Question 1: Briefly discuss the origins and development of the internet and the World Wide Web.
The Advanced Research Projects Agency of the Department of Defense funded the 1960s MIT's Project Mac (today's home of the World Wide Web Consortium) (History of the Internet, p. 5) which was the beginning point of what we know today as the Internet. ARPA designed a method for networking computers through communication lines that ran at a speed of 56KB, comparable to what we know today as fast-access.
After additional research, ARPA began implementing what it called the ARPAnet. This new advancement allowed computer users to communicate with one another, a process that evolved into what is currently used and called electronic mail (e-mail) (p. 3). Such advancements were astronomical in the 1960s, but nearly 40 years later computers and electronic services have far surpassed what these MIT researchers ever imagined.
After learning from the work and writing of Ted Nelson, Tim Berners-Lee, current W3C Director, invented the World Wide Web in 1989 at CERN, originally named after its founding body the "Conseil Europeen pour la Recherche Nucleaire" and is now called "European Laboratory for Particle Physics." (About W3C, 2006) What began as an MIT project has become one of the most productive and advanced means of exchanging information for both individual and business use.

Question 2: Compare and contrast the storefront model, the auction model, the portal model, and the dynamic-pricing model for e-business.

The storefront model is a supplier-oriented market and one of most common models. The textbook explains the storefront model as "what many people think of then they hear the word 'e-business'" (p. 28). This model gives the buyer and the seller the opportunity to interact.
Unlike the storefront model, where interaction occurs in a more direct relationship, the auction model offers the viewer to bid on a particular product or service whereby the personal contact is limited to that between a third party seller and the buyer (e.g. eBay). Revenues come from fees and commissions in a supplier-oriented, intermediary-oriented or buyer-oriented market.
Portal models are most often the start page whereby visitors can "find almost everything they are looking for in one place" (p. 35). Portals are termed as such by Internet users to describe such sites as Yahoo!, Google, or other search engines. However, search engines are horizontal portals (p. 35) that "aggregate information on a broad range of topics" (p. 35) of which information is supplied by "online merchants, online shopping malls and auction sites" (Ibid).
The dynamic-pricing model is the adjustment of prices to consumers depending on the value customers attribute to a product or service and includes flexible pricing and customized pricing. Dynamic pricing encompasses price dispersion (can be temporal) and price discrimination (vary according to product or service and consumer dynamics).

Question 3: Discuss the measures you would take to develop an e-business plan.

Before developing the plan, I would research the target product or service to determine the likelihood of consumer acceptance. If the selling item is something the public already has interest in, I would ensure my product and pricing models were competitive to a level that would entice consumers to purchase from me over my competitors.
In addition to product and service to consumer research, I would measure the potential revenues of e-Commerce against that of the traditional bricks and mortar storefront. Would the costs of doing business via the Internet be less than what I expect to sell through a web site?
Assuming the research provides sufficient information to move forward, I would look at the potential revenue generators (e.g. offering ad spots on my web site, etc.). The least expensive method for launching a new online store is through all-in-one packages available through such companies as GoDaddy.com or Yahoo!'s hosting and e-commerce packages. Businesses can obtain access to everything needed in one place and at one set monthly or annual price. In addition, both GoDaddy and Yahoo! offer advertising and marketing options to their hosting customers.
Using an all-in-one service will cut down on the overhead costs of getting the web site up and running. Both referenced hosts offer easy-to-use creation tools with shopping cart options. However, assuming that I would not have the knowledge to build the web site, funds would be needed to outsource that aspect to a third party. For those able to do their own design, hundreds to thousands of dollars in design fees can be saved.

Question 4: Describe and discuss the various means of conducting monetary transactions over the internet.

