E-COMMERCE (BUS2500) FINAL VERIFIED EXAM SOLUTIONS -
COMPREHENSIVE QUESTIONS AND ANSWERS - CURRENT
VERSION 2026/2027
Which of the following best defines e-commerce?
- the use of digital technologies in a firm's daily activities
- any electronically based organizational activity that supports a firm's market
exchanges
- the digital enablement of transactions and processes within an organization
- digitally enabled commercial transactions between and among organizations
and individuals - ANSWER digitally enabled commercial transactions between
and among organizations and individuals
Which of the following is an example of e-business?
- an Amazon mobile app
- Amazon's inventory control system
- the Amazon.com website
- Amazon's Pinterest page - ANSWER Amazon's inventory control system
Which of the following can be considered synonymous with the term e-
commerce?
- the Web
- e-business
- digital commerce
- the Internet - ANSWER digital commerce
Which of the following is not a major business trend in e-commerce in 2020-
2021?
- Social e-commerce continues to grow.
,- Retail e-commerce revenues exceed B2B e-commerce revenues for the first
time.
- On-demand service companies garner multibillion-dollar valuations.
- The mobile app ecosystem continues to grow. - ANSWER Retail e-
commerce revenues exceed B2B e-commerce revenues for the first time
Which of the following is not a major technology trend in e-commerce in 2020-
2021?
- Smart speakers provide an additional platform for e-commerce.
- Cloud computing enables content stored on Internet-based servers to be
accessed by consumer devices such as smartphones.
- Firms are turning to business analytics to make sense out of big data.
- Growth of the Internet of Things slows down - ANSWER Growth of the
Internet of Things slows down
Which of the following statements about the mobile platform is not true?
- Adult mobile U.S. Internet users spend an average of three-and-a-half hours
per day within apps in 2020.
- Retail m-commerce purchases were expected to reach about $315 billion in
2020.
- In 2020, about 93% of Internet users in the United States used a mobile device
to access the Internet at least some of the time.
- Over 235 million individuals in the United States used tablet computer apps in
2020. - ANSWER Over 235 million individuals in the United States used
tablet computer apps in 2020
Which of the following was the original "killer app" that made the Internet
commercially interesting and extraordinarily popular?
- social networks
- e-commerce
- mobile apps
- the Web - ANSWER the Web
E-commerce is available just about everywhere and anytime. This is known as:
,- information density.
- ubiquity.
- richness.
- reach. - ANSWER ubiquity
Which of the following is a characteristic of e-commerce during the Invention
period?
- mobile technology
- earnings and profit emphasis
- extensive government surveillance
- disintermediation - ANSWER disintermediation
All of the following can be considered a precursor to e-commerce except:
- the development of the smartphone.
Correct ANSWER
- the French Minitel.
- Baxter Healthcare's PC-based remote order entry system.
- the development of Electronic Data Interchange standards. - ANSWER the
development of the smartphone
Which of the following is not an example of an on-demand service company?
- Airbnb
- Facebook
- Instacart
- DoorDash - ANSWER Facebook
Unfair competitive advantages occur when:
- market middlemen are displaced.
- one competitor has an advantage that others cannot purchase.
- information is equally distributed and transaction costs are low.
- firms are able to gather monopoly profits. - ANSWER one competitor has an
advantage that others cannot purchase.
, The early years of e-commerce were driven by all of the following factors
except:
- a huge infusion of venture capital funds.
- an emphasis on exploiting traditional distribution channels.
- visions of profiting from new technology.
- an emphasis on quickly achieving very high market visibility. - ANSWER an
emphasis on exploiting traditional distribution channels.
Which of the following is not a characteristic of a perfect competitive market?
- Price, cost, and quality information are equally distributed.
- It is highly regulated.
- Customers have access to all relevant information worldwide.
- A nearly infinite set of suppliers compete against one another. - ANSWER It
is highly regulated.
Which of the following best describes the early years of e-commerce?
- They were a mixed technological and business success.
- They were a technological success but a mixed business success.
- They were a technological success but a business failure.
- They were a technological failure but a business success. - ANSWER They
were a technological success but a mixed business success.
Which of the following is a characteristic of the Reinvention phase of e-
commerce?
- widespread adoption of broadband networks
- rapid growth of search engine advertising
- expansion of e-commerce to include services as well as goods
- massive proliferation of dot-com start-ups - ANSWER expansion of e-
commerce to include services as well as goods
Which of the following refers to the displacement of market middlemen and the
creation of a new direct relationship between producers and consumers?
