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50 Cards in this Set
- Front
- Back
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16) Which of the following is not a major trend in online retail for 2014-2015? A) About 90% of Internet users in the United States are now online shoppers. B) Lunchtime purchases are the fastest growing time segment for online retail purchases. C) Online retailers increase the use of interactive marketing tools such as blogs and user-generated content. D) Virtual merchants using a subscription-based revenue model emerge. |
B) Lunchtime purchases are the fastest growing time segment for online retail purchases. |
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17) In the United States, the service sector accounts for approximately ________ % of the United States GDP. A) 10 B) 30 C) 50 D) 80 |
D) 80 |
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18) Eight of the top ten fastest-growing e-commerce merchants from 2003 to 2013 were: A) virtual merchants. B) bricks-and-clicks companies. C) catalog merchants. D) manufacturer-direct firms. |
B) bricks-and-clicks companies. |
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19) Omni-channel merchants are also referred to as: A) virtual merchants. B) bricks-and-clicks companies. C) catalog merchants. D) manufacturer-direct firms. |
B) bricks-and-clicks companies. |
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20) Which of the following is a subscription-based retailer using predictive marketing and Big Data? A) Macy's B) Birchbox C) Dell D) Lands' End |
B) Birchbox |
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21) The MOTO sector of the retail industry is most similar to the ________ sector. A) specialty stores B) general merchandise C) online retail sales D) consumer durables |
C) online retail sales |
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22) Which of the following is not one of the seven major segments of the retail industry? A) electronics and computers B) specialty stores C) gasoline and fuel D) food and beverage |
A) electronics and computers |
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23) Service industry groups are categorized generally into two groups, those that provide transaction brokering and those that involve: A) retailing goods. B) personalization. C) information brokering. D) providing hands-on services. |
D) providing hands-on services. |
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24) All of the following statements about the MOTO sector are true except: A) compared to general merchandisers, the transition to e-commerce has been easier for MOTO firms. B) the MOTO sector is also referred to as the specialty store sector. C) MOTO was the last technological revolution that preceded e-commerce. D) distribution of catalogs is one of MOTO retailers' biggest expenses. |
B) the MOTO sector is also referred to as the specialty store sector. |
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25) All of the following were factors that precipitated the growth of MOTO except: A) the national toll-free call system. B) the growth of the cellular phone industry. C) falling long distance telecommunications prices. D) the growth of the credit card industry. |
B) the growth of the cellular phone industry. |
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26) All of the following were parts of the vision during the early days of e-commerce except the belief that: A) new, "first-mover" middlemen, with expertise in e-commerce, would force traditional intermediaries out of business. B) Web consumers were rational and cost-driven. C) entry costs to the online retail market would be much less than those needed to establish a physical storefront. D) the cost of acquiring customers would be much lower. |
A) new, "first-mover" middlemen, with expertise in e-commerce, would force traditional intermediaries out of business. |
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27) Which of the following launched trials of Buy buttons in 2014? A) Facebook and Pinterest B) Twitter and Pinterest C) Twitter and Facebook D) Pinterest and Tumblr |
C) Twitter and Facebook |
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28) In 2014, approximately what percentage of Internet users over the age of 14 made a purchase at an online retail store? A) 35% B) 55% C) 75% D) 95% |
C) 75% |
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29) Which of the following has introduced a tool known as Consumer Alerts to inform readers when a review is likely to be fraudulent? A) Yelp B) TripAdvisor C) Angie's List D) TripExpert |
A) Yelp |
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30) All of the following are examples of Amazon Web Services except: A) Amazon Prime. B) Amazon S3. C) Amazon EC2. D) Amazon Glacier. |
A) Amazon Prime. |
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31) All of the following are advantages of online retail except: A) lower supply chain costs. B) lower cost of distribution. C) ability to change prices. D) faster delivery of goods. |
D) faster delivery of goods. |
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32) Which of the following is not one of the central challenges facing the online retail industry? A) lack of physical store presence B) consumer concerns about the privacy of personal information C) inconvenience in returning goods D) delivery delays |
A) lack of physical store presence |
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33) Which of the following is not one of the methods used by traditional retailers to develop omni-channel integration? A) online Web catalog B) online order, in-store pickup C) online supply-push D) online promotions for offline purchases |
