3. The basics of doing business on the
internet
The Internet Revolution
The business value of Internet,
Intranet, Extranet
3
4. The Internet Revolution
The Internet has become a global information
superhighway
Internet made up of Millions of smaller, private networks
operating independent of, or in harmony with, each other
10 servers in 1991 to over 46 million today
Sustained growth in excess of 1 million servers per month
No central computer system
No governing body
Based on common standards
4
5. Internet Networking Technologies
Internet networking technologies are being
used as technology platform
Web browser suites
HTML Web page editors
Network management software
Firewalls
Being applied in Internet, intranet, and
extranet applications
Reinforces previous move toward client/server
networks based on open-systems architecture 5
6. The InTerneT
Internet is the most influential development over
the past two decades.
It is derived from the concept of Internetworking,
linking hundreds of individual networks all over
the world.
Frequently referred to as the “Net”.
The Internet is a global network of computer
networks linked together so that its users can
share data resources.
6
7. The
InTerneT
The Internet provides instant and local access to an
amazing number of organizations, individuals, and
information resources.
No one owns the Internet and it has no formal
management organizations.
Originally the Internet was an initiative sponsored by
the Department of Defense to link its labs with
American universities.
The Internet does not have a central computer system.
The Internet does not have a governing body. 7
8. The InTerneT
A network of
networks
Popular uses
E-mail
Instant messaging
Browsing the World
Wide Web
Newsgroups and
chat rooms 8
10. Internet2
Next generation of the Internet
High-performance
Different infrastructure than the current Internet
Will not replace the current Internet
In use at over 200 universities, scientific institutions,
communications corporations
May never become totally open
Users are connected via Abilene, a backbone
that supports throughput of 10 Gbps
Infinite bandwidth 10
11. Internet Service
Providers
ISP
A company that specializes in providing
easy access to the Internet
For a monthly fee, provides software,
user name, password, and Internet
access
ISPs themselves are connected to one another
through network access points
One ISP can easily connect to another
to obtain addresses of websites or user
nodes 11
12. Major Internet Services
• E-mail: Person-to-person
messaging; document
sharing
• Usenet newsgroups:
Discussion groups on
electronic bulletin boards
• LISTSERVs: Discussion
groups using e-mail mailing
list servers
• Chatting and instant
messaging: Interactive
conversations 12
Table 8-6
13. Major Internet Services (Continued)
• Telnet: Logging on to one computer
system and doing work on another
• FTP: Transferring files from computer
to computer
• World Wide Web: Retrieving,
formatting, and displaying information
(including text, audio, graphics, and
video) using hypertext links
13
14. World Wide
Web
Web is the Internet systems for hypertext linking,
allowing users to move from one Internet site to
another.
It is a system with universally accepted standards for
storing, retrieving, formatting and displaying
information.
Web pages are online documents that feature
clickable hypertext links that transport you to
documents, graphics or other Web pages.
Internet browser software's such as Netscape
Navigator or Internet Explorer enable end users to
surf the Web.
14
15. Anyone using a Web browser can access any of
millions of Websites.
To access a Web site the user must specify Uniform
Resource Locator (URL) which is the address of a
specific resource on the Internet.
http stands for hypertext transport protocol, which
is the communications standard to transfer pages on
the Web.
Web sites are created by Web masters.
15
16. Internet ApplIcAtIons
Most popular Internet
applications and uses
E-mail
Instant messaging
Browsing the Web
Newsgroups
Chat rooms
Publish opinions, subject
matter, creative work
Buy and sell
Downloading (data,
software, reports, pictures, 16
music, videos)
17. WhAt Are people doIng on
the Internet?
E-mail: You can use e-mail to communicate with
your friends, to exchange messages.
Surf: You can browse websites and resources for
information, entertainment and e-commerce.
Chatting: Allows two or more people who are
simultaneously connected to the Internet to hold live,
interactive conversations. (Ex: Yahoo! Messenger)
17
19. WhAt Are the people
doIng on the Internet?
Discussion: Participating in
discussions on thousands
of topics.
Download: Allows to
transfer data files,
software, articles, picture,
music, video to your
computer system.
Buy and sell: Buying and
selling via e-commerce
retailers, wholesalers (Ex:
E-bay).
19
20. WhAt Are the people
doIng on the Internet?
Search for information:
Several companies have
created directories of Web
sites and their addresses,
providing search tools for
finding information.
Another tools, called search
engines can find Web sites.
(Ex: Yahoo!, Google, Alta
Vista).
Play games, watch TV,
conduct free phone calls,
listen to radio, etc.
20
21. Business use of the Internet
E-commerce is the major
business use of the Internet.
For marketing, sales and
customer relationship
management applications,
applications in engineering and
human resources.
Enterprise communication and
collaboration
Forming new business
partnerships
Providing customer and vendor
support
21
22. Searching and Finding Information on the Internet
• The Internet lowers search costs
• Search engines
• Intelligent agents and shopping bots
• Broadcast and push technology
• The semantic Web
22
24. IntrAnets
Within an organization
Uses Internet technologies
Business value of Intranets
Used for information sharing, communication,
collaboration, & support of business processes.
