Samacheer Kalvi 12th Computer Applications Solutions Chapter 15 E-Commerce

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Tamilnadu Samacheer Kalvi 12th Computer Applications Solutions Chapter 15 E-Commerce

Samacheer Kalvi 12th Computer Applications E-Commerce Text Book Back Questions and Answers

PART – I
I. Choose The Correct Answer

Question 1.
A company can be called E-Business if
(a) it has many branches across the world.
(b) it conduct business electronically over the Internet.
(c) it sells commodities to a foreign country.
(d) it has many employees.
Answer:
(b) it conduct business electronically over the Internet.

Question 2.
Which of the following is not a tangible good?
(a) Mobile
(b) Mobile Apps
(c) Medicine
(d) Flower bouquet
Answer:
(b) Mobile Apps

Question 3.
SME stands for
(a) Small and medium sized enterprises
(b) Simple and medium enterprises .
(c) Sound messaging enterprises
(d) Short messaging enterprises
Answer:
(a) Small and medium sized enterprises

Question 4.
The dotcom phenomenon deals with
(a) Textile industries
(b) Mobile phone companies
(c) Internet based companies
(d) All the above
Answer:
(c) Internet based companies

Question 5.
Which of the following is not correctly matched.
(a) The First Wave of Electronic Commerce: 1985-1990
(b) The Second Wave of Electronic Commerce: 2004 – 2009
(c) The Third Wave of Electronic Commerce: 2010 – Present
(d) Dotcom burst: 2000 – 2002
Answer:
(a) The First Wave of Electronic Commerce: 1985-1990

Question 6.
Assertion (A): The websites of first wave dotcom companies were only in English
Reason (R): The dotcom companies of first wave are mostly American companies.
(a) Both (A) and (R) are correct and (R) is the correct explanation of (A)
(b) Both (A) and (R) are correct, but (R) is not the correct explanation of (A)
(c) (A) is true and (R) is false
(d) (A) is false and (R) is true
Answer:
(a) Both (A) and (R) are correct and (R) is the correct explanation of (A)

Question 7.
Off-shoring means
(a) Work outsourced to a branch of its own company
(b) Work outsourced to new employees
(c) Work outsourced to a third party locally
(d) Work outsourced to a third party outside its own country
Answer:
(b) Work outsourced to new employees

Question 8.
G2G systems are classified into
(a) International facing and external facing
(b) Internet facing and Extranet facing
(c) Internal flag and external flag
(d) Internet flag and Extranet flag
Answer:
(a) International facing and external facing

Question 9.
……………………. host the e-books on their websites.
(a) Bulk-buying sites
(b) Community sites
(c) Digital publishing sites
(d) Licensing sites
Answer:
(c) Digital publishing sites

Question 10.
Which of the following is not a characteristics of E-Commerce?
(a) Products cannot be inspected physically before purchase.
(b) Goods are delivered instantly.
(c) Resource focus supply side
(d) Scope of business is global.
Answer:
(c) Resource focus supply side

PART – II
II. Short Answer

Question 1.
Define E-Commerce?
Answer:
E-Commerce can be described as the process of buying or selling products, services or information via computer networks.

Question 2.
Distinguish between E-Business and E-Commerce?
Answer:
E-Business:
E-Business is grounded on technologies such as Network Infrastructures (like Internet, Intranet, Extranet), Multimedia content & network publishing infrastructures (like HTML), Messaging & information distribution infrastructures (e-mail), and other Common business service infrastructures (Online Transaction Processing).

E-Commerce:
E-Commerce is commercial transaction through Internet, but E-Business entirely depends on the Internet for its every intra-company and inter-company activities such as marketing, fiance, manufacturing, selling.

Question 3.
Differentiate tangible goods and electronic goods with example of your own?
Answer:
Tangible goods:
Tangible form – e.g. a digital camera purchased by a consumer from an online. shopping website which might be delivered at the requested address.

Electronic goods:
Electronic form – e.g. a music album or a software downloaded from a site which might be delivered in electronic form.

Question 4.
What is dotcom bubble and dotcom burst?
Answer:
Dotcom Bubble:
1. The Dotcom Bubble was a historic excessive growth (excessive assumption) of economy that occurred roughly between 1995 and 2000.

