eCommerce

eCommerce MCQs with Answers and Explanations | Online Business & Digital Commerce Objective Questions

Prepare for success in the digital era with our comprehensive collection of eCommerce MCQs with answers and detailed explanations. Covering important topics such as online business models, digital marketing, e-payment systems, e-commerce security, supply chain management, e-retailing, and global trade, these multiple-choice questions are ideal for students, teachers, and candidates preparing for competitive exams (MBA, BBA, CSS, PMS, NTS, FPSC, PPSC, UPSC, etc.). Each question is followed by a clear explanation to build strong concepts, sharpen analytical skills, and boost exam readiness. Perfect for practice, revision, and self-assessment in the field of eCommerce and online business.

1. Which of the following is not a dimension of privacy?

by
A) Need for personal space
B) Need to feel in control of our possessions
C) Need to feel in control of our personal information
D) All of the above are dimensions of privacy
✅ ANSWER: D
Need for personal space, Need to feel in control of our possessions and Need to feel in control of our personal information all are dimension of privacy.

2. What is the use of physical characteristics — such as your fingerprint, the blood vessels in the retina of your eye, the sound of your voice, or perhaps even your breath — to provide identification?

by
A) Backup
B) Anti‐virus
C) Firewall
D) Biometrics
✅ ANSWER: D
Biometrics is the use of physical characteristics — such as your fingerprint, the blood vessels in the retina of your eye, the sound of your voice, or perhaps even your breath — to provide identification.

3. ERP stands for.

by
A) Enterprise resolution planning
B) Enterprise reverse planning
C) Enterprise resource planning
D) None of the above
✅ ANSWER: C
ERP stands for Enterprise resource planning. It’s a business process management software that manages and integrates a company’s financials, supply chain, operations, reporting, manufacturing, and human resource activities.

5. The set of applications and technologies that allow users to create, edit, and distribute content online is known as______.

by
A) Internet
B) social networking
C) virtual life
D) Web 2.0
✅ ANSWER: D
The set of applications and technologies that allow users to create, edit, and distribute content online is known as Web 2.0. Web 2.0 Websites allow users to do more than just retrieve information.

6. A combination of software and information designed to provide security and information for payment is called a what?

by
A) digital wallet
B) pop up ad
C) shopping cart
D) encryption
✅ ANSWER: A
A combination of software and information designed to provide security and information for payment is called digital wallet. A digital wallet is a system that securely stores users’ payment information and passwords for numerous payment methods and websites.

9. Which form of e‐marketplace brings together buyers and sellers from multiple industries, often for MRO materials?

by
A) horizontal
B) Vertical
C) Integrated
D) Inclined
✅ ANSWER: A
Horizontal form of e‐marketplace brings together buyers and sellers from multiple industries, often for MRO materials. Horizontal e-commerce outfits focus on the breadth of product offerings, while vertical ones concentrate on depth.

10. A materials requirements planning (MRP) system is an example of ______.

by
A) spot purchasing
B) a multi-tier supply chain
C) a legacy computer system
D) electronic data interchange
✅ ANSWER: C
A materials requirements planning (MRP) system is an example of a legacy computer system. Material requirements planning (MRP) is a system for calculating the materials and components needed to manufacture a product. It consists of three primary steps: taking inventory of the materials and components on hand, identifying which additional ones are needed and then scheduling their production or purchase.