E-Commerce Basics Quiz
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Questions and Answers

What is one of the first steps in developing an e-commerce presence?

  • Choosing the web server software
  • Identifying the target audience (correct)
  • Developing a mobile application
  • Selecting hardware components

What should be established in the e-commerce planning phase regarding financial aspects?

  • Revenue model(s) (correct)
  • Customer service protocols
  • Content management system
  • Website design and layout

Which consideration is critical when choosing e-commerce merchant server software?

  • Employee training requirements
  • User demographic data integration
  • Ease of use and scalability (correct)
  • Compatibility with social media platforms

What aspect involves understanding the potential customer base in e-commerce?

<p>Target audience (D)</p> Signup and view all the answers

What additional tool can enhance website performance?

<p>SEO optimization tools (B)</p> Signup and view all the answers

Which of the following is crucial for developing a mobile website?

<p>Understanding mobile user behavior (A)</p> Signup and view all the answers

What should be included in the business model of an e-commerce venture?

<p>Customer acquisition strategies (D)</p> Signup and view all the answers

What is an important aspect when selecting hardware for an e-commerce site?

<p>Processing power and reliability (D)</p> Signup and view all the answers

What is the primary function of web application servers in e-commerce?

<p>To provide specific business functionality required for a website (B)</p> Signup and view all the answers

Which component allows shoppers to review and edit their product selections?

<p>Shopping cart (B)</p> Signup and view all the answers

What role does credit card processing play in e-commerce?

<p>It verifies the card and processes payments at checkout (A)</p> Signup and view all the answers

What type of middleware is used in web application servers?

<p>Business application isolation middleware (A)</p> Signup and view all the answers

Which statement describes the trend in e-commerce software tools?

<p>Integrated software tools are replacing single-function applications (C)</p> Signup and view all the answers

In an online catalog, what information is typically included?

<p>List of products available on the website (C)</p> Signup and view all the answers

What is the purpose of integrating functionality in e-commerce software?

<p>To enhance user experience by simplifying processes (C)</p> Signup and view all the answers

What does a shopping cart facilitate in an e-commerce environment?

<p>Allowing customers to manage their product selections before purchase (C)</p> Signup and view all the answers

Which of the following platforms is specifically mentioned for small and medium-sized businesses?

<p>Shopify (B)</p> Signup and view all the answers

What is a key factor to consider when selecting an e-commerce software package?

<p>Functionality (C)</p> Signup and view all the answers

Which of the following platforms is categorized as a high-end solution?

<p>Sitecore Experience Commerce (D)</p> Signup and view all the answers

What aspect is NOT listed as a key factor in selecting an e-commerce software package?

<p>Marketing automation tools (A)</p> Signup and view all the answers

Which e-commerce platforms are considered mid-range options?

<p>HCL Commerce and Sitecore Experience Commerce (D)</p> Signup and view all the answers

What is the primary objective of unit testing?

<p>To validate that individual components of the website work correctly. (B)</p> Signup and view all the answers

What is a primary risk associated with building your own web system?

<p>Higher initial cost than outsourcing. (A)</p> Signup and view all the answers

In the context of web hosting options, what is co-location?

<p>Leasing a web server located at a vendor’s facility. (A)</p> Signup and view all the answers

Which of the following statements about outsourcing is true?

<p>Outsourcing allows for hiring vendors to provide specific services. (D)</p> Signup and view all the answers

What does hosting a website entail for a business?

<p>Ensuring the website is accessible 24/7 for a fee. (A)</p> Signup and view all the answers

What is a possible benefit of outsourcing in building a web system?

<p>Access to specialized skills and technologies. (D)</p> Signup and view all the answers

Which of the following best describes system testing?

<p>Validation of the entire system once all components are integrated. (D)</p> Signup and view all the answers

Which skill set is essential for building your own web system?

<p>Diverse technical skills including coding and design. (C)</p> Signup and view all the answers

What does vertical scaling refer to in hardware scaling?

<p>Increasing processing power of individual components (A)</p> Signup and view all the answers

Which of the following is a method of horizontal scaling?

<p>Adding more computers to handle increased demand (C)</p> Signup and view all the answers

What is one advantage of outsourcing hosting for a website?