C) online supply-push |
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34) Which of the following is not a key industry strategic factor? A) synergies B) barriers to entry C) industry value chain D) existence of substitute products |
A) synergies |
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35) All of the following are strategic factors that pertain specifically to a firm and its related businesses except: A) core competencies. B) synergies. C) technology. D) power of customers. |
D) power of customers. |
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36) The lower the cost of sales compared to ________, the higher the gross profit. A) assets B) revenue C) gross margin D) operating expenses |
B) revenue |
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37) Gross margin is defined as gross profit: A) minus total operating expenses. B) divided by net sales revenues. C) divided by cost of sales. D) minus net income. |
B) divided by net sales revenues. |
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38) Which of the following is not categorized as an operating expense? A) the cost of products being sold B) marketing costs C) administrative overhead D) amortization of goodwill |
A) the cost of products being sold |
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39) Operating margin is defined as: A) operating income or loss divided by net sales revenues. B) operating income or loss divided by total operating expenses. C) net sales revenues divided by net income or loss. D) net assets divided by net liabilities. |
A) operating income or loss divided by net sales revenues. |
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40) What is another name for pro forma earnings? A) net margin B) operating income C) earnings before income taxes, depreciation, and amortization (EBITDA) D) generally accepted accounting principles (GAAP) earnings |
C) earnings before income taxes, depreciation, and amortization (EBITDA) |
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41) Which of the following would not be considered a current asset? A) long-term investments B) cash C) accounts receivable D) marketable securities |
A) long-term investments |
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42) Current liabilities are debts of the firm that will be due within: A) three months. B) six months. C) one year. D) two years. |
C) one year. |
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43) For a quick check of a firm's short-term financial health, examine its: A) working capital. B) gross margin. C) long-term debt. D) cost of sales. |
A) working capital. |
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44) Virtual merchants face potentially large costs for all of the following except: A) building and maintaining a Web site. B) building and maintaining physical stores. C) building an order fulfillment infrastructure. D) developing a brand name. |
B) building and maintaining physical stores. |
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45) All of the following statements about Amazon are true except: A) Amazon did not show a profit in 2013. B) Amazon is at the forefront of the "infrastructure as a service" market. C) eBay can be considered a competitor of Amazon's. D) Amazon continues to generate revenue primarily by selling products. |
A) Amazon did not show a profit in 2013. |
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46) All of the following are challenges faced by bricks-and-clicks firms except: A) coordinating prices across channels. B) handling returns of Web purchases at retail outlets. C) building a credible Web site. D) building a brand name. |
D) building a brand name. |
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47) All of the following are challenges for catalog merchants except: A) high costs of printing and mailing. B) building a credible Web site. C) the need to bring staff in or manage new technology. D) building sophisticated order entry and fulfillment systems. |
D) building sophisticated order entry and fulfillment systems. |
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48) Which of these job recruitment sites is a job site aggregator? A) Indeed B) Craigslist C) Monster D) CareerBuilder |
A) Indeed |
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49) The term supply-push refers to: A) making products prior to orders being received based on estimated demand. B) waiting for orders to be received before building a product. C) channel conflict. D) multi-channel manufacturers who sell directly online to consumers. |
A) making products prior to orders being received based on estimated demand. |
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50) All of the following are examples of the challenges that traditional manufacturers experience when using the Internet to sell directly to the consumer except: A) moving to a demand-pull model. B) high cost structures. C) developing a fast-response online order and fulfillment system. D) channel conflict. |
B) high cost structures. |
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51) Which of the following is not true about sharing economy firms? A) Their growth is supported by the use of online reputation systems based on peer review. B) Sharing economy firms that choose a marketplace that is too small to generate sufficient and steady demand are likely to fail. C) Sharing economy firms facilitate access to resources. D) Sharing economy firms are a totally new phenomenon without precedent in the history of e-commerce. |
