Answered 2020-EMA 5752-Review Questions

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MZUMBE UNIVERSITY

(CHUO KIKUU MZUMBE)

Dar-es-Salaam Campus College


EMA 5752: E-COMMERCE AND MANAGEMENT INFORMATION SYSTEMS

PROGRAME: MASTERS’ IN APPLIED ECONOMICS AND BUSINESS (MSc.MAEB)

1. Distinguish between e-commerce and digital business.


Digital business uses technology as an advantage in its internal and external operations
Example of digital business -Uber
2. Explain what is meant by buy-side and sell-side e-commerce.
https://www.ques10.com/p/3988/what-is-meant-by-buy-side-sell-side-and-marketplac/
3. Outline the reasons why a business may wish to adopt e-commerce.
https://www.itproportal.com/features/5-reasons-why-your-business-should-be-using-e-commerce/
4. Define a web browser and why is it important for the e-commerce setup? List the most
popular web browsers.

5. What is e-commerce? What is e-business? What are some of the differences between the
two?

6. Describe three different revenue models for a portal such as Alibaba.com


Ad-Based Revenue Model, Affiliate Revenue Model, Transactional Revenue Model,
Subscription Revenue Model
7. Compare the business model, the revenue model and the payment systems practiced by kikuu
ecommerce portal and dealextreme ecommerce portal. What are their similarities and what
are their differences?
A business model describes, in a model-like and holistic manner, the logical connections and
the way in which a company generates value for its customers. A company can operate
several business models at the same time.
A revenue model describes the structure of how a company generates revenue or income.
Each customer segment can contain one or more revenue streams.

8. Briefly describe the technologies that led businesses into the second wave of electronic
commerce.
9. Name three risks to a company that introduces buy- side e-commerce.
10. Outline the internal changes a company may need to make when introducing digital business.
a. https://www.dynaway.com/blog/5-considerations-when-introducing-digital-transformation-in-your-
business
11. Name three risks to a company that introduces sell- side e-commerce.
a. http://tiarna1.blogspot.com/2009/03/topic-1-questions.html
12. Explain the relationship between the concepts of e-commerce and digital business.
a. https://medium.com/@Magento_expert/e-business-vs-e-commerce-know-the-differences-151ec9baf0fe
b.
13. Distinguish between buy-side and sell-side e-commerce and give an example of application
of each.
14. Summarize three reasons why a company may wish to introduce e-commerce.
a.
15. Describe three of the main barriers to adoption of e-commerce by consumers and suggest
how a company could counter these.
a.
16. What are six major categories of e-commerce? Which category is the fastest growing?
Discuss.

17. What is an e-check? How does it work? Discuss.

 eCheck is essentially an electronic version of a traditional paper check.

 https://cpacharge.com/resources/blog/how-does-echeck-work-a-comprehensive-guide-to-echeck-
payment-processing/
18. Believing that there is no e-commerce without the internet. What are some of the popular
Internet access options? What are the differences between these various options?