2. During the dotcom bubble, the value of equity markets grew exponentially with the NASDAQ composite index of US stock market rising from under 1000 points to more than 5000 points.
Dotcom Burst

3. The Nasdaq-Composite stock market index, fell from 5046.86 to 1114.11. This is infamously, known as the Dotcom Crash or Dotcom Burst.

4. This began on March 11,2000 and lasted until October 9,2002. During the crash, thousands of online shopping companies, like as Pets.com failed and shut down.

Question 5.
Write a short note on out-sourcing?
Answer:
Out-sourcing are generally associated with B2B E-Commerce. If a company’s work is hired to another company, it would be termed as out-sourcing.

PART – III
Explain in Brief Answer

Question 1.
Describe how E-Commerce is related to socio-technological changes?
Answer:
Growth of E-Commerce is also related to the socio-technological changes. The more, the medium becomes deep-rooted, the more, are the users drawn towards it. Increase of users, increases the markets. As the markets expand, more business organizations are attracted. The more businesses accumulate it create competition. The competition leads to innovation; innovation in turn drives the development of technology; technology facilitates E-Commerce’s growth.

Question 2.
Write a short note on the third wave of E-Commerce?
Answer:
The Third Wave of Electronic Commerce: 2010 – Present
1. The third wave is brought on by the mobile technologies. It connects users via mobile devices for real-time and on-demand transactions, mobile technologies.

2. It connects users via mobile devices for real-time and on-demand transactions.

3. Not only the information is filtered by time, but also the geographic coordinates are used to screen the specific location-tailored information properly.

4. The term Web 3.0, summarize the various characteristics of the future Internet which include Artificial Intelligence, Semantic Web, Generic Database etc.

Question 3.
Explain B2B module in E-Commerce?
Business to Business (B2B)
Answer:
In B2B E-Commerce, commercial transactions take place between different business organizations, through the Internet. For example, a cycle company may buy tyres from another company for their cycles. When compared to other models, the value per transaction in B2B transaction is high, because of bulk purchases. The company also might get the advantage of discounts on bulk purchases.
Out-sourcing and Off-shoring are generally associated with B2B E-Commerce.

1. If a company’s work is hired to another company, it would be termed as out-sourcing.
2. If the work is outsourced to a company, which is outside of its own country, is termed as off-shoring.

Question 4.
Write a note on name-your-price websites?
Answer:
Name-your-price sites are just like normal retail sites. In contrast, the buyer negotiates with the retailer for a particular product or service, https://in.hotels.com/

Question 5.
Write a note on physical product dispute of E-Commerce?
Answer:
Physical product disputes are a major disadvantage in E-Commerce. E-Commerce purchases are often made on trust. This is because, we do not have physical access to the product. Through Internet is an effective channel for visual and auditory information it does not allow full scope for our senses.

We can see pictures of the perfumes, but could not smell their fragrance; we can see pictures of a cloth, but not its quality. If we want to inspect something, we choose what we look at and how we look at it. But in online shopping, we would see only the pictures the seller had chosen for us. People are often much more comfortable in buying the generic goods (that they have seen or experienced before and in which there is little ambiguity) rather than unique or complex things via the Internet.

PART – IV
IV. Explain in detail

Question 1.
Write about the development and growth of Electronic Commerce?
Answer:
The Development and Growth of Electronic Commerce:
Economists describe four distinct waves (or phases) that occurred in the Industrial Revolution. In each wave, different business strategies were successful. Electronic commerce and the information revolution brought about by the Internet likely go through such series of waves.

The First Wave of Electronic Commerce: 1995 -2003
(i) The Dotcom companies of first wave are mostly American companies. Thereby their websites were only in English. The Dotcom bubble had attracted huge investments to first wave companies.

(ii)As the Internet was mere read-only web (web 1.0) and network technology was in its beginning stage, the bandwidth and network security was very low.

(iii) Only EDI and unstructured E-mail remained as a mode of information exchange between businesses.

(iv) But the first wave companies enjoyed the first-move advantage and customers had left with no options.

