1 Chapter 9 The Internet in Business: Corporations, Businesses, and Entrepreneurs.

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1 Chapter 9 The Internet in Business: Corporations, Businesses, and Entrepreneurs

Electronic Retail (etail) Advantages of etail for consumers Any time Anyplace No need to dress or travel Saves time Faster comparison shopping Contributes to competition

Etail Etail from the business owner’s view No need for physical store Fewer Employees needed Easy for small businesses to attract more customers

Online Advertising Ads on web pages Banner ads Usually animated Requires users to click and go to a different site Live banners Animated Show more information Slow

Online Advertising Context sensitive ads Related to the material on the screen Problems with ads Graphics and applets load slowly Ads often load first User becomes impatient

Advertising Portals Flat fee according to number of visitors Sale percentage Examples: Yahoo, MSN, America Online

Web Entrepreneurs Simple start-up More access to people and global markets Minimum investment Success Factors 1)Content 2)Uniqueness 3)Self-help 4)Community

E-Commerce Business to Consumer (B2C) Activity between individuals and businesses Business to Business (B2B) Activity of one business providing another with materials and supplies

Internet Traffic Jam Users want immediate response Business must provide fast, high- capacity communications Large companies T1 and T3 lines Smaller businesses ISP

Transmission speeds Bandwidth – data transfer capacity 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 High speed, high bandwidth leased line connection to the Internet. A T-1 line can (theoretically!) deliver information at Mbps.

Transmission speeds T-2 High speed, high bandwidth leased line connection to the Internet. A T-2 line can (theoretically!) deliver information at Mbps.

Transmission speeds T-3 High speed, high bandwidth leased line connection to the Internet. A T-3 line can (theoretically!) deliver information at Mbps.

Transmission Technology Streaming Downloading active video or audio Broadcast mode Sending a file to every computer on the network Push technology Software that automatically sends information from the Internet to the user’s computer

Intranets 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 VPN 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 Major communications links Connect Internet servers DNS – Domain name system, 13 root servers with the master domain list Subject to attack by hackers