The oldest method of money transactions is through the acceptance of credit cards. Before online payment solutions advanced and became rampant, most companies had to obtain a credit card merchant account through their bank and integrate specific information on their web site. Transactions were input manually and once payment was approved, the product was delivered to the customer. However, today, there are so many online payments options that conduct business in "real time," allowing the consumer to enter payment information (credit card or bank account) at the time of purchase, and, in turn, a pre-designed service validates the information instantly. If approved the transaction is complete and the product is ready to be sent.
Payment solutions include such popular options as Paypal, a free service that allows users to pay via credit card, instant bank draft or e-check. Paypal is a popular tool for receiving money, as well. However, for merchants Paypal does charge a nominal fee, which in most cases is much lower than the fees associated with traditional credit card processing accounts with merchant solution vendors.
With the growing options in online payment services, e-businesses can conduct business with most anyone, anywhere in the world. In fact, Paypal allows payments from many countries outside the U.S. and Canada. E-Gold is another option; however, once money is deposited into the e-Gold account, a third party must be utilized to transfer the money to the vendor's domestic currency and send the money to the vendor. Choosing the right payment option is imperative to avoid long waiting periods or account with funds that cannot be accessed easily.
Question 5: Compare and contrast the major operating systems for e-business.
Windows and Linux are the top major operating systems for e-business. Most small to medium sized business opt for Windows versions because the usability is easier. However, Linux is customizable in a way that Windows is not (Horowitz, 2002).
The Linux operating system has a source code available free without restrictions on use or requiring royalties. According to Linux documentation, this system "can save organizations significant amount of dollars compared to the use of proprietary, licensed operating systems." Linux is popular for his speed, reliability and security (About Linux, 2006). Microsoft Windows Server System is a "portfolio of integrated server software products that provides the infrastructure for IT operations, application development and integration, security, and collaboration" (Microsoft, 2006).
Both Linux and Windows offer many of the same features and security promises, but, as stated above, Windows is often the system of choice because of its ease in use. One possible reason is also because of Microsoft's popularity in other programs offered. However, some argue that Linux is the better of the two systems. Windows has a number of "flavors" (Horowitz, 2002) all of which come from Microsoft, while the "various distributions" of Linux come from different companies (i.e. Linspire, Red Hat, SuSE, Ubuntu, Mandriva, Knoppix, Slackware, Lycoris) (Horowitz, 2002).
In a Linux vs. Windows comparison (2002), Horowitz explains that Windows has two main lines (Win9x consisting of Windows 95, 98, 98SE and Me and NT class consisting of Windows NT, 2000 and XP) (Ibid). In contrast to Windows, Horowitz believes there may be "too many distributions of Linux" and asserts that the excess is possibly "hurting Linux in the marketplace" (2002).
Question 6: Discuss where you see the future of the wireless communications and e-business.
Presently, individuals with cell phone access can send email and visit web sites. Instant messenger is available on most phones through service providers such as Sprint, Cingular, Alltel, etc. Bidding on e-Bay is possible using wireless communication tools, as is other actions normally handled through a desktop or laptop computer. With ongoing developments in the wireless communication industry, consumers can expect the near future to hold wireless tool enabling a variety of conduct options from anywhere in the world. With tablet PCs' growing popularity, before long, users may possibly utilize only these convenient tools for all their Internet and wireless needs.
In 2002, IBM began creating and implementing programs to "push data out to workers in the field and to draw information from those workers without having to drag them back to a desktop computer" (Chidi, 2002). Small business and local, state and government agency use of wireless communications to enhance business functions is increasing (e.g. some electric companies read meters with a computerized device that stores meter data for entry in company systems; once entered, the information is computed and applied to the customer's account and a bill generated).
Some companies offer wireless payment options using credit card and bank account information. While these services are not available everywhere, the increase of use is imminent as such aspects of technology save customers time and money, as well as cutting down on the collective overhead costs to businesses. In a world that places a lot of focus on environmental issues (e.g. forestry preservations, etc.), increasing levels of wireless telecommunications use is imperative. It reduces paperwork and enables business (traditional and e-commerce) to progress faster than using older, manual methods.

Question 7: Describe and discuss the available ways to provide for internet security.

Many operating systems come with built in features for Internet security, including firewalls. However, many firewalls interfere with online e-commerce sites and solutions. In these situations, companies are opting for other reliable services such as VeriSign. Of all options, VeriSign is the most popular security services application with coverage including that of privacy protection in e-commerce transactions (credit card encryptions, etc), identity protection, and global protection, among many other benefits.
Some anti-virus program companies also offer security services (e.g. Symantec, McAfee, Norton, etc.). Again, however, firewalls are often an issue in using these services. In addition to these options, nay hosting companies offer expanded packages that include secure socket layers (SSL) and recommend these for business that will be conducting monetary transactions.
Using programs that are certified through reputable processes is essential to keep networks, and even home computer systems, protects from outside entry, viruses, information hackers, and other dangerous practices. According to the Center for Internet Security, organizations such as Altiris, Belarc, Inc., BladeLogic, Cisco, Elemental Security, NetIQ Corporation, Scalable Software, and Symantec "have been awarded CIS Security Software Certifications for their security software products" (CIS Certified Security Software Products, 2005).
Microsoft and other browser programs (e.g. Netscape, etc.) have built in security programs that can be easily activated. Microsoft's security program is labeled as the "Security Center" in most versions and includes options of virus protection, firewall protection, user security, and administrator settings (e.g. password set up to access programs for access within the system).

