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Chapter
One
The Internet:
Past And Present
Learning Objectives
• To develop a marketing perspective in
the Internet age
• To examine links from the Internet’s
past
• To examine links to the Internet’s
present
• To identify current effects of the Internet
economy
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1–2
A Marketing Perspective In
the Internet Age
• Marketing brings buyers and sellers
together to facilitate satisfying
exchanges
• Practically anything can be marketed
• Internet marketing is marketing in
electronic environments
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1–3
Links From the Internet’s Past
• Look to the future but learn from the
past
• Connections to past events,
discoveries, innovations
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1–4
Figure 1-1: Historical Triggers
Links From the Internet’s Past:
Communication
• Long history of written communication
– Cave drawings
– Egyptian hieroglyphics
• First information revolution and the
dissemination of ideas
• Second information revolution led by the
Internet
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1–6
Links From the Internet’s Past:
Industrialization
• Two industrial revolutions led by inventions in
England and U.S.
– Mechanized manufacturing, modern industries,
modern marketing
– Steam power for manufacturing and transport
– Electricity, chemicals, internal combustion engine
• Some groups and individuals fought rapid
change in societies
– Luddites
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1–7
Links From the Internet’s Past:
Numeration
• Thinking quantitatively and expressing
relationships in numeric form
• Thinking machines
– Charles Babbage's digital analytical engine
– Ada Byron's computer program
– Herman Hollerith's punch cards
– Eniac
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1–8
Links To the Internet’s Present
• Changes since the first information
revolution
– Population growth
– More channels for mass and interpersonal
communication
– Innovations diffuse more rapidly
– Moore's law and the power of the chip
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1–9
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Links To the Internet’s Present
(cont’d)
• Contributions of The Cold War and
Sputnik
• Initial ARPA and DARPA research
• Four peer computer nodes connected in
1969
• Development of TCP/IP protocols
• Release of the World Wide Web
– Open, not proprietary
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1–11
Links To the Internet’s Present
(cont’d)
• HTML Berners Lee
• Mosaic (University of Illinois)
• Netscape
• Internet Explorer
• Firefox ?
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1–12
Current Effects of the
Internet Economy
• Access
• Worldwide exposure
• Speed
• Pricing transparency
• Reduced inventory
costs
• Reduced
intermediary costs
• Reduced supply
costs
• Customer
satisfaction
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1–13
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1–14
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1–15
Current Effects of
the Internet Economy (cont’d)
• Tomorrow's Internet
–
–
–
–
–
–
–
–
–
Faster and more stable
More secure
Virtual reality
New jobs and occupations
Wireless
Speech commands
Multiple concurrent web access
Barrier-free
Web 2.0
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1–16
Web 2.0
• Blogs
• Wikis
– Open (wikipedia.org)
– Proprietary (class wiki)
• RSS / XML
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1–17