E-Commerce MCQs

By BYJU'S Exam Prep

Updated on: October 17th, 2023

E-commerce, often known as electronic commerce, is a business strategy that enables people to buy and sell goods and services through the internet. We have included the E-Commerce MCQ questions in this article. Practicing the below-mentioned E-Commerce MCQs will help you prepare better for the upcoming exams.

To better prepare for the GATE exam, candidates should attempt to answer as many E-Commerce MCQs as possible. Candidates can use the E-Commerce MCQ mentioned below to get a sense of the MCQ format for their competitive test in electronic commerce.

E-Commerce MCQ with Answers

1. Purchasing and selling products online is referred to as?

  1. E-Commerce
  2. Cyber-Selling
  3. Hyper-Marketing
  4. Euro-Conversion

Answer: A. E-Commerce

Explanation: The business strategy that enables customers to buy and sellers to sell goods and services through the internet is known as E-Commerce.

2. What is E-Commerce full form?

  1. Electrical Commerce
  2. Entertainment Commerce
  3. Electronic Commerce
  4. Electronic Chemical Commerce

Answer: C. Electronic Commerce

Explanation: The full form of E-Commerce is Electronic Commerce. It belongs to a more significant economic sector known as electronic business or e-business. Also, check the difference between E-Commerce and E-Business here.

3. Which of the following describes E‐Commerce?

  1. Business activities
  2. Sale of goods
  3. Doing business online
  4. All of the above

Answer: C. Doing business online

Explanation: E-Commerce is the practice of doing business online. Electronic commerce, often known as E-Commerce or EC, is the exchange of products and services and the transmission of money and data via an electronic network, most notably the internet.

4. Which of the following is not a major form of E-Commerce?

  1. C2B
  2. B2C
  3. B2B
  4. C2C

Answer: A. C2B

Explanation: C2B is not one of the major forms of E-Commerce. It is known as the C2B business model when consumers sell goods or services to businesses.

5. The aspect of E-Commerce that allows for cross-border trade is known as.

  1. Interactivity
  2. Global reach
  3. Richness
  4. Ubiquity

Answer: B. Global reach

Explanation: Global reach refers to the aspect of E-Commerce that makes it possible to do business across international borders. A business strategy known as Global Reach aims to improve connectivity between a company and its existing and new clients online.

6. Which is not a function of E-Commerce?

  1. Marketing
  2. Advertising
  3. Warehousing
  4. None of these

Answer: A. Marketing

Explanation: E-Commerce helps facilitate the purchasing process and allows clients options, while marketing is the marketing department’s responsibility.

7. Which of the following is a function of E-Commerce

  1. Marketing
  2. Advertising
  3. Warehousing
  4. All of the above

Answer: D. All of the above

Explanation: All of the above- marketing, advertising, and warehousing- are E-Commerce functions.

8. What is an early form of E-Commerce?

  1. EDI
  2. SCM
  3. Both of these
  4. None of the above

Answer: A. EDI

Explanation: EDI, also known as Electronic Data Interchange, is an early form of E-Commerce.

9. In what year was the World Wide Web (WWW) first launched?

  1. 1994
  2. 1992
  3. 1996
  4. 1990

Answer: A. 1994

Explanation: The World Wide Web was first introduced in 1994. It was created by Sir Timothy John Tim Berners-Lee, often known as TimBL, an English computer scientist.

10. Compared to B2C E-Commerce, B2B E-Commerce is B2B E-Commerce is

  1. Of equal size
  2. A little smaller
  3. A little bigger
  4. Much larger

Answer: D. Much larger

Explanation: B2B E-Commerce is much larger than B2C E-Commerce. In addition to being distinct from B2C selling, B2B selling is also significantly more challenging.

11. A system of interconnected electronic components or circuits is known as-

  1. Electronic Network
  2. Metamarkets
  3. Electronic Markets
  4. Marketplaces

Answer: A. Electronic Network

Explanation: Electronic Network is a system of interconnected electronic components or circuits.

