Which of the Following Examples Demonstrates How Electronic Commerce Creates

question 130

Multiple Choice

Which of the following examples demonstrates how electronic commerce creates customer value through form utility?

• A)Recreational Equipment,Inc.(REI),an outdoor gear marketer,receives 35 percent of its orders between the hours of 10 p.m.and 7 a.m.when its retail stores are closed.
• B)Forty-five percent of sales at Amazon.com are from buyers who live outside the United States.
• C)Travelocity.com provides almost immediate access to and confirmation of travel arrangements and accommodations.
• D)Bluefly.com,an apparel company,encourages customers to create their own uniquely designed shirts.
• E)Pediatricians can purchase dinosaur stethoscope covers at AllHeart.com.

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Definitions:

Cash

Cash refers to money in physical form, such as banknotes and coins, that is available for immediate use.

Effective Interest Rate

The true interest rate when compounding interest is taken into account, differing from nominal rate.

Contract Interest Rate

The rate of interest stipulated within a financial contract, often determining the amount of interest a borrower must pay on a loan.

Face Value

The nominal value or dollar value printed on a security, such as a bond or stock certificate, representing its value at issuance.