1.

Question:

Large firms are using online auction to purchasing goods but they do not use it for selling goods.

Response:

User answer

False

2. Question:

In the second wave, the online auction business has itself created opportunities for even more
entirely new types of business.

Response:

User answer

True

3. Question:

Many manufacturing companies periodically dispose unusable and/or excess inventory through their
B2C auction site.

Response:

User answer  

False Many manufacturing companies periodically dispose unusable and/or excess inventory through

4. Question:

The main difference between eBay and a live English auction is that bidders do not know who placed
which bid until the auction is over.

Response:
 User answer

True

5. Question:

Businesses are creating virtual communities including marketplaces to buy and sell goods.

Response:

User answer

True

6. Question:

Concerns of product quality in reverse auction can be mitigated by using clear guidelines.

Response:

User answer

True

7. Question:

The webs ability to bring together geographically dispersed people and organizations that share
narrow interest did not attract much business interest.

Response:

User answer

False

8. Question:
eBay has been so successful because it was the first major Web auction site for consumers that did
not cater to a specific audience and because it advertises widely.

Response:

User answer

True

9. Question:

For seller’s auction software and services include features like automate tasks such as

Response:

advertising, page design

bulk repeatable listings
feedback management

email management

All of these

image hosting

report tracking

Some of these

10. Question:

Buyers can often use a third-party escrow service to protect themselves.

Response:

User answer

True

11. Question:
Some companies that operate ___ have succeeded in building loyal followings.

Response:

B2B auction

specialty consumer auctions

general consumer auctions

12. Question:

Virtual communities exist on the Internet today in various forms, including

Response:

Usenet newsgroups

Web sites

market efficiency

All of these

Some of these

chat rooms

13. Question:

In, bidders submit their bids independently and are usually prohibited from sharing information with
each other.

Response:

First-Price Sealed-Bid Auctions

Dutch Auctions
 Some of these

All of these

Second-Price Sealed-Bid Auctions

English Auctions

14. Question:

A person working for the seller (disguised as a bidder) is called

Response:

Shill bidder

Bidder

Third party bidder

Auctioneer

15. Question:

An ___ service is an independent party that holds a buyer’s payment until the buyer receives the
purchased item and is satisfied that the item is what the seller represented it to be.

Response:

sniping

rating

shelling

escrow

review
 16. Question:

It is easy to challenge eBay because the economic structure of Internet allows low barrier to new
entrants.

Response:

User answer  

False Any challenger to eBay will find that the economic structure of markets is biased against new

17. Question:

In an English auction, the price of an item at which the auction begins is called ...

Response:

maximum bid

minimum bid

Shilling

dutchies

18. Question:

If enough important suppliers refuse to participate, it is impossible to conduct reverse auctions.

Response:

User answer

True

19. Question:
___ might cause suppliers to compete on price alone, which can lead suppliers to cut corners on
quality or miss scheduled delivery dates.

Response:

Reverse auctions

Dutch Auctions

English Auctions

All of these

First-Price Sealed-Bid Auctions

Second-Price Sealed-Bid Auctions

20. Question:

The minimum fee provision can make escrow services too expensive for large purchases.

Response:

User answer  

False The minimum fee provision can make escrow services too expensive for small purchases.

21. Question:

Because the price drops until a bidder claims the item, Dutch auctions are also called descending-price
auctions.

Response:

User answer

True

22. Question:
Businesses are using virtual communities and blogs to attract customers to their online store.

Response:

User answer

True

23. Question:

___ is a business that takes an item from and create an online auction for that item, handle the
transaction, and remit the balance of the proceeds after deducting a fee.

Response:

escrow service

English auctions service

None of these

Some of these

auction consignment services

All of these

24. Question:

In the second wave, the online auction business was made possible by the Web.

Response:

User answer  

False In the second wave, the online auction business has itself created opportunities for even more e

25. Question:
large companies such as Ingram Micro are removing the liquidation brokers from the value chain and
claiming the brokers’ intermediary profits.