19. What are some of the differences between B2B and B2C e-commerce?
20. What is the role of e-commerce in travel and tourism?
21. What are some of the advantages of online banking over traditional banking? What are some
of the drawbacks? Discuss.
22. What are some examples of payment cards? What are some of the differences between a
credit card and a charge card?
23. What are some of the activities for conducting a B2B e-commerce?
24. Log onto the web site of the eBay Inc. at the following URL: http://www.ebay.com What
services and products are offered by this company?
25. What is SET? How does it work?
26. What instruments are used to pay for goods and services in a mortar and-brick business?
27. Why has eBay been so successful in consumer auctions? Who are eBay’s competitors?
Discuss. What are some of the challenges for a company as eBay? Discuss.
28. How does an e-cash system work?
29. What is a digital signature? How does it work?
30. What technologies and applications are used in B2B e-commerce?
31. Based on the MIT process handbook, at URL: http://process.mit.edu/Directory.asp?
ID=970203154850AB5013. How does Dell Computer use intranets and extranets to gain
competitive advantage? Discuss.
32. Choose an e-commerce example and discuss how a company can use the Internet to
implement the ‘co-opetition’ concept.
a. Coopetition is the act of cooperation between competing companies; businesses that
engage in both competition and cooperation are said to be in coopetition
b. The booking of airline ticketing through Precision air.
c. They compete between Precision Air and KQ
d. Advantages
i. Reduced overall cost such as buildings placement
ii. Cost sharing advantages
iii. Increase of outreach of customers
iv. Increased range of destinations
v. Reduced resources
vi. Commission revenue earned
33. Provide a real-world example of your choice for each one of the nine quadrants that make up
the e-business market segmentation matrix.
a.
34. You want to define the industry of amazon.com. What are the major players in the industry?
What are possible substitutes?
a. Amazon.com applies B2C.
b. Major players in the ecommerce industry
i. https://dealhack.com/30-most-influential-e-commerce
ii.
35. What generic strategies can a company use to create value for its customers?
a. Cost advantage;
i. The Cost Leadership strategy is exactly that – it involves being the leader in
terms of cost in your industry or market.
ii. Average price that a company has a leading share
b. Differentiation:
i. Exclusive product and more attractive than others e.g. Apple
ii. High R&D and innovation to derive high quality
c. Innovation Strategy
i. Find new ways of doing business
ii. Unique products or services or unique markets
iii. Radical changes to business processes to alter the fundamental structure of an
industry
d. Growth Strategy
i. Expand company’s capacity to produce
ii. Expand into global markets
iii. Diversify into new products or services
iv. Example, Wal-Mart uses merchandise ordering by global satellite tracking

36. What levers can a company use in e-business to create a cost or differentiation strategy?
http://www.quickmba.com/strategy/generic.shtml
a. Cost strategy considerations;
i. Low cost production
ii. Low prices in the market
iii. Standardize its offerings in order to manage costs
iv. High productivity
v. Use of bargaining power to negotiate the lowest prices for production inputs
vi. Lean production methods (e.g. JIT)
vii. Effective production process
viii. Effective distribution channels
ix. High technical capability
x. Access to capital
b. Differentiation strategy considerations:
i. Superior product quality (features, benefits, durability, reliability)
ii. Branding (strong brand recognition, desire and loyalty)
iii. Industry-wide distribution across all major channels (i.e. the product or brand
is an essential item to be stocked by retailers)
iv. Marketing capabilities (advertising, sponsorship etc.)

37. What are the factors that allow a company to pursue an outpacing strategy?
38. How can a company look for new market spaces outside its own industry?
39. What are the advantages and disadvantages of cloud computing?
Use of software and hardware to deliver services especially through the internet.  storing and
accessing data over the internet.
https://www.guru99.com/advantages-disadvantages-cloud-computing.html
 Back-up and restore data
Once the data is stored in a Cloud, it is easier to get the back-up and recovery.
Manageability
High speed; Information can be deployed

Cost efficiency
It helps you to save substantial capital cost as it does not need any physical
hardware investments.

Dis-advantage:
Security risk: Hackers may access confidential information
Network connectivity dependencies: Cloud computing depends on internet
access. Without the internet no access
Vendor locking: You can’t transfer in
Limited control: users can be limited by the owners of the system.
Downtime: Cloud provider may face power loss, low internet connectivity,
service maintenance
Lacks of Support: Cloud Computing companies fail to provide proper support to
the customers. Moreover, they want their user to depend on FAQs or online help,
which can be a tedious job for non-technicaL

40. What is meant by the term identity theft? What can happen to a person who is the victim of
identity theft?
Identity theft is the deliberate use of someone’s identity. It can happen online, telephone,
email, in person. It happens when someone steals your personal information and uses it
without your permission.
 Years of effort proofing the true personality leading to
o emotional strain,
o financial losses,
o physical
o social loss
 https://www.lifelock.com/learn-identity-theft-resources-lasting-effects-of-identity-theft.html#:~:text=A
%202016%20Identity%20Theft%20Resource,60%20percent%20reported%20anxiety

