Q&A Hero

Q: The purchase of goods and services as they are needed, usually at prevailing market prices, best defines A) direct materials. B) consolidation. C) spot buying. D) strategic sourcing.

Q: (p. 107) One critic refers to the process of neoliberal conquest as "necrocapitalism", or the creation of death zones that subjugate life to wealth creation.

Q: Types of B2B transactions include A) strategic sourcing. B) randomized buying. C) intermediation. D) reverse purchasing.

Q: (p. 105-106) Milton Friedman, his colleagues, and their free market ideas came to be called the Chicago School.

Q: An online third party that brokers a transaction online between a buyer and a seller best describes A) strategic source. B) horizontal marketplace. C) vertical marketplace. D) online intermediary.

Q: (p. 105) Keynesianism is an economic philosophy according to which social progress comes when individuals freely pursue their self-interests in unregulated markets.

Q: B2B transactions that involve communication, design, planning, information sharing, and activities beyond financial transactions among business partners defines A) exchanges. B) collaborative commerce. C) trading communities. D) public marketplaces.

Q: (p. 104) Liberalism is a word denoting both the ideology of using markets to organize society and a set of specific policies to free markets from state intrusion.

Q: Many-to-many e-marketplaces, usually owned and run by a third party or a consortium, in which many buyers and many sellers meet electronically to trade with each other best describes A) exchanges. B) public market. C) company-centric EC. D) spot purchases.

Q: (p. 102) The old Progressives seek to avoid being branded as liberals and try to take advantage of favorable connotations in the word "progressive".

Q: E-commerce that focuses on a single company's buying needs or selling needs best defines A) computer exchange. B) business-to-business e-commerce. C) private marketplace. D) company-centric EC.

Q: (p. 100) During World War II, support for business rebounded in the United States.

Q: Key business drivers for B2B include each of the following except A) the availability of a secure broadband Internet platform. B) the ability to reduce delays. C) the willingness of companies to incur higher costs to improve collaboration. D) the need for collaborations between suppliers and buyers.

Q: (p. 99) The catastrophic Depression of the 1930s brought to light much ineptness, criminal negligence, and outright fraud by prominent executives.

Q: Affiliate programs, infomediaries, and online data and text mining services are three popular B2B marketing and advertising methods.

Q: (p. 98) The Industrial Workers of the World (IWW), formed in 1905, proposed to represent all workers of both sexes and all races in the fight to overthrow the capitalist system.

Q: The marketing and advertising processes used for B2B and B2C are remarkably similar.

Q: (p. 97) In the United States of 1850 to 1900, rapid industrial growth was taking place within a highly-regulated capitalist system that in many ways seemed to bear out the socialist's nightmare of exploitation.

Q: Google's OpenSocial is a programming standard that lets developers create applications that can run on a wide range of social networking platforms, which may increase B2B social networking.

Q: Social networks are used extensively in the B2B marketplace.

Q: According to the theory of pluralism, what are the boundaries of managerial power?

Q: Why is the American society considered to be a pluralistic society?

Q: Creating brand awareness is an advantage of B2B social networking.

Q: Discuss Domhoff's, Dye's, and Rothkopf's views on elite dominance.

Q: Alibaba.com requires buyers to pay for sourcing.

Q: Discuss sociologist C. Wright Mill's views on the theory of the power elite.

Q: Mobile portals are accessible via mobile devices.

Q: What are merger waves? What was the main impetus for the 1895-1904 wave?

Q: Executive and supervisor portals are used for training, dissemination of company news, information, and discussion groups.

Q: Briefly discuss the dominance theory.

Q: Corporate portals are major gateways through which employees, business partners, and the public can enter a corporate website.

Q: How did the introduction of railroads change American politics?

Q: Potential gains for sellers in B2B exchanges include less maverick buying.

Q: On both the surface and deep levels, business power is exercised in spheres corresponding to the seven business environments. Discuss with examples.

Q: Loss of customer service quality is a potential risk for buyers in B2B exchanges.

Q: Dynamic pricing is the rapid movement of prices over time and possibly across customers, as a result of supply and demand matching.

Q: (p. 58) Discuss the concept of legitimacy. Explain how it is applicable to business power.

Q: A vertical portal is an exchange formed and operated by a group of major companies in an industry to provide industry-wide transaction services.

Q: Explain in brief the concept of business power.

Q: Anonymity is a key ingredient of dynamic pricing.

Q: Define a pluralistic society.

Q: Define the concept of elite dominance.

Q: By law, exchanges cannot be owned by a consortium.

Q: (p. 64-65) What are the two major perspectives on business power?

Q: Exchanges can be vertical or horizontal.

Q: (p. 59) Corporate actions have an impact on society at two levels. What are they?

Q: Caltex, a multinational oil company, reduced the number of its suppliers from over 3,000 to 800 by implementing a central catalog for internal purchasing, lowering the per unit prices.

Q: (p. 58) Discuss the concept of power.

Q: Aggregating the catalogs of all approved suppliers and combining them into a single electronic catalog is an effective solution for internal procurement because it minimizes maverick buying.

Q: (p. 74) Which of the following wields an important influence on corporate decisions? A. Communities B. Social values C. Families D. Stockholders

Q: Reverse auctions are one method of electronic procurement that is very popular with public organizations where tendering is usually mandatory.

