E-Business and E-Commerce

Question 1

___ is the generic name given to any business process that relies on electronic dissemination of information or on automated transaction processing.

Answer 1

E-business

Question 2

___ is a narrower term used to refer to transactions between the organization and its trading partners.

Answer 2

E-commerce

Question 3

___ ___ ___ e-commerce involves electronic processing of transactions between businesses and includes electronic data interchange (EDI), supply chain management (SCM) and electronic funds transfer (EFT).

Answer 3

Business-to-Business (B2B) e-commerce

Question 4

___ ___ ___ e-commerce Involves selling goods and services directly to consumers, almost always using the Internet and web-based technology.

Answer 4

Business-to-Consumer (B2C) e-commerce

Question 5

___ e-commerce relies heavily on intermediaries or brokers to facilitate the sales transaction.

Answer 5

B2C

Question 6

___ ____ ___ are technologies used to manage relationships with clients. They provide tools to analyze biographic and transaction information and develop personalized marketing plans for individual customers.

Answer 6

Customer Relationship Management (CRM)

Question 7

__ ___ ___ is computer-to-computer exchange of business data (e.g., purchase orders, confirmations, invoices, etc.) in structured formats allowing direct processing of the data by the receiving system.

Answer 7

Electronic Data Interchange (EDI)

Question 8

___ reduces handling costs and speeds transaction processing compared to traditional paper-based processing.

Answer 8

EDI

Question 9

EDI requires that all transactions be submitted in a specified format; ___ ___ is required to convert transaction data from the internal company data format to the EDI format and vice versa.

Answer 9

translation software

Question 10

EDI can be implemented using ___ ___ between the trading partners, through communication ___ (called “___ ___”), through ___ ___ ___, or over the ___.

Answer 10

direct links; intermediaries (called “service bureaus”); Value-Added Networks (VANs); Internet

Question 11

Despite increased interest in web-based EDI using an XML-based standard (RosettaNet is the leading contender for this standard), the vast majority of EDI transactions are still processed through___ ___ ___.

Answer 11

value-added networks.

Question 12

The well-established ___ ___, ___, and ___ provided for EDI transactions by VAN are the principal reasons for their continued popularity.

Answer 12

audit trails, controls, and security

Question 13

___ ___ ___ are costs associated with locating new business partners who support EDI processing; legal costs associated with modifying and negotiating trading contracts with new and existing business partners and with the communications provider; costs of changing internal policies and procedures to support the new processing model (process reengineering) and employee training.

Answer 13

costs of change

Question 14

___ ___ ___ is a technology for transferring money from one bank account directly to another without the use of paper money or checks.

Answer 14

Electronic Funds Transfer (EFT)

Question 15

___ substantially reduces the time and expense required to process checks and credit transactions.

Answer 15

EFT

Question 16

___ ___ ___ is the process of planning, implementing, and controlling the operations of the supply chain: the process of transforming raw materials into a finished product and delivering that product to the consumer.

Answer 16

Supply chain management (SCM)

Question 17

___ ___ ___ incorporates all activities from the purchase and storage of raw materials, through the production process into finished goods through to the point-of-consumption.

Answer 17

Supply chain management

Question 18

Reduction in ___ ___ ___ is a key benefit of implementation of an Electronic Data Interchange (EDI) system.

Answer 18

transaction processing time

Question 19

___ __ ___ (___) are frequently used to implement electronic data interchange (EDI)systems.

Answer 19

Value added networks (VANs)

Question 20

Electronic Funds Transfer (EFT) transactions are ___.

Answer 20

encrypted

Question 21

Electronic cash, smart cards (cash cards), and online payment systems such as PayPal are examples of ___ ___ ___ ___.

Answer 21

token-based payment systems

Question 22

Value-added networks are often used to process transactions using ___ ___ ___.

Answer 22

Electronic Data Interchange (EDI).

Question 23

____ ____ ____ help companies seek virtual bidders for goods and services.

Answer 23

Electronic tendering applications

Question 24

ATM transactions and Direct Deposit are examples of ___ ____ ____ technology.

Answer 24

electronic funds transfer (EFT)

Question 25

___ ___ ___systems use customer transaction data to create individualized marketing plans.

Answer 25

Customer relationship management (CRM)

Question 26

Electronic data interchange (EDI) is an example of ___ ___ ___ e-commerce.

Answer 26

business-to-consumer (B2C)

Question 27

___ can be used to ensure the privacy and security of EDI messages both during transmission and when stored.

Answer 27

Encryption

Question 28

___ ___ encryption is inherently more secure than software-based encryption, as software can be more easily accessed and altered.

Answer 28

Hardware-based

Question 29

___ ___ ensures that the message comes from an authorized source, but does not ensure privacy and security.

Answer 29

Message authentication