Ecommerce Chapter 2 Exam Questions & Answers.

Ecommerce Chapter 2 Exam Questions & Answers. 1) ________ and ________ are typically the most easily identifiable aspects of a company's business model. A) Market strategy; market opportunity B) Value proposition; revenue model C) Competitive advantage; competitive environment D) Revenue model; market opportunity - CORRECT ANSWER B 2) All of the following use a subscription revenue model for music except: A) Spotify. B) eHarmony. - online dating service C) Rhapsody.- currently called Napster- digital music service D) Pandora. - CORRECT ANSWER B 3) Which element of the business model addresses what a firm provides that other firms cannot? A) competitive environment B) competitive advantage C) market strategy D) value proposition - CORRECT ANSWER D 4) Which element of the business model refers to the presence of substitute products in the market? A) value proposition B) competitive environment C) competitive advantage D) market opportunity - CORRECT ANSWER B 5) Which of the following represent Amazon's primary value proposition(s)? A) personalization and customization B) selection and convenience C) reduction of price discovery cost D) management of product delivery - CORRECT ANSWER B 6) A firm's ________ describes how a firm will produce a return on invested capital. A) value proposition B) revenue model C) market strategy D) competitive advantage - CORRECT ANSWER B 7) Which of the following is an example of the subscription revenue model? A) Scribd B) eBay C) E*Trade D) Twitter - CORRECT ANSWER A 8) Stickiness is an important attribute for which of the following revenue models? A) advertising revenue model B) subscription revenue model C) transaction fee revenue model D) affiliate revenue model - CORRECT ANSWER A 9) Which of the following companies use a transaction fee revenue model? A) Yahoo B) E*Trade C) Twitter D) Birchbox - CORRECT ANSWER B