<p>Reduced dependency on physical hardware (D)</p> Signup and view all the answers

Which of the following is NOT a search engine optimization tool mentioned?

<p>Customer service enhancements (A)</p> Signup and view all the answers

What is the purpose of using metatags in website design?

<p>Improving search engine visibility (A)</p> Signup and view all the answers

What strategy can be used to identify market niches?

<p>Analyze competitor marketing strategies (C)</p> Signup and view all the answers

How can link building be beneficial in website optimization?

<p>It enhances domain authority and search rank (B)</p> Signup and view all the answers

What is a key consideration in basic website design for e-commerce?

<p>Enabling customers to find and buy products easily (A)</p> Signup and view all the answers

What does Mobile First Design prioritize when creating a website?

<p>Designing for mobile users before desktop users. (C)</p> Signup and view all the answers

Which design approach allows a website to adapt its layout based on the device's screen resolution?

<p>Responsive web design (RWD) (D)</p> Signup and view all the answers

Which option is the least expensive method for creating a mobile-friendly site?

<p>Resizing an existing website for mobile access (D)</p> Signup and view all the answers

Which design method requires the most programming and development resources?

<p>Native app (B)</p> Signup and view all the answers

What does Adaptive Web Design (AWD) do to optimize a site for different devices?

<p>Delivers different templates based on the device. (C)</p> Signup and view all the answers

What is the primary goal of Mobile Presence Design considerations?

<p>To ensure efficient design for all platforms. (B)</p> Signup and view all the answers

Which design approach can utilize browser API effectively?

<p>Mobile web app (C)</p> Signup and view all the answers

In what order should a mobile-first strategy approach website design?

<p>Start with mobile, then expand to desktop design. (B)</p> Signup and view all the answers

Flashcards

Mission Statement

A concise statement that clarifies a business's purpose, values, and goals.

Revenue Model

A plan outlining how a business plans to generate revenue and achieve profit. Examples include subscription, advertising, and transaction fees.

Target Audience

The specific group of individuals the business intends to reach. This could include age, demographics, interests, and location.

Business Model

A plan detailing how a business operates, including its products or services, target market, and value proposition.

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Vision

A plan that lays out the business's goals, strategy, and anticipated outcomes.

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Intended Market Space

The specific area or sector where a business chooses to compete.

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Value Proposition

A plan that identifies the business's target audience, their needs, and the products or services that fulfill those needs.

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SWOT Analysis

A comprehensive assessment of the business's current situation, opportunities, and threats.

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Web Application Server

Software that handles the specific business logic for a website, isolating it from the web server and database.

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Middleware

A type of software that acts as a go-between for web servers, databases, and business applications.

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Shopping Cart

A feature that allows users to compile a list of desired items before purchasing.

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Credit Card Processing

A system that processes credit card payments, verifying the card and transferring funds to the merchant's account.

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Online Catalog

A collection of products available for purchase on a website.

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Website building: In-house vs. Outsourcing

Deciding whether to develop your own website team or hire external vendors to build it.

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Website outsourcing vendor

An organization that provides services for building a website, such as design, development, and hosting.

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Building your own website

Developing your own website from scratch with your own team and resources.

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Website hosting

Maintaining a website and making it accessible to users 24/7.

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Hosting company

A company that provides server space and infrastructure to host websites, ensuring accessibility.

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Co-location

A type of hosting where a company purchases or leases a server but it's physically located at the vendor's facility.

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Unit testing

Testing individual components of a website, like functions or modules, to ensure they work as expected.

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System testing

Testing the website as a whole, going through all features and functionalities.

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SMB E-commerce Platforms

E-commerce software platforms designed specifically for small and medium-sized businesses (SMBs). They often offer ease of use, affordability, and a range of features suitable for smaller businesses.

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Mid-Range E-commerce Platforms

E-commerce platforms catering to mid-sized businesses with growing needs. They typically offer advanced features like business process modeling, improved site management, and enhanced reporting.

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High-End E-commerce Platforms

E-commerce platforms designed for large enterprises with complex requirements. They often prioritize scalability, advanced functionality, and integration with existing business systems.

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Cloud-Based E-commerce SaaS

A software licensing model where the software is hosted on a provider's server and accessed via the internet. Users pay a recurring subscription fee instead of purchasing the software outright.