The Second Wave of Electronic Commerce: 2004 – 2009

(i) The second wave is the rebirth of E-Commerce after the dotcom burst. The second wave is considered as the global wave, with sellers doing business in many countries and in many languages.

(ii) Language translation and currency conversion were focused in the second wave websites.
(iii) The second wave companies used their own internal funds and gradually expanded their E-Commerce opportunities.

(iv) As a result E-Commerce grows more steadily, though more slowly. The rapid development of network technologies and interactive web (web 2.0, a period of social media) offered the consumers more choices of buying. The increased web users nourished E-Commerce companies (mostly B2C companies) during the second wave.

The Third Wave of Electronic Commerce: 2010 – Present

(i) The third wave is brought on by the mobile technologies. It connects users via mobile devices for real-time and on-demand transactions, mobile technologies.

(ii) It connects users via mobile devices for real-time and on-demand transactions. Not only the information is filtered by time, but also the geographic coordinates are used to screen the specific location-tailored information properly.

(iii) The term Web 3.0, summarize the various characteristics of the future Internet which include Artificial Intelligence, Semantic Web. Generic Database etc.

Question 2.
List all the E-Commerce business models and explain any four briefly?
Answer:
Classification of E-Commerce Business models:
Business organizations, Consumers and Government (also called as Administrations) are the major parties in the E-Commerce. Sometimes Employees (Informal workers) also indulge in this system. Based upon the entities involved in transaction, E-Commerce has been classified into the following typical categories. The model in which the government plays as an entity is termed as e- Governance.

1. Business to Business (B2B)
2. Business to Consumer (B2C)
3. Business to Government (B2G)
4. Consumer to Business (C2B)
5. Consumer to Consumer (C2C)
6. Consumer to Government (C2G)
7. Government to Business (G2B)
8. Government to Consumer (G2C)
9. Government to Government (G2G)

1. Business to Business (B2B):
In B2B E-Commerce, commercial transactions take place between different business organizations, through the Internet. For example, a cycle company may buy tyres from another company for their cycles. When compared to other models, the value per transaction in B2B transaction is high, because of bulk purchases. The company also might get the advantage of discounts on bulk purchases.

Out-sourcing and Off-shoring are generally associated with B2B E-Commerce.

1. If a company’s work is hired to another company, it would be termed as out-sourcing.
2. If the work is outsourced to a company, which is outside of its own country, is termed as off-shoring.

2. Business to Consumer (B2C):
In B2C E-Commerce, commercial transactions take place between business firms and their consumers. It is the direct trade between companies and end-consumers via the Internet. B2C companies sell goods, information or services to customers through online in a more personalized dynamic environment and is considered as real competitor for a traditional storekeeper. An example of B2C transaction is a book company selling books to customers. This mode is intended to benefit the consumer and can say B2C E-Commerce works as ’retail store’ over Internet.

3. Business to Government (B2G):
B2G is a business model that refers to business organizations sells products, services or information to Governments or to its administrations. In other words, when a company get paid for its goods, services by the Government through Internet it is called as B2G model. B2G networks models provide a way for businesses to bid on Government projects or products those Governments might need for their organizations, e.g. A Government or its administration buys laptops for students from a business.

4. Consumer to Business (C2B):
C2B can be described as a form of E-Commerce where, the transaction is originated by the consumers. The consumers will fix a set of requirements or specific price for a service or a commodity. C2B model, is also called as reverse auction model. Here, customer bid his price for a service or a product. Then E-Commerce business entity will match the requirements of the consumers to the best possible extent.

For instance, in a travel website (eg. yatra.com) a consumer may specify his dates of trayel, his source and destination, number of tickets required and range of hotel etc. The website then finds out the various options for him which best meets his requirements. These websites generate revenue through affiliate links, sponsored advertisement or even a small commission in every booking, e.g. Name-your-price websites.

5. Consumer to Consumer (C2C):
C2C in E-Commerce provides opportunity for trading of products or services among consumers who are connected through the Internet. In brief when something is bought and sold between two consumers using Internet it is called C2C E-Commerce. Here the websites act as a platform to facilitate the transaction. The electronic tools and Internet infrastructure are employed to support transactions between individuals. Typically, this type of E-Commerce works as Consumer to Business to Consumer (C2B2C).

