IS 3003 CH 10 T/F

E-commerce refers to the use of any networking technologies to transact business.
False
Retail consumer e-commerce is growing at single-digit rates.
False
The Internet shrinks information asymmetry.
True
Rich media advertisements are a sales-oriented marketing format.
False
All previous mass media in modern history, including the printing press, use a broadcast model where content is created in a central location by experts.
True
Disintermediation provides major benefits to the distributor.
False
In general, for digital goods, the marginal cost of producing another unit is about zero.
True
An example of the service provider business model is Flickr, a photo management and sharing Web site.
True
An example of the content provider business model is Barnesandnoble.com, a retailer of printed books.
False
Web personalization is used primarily as a major marketing tool.
True
Podcasting allows subscribers to listen to live, streaming radio and other audio content.
False
Intellectual property refers to all forms of human expression, both tangible and intangible.
False
Ninety-six percent of all U.S. households with Internet access use a broadband connection.
True
Behavioral targeting occurs at two levels: individual Web sites and through ISPs.
False
EDI standards that take advantage of network communications have yet to be fully implemented at the industry level.
False
Net marketplaces may either support contractual purchasing based on long-term relationships with designated suppliers, or short-term spot purchasing.
True
Exchanges have become one of the most popular types of Net marketplace because they encourage competitive bidding that drives prices down.
False
Automobile manufacturing is an example of a vertical market.
True
Advertising networks track a user’s behavior at thousands of Web sites.
True
In the free/freemium revenue model, firms offer basic services for free and charge a fee for special features.
True
Price transparency refers to the ability of consumers to discover what merchants actually pay for products.
False
Switching costs are the merchants’ costs of changing prices.
False
Viral marketing is like traditional word-of-mouth marketing except that it is spread via online communities.
True
The behavioral targeting of ads results in consumers responding ten times more frequently than when delivered ads randomly.
True
Indirect goods are not involved firsthand in the production process.
True