D) Sharing economy firms are a totally new phenomenon without precedent in the history of e-commerce. |
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52) Approximately ________ % of the United States labor force is involved in providing services. A) 50 B) 60 C) 70 D) 80 |
D) 80 |
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53) Which of the following is not an example of a transaction broker? A) a stockbroker B) a real estate agent C) an accountant D) an employment agency |
C) an accountant |
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54) All of the following services require extensive personalization except: A) financial services. B) legal services. C) medical services. D) accounting services. |
A) financial services. |
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55) Which of the following is a sharing economy company focused on the rental of lodging? A) Uber B) Lyft C) Airbnb D) Task Rabbit |
C) Airbnb |
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56) Which of the following statements about online banking is not true? A) Top mobile banking activities include checking balances and transferring money from one account to another. B) Online and mobile banking transactions provide significant costs savings for banks. C) All of the purely online banks (those that operate without a network of branches) have gone out of business. D) Over 50% of the adult U.S. population used online banking in 2014. |
C) All of the purely online banks (those that operate without a network of branches) have gone out of business. |
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57) In ________, all of a customer's financial (and even nonfinancial) data are pulled together at a single personalized Web site. A) account aggregation B) a financial portal C) integrated financial services D) EBPP systems |
A) account aggregation |
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58) The Internet has resulted in lower search costs, increased price comparison, and lower prices to consumers for which insurance product line? A) term life insurance B) automobile insurance C) health insurance D) property and casualty insurance |
A) term life insurance |
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59) All of the following statements about the online insurance industry are true except: A) the Internet has dramatically changed the insurance industry's value chain. B) Web sites of almost all the major firms provide the ability to obtain an online quote. C) Internet usage has led to a decline in term life insurance prices industry-wide. D) the industry has been very successful in attracting visitors searching for information. |
A) the Internet has dramatically changed the insurance industry's value chain. |
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60) All of the following statements about the online real estate services market are true except: A) Zillow and Trulia together account for over 60% of Web and mobile traffic to online real estate sites. B) real estate differs from other types of online financial services because it is impossible to complete a property transaction online. C) the primary service offered by real estate sites is a listing of houses available. D) the Internet and e-commerce have created significant disintermediation in the real estate marketplace. |
D) the Internet and e-commerce have created significant disintermediation in the real estate marketplace. |
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61) Craigslist is a player in which of the following online services markets? A) real estate services and career services B) insurance services and brokerage services C) travel services D) online accounting services |
A) real estate services and career services |
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62) Which of the following best explains why the service sector is a natural avenue for e-commerce? A) The service sector is less geographically reliant and more globally oriented. B) The service sector has historically been more technology-reliant. C) Much of the value in services is based on the collection, storage, and exchange of information. D) It is not; services are difficult to translate to e-commerce because they rely on face-to-face communication and barter. |
C) Much of the value in services is based on the collection, storage, and exchange of information. |
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63) What is the largest sector of the online travel services market in terms of revenue? A) hotel reservations B) car reservations C) cruise/tour reservations D) airline reservations |
D) airline reservations |
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64) Which of the following statements is not true? A) Price competition among online travel services is difficult as comparison shopping for better prices is easy. B) Online travel services is one of the few sectors in which extensive disintermediation has occurred. C) The ability of travel products and services to be commoditized is a significant factor in the explosive growth of the online travel services industry. D) The online travel services industry has gone through a period of consolidation. |
B) Online travel services is one of the few sectors in which extensive disintermediation has occurred. |
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65) Which of the following is not a major trend in the online recruitment services industry? A) disintermediation B) localization C) social networking D) consolidation |
A) disintermediation |