It means that a consumer would contact a business in search for a suitable customer. Most of the auction websites and matrimonial websites are working on this methodology. For example, a consumer who wants to sell his property can post an advertisement on the website (eg: timesclassifieds.com). Another person who is interested in buying a property can browse the property, advertisement posted on this site. Thus, the two consumers can get in touch with each other for sale/purchase of property through another business’ website.

6. Consumer to Government (C2G):
Citizens as Consumers and Government engage in C2G E-Commerce. Here an individual consumer interacts with the Government. C2G models usually include income tax or house tax payments, fees for issuance of certificates or other documents. People paying for renewal of license online may also fall under this category.

7. Government to Business (G2B):
G2B is closely related to B2G. G2B in E-Commerce refers to a business model where Government providing services or information to business organization. It may be a formal offer such as a takeover bid for a road project.

G2B is a part of e-govemance. The Government provides information about business rules, requirement and permission needed for starting a new business, and other specifications in its portal. The objective of G2B is to reduce burdens on business, provide one-stop access to information thereby boost the economy.

8. Government to Consumer (G2C):
G2C in E-Commerce is very similar to C2G. Here the Government provides platform for its citizens to avail its services and information through th Internet. The services may be issuance of ceriticates through online. e.g. https://csc.gov.in/governmenttocitizen.

9. Government to Government (G2G):
G2G is the online (usually non-commercial) interaction between Government organizations or departments. G2G’s principle objective is to implement e-govemance rather commerce. G2G model in e-govemance involves distributing data or information between its agencies/ departments. G2G systems can be classified into two types

Internal facing or local level – joining up a single Government’s bureaucracies, e.g. https:// www.nic.in/
External facing or international level – joining up multiple Governments’ bureaucracy.

Question 3.
Explain any five E-Commerce revenue models?
Answer:
(i) Auction site is a kind of website, that auctions items on the Internet and levies some commission from the sales, e.g. https://www.ebay.com/

(ii) Banner advertisement site displays advertisements of other companies in its websites and thereby earns revenue.

(iii) Bulk-buying sites collect a number of users together all of who want to buy similar items; the site negotiates a discount with the supplier and takes a commission, e.g. https://www.alibaba.com/

(iv) Digital publishing sites effectively host the e-books or magazines on the web. They make profits in a number of ways such as advertising, selling etc., https://wordpress.org/

(v) Licensing sites allow other websites to make use of their software. For example, the search engines which allow a visitor of the site to search within the website more easily.

Question 4.
How would you differentiate a traditional commerce and E-Commerce?
Answer:
Traditional vs E-Commerce:
Traditional Commerce:

1. Traditional commerce is buying or selling of products and services physically.
2. Customer can easily identify, authenticate and talk to the merchant.
3. Physical stores are not feasible to be open all the time.
4. Products can be inspected physically before purchase.
5. Scope of business is limited to particular area.
6. Resource focus Supply side.
7. Business Relationship is Linear.
8. Marketing is one way marketing.
9. Payment is made by cash, cheque, cards etc.
10. Most goods are delivered instantly.

E-Commerce:

1. E-Commerce carries out commercial transactions electronically on the Internet.
2. Neither customer nor merchant see the other.
3. It is always available on all time and all days of the year.
4. Products can’t be inspected physically before purchase. .
5. Scope of business is global. Vendors can expand their business Worldwide.
6. Resource focus Demand side.
7. Business Relationship is End-to-end.
8. One-to-one marketing.
9. Payment system is mostly credit card and through fund transfer.
10. It takes time to transport goods.

Question 5.
What are the advantages and disadvantages of E-Commerce to a consumer?
Advantages and Disadvantages of E-Commerce:
Answer:
The pros and cons of E-Commerce affect three major stakeholders: consumers business organisations, and society.
The following are the advantages and disadvantages of E-Commerce for a consumer.

Advantages:
1. E-Commerce system is operated on all days and all the day. It is able to conduct business 24 × 7. Neither consumer nor suppliers need physical store to be opened to do business electronically. People can interact with businesses at the time of their convenience.