Q: (p. 74) All of the following are norms of social values EXCEPT: A. duty. B. justice. C. economics. D. piety.

Q: Maverick buying refers to the planning, organizing, and coordinating of all the activities pertaining to the purchasing of the goods and services necessary to accomplish the mission of an enterprise.

Q: (p. 73) _____ are the ultimate arbiters of legitimate behavior and can act forcefully to blunt the exercise of corporate power that harms the public. A. Governments B. Social interest groups C. Markets D. Economic stakeholders

Q: Horizontal marketplaces are markets that concentrate on a service, material, or a product that is used in all types of industries.

Q: MRO, which stands for "maintenance, repair, and operation," refers to the indirect materials used in activities that support production.

Q: (p. 73) _____ represent every segment of global society and have many ways to restrict business, including boycotts, lawsuits, picket lines, media campaigns, and lobbying for more regulation. A. Social interest groups B. Governments C. Markets D. Economic stakeholders

Q: (p. 73) Several features of American society support the thesis of pluralism. Which of the following is one of them? A. It has capitalist values. B. It encompasses a small population spread over a small geography but engaged in diverse occupations. C. Its businesses are free of market pressures. D. Its Constitution encourages pluralism.

Q: Computers and communication devices are two examples of direct materials for a food processing company.

Q: (p. 71) Which of the following doctrines held that all persons were created equal and were entitled to the same opportunities and protections? A. The doctrine of natural rights B. The Hallstein Doctrine C. The Monroe Doctrine D. The Fairness Doctrine

Q: Strategic sourcing refers to purchasing involving long-term contracts that usually are based on private negotiations between sellers and buyers.

Q: (p. 71) A(n) _____ society is one that has multiple groups and institutions through which power is diffused. A. oligarchic B. totalitarian C. pluralistic D. power elite

Q: Stock exchanges and commodity exchanges (such as oil and sugar) are examples of spot buying.

Q: (p. 70) Scholar David Rothkopf: A. suggests that the new superclass lags behind the power of national elites. B. says that with globalization, a transnational power elite or "superclass" has emerged, operating across borders through "networks of individuals and organizations." C. calculates a superclass membership of about 4,000, which is 0.0001 percent of the world population, or a member for each 1 million people. D. says that the new superclass conspires to rule.

Q: Spot buying refers to the purchasing of goods and services according to a schedule, usually at prevailing market prices that are determined by supply and demand.

Q: (p. 70) Political scientist Thomas R. Dye: A. identified a "superclass" operating across borders through networks of individuals and organizations. B. suggested that the new "superclass" eclipsed the power of national elites. C. coined the term "power elite". D. identified an "institutional elite" of individuals who occupied the top positions in 10 sectors.

Q: Intermediaries in B2B commerce that broker transactions between buyers and sellers are third-parties that are either virtual or brick-and-mortar.

Q: (p. 70) According to G. William Domhoff: A. a new "superclass" eclipses the power of national elites. B. the elite used government "as an umbrella under whose authority they do their work." C. the power elite has the power to shape the economic and political frameworks within which other groups and classes must operate. D. a "superclass" has emerged, operating across borders through networks of individuals and organizations.

Q: Businesses deal with other businesses for purposes beyond just selling or buying. One example is that of collaborative commerce, which includes communication, design, planning, and information sharing among business partners.

Q: Market forecasters estimate that by 2012 the global B2B market, both online and offline, could reach $1 trillion.

Q: (p. 69) Sociologist C. Wright Mills saw American society as a pyramid of power and status. The base of the pyramid was composed of: A. a mass of powerless citizens. B. a large elite in command of the economic, political, and military domains. C. a big group of lieutenants who carried out the elite's policies. D. professional managers of corporations, politicians beholden to the elite for their election, and bureaucrats appointed by the politicians.

Q: E-marketplace exchanges are usually owned and run by a third party or by a consortium.

Q: (p. 69) The modern impetus for this theory comes from the sociologist C. Wright Mills. A. Pluralist theory B. Theory of elite dominance C. State autonomy theory D. Positive political theory

Q: (p. 69) One of the arguments that supports this theory is that there is a small group of individuals that exist, by virtue of wealth and position, control the nation and act in undemocratic ways. A. Dominance theory B. Pluralist theory C. Agonism theory D. Positive political theory

Q: In company-centric marketplaces, the individual company has very little control over who participates in selling or buying transactions.

Q: (p. 67) For the largest companies in each era, economies of scale and _____ in markets led to high profits and prolonged their dominance. A. monopolistic competition B. perfect competition C. monopoly D. oligopoly

Q: In one-to-many and many-to-one marketplaces, if all selling is done by one company, it is a buy-side market.

Q: (p. 65) Which theory of business power is the basis of the countervailing forces model of the business-government-society relationship? A. Dominance theory B. State autonomy theory C. Pluralist theory D. Elite dominance theory

Q: B2B EC marketplaces that involve one seller selling to many buyers is called an exchange.

Q: (p. 65) According to the _____ theory, business power is counterbalanced, restricted, controlled, and subject to defeat. A. dominance B. state autonomy C. elite D. pluralist