Technology & Business Flashcards
All 13 cards in this deck
What is e-commerce?
The buying and selling of products and services using devices connected to an electronic network such as the internet.
Give one advantage to a small business of using e-commerce.
It can sell 24/7 to customers anywhere, so revenue may rise; it also avoids the fixed costs of a physical shop.
Give one drawback to a small business of using e-commerce.
Customers cannot see or try the product before buying; there are also website, payment handling, delivery and returns costs, and more global competition.
How can a business use social media?
To show images of new products, post links and offers, build a brand and interact with customers.
How can customer reviews on social media affect a business?
Good reviews are shared and attract new customers; a single incorrect bad review can damage the business's reputation.
What is digital communication in business?
Using electronic technology such as email, websites, online booking and virtual meetings to share information with stakeholders.
Give one benefit to a business of holding meetings online using digital communication.
It removes the geographical barrier of getting everyone in the same place, saving travel time and cost.
Give one drawback of holding meetings online using digital communication.
Any one of: technical problems such as a poor connection can disrupt the meeting; it is less personal, so it is harder to build relationships; a physical product cannot be inspected or tested.
What are payment systems as a type of business technology?
Technology that lets customers pay electronically, e.g. contactless cards, online payment services and mobile payment apps.
Give one benefit to a business of introducing a digital payment system.
It is more convenient for customers, allows buying 24/7 and in different currencies, so customer numbers may increase.
Give one drawback to a business of introducing a digital payment system.
Installation and ongoing maintenance against fraud increase costs, and customers may be wary of security issues.
How can technology reduce a business's costs?
No physical retail space is needed, so fixed costs such as rent fall, fewer sales staff are needed and admin can be automated.
True or false? E-commerce removes all of a small business's costs.
False. It creates new costs — website hosting, payment handling fees, warehousing and distribution.