2. Speed is a major advantage in E-Commerce. Advanced Electronic communications systems allow messages to reach across the world instantaneously. There is no need to wait days for a catalogue to arrive by post. Communication delay is not a part of the Internet or E-Commerce world.

3. The Internet is too easy to ‘shop around’ for products and services that may be more cheaper and effective than left o buy only in a Brick and Mortar shop. It provides an opportunity to buy at reduced costs. It is possible to, explore the Internet, identify original manufacturers, thereby bypass wholesalers and achieve a cheaper price.

4. The whole world becomes a shop for today’s customers. They can have wide choice by comparing and evaluating the same product at different websites before making a purchase decision.

5. Customers can shop from home or anywhere at their convenience. They don’t need a long wait to talk to a salesman. They can read the details regarding model numbers, prices, features etc. of the product from the website and buy at their own convenience. Payments can also be made through online.

Disadvantages:
1. E-Commerce is often used to buy goods that are not available locally but from businesses all over the world. Physical goods need to be transported, which takes time and costs money. In traditional commerce, when we walk out of a shop with an item, it’s ours; we have it; we know what it is, where it is and how it looks. But in E-Commerce we should wait between placing the order and having the product in hand. Some E-Commerce companies handle this by engaging their customer updating status of their shipments.

2. Unlike returning goods to a traditional shop returning goods through online is believed to be an area of difficulty. The doubts about the period of returning, will the returned goods reach source in time, refunds, exchange and postage make one tiresome.

3. Privacy issues are serious in E-Commerce. In E-Commerce generating consumer information is inevitable. Not all the companies use the personal information they obtained to improve services to consumers. Many companies misuse the information and make money out of it. It is true that privacy concerns are a critical reason why people get cold feet about online shopping.

4. Physical product disputes are a major disadvantage in E-Commerce. E-Commerce purchases are often made on trust. This is because, we do not have physical access to the product. Though Internet is an effective channel for visual and auditory information it does not allow full scope for our senses. We can see pictures of the perfumes, but could not smell their fragrance; we can see pictures of a cloth, but not its quality.

If we want to inspect something, we choose what we look at and how we look at it. But in online shopping, we would see only the pictures the seller had chosen for us. People are Often much more comfortable in buying the generic goods (that they have seen or experienced before and in which there is little ambiguity) rather than unique or complex things via the Internet.

5. We couldn’t think of ordering a single ice cream or a coffee from a shop in Paris. Though specialized and refrigerated transport can be used, goods bought and sold via the Internet need to survive the trip from the supplier to the consumer. This makes the customers turn back towards traditional supply chain arrangements for perishable and non-durable goods.

6. Delivery ambiguity. Since supplying businesses can be conducted across the world, it can be uncertain whether they are indeed genuine businesses or just going to take our money. It is pretty hard to knock on their door to complain or seek legal recourse. Further, even if the item is sent, it is easy to start bothering whether or not it will ever arrive on time.
The following are some of the advantages and disadvantages of E-Commerce for a Business organisation.

Benefit of E-Commerce to a business organisation –
Access to Global Market:
The Internet spans the world of E-Commerce, and it is possible to trade with any business or a person who is connected with the Internet. It helps to access the global marketplace. Simple local businesses such as herbal product stores are able to market and sell their products internationally using E-Commerce. Thus, the whole world becomes a potential market for an E-Commerce company.

Samacheer Kalvi 12th Computer Applications Chapter 15 E-Commerce Additional Question and Answer

I. Choose the Best Answer

Question 1.
The term E-Business was coined by ……………………….
(a) Apple
(b) IBM
(c) Microsoft
(d) Sun Microsystems
Answer:
(b) IBM

Question 2.
The, term E-Business was coined in the year
(a) 1996
(b) 2001
(c) 2003
(d) 2005
Answer:
(a) 1996

Question 3.
Find the wrong statement from the following.
(a) E-commerce is a subset of E-Business
(b) E-Business is a subset of E-Commerce
Answer:
(b) E-Business is a subset of E-Commerce

Question 4.
SCM means
(a) Supply Chain Management
(b) Small Company Management
(c) Short Chain Management
(d) Surplus Charge Management
Answer:
(a) Supply Chain Management

