Topic 2 Influences on Business Eduqas

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

• Video conferencing

• Social media

• Text

• Email

Which statement 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 statement 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 buy products, often second hand, from other people electronically

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

• Customers

• Suppliers

• Competitors

• Shareholders

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

• Increase costs

• Decrease costs

• Increase sales

• Decrease sales

Which 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

In which of the following is an 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

• To book hospital appointments

Which option is a disadvantage to a business of using digital communication?

• Is 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

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

• E-commerce

• E-tailer

• M-commerce

• Digital communication