Download Chapter 9

Chapter 9
The Internet in Business:
Corporations, Businesses, and
Entrepreneurs
1
Electronic Retail (etail)
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Advantages of etail for consumers
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Any time
Anyplace
No need to dress or travel
Saves time
Faster comparison shopping
Contributes to competition
Etail
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Etail from the business owner’s view
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No need for physical store
Fewer Employees needed
Easy for small businesses to attract more
customers
Online Advertising
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Ads on web pages
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Banner ads
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Usually animated
Requires users to click and go to a different site
Live banners
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Animated
Show more information
Slow
Online Advertising
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Context sensitive ads
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Related to the material on the screen
Problems with ads
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Graphics and applets load slowly
Ads often load first
User becomes impatient
Advertising
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Portals
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Flat fee according to number of visitors
Sale percentage
Examples: Yahoo, MSN, America Online
Web Entrepreneurs
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Simple start-up
More access to people and global markets
Minimum investment
Success Factors
1)
2)
3)
4)
Content
Uniqueness
Self-help
Community
E-Commerce
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Business to Consumer (B2C)
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Activity between individuals and businesses
Business to Business (B2B)
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Activity of one business providing another
with materials and supplies
Internet Traffic Jam
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Users want immediate response
Business must provide fast, highcapacity communications
Large companies
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T1 and T3 lines
Smaller businesses
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ISP
Transmission speeds
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Bandwidth – data transfer capacity
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how big is the pipe?
Regular Modem
 Uses ordinary telephone lines.
 Maximum of 56 Kbps
Transmission speeds
ISDN
 Integrated Services Digital Network
 up to 128 Kbps
DSL
 Digital Subscriber Line. Uses ordinary
telephone lines. Limited distance. Cannot be
transmitted over fiber-optic cable.
 256 Kbps up to (theoretically!) 1.5 Mbps
Transmission speeds
Cable Modem
 Uses cable television connection.
Shared with others.
 1.5 Mbps up to (theoretically!) 10
Mbps.
Transmission speeds
T-1
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High speed, high bandwidth leased line
connection to the Internet.
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A T-1 line can (theoretically!) deliver
information at 1.544 Mbps.
Transmission speeds
T-2
 High speed, high bandwidth leased
line connection to the Internet.
 A T-2 line can (theoretically!)
deliver information at 6.312 Mbps.
Transmission speeds
T-3
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High speed, high bandwidth leased
line connection to the Internet.
A T-3 line can (theoretically!)
deliver information at 44.736 Mbps.
Transmission Technology
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Streaming
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Broadcast mode
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Downloading active video or audio
Sending a file to every computer on the
network
Push technology
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Software that automatically sends
information from the Internet to the user’s
computer
Intranets
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Company’s private Internet-like network
Available only to employees or users with a
password
Requires a server
Must use tcp/ip
Someone must maintain it
Virtual Private Network
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VPN
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Public internet instead of private phone
lines
Allows private transmission
Point to Point Tunneling
Private protocol is embedded in TCP/IP packets
Encryption is used
Provides high level of security
Backbone of the Internet
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Major communications links
Connect Internet servers
DNS – Domain name system, 13 root
servers with the master domain list
Subject to attack by hackers