Question 5.
…………………… can be described as the process of buying or selling products, services or information via computer networks.
Answer:
E-Commerce

Question 6.
E-Commerce first emerged on private networks in ……………………….
(a) 1965
(b) 1967
(c) 1970
(d) 1972
Answer:
1970

Question 7.
…………………… paved the way for the E-commerce.
(a) Electronic Data Interchanges
(b) teleshopping
(c) both a & b
(d) none of these
Answer:
(c) both a & b

Question 8.
SME mean ……………………….
Answer:
Small and Medium-Sized Enterprises

Question 9.
Who invented Teleputer?
(a) Michael Aldrich
(b) Sting’s
(c) Bob Frankston
(d) Dan Bricklin
Answer:
(a) Michael Aldrich

Question 10.
Teleputer was invented in the year
(a) 1974
(b) 1976
(c) 1978
(d) 1980
Answer:
(d) 1980

Question 11.
Online Transaction Processing was developed in the year ………………………
(a) 1976
(b) 1978
(c) 1979
(d) 1981
Answer:
(c) 1979

Question 12.
Fusion of Television, Computer and Telecom network is called ………………………
Answer:
Teleputer

Question 13.
Joe Mccambley ran the first ever online banner ad in the year
(a) Oct 1994
(b) Nov 1996
(c) Oct 1996
(d) Nov 1994
Answer:
(a) Oct 1994

Question 14.
Match the following.
1. e Bay sold its first item – (i) July 1995
2. Amazon sold its first item – (ii) Aug 1994
3. The first business to business transactions – (iii) Sep 1995
4. First secure retail transaction on web – (iv) 1981
(a) 1-(iii)2-(i) 3-(iv) A-(ii)
(b) 1-(i) 2-(ii) 3-(iii) 4-(iv)
(c) 1 -(iv) 2-(iii) 3-(i) 4-(ii)
(d) 1-(ii) 2-(i) 3-(iv) 4-(iii)
Answer:
(a) 1-(iii)2-(i) 3-(iv) A-(ii)

Question 15.
Group on launched in the year ……………………..
(a) 2001
(b) 2003
(c) 2008
(d) 2007
Answer:
(c) 2008

Question 16.
The first online-only shop is ……………………….
Answer:
Zappo’s

Question 17.
…………………….. means shopping at a distance.
Answer:
Teleshopping

Question 18.
eBay sold its first item-a broken ………………………
(a) laser printer
(b) laser pointer
(c) science textbook
(d) album
Answer:
(b) laser pointer

Question 19.
Amazon sold its first item ………………………..
(a) science textbook
(b) Maths textbook
(c) Tamil textbook
(d) English textbook
Answer:
(a) science textbook

Question 20.
The dotcom Bubble was a historic excessive growth of economy that occured roughly between …………………… and …………………….
(a) 1990-95
(b) 1995-2000
(c) 2005-2010
(d) 2015-20
Answer:
(b) 1995-2000

Question 21.
The another name for Dotcom Burst is …………………………
Answer:
Doctom Crash

Question 22.
How many types of E-commerce Business models are there?
(a) 7
(b) 8
(c) 9
(d) 10
Answer:
(c) 9

Question 23.
Outsourcing and Off shoring comes under …………………….. Business models?
(a) B2B
(b) B2C
(c) B2G
(d) C2B
Answer:
(a) B2B

Question 24.
The commercial transactions that takes place between business firms and their consumers are ………………………
(a) B2B
(b) B2C
(c) B2G
(d) C2B
Answer:
(a) B2B

Question 25.
When a company get paid for its goods, services by the Government through Internet it is called as ………………………. model.
(a) B2B
(b) B2C
(c) B2G
(d) C2B
Answer:
(c) B2G

Question 26.
Which model is also called as reverse auction model?
(a) B2B
(b) B2C
(c) B2G
(d) C2B
Answer:
(d) C2B

Question 27.
C2C can be termed as ………………………..
(a) C2B2C
(b) CCB22
(c) 22CCB
(d) B2C2B
Answer:
(a) C2B2C