41. Why is a person’s National Identity number (or other personal identifier) so valuable that
someone might steal it?
 National Identity number is valuable because it has a lot of information about a person.
 Why steal it:
a. Commit other crimes and then give your name, instead of their own, to the police
during their arrest.
b. Open bank accounts in your name and do money laundering
42. Intranet technology is based on pull technology. What is the difference between pull and
push technology?.
Push technology: servers that initiate information updates to client.
Pull technology: Clients make requests to serves. Traditional way to structure client/server
architecture.
Why is pull technology more effective in the case of the intranet? Discuss
a. Customized information
b. Saves time

43. What are the roles of intranets and extranets in e-commerce? Discuss.
An intranet is a private network accessible only to an organization’s staff which uses Internet
technology.
 Communication
 Publishing documents
 Enterprise support
https://courses.lumenlearning.com/wm-introductiontobusiness/chapter/intranets-and-extranets/

44. What are some of the popular Internet services that support e-commerce? Internet services
provides data transfer from internet servers to a computer.
45. What is e-mail?
It is the exchange of compute stored messages by telecommunication. Are messages
distributed by electronic means from one computer user to one or more recipients via
network.
http://ushashejule.blogspot.com/p/how-internet-and-web-features-and.html
Examples cables, wireless, wifi broad, digital subscribe line?

46. What are some of the economic benefits of the Internet?


a. Efficient allocation of resources
b. Low prices for customers
c. Employments opportunities for individuals that can use
d. Faster productivity growth due to low cost
47. What is SSL?
Secure Sockets Layer (SSL) is a standard security technology for establishing an encrypted
link between a server and a client—typically a web server (website) and a browser, or a mail
server and a mail client (e.g., Outlook).
How does it work?
https://www.entrustdatacard.com/pages/ssl#:~:text=The%20web%20server%20sends%20the,start%20an
%20SSL%20encrypted%20session.

48. Name four organizations that have been successfully using intranets/extranets in Tanzania.
TRA – Government payments linked to Banks (NBC, Standard Chartered Bank) through
GePG – Government Electronic Payments Gateway
 Mzumbe’s University e-learning platform
 GIPSA – Government Procurement Service Agent – Procurement agency for the
Government
 CRDB Bank with CRDB Agency (wakala) banking
 Hospitals with insurance companies
In which areas are these technologies used?
 Banking
 Manufacturing
 Telecommunication
 Health
 Education

49. Log onto the web site of the Amazon.com Corporation at the following URL:
http://www.amazon.com What products and services are offered by this company? Find a
couple of e-commerce books sold by Amazon.com. Try to order a book or CD from this site.
This would be a great exercise and will show you the e-commerce cycle. Then explain the e-
commerce cycle you have experienced.
50. What are e-wallets? How do they work?
E-wallet is digital payment system keeps track of the buyer’s payment information.
Electronic service that can be used online or mobile phone to store user’s payment
information or passwords to allow to make and receive electronic payments.
How do they work?
Load money to account from bank account or mobile
Money is debited from the user account to the wallet account through digital representation
Mney is with the service provider keeping ledgers for
51. Who are the Major Beneficiaries of E-Commerce today and how does each benefit?
 Banks – Outreach to wider customers 24/7
 Entertainment
 Government – Electronic tax payments
 Insurance
 Marketing
 Online publishing
 Retailers
 Training
 Travel industries - Allowing customers to check into the availability schedules for
their truck, rail and air flee
 Universities

