What Is the Main Difference Between E-Business and E-Commerce

question 98

Multiple Choice

What is the main difference between e-business and e-commerce?

• A)E-business is the intercompany, computer-to-computer transfer of business documents, whereas e-commerce is the non-intercompany, computer-to-computer transfer of business documents
• B)An e-business is an online storefront, whereas e-commerce consists of the transactions that occur through the online storefront
• C)E-business refers to all forms of electronic business transactions and processing, whereas e-commerce is a type of e-business specific to online buying and selling
• D)There is no difference between the two terms and they are used interchangeably

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Definitions:

Long-Run Cost Diagram

A graphical representation that shows how the costs incurred by a firm change over time with varying levels of output when all inputs are variable.

Average Cost

The expense per unit, resulting from dividing the aggregate cost of production by the total units produced.

X-Inefficiency

X-Inefficiency occurs when a firm's output is not produced with the minimum possible resources due to factors like organizational slack, lack of competitive pressure, or managerial inefficiency.

Economies Of Scale

The cost advantages obtained due to the increased level of production, which causes the average cost per unit to fall.