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Software as a Service (SaaS) for E-commerce

Cloud-Based SaaS

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Scalability

The ability of a website to increase in size and handle more traffic as needed.

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Vertical Scaling

Increasing the processing power of individual components within a computer system.

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Horizontal Scaling

Employing multiple computers to distribute workload and handle increased traffic.

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Improving processing architecture

Optimizing the way a computer processes information to handle more efficiently.

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Outsource hosting

Utilizing external services to host website data and improve load time.

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Content Delivery Network (CDN)

A network of servers distributed geographically to deliver website content quickly.

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Search Engine Optimization (SEO)

The process of making a website easier for search engines to find and display.

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Metatags, titles, content

Keywords, titles, and website content designed to attract search engines.

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Mobile First Design

The process of designing a website that prioritizes a good user experience on mobile devices before designing for larger screens.

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Responsive Web Design (RWD)

A website design strategy that adapts the layout and content of a site to different screen sizes and device resolutions using CSS.

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Adaptive Web Design (AWD)

A website design approach where the server automatically delivers different versions of the website optimized for specific devices.

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Mobile Website

A website designed specifically to be viewed on a mobile device. It is often lightweight and fast loading.

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Mobile Web App

An app that operates within a web browser and can utilize features of the browser's API, such as location services.

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Native App

A standalone mobile application designed to work on a specific operating system, such as iOS or Android.

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Mobile Presence Design

A website optimized for mobile devices, but also accessible on larger screens.

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Mobile Presence Considerations

The process of evaluating the different options for creating a mobile presence for a business.

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Study Notes

E-commerce 2023-2024: Business, Technology, and Society

  • This book covers the eighteenth edition of e-commerce.
  • The book discusses the aspects of e-commerce in 2023-2024.

Chapter 4: Building an E-commerce Presence

  • Learning Objectives:
    • Understanding the questions, steps, and processes for building an e-commerce presence.
    • Identifying considerations for choosing web servers and merchant software.
    • Understanding hardware choices and additional website performance tools.
    • Understanding mobile website and app development.

Imagine Your E-commerce Presence

  • The Vision: Includes mission statement, target audience, intended market space, strategic analysis, marketing matrix, development timeline, and preliminary budget.
  • Where's the Money?: Includes business model(s), revenue model(s), target audience demographics, and market size/growth.
  • Content Source: Includes SWOT analysis, e-commerce presence map, timeline, and cost estimates (simple website, small startup, large corporate).

Figure 4.1 SWOT Analysis

  • Strengths: Examples include current sites addressing market needs, unique approach, ease of navigation, growing customer base, superior social strategy.
  • Weaknesses: Examples include limited financial resources, no prior online experience, no existing user base, and lack of media attention.
  • Opportunities: Examples include addressing large markets with unmet needs and capturing significant market share.
  • Threats: Examples include competition copying approach, advertisers not wanting to try a new site, technological development, and low market entry costs.

Figure 4.2 E-commerce Presence Map

  • Shows various channels for building an e-commerce presence (website/app, social media, email, print, and offline media).

Building an E-commerce Site: A Systematic Approach

  • Management Challenges: Clear understanding of business objectives and choosing the right technology.
  • Factors to Consider: Management, hardware architecture, software, design, telecommunications, and human resources.

Planning: The Systems Development Life Cycle

  • Methodology for understanding business objectives for a system and designing an appropriate, five-step solution.
    • Systems analysis/planning
    • Systems design
    • Building the system
    • Testing
    • Implementation

Figure 4.5 Systems Development Life Cycle

  • Shows a graphic representation of the systems development life cycle.

System Analysis/Planning

  • Business Objectives: Capabilities of the e-commerce site.
  • System Functionalities: Information system capabilities needed to achieve business objectives.
  • Information Requirements: Information elements the system must produce to achieve business objectives; example table provides business objectives, system functionalities, and the related information requirements.

Systems Design: Hardware and Software Platforms

  • System design specification: Detailed description of a system's main components and relationships.
  • Logical design: Data flow diagrams, processing functions, and databases.
  • Physical design: Actual physical, software components, models, and specifications.