52. Discuss numerous Business Uses of the Internet


 Communication
 Customer Relationships
 Sales of products
 Enhance brand image
 Generating revenue
 Marketing
 Storing of information
 Easy targeting of customers
 Networking with potential suppliers, partners
53. What are the Popular Products and Services Purchased Online today?
 Fashion
 Electronics
 Second hand sales
 Vehicles
 Books
 Travelling
 Hospitality
 Financial services
 Advertisement
 Music
 Entertainment
 Education services
54. What are some of the advantages of e-procurement?
 #1 Reduced Costs. ...
 #2 Transparent Spending. ...
 #3 Increased Productivity. ...
 #4 Eliminating Paperwork. ...
 #5 Increased Transaction Speed. ...
 #6 Standardized Buying. ...
 #7 Reduced Errors

55. Access the MIT process handbook – URL: http://process.mit.edu/Directory.asp?


ID=970203154850AB5013
Then choose three out of many e-commerce cases and explain on the models of e-commerce
they use and the key features of e-commerce including the payment methods.
56. What are some of the popular B2B models? Discuss?
https://blogs.opentext.com/the-four-basic-models-of-b2b-which-is-best-for-your-business/

57. What are the Possible Advantages of E-Commerce?


 A Larger Market. ...
 Customer Insights Through Tracking And Analytics. ...
 Fast Response To Consumer Trends And Market Demand. ...
 Lower Cost. ...
 More Opportunities To "Sell" ...
 Personalized Messaging. ...
 Increased Sales With Instant Gratification. ...
 Ability to Scale Up (Or Down) Quickly And Unlimited "Shelf Space"

58. What are English auctions? How do they work?


- Single item is up for sale and the highest bidder wins the action.
- Price starts low and increases as buyers bid for the item till one buyer is left willing to
pay a certain amount and a highest bid is not received during the given period.

59. What are double auctions? How do they work?


Is the process of buying and selling goods with multiple sellers and buyers.
- Buyers and sellers both call out for prices (buyer submit bid, and seller submit ask prices
to the market situation)
- Takes place during the trading period. At that exact moment
- Trading takes place when the buyer accepts the sellers ask and when seller accepts buyers
bid.
- Sellers who asked less than set price by the mkt institution sell and buyers who bid more
than the set price
60. What are the Possible Disadvantages of E-Commerce?
a. Language barriers
b. Search cost
c. Security risk ie more subjected cyber attacks
d. Internet connectivity dependencies
e. technology dependency
f. Low customer loyalty
g. High competitiveness (due to low entry barriers)

61. What is a router? What is its function?


-device that forwards data packets btn computer networks.
-takes and transmits internet
-Can work alone or connected to internet

62. What are the Possible Advantages of Business-to-Business E-Commerce?


-Reduce costs eg advertising costs
-Transparency and efficiency
-Better management of customers and suppliers.
-Reach new markets / increase market size
63. What are some of the popular e-commerce business models?

64. Which companies are successfully using e-commerce in Tanzania and how are they using e-
e-commerce?
-Kikuu
-Kaimu
-Instragram
-Inauzwa.com
-Piki
-WhatsApp

65. How are orders generated in traditional commerce? How are they generated in e-commerce?
Compare and contrast these two processes.
Traditional
-Ordering and invoice by printing form but
Ecommerce
by email and websites
66. What are some of the popular methods for promoting an e-commerce?
- Connect with bloggers and influencer
- Run a contest or promotion
- Start producing product videos
- Share user generated content
- Make use of social media.
- Go multiple channels eg Alibaba, IG, Twitter
- Use email promotions
- Encourage product review

67. The following sites provide comprehensive information on electronic


catalogs: http://www.autopart.com/radiatorinfo/catalog.htm
http://www.dscp.dla.mil/subs/ecat.htm

By referring to this site and other sources write a one-page report on electronic catalogs. What
are some of the advantages and disadvantages of this medium? Compare and contrast electronic
catalogs with paper catalogs.

68. What is a commerce server? What does it do?


- Web software that runs some of the main functions of an online storefront such as
product display, online ordering, and inventory management. The software works in
conjunction with online payment systems to process payments.

69. What are some examples of natural threats to an e-commerce site?

70. What are some examples of physical security measures?

71. 20. What are some examples of software security measures?


