A Cost Leader Might Use E-Business Techniques to __________

question 52

Multiple Choice

A cost leader might use e-business techniques to __________.

• A) implement an online bidding process to increase sales force outcomes
• B) implement online testing and evaluation of job applicants
• C) adopt web-based inventory control systems to eliminate storage costs
• D) attract more customers to high-end products with pop-up ads
• E) design niche websites that target specific groups with specific interests

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Definitions:

Required Reserves

The minimum amount of reserves that a bank must hold as mandated by the central bank or regulatory authority, usually a percentage of the bank's deposit liabilities.

Excess Reserves

Funds held by banks over and above the legally mandated reserve requirement, which can be lent out to generate additional income or held as a safeguard against potential withdrawals.

Bank A

A generic term used to denote a financial institution licensed to receive deposits, offer loans, and provide other financial services to its customers.

Inflationary GDP Gap

The excess amount by which the actual gross domestic product (GDP) exceeds the potential GDP, leading to inflation.