Chapter 9

E-Commerce Essentials (Laudon/Traver)
Chapter 9 Online Content and Media

1) The publishing and entertainment industries make up the largest share of the commercial content marketplace.
Answer: TRUE
Diff: Moderate
AACSB: Application of knowledge

2) The average American still spends more time watching television than using the Internet.
Answer: TRUE
Diff: Moderate
AACSB: Application of knowledge

3) The impact of the Internet on media appears to be decreasing the total demand for media.
Answer: FALSE
Diff: Moderate
AACSB: Application of knowledge

4) Internet users consume more media of all types than non-Internet users.
Answer: TRUE
Diff: Moderate
AACSB: Application of knowledge

5) Today, the Internet generates over 25 percent of total media revenues.
Answer: FALSE
Diff: Difficult
AACSB: Application of knowledge

6) The a la carte revenue model allows users to pay only for what they use.
Answer: TRUE
Diff: Moderate
AACSB: Application of knowledge

7) Videos are the fastest growing form of paid content.
Answer: TRUE
Diff: Moderate
AACSB: Application of knowledge

8) The overall size of the online video audience is about the same size as the traditional television audience.
Answer: TRUE
Diff: Easy
AACSB: Application of knowledge

9) Online readership of newspapers is declining by more than 10% a year.
Answer: FALSE
Diff: Moderate
AACSB: Application of knowledge
10) Cannibalization is a major challenge facing book publishers.
Answer: TRUE
Diff: Easy
AACSB: Application of knowledge

11) By 2015, online video is expected to surpass music as the largest form of online revenue in terms of revenue.
Answer: TRUE
Diff: Moderate
AACSB: Application of knowledge

12) The entertainment industry is generally considered to be composed of five players: television, Hollywood films, music, radio, and video games.
Answer: TRUE
Diff: Difficult
AACSB: Application of knowledge

13) Which of the following most accurately reflects media