DIT 502  E-COMMERCEa.

UNIVERSITY EXAMINATIONS: 2016/2017
EXAMINATION FOR THE DIPLOMA IN INFORMATION TECHNOLOGY
DIT 502 E-COMMERCE
DATE: DECEMBER, 2016 TIME: 1 ½ HOURS
INSTRUCTIONS: Answer any THREE questions.

QUESTION ONE
a) Describe four benefits of Electronic Data Interchange (EDI) in a business sector. [4 Marks]
b) E-Commerce has emerged as one of the key channels of conducting business for major companies.
Critically discuss five possible advantages of E-Commerce to an organization. [5 Marks]
c) State and explain six security requirements of Electronic payment systems [6 Marks]
d) With the aid of a diagram describe the Supply Chain Management Systems (SCM system).
[5 Marks]
QUESTION TWO
a) Describe the term m-commerce and outline any four advantages of m-commerce. [6 Marks]
b) Explain three components of a of a well-functioning E-commerce website [6 Marks]
c) There are several categories of E-Commerce in use today. These are normally classified based on
the nature of the transactions that take place. Using appropriate examples critically discuss four
different categories of E-commerce in use. [8 marks]

QUESTION THREE
a) Explain six drivers of E-commerce in a society. [6 Marks]
b) Identify five advantages of E-Banking over traditional banking [5 Marks]
c) Discuss four non-technological limitations of E-commerce. [5 Marks]
d) Discuss any two examples of cyber-crimes [4 Marks]
QUESTION FOUR
a) Outline four differences between E-Business and E-commerce [4 Marks]
b) Discuss Briefly four factors you would consider while designing a commercial website.
[4 Marks]
c) Discuss four advantages of Internet marketing over traditional marketing [4 Marks]
d) Outline the advantages and disadvantages of the following E-payment methods: –
(i) Digital cheque [2 Marks]
(ii) Digital wallet [2 Marks]
(iii)Stored value card [2 Marks]
(iv)credit card [2 Marks]
QUESTION FIVE
a) Explain four ethical issues you would consider while implementing an E-commerce website.
[4 Marks]
b) Assuming that you own a computer manufacturing company that performs the following activities
via the Internet:
(i) Selling computers to individuals.
(ii) Purchasing parts (e.g. hard drives, power supplies etc.) from a supplier.
(iii)Selling computers to the Government to be used in schools.
Required:-In each of the above cases, state the relevant form of E-Commerce [3 Marks]
c) Explain the following terms:- [4 Marks]
(i) Dis-intermediation
(ii) Shopping cart
(iii)Product customization
(iv)Dynamic website
d) E-commerce can be viewed from at least two different perspectives: The buyer’s viewpoint and the
seller’s viewpoint.
Required:-
(i) Describe the buyer’s perspective of E-Commerce [3 Marks]
(ii) Describe any three types of infrastructure that support ecommerce. [6 Marks]

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