1. In two or three paragraphs, distinguish between the terms “business activity,” “business process,” and “transaction.”
2. Some writers have called the emergence of electronic commerce to be a “revolution.” Others have described it as a series of waves. In about 100 words, briefly discuss the merits of each point of view.
3. In about 100 words, outline the changes in Internet technology that drove much of the expanded consumption of digital content during the second wave of electronic commerce.
4. The use of online advertising in the second wave of electronic commerce was significantly different than in the first wave. In a paragraph or two, briefly describe this change.
5. In the first wave of electronic commerce, many businesses tried to capitalize on a first-mover advantage. In the second wave, businesses were more likely to employ a smart-follower strategy. In about 100 words, compare the first-mover advantage to the smart-follower strategy.
6. Many customers who use mobile devices prefer to make purchases using a mobile app instead of their devices’ Web browsers. It is less clear that these customers search for and select specific products using only the merchant’s dedicated mobile app. In about 200 words, outline the advantages and disadvantages of using a specific merchant’s mobile app to select and purchase products.
7. Many companies are combining their online business activities with an existing physical presence. In about 100 words, explain which elements they are combining and what problems they are solving by doing so.
8. Briefly define the term “transaction cost” and, in about 100 words, outline several specific ways in which electronic commerce can reduce transaction costs.
9. In a paragraph or two, explain how the Internet creates or enhances the network effect.
10. Write a paragraph in which you distinguish between a business value chain and an industry value chain.
11. Political and cultural issues can limit the ability of companies to do business in other countries. In about 100 words, provide examples of how specific government rules and cultural norms can interfere with the conduct of electronic commerce across international borders