Building the System: In-House Versus Outsourcing

  • Outsourcing: Hiring vendors for services involved in building an e-commerce site.
  • Build-your-own: Choosing internal teams for creating the platform.
  • Hosting: Outsourcing the hosting of the online platform and co-location.

Figure 4.7 Choices in Building and Hosting

  • Illustrates different options for building and hosting an e-commerce site (in-house vs. outsourcing).

Testing the System

  • Unit testing: Validating individual components of a website.
  • System testing: Evaluating the entire website as an integrated system.
  • Acceptance testing: Final tests to ensure the website's business objectives are met.

Implementation, Maintenance, and Optimization

  • Systems break down: Often unpredictable and costly.
  • Maintenance: Ongoing cost, with annual costs for a $40,000 site potentially being similar to the initial development cost.
  • Benchmarking: Evaluating the performance of the website.

Web Server Software

  • Apache: Leading web server software, used with UNIX/Linux; stable and reliable.
  • Microsoft Internet Information Server (IIS): Second major web server software; Windows-based; integrated and user-friendly.

Site Management Tools and Dynamic Page Generation Tools

  • Tools: To monitor links, identify orphan files, monitor customer purchases, and evaluate market campaign effectiveness.
  • Dynamic Tools: Enables personalized content and dynamic content generation. Lowers costs and offers price differentiation. Enables WCMS.

Application Servers

  • Web application servers: Provide specific business features for a website.

E-commerce Merchant Server Software

  • Functionality for sales, online catalogs, shopping carts, and payment processing.
  • Different options available: Shopify, WordPress/WooCommerce, Wix, Square, Weebly. High-end options include SAP Commerce, Oracle ATG Web Commerce and Adobe Commerce.

Choosing Hardware

  • Platform: Underlying computing equipment needed for e-commerce.
  • Objectives: enough capacity to meet peak demand without excess costs, consideration of factors affecting speed, capacity, and scalability of the site.

Right-Sizing Your Hardware: The Demand Side

  • Customer demand: Most important consideration.
  • Factors: Number of concurrent users, nature of customer requests, content type, required security measures and legacy issues.

Right-Sizing Your Hardware: The Supply Side

  • Scalability: Ability of site to increase as demand warrants.
  • Vertical scaling: Increasing individual components’ capacity.
  • Horizontal scaling: Employing multiple computers to share workload for scaling.
  • Outsourcing hosting: To manage high-demand conditions.

Other E-commerce Site Tools

  • Website design: Business considerations, search engine optimization (SEO) tools, and search engine placement.
  • Tools: Metatags, titles, content, market niches, expertise, links, and buy ads. Local considerations for e-commerce.

E-Commerce Website Features That Annoy Customers

  • Features that are often considered frustrating to customers, such as requiring pre-content ads, too many clicks, problematic links, confusing navigation, content viewing obstructions, slow-loading pages, dated content.
  • Features that annoy customers, such as music that plays automatically, and other audio/visual distractions, unprofessional design, text-rendering issues (legibility issues and distracting backgrounds). Necessary and clear returns policies.

Table 4.9 Eight Most Important Factors in Successful E-commerce Site Design

  • Provides a breakdown of factors for successful e-commerce site design: Functionality, informational content, ease of use, site navigation, ease of purchase, multi-browser functionality, simple graphics, and legible text (ease of reading).

Personalization Tools

  • Personalization: treating people differently based on their personal qualities. Enables customization for optimal product recommendations and offers personalization based on user activity and purchase history.

The Information Policy Set

  • Privacy policy: How the site handles personal information.
  • Accessibility rules: Enabling functionality for people with disabilities.

Planning and Building a Mobile Presence

  • Mobile website or mobile web app.

Mobile Presence Design Considerations

  • Platform constraints: Graphics, file sizes, and mobile-first approaches.
  • Designs: Responsive and adaptive web design accommodating various screen resolutions.
  • Server versions: Site versions optimized for specific devices.

Mobile Presence: Performance and Cost Considerations

  • Mobile-first design, mobile websites, and mobile web apps compared to native apps in terms of cost and performance.

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E-commerce 2023-2024: Business, Technology, Society PDF

Description

Test your knowledge on the foundational aspects of e-commerce development. This quiz covers critical topics such as financial planning, software selection, and mobile website considerations. Perfect for beginners looking to enhance their understanding of online business.

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