Om Ch4 Essay

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File: ch04, Chapter 4: E-Commerce and Supply Chain Management 1. Which of the following typically represents the beginning of a supply chain? a) Wholesalers b) Retailers c) Manufacturers d) External suppliers e) Inspectors Ans: d Section: What is a Supply Chain? Level: easy 2. Which term refers to inaccurate or distorted demand information created in the supply chain? a) Battle axe effect b) Cobra effect c) Bullwhip effect d) Lasso effect e) Whirlpool effect Ans: c Section: The Bullwhip Effect Level: easy 3. Insourcing incurs a fixed cost of $1000 and a $5 variable cost. Outsourcing incurs a fixed cost of $2000 and a $2 variable cost. What is the indifference point? Ans: 333 units (Q* = (FCMake ( FCBuy) / (VCBuy ( VCMake) = ($2000 - $1000)/($5 - $2) = 333) Section: SCM Across The Organization Level: moderate 4. In the affiliate revenue model, companies receive a referral fee for: a) providing advertising space on their web site b) selling customer information to others c) executing a transaction d) directing business to an “affiliate” e) monthly subscription charges Ans: d Section: Major Issues Affecting Supply Chain Management Level: moderate 5. According to the textbook, the larger cargo ships created the negative result of? a) increased per pound shipping charges b) increased CO2 emissions c) decreased operating costs d) longer port times e) increased in transition times Ans: d Section: Major Issues Affecting Supply Chain Management Level: moderate 6. Which of the following does the textbook not identify as an Internet regulatory issue or concern? a) taxation b) bandwidth c) copyright infringement d) censorship e) public safety Ans: b Section: Major Issues Affecting Supply Chain Management Level: moderate 7. From the textbook, leveraging core competencies is about a)

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