Chapter 1 The Revolution Is Just Beginning 1) Analysts estimate that by 2026, consumers will be spending around in digital transactions. A) $170 million B) $1.7 billion C) $170 billion D) $1.7 trillion Answer: D Difficulty: Moderate AACSB: Application of knowledge Learning Objective: 1.1: Understand why it is important to study e-commerce. 2) It is likely that e-commerce will eventually impact nearly all commerce. Answer: TRUE Difficulty: Easy AACSB: Application of knowledge Learning Objective: 1.1: Understand why it is important to study e-commerce. 3) Why study e-commerce? Answer: It is important to study e-commerce in order to be able to perceive and understand the opportunities and risks that lie ahead. E-commerce is a disruptive innovation that is different and more powerful than any of the other technologies we have seen in the past century. E-commerce technologies–and the digital markets that result–have brought about some fundamental, unprecedented shifts in commerce. While other technologies transformed economic life in the twentieth century, the evolving Internet and other information technologies are shaping the twenty-first century. Difficulty: Moderate AACSB: Application of knowledge; Written and oral communication Learning Objective: 1.1: Understand why it is important to study e-commerce. 4) Which of the following best defines e-commerce? A) digitally enabled commercial transactions between and among organizations and individuals B) the use of digital technologies in a firm's daily activities C) the digital enablement of transactions and processes within an organization D) any digital activity involving information systems under a firm's control Answer: A Difficulty: Moderate AACSB: Application of knowledge Learning Objective: 1.2: Define e-commerce, understand how e-commerce differs from e-business, identify the primary technological building blocks underlying e-commerce, and