Chapter 1

Question 1

electronic commerce 1

Answer 1

business activities conducted using electronic data transmission over the internet and the world wide web

Question 2

electronic commerce

Answer 2

the transformation of business processes through the use of internet technologies

Question 3

Activity

Answer 3

a task performed by a worker in the course of doing his or her job

Question 4

Transaction

Answer 4

purchase, sale or conversion of raw materials into finished product. It involves at least one business activity

Question 5

Business process

Answer 5

group of logical, related, sequential activities and transactions

Question 6

Electronic data exchange

Answer 6

b2b transmission of computer-readable data in standard format

Question 7

benefits of standard transmitting formats (EDI)

Answer 7

• reduces errors
• avoids printing and mailing costs
• eliminates need to re-enter data

Question 8

Transaction costs

Answer 8

total costs a buyer and seller incur while gathering information and negotiating a purchase-and sale transaction

Question 9

Value Chain

Answer 9

a way of organising strategic business unit activities to design, produce, promote, market, deliver and support the products or services