1.5.2 - Technology & business

When information is shared electronically between computers it is best known as:

• E-commerce

• E-tailer

• M-commerce

• Digital communication

Which of the following is an advantage to a business of using digital communication?

• Messages and data can be transmitted quickly

• Not all areas may be connected to the internet

• Can lead to excessive communication

• Training may be required to update employees on the use of digital communication

A zoo uses Twitter to announce the birth of a baby elephant. Which of the following describes this method of digital communication?

• Video conferencing

• Social media

• Text

• Email

Which of the following statements best describes the term e-commerce?

• Buying & selling products via hand held devices only e.g. smartphones

• Communicating and sharing information electronically

• Buying and selling a product using electronic systems e.g. the internet

• Gathering, storing and processing information electronically

Which of the following best describes the purpose of eBay?

• To provide a social networking service

• To provide an internet based photo sharing service

• To sell products, often second hand, to other people electronically

• To develop business contacts

Technology has enabled businesses to reduce costs by searching online to find competitively priced raw materials. The websites of which stakeholder group will be used for this activity?

• Employees

• Suppliers

• Customers

• Shareholders

In addition to its fixed premises, a designer clothes shop has launched a website in an attempt to:

• Increase costs

• Decrease costs

• Increase sales

• Decrease sales

In which of the following situations is a local NHS doctor’s surgery most likely to use digital communication?

• To provide product information on its website for customers

• To text patients to remind them of appointments

• To receive payment for goods/services sold at the surgery

• To sell products to patients

Which of the following is a disadvantage to a business of using digital communication?

• Can be inexpensive to operate and is widely used

• Storage costs are saved as data can be stored electronically

• Teleconferencing is possible which can produce cost savings

• No guarantee that messages will be received or accessed

Compared to other methods of promotion, businesses that promote goods and services on social media have been able to:

• Reduce costs as online promotion is often less expensive

• Increase costs as online promotion is always more expensive

• Reduce costs as online promotion is always more expensive

• Increase costs as online promotion is often less expensive