The Early Years of E-Commerce Are Considered

question 65

Multiple Choice

The early years of e-commerce are considered:

• A) the most promising time in history for the successful implementation of first mover advantages.
• B) an economist's dream come true, where for a brief time, consumers had access to all relevant market information and transaction costs plummeted.
• C) a stunning technological success as the Internet and the Web increased from a few thousand to billions of e-commerce transactions per year.
• D) a dramatic business success as 85% of dot-coms formed since 1995 became flourishing businesses.

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Definitions:

Dividends Paid

The total amount of money distributed by a corporation to its shareholders from its earnings.

Total Equity

The total value of a company’s assets minus its liabilities, representing the ownership interest of the shareholders.

Net Income

The total amount of profit a company earns after taxes and all expenses have been deducted from revenues, commonly referred to as the bottom line.

Sustainable Growth Rate

The highest speed at which a business can expand its profits without having to raise its debt levels or issue more equity.