- Establish a strong password
- Set up firewalls
- Think of antivirus protection
- Updating is important
- Secure every device ie phone, laptop
- Back up your data _ schedule
-
72. What does a database server do?
- Used to store and manage data that are stored on the server and provide data access to authorized users.-
Keeps data in central location that can be regularly backed up
- Also allows users and applications to centrally access the data across the network.

Discussions Questions

1) Information systems cannot solve some business problems. Give three examples and explain why
technology cannot help.
- System can’t make decisions
IT can only provide data in a way analysis can be done
- Computers can not think
- Can not improve employ efficiency, it requires human intervention to solve such
- Hiring can’t be achieved only by information systems
- Forecasting marketing conditions such as geo location, political situation which are crucial for business
performance.
- Doesn’t take into account the qualitative factors eg attitudes, positivity.

2) Practically all knowledge workers must know how to use information systems. Why?
- Refer to the components of IS.

3) What does the word “processing” in data processing mean? Give three examples in which raw data also
serves as useful information.
-any action that produce info from data and produce results eg names, address, education, experience of employment
etc

4) What does the term “first mover” mean? Can a late mover have any strategic advantage with IT? What is
the risk that a late mover takes?
-being ahead of your competitor
Adv of late mover
- Enjoys higher market potential
- Higher repeat purchase rate
Risks
- Might lose customers
- Less profit
5) What are the objectives of project management and why is it so essential in developing information
systems?
a. Describe information system problems resulting from poor project management.
b. Define project management. List and describe the project management activities

6) As a manager or user of information systems, what would you need to know to participate in the design and
use of a DSS or an ESS? Why?
7) How much can business intelligence and business analytics help companies refine their business strategy?
Explain your answer
8) What should an organization do to sustain the strategic benefits of an IS?
9) How can firms assess the business value of information systems projects?
a. List and describe the major costs and benefits of information systems.
-
b. Distinguish between tangible and intangible benefits.
10) How do information systems support the activities of managers and management decision Making?

11) How does the Internet change consumer and supplier relationships?
12) The Internet may not make corporations obsolete, but the corporations will have to change their business
models. Do you agree? Why or why not?
13) How have social technologies changed e-commerce?
14) What is IT infrastructure and what are its components?
a. Define IT infrastructure from both a technology and a services perspective.
b. List and describe the components of IT infrastructure that firms need to manage. What are the
challenges of managing IT infrastructure and management solutions?
15) What are business processes? How are they related to information systems?
a. Define business processes and describe the role they play in organizations.
b. Describe the relationship between information systems and business processes.
16) Security isn’t simply a technology issue, it’s a business issue. Discuss.
17) Suppose your business had an e-commerce Web site where it sold goods and accepted credit card
payments. Discuss the major security threats to this Web site and their potential impact. What can be done
to minimize these threats?
18) How do the Internet and Internet technology work, and how do they support communication and e-
business?
a. Define the Internet, describe how it works, and explain how it provides business value.
b. Explain how the Domain Name System (DNS) and IP addressing system work.
c. List and describe the principal Internet
19) services
20) How have information systems affected everyday life?
a. List and describe the principal causes of system quality problems.
b. Name and describe four quality-of-life impacts of computers and information systems
21) Should producers of software-based services, such as ATMs, be held liable for economic injuries suffered
when their systems fail?
22) Should companies be responsible for unemployment caused by their information systems? Why or why
not?
23) Why is selecting computer hardware and software for the organization an important management decision?
What management, organization, and technology issues should be considered when selecting computer
hardware and software?
24) What is a DBMS? Briefly describe the components of a DBMS.
25) Are there ethical issues to consider when planning a database? For example, should sensitive personal
data (such as medical information) bestored in the sameDBMS that manages employee salary
and benefits data? Why or why not?
26) Should organizations use software service providers for all their software needs? Why or why not? What
management, organization, and technology factors should be considered when making this decision?
27) What are the challenges of managing IT infrastructure and management solutions?
a. Name and describe the management challenges posed by IT infrastructure.
28) What is IT infrastructure and what are its components?
a. Define IT infrastructure from both a technology and a services perspective.
b. List and describe the components of IT infrastructure that firms need to manage.
29) What is the role of the information systems function in a business? Describe how the information systems
function supports a business.
30) Explain how the Internet can help a company to achieve a competitive advantage in the marketplace
through (1) cost leadership and (2) differentiation. Illustrate each case through an actual example, other
than those mentioned in this chapter.
31) Pick out an e-business company of your choice. Which type of competitive advantage does it pursue? What
factors help this company create superior customer value? Is the strategy sustainable?
32) Analyze how the Internet can help companies not to get ‘stuck in the middle’. Illustrate your answer
through an actual example.
33) Discuss how an Internet venture can outperform its competitors on both the price and quality dimensions.
provide some examples to support your arguments.
34) Consider an Internet venture that you are familiar with and think of ways in which it could further improve
the fit among its activities through consistency, reinforcement and optimization
35) What are business processes? How are they related to information systems?
a. Define business processes and describe the role they play in organizations.
b. Describe the relationship between information systems and business processes.

