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E-commerce Business Models Quiz

Total questions: 15

Worksheet time: 8mins

Name
Class
Date
1.

Which element of the business model addresses what a firm provides that other firms do not and cannot?

a)

revenue model

b)

competitive advantage

c)

market strategy

d)

value proposition

2.

Which element of the business model refers to the presence of substitute products in the market?

a)

value proposition

b)

competitive environment

c)

competitive advantage

d)

market strategy

3.

A firm's ________ describes how a firm will produce a superior return on invested capital.

a)

value proposition

b)

revenue model

c)

market strategy

d)

competitive advantage

4.

Which of the following involves a company giving away a certain level of product or services without charge, but then charging a fee for premium levels of the product or service?

a)

advertising revenue model

b)

subscription revenue model

c)

freemium strategy

d)

transaction fee revenue model

5.

The existence of a large number of competitors in any one market segment may indicate:

a)

an untapped market niche.

b)

the market is saturated.

c)

no one firm has differentiated itself within that market.

d)

a market that has already been tried without success.

6.

A ________ specifically details how you plan to find customers and to sell your product.

a)

sales analysis

b)

business plan

c)

competitive strategy

d)

market strategy

7.

Which of the following is not a community provider?

a)

LinkedIn

b)

Facebook

c)

Priceline

d)

Pinterest

8.

In general, the key to becoming a successful content provider is to:

a)

own the content being provided.

b)

own the technology by which content is created, presented, and distributed.

c)

provide online content for free.

d)

provide other services as well as online content.

9.

All of the following may lead to a competitive advantage except:

a)

less expensive suppliers.

b)

better employees.

c)

fewer products.

d)

superior products.

10.

Which of the following gives a business model the most credibility with outside investors?

a)

the firm's management team

b)

the firm's value proposition

c)

the firm's market opportunity

d)

the firm's market strategy

11.

Which type of investor typically becomes interested in a start-up company after it has begun generating revenue?

a)

incubators

b)

angel investors

c)

crowdfunders

d)

venture capital investors

12.

Which of the following is another name for a revenue model?

a)

business model

b)

business strategy

c)

financial model

d)

financial statements

13.

A wealthy individual who invests personal funds in a start-up in exchange for an equity stock in the business is referred to as a(n) ________.

a)

incubator

b)

angel investor

c)

venture capital investor

d)

crowdfunder

14.

All of the following are examples of business-to-business (B2B) business models except:

a)

e-distributors.

b)

e-procurement.

c)

exchanges.

d)

e-tailers.

15.

What is a Business Model?

a)

  • A model that allows customers to purchase additional services

b)

A way of providing paying customers with additional free perks

c)

A useful and novel way to bring value to customers

d)

A set of planned activities designed to result in a profit in a marketplace