Response:

User answer

True

26. Question:

C2B auction sites give companies a new and efficient method to dispose off excess inventories.

Response:

User answer  

False B2B auction sites give companies a new and efficient method to dispose off excess inventori

27. Question:

Shilling software observes auction progress until the last second or two of the auction clock.

Response:

User answer  

False Sniping software observes auction progress until the last second or two of the auction clock

28. Question:

In a proxy bid, if that maximum bid exceeds the current bid, the eBay site (or a sniping software)
automatically enters a bid that is one minimum bid increment higher than the current bid.

Response:

User answer

True
 29. Question:

___ are one of the fastest growing segments of online business today.

Response:

Niche marketing

Online auctions

CRM integration

Supplier integration

30. Question:

The eBay does not allow private auction.

Response:

User answer  

False The eBay English auction also allows sellers to specify that an auction be made private.

Question:

31. Because computer technology changes rapidly, outdated disk drives, computer chips, and
other items are good candidate for ___.

Response:

liquidation brokers

lock-in effect

All of these

online auction

market efficiency
 liquidation specialists

32. Question:

Software agents can find the lowest price for an item.

Response:

User answer

True

33. Question:

An offer of a certain price made on an item that is up for auction is called ___

Response:

Bidder

Bid

Auction

Shill bid

Game

34. Question:

First-Price Sealed-Bid Auctions yields higher returns for the seller.

Response:

User  
answer

False Second-Price Sealed-Bid Auctions yields higher returns for the seller, encourages all bidders to bid th
 User  
answer

reduces the tendency for bidders to collude.

35. Question:

Both auction buyers and sellers purchase software to help them manage their online auctions.

Response:

User answer

True

36. Question:

Some auction sites that are successful cater to buyers and sellers who are geographically dispersed
but share highly focused interests.

Response:

User answer

True

37. Question:

___ is the conversion of existing regular site visitors seeking free information or services into fee
paying subscribers or purchaser of services.

Response:

Monetizing

Catalog

Marketplace
 Advertising

38. Question:

Sealed bid auction is a type of auction in which the bidder submit their bid independently and
privately.

Response:

User answer

True

39. Question:

A common concern among people bidding in online auctions is the reliability of the sellers. This can be
resolved by

Response:

Some of these

Auction Escrow Services

C2C auction

Reverse auctions

All of these

Seller’s record- ratings & reviews

40. Question:

Some of the most pervasive virtual communities are online communities operating under social
networking services.

Response:
 User answer

True

41. Question:

Communication and relationship-forming activities that occur online are different to those that occur
in physical communities.

Response:

User answer  

False Communication and relationship-forming activities that occur online are similar to those that occ

42. Question:

Companies are reluctant to use internal web portals to communicate with employees and coordinate
work across various organizational units.

Response:

User answer  

False Companies are using internal web portals to communicate with employees and coordinate work a

43. Question:

Companies now use web to do things that they have never done before. This include(s)

Response:

All of these

Creating Virtual Community

Some of these
 None of these

Serving web portals

Operating auction sites

44. Question:

Liquidation broker is an agent that finds buyers for unusable and/or excess inventory.

Response:

User answer

True

45. Question:

English auction is a form of open auction in which bidding starts at a higher price and drops until a
bidder accepts a price.

Response:

User answer  

False Dutch auction is a form of open auction in which bidding starts at a higher price and drops until

46. Question:

The ___ is a form of open auction in which bidding starts at a high price and drops until a bidder
accepts the price.

Response:

Second-Price Sealed-Bid Auctions

specialty consumer auctions

First-Price Sealed-Bid Auctions

 B2B auction

Dutch auction

English Auctions

47. Question:

In the second wave of electronic commerce, individuals are increasingly using virtual communities for
___ interaction.

Response:

personal

Social

business

All of these

Some of these

None of these

48. Question:

Sniping software almost always wins out over a human bidder.

Response:

User answer

True