Chapter 10

Question 1

Define social networks vs online social networks

Answer 1

Social networks involve a group of people with shared interests for some period of time

Online social networks is where people who share common ties can interact with one another online

Question 2

What are the different types of social networks?

Answer 2

1. General communities - offer members opportunities to interact with a general audience
2. Practice networks - offer members focused discussion groups for example Linux.org
3. Interest-based social networks - offer members focused discussion groups based on a shared interest for example horses or boats
4. Affinity communities - offer members focused discussions and interactions with other people of the same affinity for example political beliefs or gender
5. Sponsored communities - created for the purpose of pursuing organization goals for example increasing the information available to citizens

Question 3

What is a auction?

Answer 3

Markets where prices vary (dynamic pricing) depending on the competition among the participants

Question 4

What is the difference between C2C auction and B2C auction?

Answer 4

C2C works like eBay

B2C is an established online merchant that offers its own auctions

Question 5

What are the 4 different auction types?

Answer 5

1. English auctions - highest bidder wins as long as it has exceeded the reserve bid
2. Dutch Internet auctions - the lowest winning bid that clears the available quantity is paid by all winning bidders
3. Name Your Own Price or reverse auctions - buyers specify the price they are willing to pay for an item and multiple sellers bid for their business
4. Penny auction - Bidder pay a non-.refundable fee to purchase bids

Question 6

What are some benefits of auctions?

Answer 6

• Liquidity
• Price discovery
• Price transparency

Question 7

What are some costs of auctions?

Answer 7

• Delayed consumption
• Monitoring costs
• Equipment costs
• Fulfillment costs

Question 8

What methods have auction sites done to reduce risks?

Answer 8

• Rating systems
• Watch lists
• Proxy bidding - auction software will automatically place incremental bids as their original bid is surpassed (up to max)

Question 9

What is a portal?

Answer 9

A gateway to billion of Web pages available on the Internet

Question 10

What three main purposes does a portal serve?

Answer 10

1. Navigation of the Web (search)
2. Content
3. Commerce

Question 11

What are some major portal types?

Answer 11

• Enterprise portals - Created by corporations, universities and churches
• General-purpose portals - wants to attract a very large general audience like Yahoo and MSN
• Vertical market portals - (destination sites) attempts to attract a highly focused audience with an intense interest in either a community they belong or an interest they hold

Question 12

What two classifications can vertical market portals be divided into?

Answer 12

1. Affinity groups - serve people who identify themselves by their attitudes, values, beliefs and behavior
2. Focused content portals - contain in-depth information on a particular topic that all members are interested in

Question 13

What does losers lament mean?

Answer 13

The feeling of having been too cheap in bidding and failing to win