Lesson 3.15.1

3.15.1 The digital revolution Quiz: OCR Business, Unit 3

20 questions

Written by Revision Ninja · Last reviewed 11 October 2026

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Lesson 3.15.1, The digital revolution: 20 multiple choice questions for the OCR Business (H431), Unit 3: External influences, written with Revision Ninja.

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The 20 questions

  1. What term describes the transition from mechanical and analogue technology to digital electronics?

    • Industrial revolution
    • Digital revolution
    • Technological shift
    • Information age

  2. Which shift in human history is characterised by the rapid expansion of information technology?

    • Stone age
    • Bronze age
    • Space age
    • Information age

  3. Which business sector generally faces the least disruption from the digital revolution?

    • Personal care
    • Music publishing
    • Book retail
    • Retail banking

  4. A retailer moves entirely from physical stores to an online e-commerce site. What is this called?

    • Vertical integration
    • Digital transformation
    • Market penetration
    • Backward linkage

  5. What major opportunity does big data analytics offer to an online retail business?

    • Cheaper physical space
    • Lower minimum wage
    • Reduced corporation tax
    • Personalised marketing

  6. Which threat is created by relying heavily on cloud computing and digital customer databases?

    • Higher trade tariffs
    • Cyber security breach
    • Liquidity growth
    • Inflationary pressure

  7. Why might traditional high street retailers suffer more from rapid technological change than online startups?

    • Unlimited capital
    • High fixed costs
    • Low overheads
    • Zero liability

  8. A manufacturer uses software to automatically reorder raw materials when stock is low. What is this?

    • Social dumping
    • Process automation
    • Manual auditing
    • Delayering

  9. How does rapid technological adoption usually impact a business's short-term liquidity?

    • Eliminates overheads
    • Doubles revenue
    • Increases cash reserves
    • Decreases cash reserves

  10. What type of competitive advantage is gained by being the first firm to introduce disruptive digital technology?

    • Late-mover advantage
    • Economy of scale
    • Cost leadership
    • First-mover advantage

  11. Which group of stakeholders primarily suffers from job obsolescence due to digital automation?

    • Financial auditors
    • Unskilled workers
    • Board directors
    • Company shareholders

  12. What term describes software that analyses massive datasets to reveal customer purchasing patterns?

    • Peer network
    • Digital footprint
    • Cloud hosting
    • Big data

  13. A bank closes physical branches to launch an app-only service. What is the primary operational benefit?

    • Greater rent
    • Lower operating costs
    • Higher footfall
    • Increased staffing

  14. What key disadvantage do consumers face when a business transitions exclusively to digital services?

    • Digital exclusion
    • Lower prices
    • Higher choice
    • Faster delivery

  15. What is the main capital expenditure requirement when upgrading legacy business IT systems?

    • Raw materials
    • Inventory holding
    • Hardware and software
    • Factory rent

  16. Which strategy helps a workforce adapt smoothly to rapid digital and technological change?

    • Wage reductions
    • Employee retraining
    • Delayering
    • Redundancy notices

  17. What business model sells products directly to consumers online, bypassing traditional retail intermediaries?

    • Direct-to-consumer
    • Business-to-government
    • Wholesaling
    • Franchise model

  18. Why are small boutique craft businesses often less affected by digital disruption than mass manufacturers?

    • Niche market focus
    • High inventory
    • Economies of scale
    • Standardised goods

  19. Which technology allows remote employees to access central company files securely over the internet?

    • Robotics
    • Blockchain
    • Cloud computing
    • 3D printing

  20. What risk increases for a business that fails to keep pace with rapid technological innovation?

    • Loss of competitiveness
    • Increased market share
    • Reduced tax liability
    • Higher profit margin

All OCR Business quizzes