Web publishing
Comparatively easy, attractive, & lower cost alternative
for publishing & accessing multimedia business
information
24
25. IntrAnets
An intranet is a computer network within an organization that
uses Internet technologies for members of the organization
only
If a company has an existing network, than establishing an
intranet is very inexpensive. All that is required is the server
software and browsers for clients.
Most of the technologies mentioned earlier are all available at
no charge
25
26. Intranets
An intranet is an internal
organizational network that
provides access to data across a
business firm.
Business Operations &
Management
Used for developing &
deploying critical
business applications
Supports operations and
managerial decision
making
26
27. Intranets
Intranets are protected
by…
Passwords
Encryption
Firewalls
Customers, suppliers,
and other business
partners can access an
intranet via extranet
links.
27
28. INTRANET
Intranets require no special hardware. Intranet software
technologies is the same as that of the Web. The Web browsers and
Web server software for intranets are the same as those on the
Web.
Ex: Hewlett Packard (HP) uses an intranet for many human
resource functions. The company’s 88,000 employees in 150
countries can access HP’s intranet to fill out forms about
beneficiaries, address changes, tax withholdings, etc.
Ex: Boeing offers over 200,000 employees training via the Center
of Leadership and Training (CLT) intranet sites. It opens up the
courses and training opportunities for employees worldwide. By
using the CLT intranet, employees can choose from a wide range
of course offerings.
28
29. INTRANET
An Intranet is a private and internal network using Web
technologies inside an organization.
It can be considered a private internal Web, which limits
viewing access to authorized users within the organization.
It enables employees to communicate, share information and
work together on common projects regardless of their physical
location.
Employees access information on the Intranet through a Web
browser. This information cannot be viewed by users outside
the organization. Thus it is separated from the visible, publicly
accessible Web.
It is protected by security measures such as passwords,
firewalls. 29
30. Information Most Frequently Found in
Corporate Intranets
Customer databases
Corporate policies and procedures (Winthrop)
Corporate phone directories
Human resource forms (Winthrop)
Training programs
Product catalogs and manuals (Winthrop)
Data warehouse and decision support access
Internal purchase orders (Winthrop)
Travel reservations
Knowledge management databases
30
32. The Role of Intranets
Many companies have sophisticated and widespread
intranets, offering…
Detailed data retrieval
Collaboration
Personalized customer profiles
Links to the Internet
Intranets use Internet technologies
Web browsers and servers
TCP/IP network protocols
32
HTML publishing and databases
34. Business Value of Intranets
Intranets support
Communications and collaboration
Business operations and management
Web publishing
Intranet portal management
34
39. extranets
Network links that use Internet
technologies to interconnect the
firm’s intranet with the intranets of
customers, suppliers, or other
business partners
Consultants, subcontractors,
business prospects, & others
39
40. Extranets
An extranet is similar to an intranet but it enables the firm’s
business partners (e.g., suppliers or customers) to access the
firm’s intranet
Once an organization links its network to the Internet theoretically
anyone can access the firm’s network. With respect to an extranet,
firms want to restrict access to business partners. A virtual private
network provides the security mechanism for accomplishing this.
A VPN uses a combination of public and private lines to build a
secure extranet. The link between the firm’s network and the
Internet is often called a “tunnel.” A VPN provides a secure
tunnel.
VPNs are also required for firms with extensive intranets (multi-
site firms)
40
41. EXTRANET
Extranets are private intranets extended to authorized users
outside the company.
It is accessible to authorized outsiders.
Firms use such networks to coordinate their activities with
business partners, suppliers, customers for making purchases,
collaborating on design and other interorganizational work.
An extranet connects the intranets of two or more business
partners.
Extranets are useful for linking organizations with suppliers,
customers or business partners.
Extranets make customer and supplier access of intranet
resources a lot easier and faster than previous business methods.
41
42. Extranets
Network links that use Internet technologies to
connect the intranet of a business to the intranets of
another
Virtual Private Networks
Direct private network links, or private secure Internet links between
companies
Unsecured Extranet
Link between a company and others via the Internet,
relying on encryption of sensitive data and firewall
security systems
42
45. Business Value of Extranets
Web browser technology makes customer and
supplier access to intranets easier and faster
Another way to build and strengthen strategic
relationships
Enables and improves collaboration between a
business, customers, and partners
Facilitates
online, interactive product development
and marketing
45
46. EXTRANETS (CONTINUED)
Business value
Improve communication
with customers and
business partners.
46
47. EXTRANETS (CONTINUED)
Gain competitive
advantage in
Product development
Cost savings
Marketing
Distribution
Leveraging their
partnerships
47
48. EXTRANET APPLICATIONS
Managing the supply chain
Collaborating with other organizations in the development of
new products/services
Sharing product catalogs exclusively with wholesalers.
Sharing news and other information of shared interest
exclusively with business partners (e.g., production
schedules, forecasts)
48
49. Characteristics of The Internet, Intranet, and
Extranet
FOCUS TYPE OF USERS ACCESS
INFORMATION
The Internet External General public Any user with an
communications Internet
connection/public
and not restricted
The Intranet Internal Employees Authorized
employees/private
and restriction
The Extranet External Business Authorized
partners, business
customers, partners/private
suppliers and restriction
49