Review for Exam 3

1. Review for Exam 3 • Chapters 7 & 8

2. What is e-commerce? • Exchange or buying and selling of products and services by electronic means.

3. What are the electronic payment systems? • EFT (Electronic Funds Transfer) • Electronic checks • Electronic credit cards • Electronic wallets

4. What is EFT? • Electronic transfer of money to and from financial institutions using telecommunications networks.

5. What is an electronic wallet? • An e-wallet is a software that is downloaded to a user’s PC and in which the user stores credit card numbers and other personal information.

6. What are the categories of Electronic Commerce? • business-to-consumer, • business-to-business, and • consumer-to-consumer • M-commerce

7. What is Business-to-consumer (B2C) e-commerce? • Retailing products and services to individual shoppers

8. What is Business-to-business (B2B)e-commerce? • Involves sales of goods and services among businesses.

9. What is Consumer-to-consumer (C2C)e-commerce? • Involves consumers selling directly to consumers.

10. What is m-commerce? • Conduct of e-commerce via wireless devices.

11. What are the Benefits of E-commerce to organizations? • Expands a company’s marketplace to national and international markets. • Enables companies to procure material and services from other companies, rapidly and at less cost. • Lower telecommunications costs • Helps small businesses compete against large companies. • Allows lower inventories.

12. What are the Benefits of E-commerce to customers? • Provides less expensive products and services by allowing the consumers to conduct quick online comparisons. • Give consumers more choices than they could easily locate otherwise. • Enables customers to shop or make other transactions 24 hours a day, from almost any location. • Delivers relevant and detailed information in seconds. • Enables consumers to get customized products, from PCs to cars, at competitive prices. • Makes possible electronic auctions.

13. What are the technical limitations of e-commerce? • Insufficient telecommunications bandwidth. • Need for special Web servers in addition to the network servers. • Expensive and/or inconvenient Internet accessibility for many would-be users.

14. What are the non-technical limitations of e-commerce? • Unsolved legal issues • Lack of national and international government regulations and industry standards • Customer resistance to changing from a real to a virtual store. • Perception that EC is expensive and unsecured. • An insufficient number of sellers and buyers exists for profitable EC operations.

15. What are the major categories of B2C applications? • Major categories of B2C applications are electronic retailing, electronic storefronts, and electronic malls

16. What is e-tailing? • Electronic retailing (e-tailing) is the direct sale of products through electronic storefronts or electronic malls.

17. What is an electronic mall? • An electronic mall, also known as a cybermall or e-mall, is a collection of individual shops under one internet address.

18. What are the examples of service industries online? • cyberbanking, • trading of securities (stocks, bonds), • job matching, • auctions • travel ,and • real estate.

19. What are the major categories of B2B Applications? • sell-side marketplace, • buy-side marketplace, and • electronic exchanges.

20. What is Sell-side marketplace? • The sell-side marketplace is a model in which there are many buyers but one seller.

21. What is a buy-side marketplace? • The buy-side marketplace is a model in which there are many sellers but one buyer.

22. What is an electronic exchange model? • The electronic exchanges refer a model in which there are many sellers and many buyers.

23. CHAPTER 8

24. What are the three levels of management activity? • Operational • Tactical • Strategic

25. Operational management level? • Composed of supervisory managers that develop short-range plans such as weekly production schedules.

26. Tactical management level? • Composed of middle managers that develop short- and medium-range plans

27. Strategic management level • Composed of a board of directors and an executive committee of the CEO who develop overall organizational goals, strategies, policies as a part of a strategic planning process.

28. What is a Structured decision? • Repetitive and routine problems for which standard solution exist. • The procedures to follow can be specified in advance.

29. What is a Semi-structured decision? • Some decision procedures can be pre-specified, but not enough to lead to a definite recommended decision.

30. What is an Unstructured Decision? • The procedures cannot be specified in advance. • Unstructured problems are novel and non-routine, complex. • Ex: new business planning

31. Decisions made at the operational management level tend to be more • Structured

32. Decisions made at the tactical management level tend to be more • Semi-structured

33. Decisions made at the strategic management level tend to be more • Unstructured

34. What are the management support systems? • Management Information systems • Decision support systems • Executive information systems

35. What is an exception report? • Exception reports, highlighting only exceptional conditions, such as when a customer exceeds their credit limit, a manager would probably get an exception report.

36. What are the characteristics of the Decision Support Systems? • Interactive • Supports semi-structured and unstructured decisions

37. What is a What-if analysis? • What-if analysis attempts to check the impact of a change in the assumptions on the proposed solution. • What if we cut advertising by 10 percent?

38. What is a Sensitivity Analysis? • When the value of one variable is changed repeatedly and the resulting changes in other variables are observed.

39. What is a goal-seeking model? • Attempts to find the value of the inputs necessary to achieve a desired level of outputs.

40. What is Data Visualization? • Data visualization refers to presentation of data in graphical form instead of traditional form of text and table.

41. What is Geographical Information System (GIS)? • A GIS is a data visualization technology that captures, stores, checks, integrates, manipulates, and displays data using digitized maps.

42. What are the characteristics of Executive Information Systems (EIS)? • Provide management with immediate and easy access to information about the firm’s critical success factors. • Are most useful to managers at the strategic level of management. • Support unstructured decision-making process.

43. What is drill down? • provides details behind any given information.

44. What is Data mining? • organizing valuable business information in a large database

45. What is Artificial Intelligence? • AI is the effort to develop computer based systems that behave as humans.

46. What are the major areas of AI? • Cognitive science • Robotics • Natural interfaces

47. What are the major areas of Cognitive science? • intelligent agents, • neural networks, • fuzzy logic.

48. What is an Intelligent agent? • It is a software surrogate for end user or process that fulfills a stated need or activity.

49. Systems that use massively parallel processors whose architecture is based on the human brain’s neuron structure are called • Artificial Neural Networks

50. What is a Fuzzy Logic system? • system that can process ambiguous data and quickly provides approximate, but acceptable solutions to problems.