Download Electronic Commerce, Intranets, and Extranets

THE INTERNET
• It began as government connection of
universities.
• Internet service provider (ISP): Organization that
has a permanent connection to the Internet and
sells (leases) temporary connections to
subscribers.
• No one owns it, no formal organization owns it.
There is no no formal central control.
• It is based on the TCP/IP reference model.
INTERNET CAPABILITIES
• E -MAIL: person -to-person messaging; document sharing
• USERNET NEWSGROUPS: Worldwide discussion groups.
People can post messages on any topic on an electronic bulletin
boards for discussion groups.
• LISTSERVs: If you find any LISTSERV topic interesting, you
can subscribe. From then on, you will get all information about
this topic through e-mail.
• CHATTING: It allows interactive conversations
• TELNET: It allows to log on one computer, work on another.
• FTP: It allows to transfer files from computer to computer
• GOPHERS: It allows user to locate information stored on Internet
gopher servers using menus.
INTERNET CAPABILITIES
• ARCHIE: Search database for files to download.
• VERONICA: Veronica is an additional capability for
searching gopher sites by using keywords
• WIDE AREA INFORMATION SERVICE (WAIS):
locates files using key words
• WORLD WIDE WEB: retrieve, format, display
information (text, audio, graphics, video) using
hypertext links
INTERNET ADDRESS
[email protected]
INDIVIDUAL OR
ORGANIZATION NAME
HOST
COMPUTER
DOMAIN
LOCATION
DOMAIN NAME
INTERNET TERMS
• HOME PAGE: WWW screen display that welcomes
the user and explains the organization.
• WEB SERVER: Web pages are stored in Web servers.
• WEBMASTER: person in charge of Web site
• UNIFORM RESOURCE LOCATOR (URL): address
of specific Internet resource. Web sites have a unique
Internet address (URL).
INTERNET TERMS
• HYPERTEXT TRANSPORT PROTOCOL
(http): communications standard (sets of
rules) used to transfer Web pages stored in
Web servers.
• HYPERTEXT MARKUP LANGUAGE
(HTML): popular programming language
for creating Web sites
SURFING THE NET
• SEARCH ENGINE: tool for locating
specific sites or information on WWW.
Examples: AltaVista & Lycos
• HYPERLINK: spot on screen, when clicked
shifts to a new page or site.
INTRANET
• Internal network
• WWW technology
• Firewall: security system (consists of hardware and
software placed between an organization’s internal
network and an external network, including the
internet) to prevent invasion of private networks.
• Overcomes computer platform differences
• Often installed on existing network infrastructure
EXTRANET
• It allows authorized users outside
organization to use its intranet.
• Authorized users can be:
Customers
business partners
vendors
EXTRANET
DATABASES
CUSTOMER
SUPPLIER
INTERNET
FIREWALL
SERVER
BUSINESS
PARTNER
CLIENTS
INTERNET BENEFITS
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Increases global connectivity
Reduces communications cost
Lower transaction costs
Reduces agency costs, the cost managing
employee and coordinating their work
• Increases interactivity, flexibility,
customization
• Accelerates knowledge
INTERNET & ELECTRONIC
COMMERCE
• Easy to link with other businesses, customers.
• Can update product information, ordering,
customer support
• On-line storefronts
• Enhances business forms
INTERNET & ELECTRONIC
COMMERCE
• CUSTOMER-CENTERED RETAILING
– disintermediation: removal of intermediate layers
streamlines process
– reduced cost to buyer, seller
• HIT: each request for a file recorded in log file
INTERNET & ELECTRONIC
COMMERCE
• DISINTERMEDIATION
Cost/Shirt
Manufacturer
Distributor
Manufacturer
Distributor
Manufacturer
Distributor
Retailer
Retailer
Retailer
Customer
Customer
Customer
$48.50
$40.34
$20.45
INTERNET BUSINESS MODELS
• VIRTUAL STOREFRONT: sells goods,
services on-line
• MARKETPLACE CONCENTRATOR:
concentrates information from several
providers
• INFORMATION BROKER: provides product,
pricing, availability information
INTERNET BUSINESS MODELS
• TRANSACTION BROKER: buyers view
rates, terms from various sources
• ELECTRONIC CLEARINGHOUSE: auctionlike setting, products, prices, change in
response to demand
INTERNET BUSINESS MODELS
• DIGITAL PRODUCT DELIVERY: sell,
download software, other digital products
• CONTENT PROVIDER: creates revenue
through providing client for a fee, and
advertising
• ON-LINE SERVICE PROVIDER: provides
service, support for hardware, software
products
ELECTRONIC COMMERCE
SUPPORT SYSTEMS
• WEB HOSTING SERVICES: provides large
servers for Web sites of fee-paying customer
• ELECTRONIC PAYMENT SYSTEM: using
Web for electronic funds transfers, credit ,
smart & debit cards
INTRANETS AND
ELECTRONIC BUSINESS
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Electronic commerce services
Benefits
Group collaboration
Functional applications
Supply chain management
ELECTRONIC COMMERCE
SERVICES:
• ICAT: on-line catalog shopping, order
placement (Icat)
• NET.COMMERCE: merchant server
supporting Secure Electronic Transactions
protocol (IBM)
• MERCHANT SERVER: templates for
storefronts, point-of-sales software (Microsoft)
ELECTRONIC COMMERCE
SERVICES:
• MERCHANT SYSTEM: full set of retailing
services (Netscape)
• OM-TRANSACT: modular structure for
payment schemes (Open Market)
• PC-CHARGE: PC-based Web server credit
card processing (Go Software)
BENEFITS OF INTRANETS:
• Increases connectivity
• Can be tied to legacy system & transaction
processing
• Interactive applications with text, audio, video
• Scalable to larger or smaller systems as
required
BENEFITS OF INTRANETS:
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Easy to use browser interface
Low start-up costs
Rich, responsive information environment
Reduced information distribution costs
GROUP COLLABORATION:
• teamware: intranet-based applications allow
teams to share ideas, documents,
brainstorming, scheduling. similar to chat
room.
• Internal newsletter
• Ability to work at home
• Share internet discoveries with colleagues
FUNCTIONAL APPLICATIONS:
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Finance & accounting
Human resources
Sales & marketing
Manufacturing & production
FINANCE & ACCOUNTING:
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General ledger reporting
Project costing
Annual reports
Budgeting
HUMAN RESOURCES:
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Corporate policies
Employee savings plans
Benefits enrollment
On-line training
Job posting
SALES & MARKETING:
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Competitor analysis
Price updates
Promotional campaigns
Sales presentations
Sales contracts
MANUFACTURING & PRODUCTION:
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Quality measurements
Maintenance schedules
Design specifications
Machine output
Order tracking
SUPPLY-CHAIN MANAGEMENT
CUSTOMERS
MARKETING
& SALES
PRODUCTION
PLANNING
CUSTOMER
SERVICE
PROCUREMENT
INTRANET
ACCOUNTING &
FINANCE
SHIPPING &
DISTRIBUTION
INVENTORY
PRODUCTION &
MANUFACTURING
CHALLENGES
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Unproven business models
Business process change requirements
Channel conflicts
Technology hurdles
Legal issues
Security & privacy