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Chapter 7
E-Commerce: The Internet,
Intranets, and Extranets
Management Information Systems, 4th Edition
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What is the Internet?
• The Development of the Internet
– ARPANET was open system designed for the free
flow of information, but available only to members of
academic institutions and some in the defense industry.
– U.S. government decided to split the network into a
civilian one and a military one
• Civilian network became the Internet
– Internet is now a network of networks
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What is the Internet? (Cont.)
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How the Internet Works
• Definitions
– Uniform Resource Locator (URL)
– Hypertext Transfer Protocol (HTTP)
– Domain Name
– Hypertext Markup Language (HTML)
– Top Level Domain (TLD)
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How the Internet Works (Cont.)
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Internet Domains
• IP Number
• Domain Naming System (DNS)
• A domain name is assigned to each IP address
• Domain names are registered by one of a group of
companies authorized to assign unique names
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Internet Domains (Cont.)
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Internet Addressing
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Static and Dynamic IP Numbers
• Static:
– Servers and many other computers and devices are
assigned a permanent IP number
• Dynamic:
– A computer connected to the Internet intermittently
may be assigned a temporary IP number for the
duration of its connection only
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Common Internet Applications
• Email
• File Transfer
• Newsgroups and Blogs
• Instant Messaging
• Internet Telephoning
• Web Browsers
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The World Wide Web
• Web Software
– HTML and XML
– Web Page Editors
– Java, JavaScript, and ActiveX
– Web-Application-Interfaces
– VRML
– Cookies
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Intranets and Extranets
– Intranet
• A within-organization computer network that
uses Internet technologies to communicate
– Extranet
• Uses Internet technologies to facilitate
communication and trade between an
organization and its business partners, such as
suppliers
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Intranets and Extranets (Cont.)
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Establishing an E-Commerce
Web Site
•
Several Options
1. Installing their own server
2. Contracting with an ISP
3. Contracting with a Web portal
4. Establishing an electronic storefront
5. Contracting with a Web hosting service
6. Using a virtual Web server
7. Setting up a subdomain
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Establishing an E-Commerce
Web Site (Cont.)
• Dedicated Server
– Expensive option with the greatest degree of
control
– Requires expertise
– Specialists needed maintain the server
• Load balancing transfers visitor inquiries from a
busy server to a less busy server
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Establishing an E-Commerce
Web Site (Cont.)
• ISP Site
– Low-fee or free space for individual or business
Web sites.
– Many small businesses avoid this option
– Can give the appearance that such online
businesses are ephemeral
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Establishing an E-Commerce
Web Site (Cont.)
• Web portal
– Limited space and design control
• Electronic Storefront
– Cybermall
• Web Hosting Service
• Virtual Web Server
• Subdomain
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Establishing an E-Commerce
Web Site (Cont.)
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E-Commerce Practices on the
Internet
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Online Annoyances
• Spam
• Pop up Windows
• Adware and Spyware
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