12. Which of the following is not a benefit of E-commerce?

  1. Fast process
  2. Inconvenience
  3. Always on
  4. Reduced cost price

Answer: B. Inconvenience

Explanation: The lowest cost is at the top of the list of benefits of e-commerce, but there are other benefits as well, such as selling abroad, retargeting customers, and customizing the shopping experience.

13. Which type of commercial enterprise is focused on selling goods and services over the internet?

  1. Indirect Marketing
  2. Online Direct Marketing
  3. Brick & Mortar
  4. Marketplace

Answer: B. Online Direct Marketing

Explanation: Online Direct Marketing is a type of commercial enterprise is focused on selling goods and services over the internet.

14. The idealistic market that was envisioned at the commencement of the development of electronic commerce is known as-

  1. Bertrand market
  2. Baxter market
  3. Bailey market
  4. Bergman market

Answer: A. Bertrand market

Explanation: The Bertrand market is the utopian market that was envisioned at the commencement of the development of electronic commerce.

15. Which of the following technological developments is not being used to collect information about you?

  1. Anonymizers
  2. Spyware
  3. Gmail
  4. Cookies

Answer: A. Anonymizers

Explanation: Technology that does not gather data about you is known as an anonymizer. It is a program designed to make the online activity difficult to track.

16. Which of the following is not a key element of the business model?

  1. Competitive advantage
  2. Market strategy
  3. Universal standards
  4. Value Proposition

Answer: C. Universal standards

Explanation: The business model does not depend on universal standards.

17. Which one is an example of an Internet portal?

  1. E-bay
  2. Yahoo
  3. Amazon
  4. Facebook

Answer: B. Yahoo

Explanation: A web portal that combines a search engine and a list of WWW sites arranged in a hierarchical fashion is Yahoo.

18. What is ESN full form?

  1. Enterprise Social Networks
  2. Entrepreneur Social Networks
  3. Enterprise Special Networks
  4. Essential Social Networks

Answer: A. Enterprise Social Networks

Explanation: The term ESN stands for Enterprise Social Networks.

19. What is ‘EOQ’ in Inventory control?

  1. Economic Occurring Quantity
  2. Economic Order Quantity
  3. Economic Over Quantity
  4. Economic of Quantity

Answer: B. Economic Order Quantity

Explanation: Companies determine their ideal order size by performing a calculation known as the economic order quantity (EOQ), which enables them to meet demand without going overboard. For the purpose of reducing holding costs and surplus inventory, inventory managers calculate EOQ.

20. Which is not a horizontal portal?

  1. Yahoo
  2. Sailnet
  3. MSN/Windows Live
  4. AOL

Answer: B. Sailnet

Explanation: Sailnet is not a horizontal portal.

21. Name the strategy that is designed by businesses to compete in all markets around the world?

  1. Cost
  2. Differentiated
  3. Focus
  4. Scope

Answer: D. Scope

Explanation: A strategy that is designed by businesses to compete in all markets around the world is referred to as a scope strategy.

22. Which E-commerce company has launched Shopsy, allowing Indians to start shops for free?

  1. AJIO
  2. Amazon
  3. Flipkart
  4. Snapdeal

Answer: C. Flipkart

Explanation: Flipkart, an E-commerce company has launched Shopsy, allowing Indians to start shops for free.

23. ERP stands for-

  1. Enterprise Resolution Planning
  2. Enterprise Resource Planning
  3. Enterprise Reader Planning
  4. Enterprise Reverse Planning

Answer: B. Enterprise Resource Planning

Explanation: Enterprise Resource Planning is an integrated administration of key business operations, frequently in real-time.

24. Collaboration is derived from which Latin word?

  1. Collabrica
  2. Collaboratio
  3. Collaboraze
  4. Collaberance

Answer: B. Collaboratio

Explanation: Collaboration is derived from the Latin word Collaboratio.

25. Which is not one of the three phases of electronic commerce?

  1. Reinvention
  2. Preservation
  3. Consolidation 
  4. Innovation

Answer: B. Preservation

Explanation: One of the three phases of electronic commerce is not preservation. It means the action of maintaining something or shielding it from harm.

Download E-Commerce MCQ with Answers PDF

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