Question 28.
Find the Wrongly matched pair.
(i) yatra.com – C2B
(ii) Income tax – C2G
(iii) Income tax – C2G
(iv) ebiz.gov.in – G2B
(a) (i), (ii)
(b) (ii), (iii), (iv)
(c) (iii)
(d) (iv)
Answer:
(d) (iv)

Question 30.
Matrimonial websites come under ……………………… models.
(a) C2B
(b) B2C
(c) B2B
(d) C2C
Answer:
(d) C2C

Question 31.
Pick the odd one out.
(a) house tax payments
(b) Income tax payments
(c) auction payments
(d) fess for issuance of certificates
Answer:
(c) auction payments

Question 32.
Which model is a part of e-govemance?
(a) G2B
(b) B2C
(c) C2G
(d) G2G
Answer:
(a) G2B

Question 33.
How many types of classifications of G2G systems are there?
(a) 2
(b) 3
(c) 4
(d) 5
Answer:
(a) 2

Question 34.
Affiliate site is also called as …………………….
Answer:
price comparision website

Question 35.
…………………… collect a number of users together all of who want to buy similar items.
Answer:
Bulk-Buying Sites

Question 36.
Identify the statement which is wrong about E-commerce
(а) Resource focus demand sick
(b) Business Relationship is linear
(c) one to one marketing
(d) products can’t be inspected physically before purchase
Answer:
(b) Business Relationship is linear

Question 37.
Which among the following is not the benefits of E-commerce?
(a) Access to global market
(b) lower Transaction cost
(c) High cost of entry
(d) computer platform-independent
Answer:
(c) High cost of entry

Question 38.
ARmeans ………………………
Answer:
Augument reality

Question 39.
VR means ……………………..
Answer:
Virtual Reality

Question 40.
……………………….. is a 3-dimensional experience of witnessing the virtual items by augmenting the real objects with the virtual ones.
Answer:
Augument Reality

Question 41.
………………….. an online platform for writing articles about a topic.
Answer:
Blog

Question 42.
……………………. is the term that refers to a business that has a physical store; opposite of online store.
Answer:
Brick and Mortar

Question 43.
……………………… a free, open source online blogging platform.
Answer:
Word press

II. Short Answer

Question 1.
When a company is called as E-Business?
Answer:
A company can be called E-Business if and only if –

1. It has the ability to conduct business electronically over Internet.
2. It manages payment transaction through Internet.
3. It has a platform for selling products & services via Internet.

Question 2.
What is a teleputer?
Answer:
Teleputer, which was a fusion of Television, Computer and Telecom networking technologies.

Question 3.
Classify of E-commerce Business Models?
Answer:

1. Business to Business (B2B)
2. Business to Consumer (B2C)
3. Business to Government (B2G)
4. Consumer to Business (C2B)
5. Consumer to Consumer (C2C)
6. Consumer to Government (C2G)
7. Government to Business (G2B)
8. Government to Consumer (G2C)
9. Government to Government (G2G)

Question 4.
Write note on Business to Consumer?
Answer:
Business to Consumer (B2C):
In B2C E-Commerce, commercial transactions take place between business firms and their consumers. It is the direct trade between companies and end-consumers via the Internet. B2C companies sell goods, information or services to customers through online in a more personalized dynamic environment and is considered as real competitor for a traditional storekeeper. An example of B2C transaction is a book company selling books to customers. This mode is intended to benefit the consumer and can say B2C E-Commerce works as ’retail store’ over Internet.

Question 5.
Classify G2G models?
Answer:
G2G systems can be classified into two types:

1. Internal facing or local level-joining up a single Government’s bureaucracies, e.g. https:// www.nic.in/
2. External facing or international level – joining up multiple Governments’ bureaucracy

III. Explain in Brief Answer

Question 1.
Explain the Benefits of E-commerce to a business organisation?
Answer:
Benefit of E-Commerce to a business organisation.

1. Access to Global Market:
The Internet spans the world of E-Commerce, and it is possible to trade with any business or a person who is connected with the Internet. It helps to access the global marketplace. Simple local businesses such as herbal product stores are able to market and sell their products internationally using E-Commerce. Thus, the whole world becomes a potential market for an E-Commerce company.