- network effect
COMPREHENSIVE QUESTIONS AND ANSWERS - CURRENT
VERSION 2026/2027
Which of the following best defines e-commerce?
- the use of digital technologies in a firm's daily activities
- any electronically based organizational activity that supports a firm's market
exchanges
- the digital enablement of transactions and processes within an organization
- digitally enabled commercial transactions between and among organizations
and individuals - ANSWER digitally enabled commercial transactions between
and among organizations and individuals
Which of the following is an example of e-business?
- an Amazon mobile app
- Amazon's inventory control system
- the Amazon.com website
- Amazon's Pinterest page - ANSWER Amazon's inventory control system
Which of the following can be considered synonymous with the term e-
commerce?
- the Web
- e-business
- digital commerce
- the Internet - ANSWER digital commerce
Which of the following is not a major business trend in e-commerce in 2020-
2021?
- Social e-commerce continues to grow.
,- Retail e-commerce revenues exceed B2B e-commerce revenues for the first
time.
- On-demand service companies garner multibillion-dollar valuations.
- The mobile app ecosystem continues to grow. - ANSWER Retail e-
commerce revenues exceed B2B e-commerce revenues for the first time
Which of the following is not a major technology trend in e-commerce in 2020-
2021?
- Smart speakers provide an additional platform for e-commerce.
- Cloud computing enables content stored on Internet-based servers to be
accessed by consumer devices such as smartphones.
- Firms are turning to business analytics to make sense out of big data.
- Growth of the Internet of Things slows down - ANSWER Growth of the
Internet of Things slows down
Which of the following statements about the mobile platform is not true?
- Adult mobile U.S. Internet users spend an average of three-and-a-half hours
per day within apps in 2020.
- Retail m-commerce purchases were expected to reach about $315 billion in
2020.
- In 2020, about 93% of Internet users in the United States used a mobile device
to access the Internet at least some of the time.
- Over 235 million individuals in the United States used tablet computer apps in
2020. - ANSWER Over 235 million individuals in the United States used
tablet computer apps in 2020
Which of the following was the original "killer app" that made the Internet
commercially interesting and extraordinarily popular?
- social networks
- e-commerce
- mobile apps
- the Web - ANSWER the Web
E-commerce is available just about everywhere and anytime. This is known as:
,- information density.
- ubiquity.
- richness.
- reach. - ANSWER ubiquity
Which of the following is a characteristic of e-commerce during the Invention
period?
- mobile technology
- earnings and profit emphasis
- extensive government surveillance
- disintermediation - ANSWER disintermediation
All of the following can be considered a precursor to e-commerce except:
- the development of the smartphone.
Correct ANSWER
- the French Minitel.
- Baxter Healthcare's PC-based remote order entry system.
- the development of Electronic Data Interchange standards. - ANSWER the
development of the smartphone
Which of the following is not an example of an on-demand service company?
- Airbnb
- Instacart
- DoorDash - ANSWER Facebook
Unfair competitive advantages occur when:
- market middlemen are displaced.
- one competitor has an advantage that others cannot purchase.
- information is equally distributed and transaction costs are low.
- firms are able to gather monopoly profits. - ANSWER one competitor has an
advantage that others cannot purchase.
, The early years of e-commerce were driven by all of the following factors
except:
- a huge infusion of venture capital funds.
- an emphasis on exploiting traditional distribution channels.
- visions of profiting from new technology.
- an emphasis on quickly achieving very high market visibility. - ANSWER an
emphasis on exploiting traditional distribution channels.
Which of the following is not a characteristic of a perfect competitive market?
- Price, cost, and quality information are equally distributed.
- It is highly regulated.
- Customers have access to all relevant information worldwide.
- A nearly infinite set of suppliers compete against one another. - ANSWER It
is highly regulated.
Which of the following best describes the early years of e-commerce?
- They were a mixed technological and business success.
- They were a technological success but a mixed business success.
- They were a technological success but a business failure.
- They were a technological failure but a business success. - ANSWER They
were a technological success but a mixed business success.
Which of the following is a characteristic of the Reinvention phase of e-
commerce?
- widespread adoption of broadband networks
- rapid growth of search engine advertising
- expansion of e-commerce to include services as well as goods
- massive proliferation of dot-com start-ups - ANSWER expansion of e-
commerce to include services as well as goods
Which of the following refers to the displacement of market middlemen and the
creation of a new direct relationship between producers and consumers?
- network effect
