Unit 1.10

Question 1

Explain E-Business

Answer 1

Electronic Business is the Online transaction of goods and services and the transfer of funds through digital communications

Question 2

What is B2C

Answer 2

Business to Consumer

Question 3

What is B2C

Answer 3

Business to Customer

Question 4

Advantages of E-business for a business

Answer 4

1)Business can be conducted at any time- even when the store is closed(TMT customers can place orders according to their convenience leading to more customer satisfaction)
2)it expands the market from regional to global(This leads to more awareness about the business)
3) Overhead costs such as rent and electricty are reduced= more profits

Question 5

Disadvantages of E-business for a business

Answer 5

1)Efficient packing and reliable transport systems must be available(these are expensive=less profits)
2)Payment providers(PayPal) usually charge a commission for their services= less profit
3)An attractive website and an efficient electronic system is necessary= expensive

Question 6

Advantages of E-business for Customer

Answer 6

Convenient to shop from home and time is saved not having to visit shops=more customer satisfaction
Electronic prices are up-to date= customers can be updated with discounts and offers without needing to go to the store

Question 7

Disadvantage of E-business for a customer

Answer 7

1)Customers must have debit/credit cards and access to internet(Not everyone can buy products from business)
2)There is no guarantee of product quality

Question 8

How does E business support international business

Answer 8

Consumers have access to a wider choice of products
Purchasing supplies and raw materials from other countries may be cheaper

Question 9

What is M-business?

Answer 9

Refers to a new business services and business models using mobile technologies such as smartphone