2. Lower Transaction Cost:
E-Commerce reduces the cost of business transactions substantially. For instance, significant number of customer service representatives in a bank can be reduced by using net banking. Since these interactions are initiated by customers, the customers provide a lot of data for the transactions that may otherwise need to be entered by employees. This means that some of the work and costs are effectively shifted to customers; this is referred as‘customer outsourcing’.

3. 24×7 working:
A website is open all 24 hours, 7 days in a week. As E-Commerce firm can provide information about its products and services to customers around the clock, it can thus, take
orders, keep an eye on delivery of goods and receive payments at any time.

4. Low cost of entry:
Though E-Commerce was fist emerged in private networks it did not remain the same. Internet has changed the face of E-Commerce. The Internet is all about democratization. Internet is a place where the small guy can effectively fight against the giants and hope to win. Days when E-Commerce was only for affordable large national chains are gone.
Today, it is common for retailers to move their traditional store to online with very less add-on only for building a good website.

5. Computer platform-independent:
Most computers have the ability to communicate via the Internet, irrespective of operating systems and hardware. Consumers need not have to upgrade their computer or network to participate in E-Commerce. They are not limited by existing hardware or software.

Also the E-Commerce company need not worry about fast changes in computer network technology. E-Commerce applications can be more efficiently developed and distributed because they are platform independent. Internet’s altruism helps E-Commerce.

6. Snapping middleman:
E-Commerce enjoys the benefit of bypassing middlemen and reaching the end customer directly through Internet. In B2C E-Commerce business firms establish a direct contact with their customers by eliminating middlemen. It helps to increase the sales of the organization without any interventions. This results in cheaper price for consumers and higher
profit margins for the companies.

Question 2.
Explain various limitations of Ecommerce for a business organisation?
Answer:
1. People won’t buy all products online:
There are certain products like high price jewels, clothes or furnishings which people might not like to buy online. They might want to, inspect it, feel the texture of the fabric etc. which are not possible in E-Commerce. As the online shopping does not allow physical inspection, customers have to rely on electronic images of the products.

E-Commerce is an effective means for buying known and established services, that is, things that are being used every day. Example booking tickets, buying books, music CDs and software. It is not suitable for dealing with the new or unexpected. Traditional commerce always takes advantage when it is perishables and touch and feel products.

2. Competition and Corporate vulnerability:
Access to Global Market is an beneficial on one hand but it also come with a competition. Open Internet has paved way to all business firms to operate in the global market. Many businesses have been already facing international competition from web-enabled business opponents.

The competitors may access product details, catalogs, and other information about a business through its website and makes it vulnerable. They might then indulge in web harvesting. Web harvesting is the illegal activity of extracting business intelligence from competitor’s web pages.

3. Security:
Security remains to be a problem for E-Commerce. Customers might be reluctant to give their credit card number to the website. As lot of cyber frauds takes place in E-Commerce transactions, people generally afraid to provide their personal information. Legal issues arise when the customer’s data falls in the hands of strangers. Fraudulent activities in traditional commerce is comparatively less as there is personal interaction between the buyer and the seller.

4. Customer loyalty:
Business cannot survive long without loyal customers. The customers would like to buy from a website where they are able to get the best deal. They cannot be loyal to a particular seller. In traditional commerce, shopkeeper would interact with the consumer “face-to-face” and gain their loyalty too.

In E-Commerce, the interaction between the business and the consumer is “screen-to-face”. The customers would feel that they do not have received sufficient personal attention. Since there is no personal touch in E-Business, companies could not win over their loyalty easily.

5. Shortage of skilled employees:
Though most of the process in E-Commerce is automated, some sectors like packaging and delivery, needs manual interventions. There could be problems related to shipping delays which would need technically qualified staff with an aptitude to resolve.

E-Commerce has difficulty in recruiting, training and retaining talented people. There is a great shortage of skilled employees. Traditional organizational structures and poor work cultures in some places inhibit the growth of E-Commerce.

6. Size and value of transactions:
The delivery cost of a pen surpasses the cost of pen itself. E-Commerce is most often conducted using credit card for payments, and as a result very small and very large transactions tend not to be conducted online.