36) How do systems serve the various levels of management in a business?


a. Describe the characteristics of transaction processing systems (TPS) and the roles they play in a
business.
b. Describe the characteristics of management information systems (MIS) and explain how MIS
differ from TPS and from DSS.
c. Describe the characteristics of decision-support systems (DSS) and how they benefit businesses.
d. Describe the characteristics of executive support systems (ESS) and explain how these systems
differ from DSS.

37) Why systems for collaboration and teamwork are so important and what technologies do they use?
a. Define collaboration and teamwork and explain why they have become so important in business
today.
b. List and describe the business benefits of collaboration.
c. Describe a supportive organizational culture and business processes for collaboration.
d. List and describe the various types of collaboration and communication systems.

38) Why are information systems vulnerable to destruction, error, and abuse?
a. List and describe the most common threats against contemporary information systems.
b. Define malware and distinguish among a virus, a worm, and a Trojan horse.
c. Define a hacker and explain how hackers create security problems and damage systems.
d. Define computer crime. Provide two examples of crime in which computers are targets and two
examples in which computers are used as instruments of crime.
e. Define identity theft and phishing and explain why identity theft is such a big problem today.
f. Describe the security and system reliability problems created by employees.
g. Explain how software defects affect system reliability and security.

39) What is the business value of security and control? Explain how security and control provide value for
businesses.
40) What are the components of an organizational framework for security and control?
a. Define general controls and describe each type of general control.
b. Define application controls and describe each type of application control.
c. Describe the function of risk assessment and explain how it is conducted for information systems.
d. Define and describe the following: security policy, acceptable use policy, and identity
management.
e. Explain how MIS auditing promotes security and control.
41) What are the most important tools and technologies for safeguarding information resources?
a. Name and describe three authentication methods.
b. Describe the roles of firewalls, intrusion detection systems, and antivirus software in promoting
security.
c. Explain how encryption protects information.
d. Describe the role of encryption and digital certificates in a public key infrastructure.
TERM PAPER

Present an assessment of the potential opportunities and challenges for the growth of Ecommerce industry
in Tanzania. In your discussion you should focus on :
a. Technology infrastructures
b. Government Policies,
c. Payment Systems(strengths and Weaknesses)
d. Financial institutions set up and their support for e-commerce industry growth
e. Human resources that supports ecommerce’s at all levels
f. Potential customers (people’s) awareness and readiness
g. Delivery systems for Physical goods and e-goods /e-services

Note that:
1) A term paper is an academic scholarly document that needs support of extensive literature review citations
and typical brief examples of business cases.
2) Stick to key points and avoid writing everything by copying and pasting from online
3) Turnitin will be used for quality check and grading
4) This term paper should be submitted not later than 7th July 2020 (Softcopy) and 8th July 2020 (Loose bind
hardcopy)
5) For any late submission there will be a penalty of 5 Marks deduction from the actual score

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