTY: Moderate Define e-commerce and describe its advantages, disadvantages, and business models. REFERENCES: QUESTION TYPE: Essay HAS VARIABLES: False Chapter 8-E-Commerce LEARNING OBJEC MIS9.BIDG.19.08.01 TIVES: TOPICS: KEYWORDS: DATE CREATED: DATE MODIFIED: Value chain and e-commerce. Apply 89. List four disadvantages of e-commerce. ANSWER: POINTS: DIFFICULTY: Answers will vary. E-commerce has the following disadvantages, although many of these should be eliminated or reduced in the near future: a. Bandwidth capacity problems (in certain parts of the world) b. Security and privacy issues c. Accessibility (not everybody is connected to the Web yet) d. Acceptance (not everybody accepts this technology) 1 Moderate REFERENCES: Define e-commerce and describe its advantages, disadvantages, and business models. QUESTION TYPE: Essay HAS VARIABLES: False LEARNING OBJEC MIS9.BIDG. 19.08.01 TIVES: TOPICS: KEYWORDS: E-commerce Understand DATE CREATED: DATE MODIFIED: 90. Describe the merchant model of e-commerce. ANSWER: POINTS: DIFFICULTY: REFERENCES: Answers will vary. The merchant model transfers the old retail model to the e-commerce world by using the medium of the Internet. In the most common type of merchant model, an e-commerce company uses Internet technologies and Web services to sell goods and services over the Web. Companies following this model offer good customer service and lower prices to establish a presence on the Web. Amazon uses this model, but traditional businesses, such as Dell, Cisco, and Hewlett-Packard, have adopted this model to eliminate the middleman and reach new customers. 1 Moderate Define e-commerce and describe its advantages, disadvantages, and business models. QUESTION TYPE: Essay HAS VARIABLES: False LEARNING OBJECMIS9.BIDG.19.08.01 TIVES: TOPICS: KEYWORDS: DATE CREATED: DATE MODIFIED: E-commerce Understand 91. How do companies use business-to-business (B2B) applications? ANSWER: Answers will vary. Companies use B2B applications for purchase orders, invoices, inventory status, Chapter 8-E-Commerce POINTS: DIFFICULTY: shipping logistics, business contracts, and other operations. These companies report millions of dollars in savings by increasing transaction speed, reducing errors, and eliminating manual tasks. 1 Moderate REFERENCES: Explain the major categories of e-commerce. QUESTION TYPE: Essay HAS VARIABLES: False LEARNING OBJEC MIS9.BIDG. 19.08.02 TIVES: TOPICS: KEYWORDS: DATE CREATED: DATE MODIFIED: E-commerce types and models Understand 92. Provide examples of organizational e-commerce activities that take place inside an organization. ANSWER: Answers will vary. Organizational e-commerce activities can include exchange of goods, services, or information among employees. Other examples include conducting training programs and offering human resource services. Some of these activities, although not specifically selling and buying, are considered supporting activities in Porter's value chain. For example, a human resources department supports the personnel involved in producing and distributing a company's products. POINTS: DIFFICULTY: 1 Moderate REFERENCES: Explain the major categories of e-commerce. QUESTION TYPE: Essay HAS VARIABLES: False LEARNING OBJEC MIS9.BIDG.19.08.02 TIVES: TOPICS: KEYWORDS: DATE CREATED: E-commerce types and models Understand DATE MODIFIED: 93. Describe the information sharing and ordering activities involved in conducting business-to-consumer (B2C) e-commerce. ANSWER: Answers will vary. A B2C e-commerce company can use a variety of methods to share information with its customers. Web sites, online catalogs, e-mail, online advertisements, video conferencing, message boards, and newsgroups are some of the methods that can be used. Customers can use electronic forms or e-mail to order products from a B2C site. Moderate POINTS: 1 DIFFICULTY: REFERENCES: Describe the business-to-consumer e-commerce cycle. QUESTION TYPE: Essay HAS VARIABLES: False LEARNING OBJEC MIS9.BIDG. 19.08.03 TIVES: Page