Question 8: Describe the types of internet advertising. Which type do you think is most and least effective?

Internet advertising is highly varied and includes link exchange programs, Google Adwords, Yahoo! services, Overture, free-for-all ad sites, opt-in lists, etc. Many print publications now have online publications that offer advertising spots. In fact, many offer special pricing for placing an ad in their print and online editions. In terms of completely online advertising, Google Adwords is a popular choice, but can be costly. Merchants must bid on keywords, of which the most popular are the most expensive.
Banner ads are also frequently used as a means of advertising. Matching site content to the banner ad theme increases effectiveness. Mailing lists and newsletters can also offer specific targets for visitors. Merchant should take caution in what lists to choose as they can become headaches with unwanted e-mail (spam). Sponsorships also offer merchants the opportunity to get the word out about their product or service. In fact, many sponsor spots can be seen immediately upon opening a site's main (front) page. A down side to sponsorships is the cost as the most reliable and effective positions can be quite costly to the merchant.
Internet advertising venues are rampant on the World Wide Web. Users can enter "internet advertising" on most any search engine (e.g. Google, Yahoo!) and find a plethora of resources. An example Google search for "internet advertising options" revealed CoolMediaPlacement in the top five results returned. On CMPs front page the site states its position as the "Top Provider of Premium Quality Wholesale Internet Traffic and Online Advertising Solutions for Private Label Resellers & Smart Advertisers" (CoolMediaPlacement, 2006).

Question 9: Define an affiliate and discuss how the affiliation program works.
Affiliate programs are excellent for generating additional revenue in most any industry. Many larger companies have their own, specially designed programs, but there are low-cost options. In fact, there are some free affiliate programs for merchants. For example, Affiliate Tracker helps merchants build and manage their own network of affiliates from their own server and imposes no monthly costs. Another option is MyReferer, which allows merchants to offer their own affiliate program from their site and pay their affiliate without using a third party service.
According to an AMWSO case study of the NetMagazines affiliate program (http://www.amwso.com/cas … gazine.php), the merchant has seen dramatic results from their alliance with Commission Junction, which was recently migrated with LinkShare "in order to achieve the maximum growth possible" (Ibid). AMWSO is the manager of the company's affiliate program.
AMWSO explains that after a review of NetMagazine's affiliate program and the "overall goals of NetMagazines" (http://www.amwso.com/cas … gazine.php) AMWSO recommended the company move forward with the migration plan. AMWSO assigned a dedicated manager to NetMagazine's affiliate program. Since the onset of AMWSO's management, NetMagazines has seen growth in the number of new affiliates and revenues generated from the program (Ibid).
According to one of the most popular affiliate program companies, Commission Junction (2006), using affiliate service programs advertisers can "drive quality results and extend reach...further increase sales by complementing a customized affiliate marketing program with a fully-managed and integrated, comprehensive search engine marketing solution" (Commission Junction, 2006). Publishers (web site owners seeking content to sell and/or generate additional revenue) can, "maximize revenue opportunities by developing sustainable relationships with top-tier advertisers" (Ibid).

Question 10: Discuss the advantages and disadvantages of two customer tracking systems for e-businesses.

Microsoft offers tracking system services in an array for formats. The Customer Relationship Management (CRM) program (Microsoft Dynamics CRM 3.0) equips companies with the necessary tools to build a "more profitable customer relationship" (Microsoft Dynamics CRM, 2006). CRM also "centralizes vital customer information in a single, easy-to-access location, facilitating rapid response customer service and enabling employees to spend less time searching and more time selling" (Ibid).
Lobstersoft offers its Software Administration Kit (SAK) that integrates many features that eliminate the need for manual actions by merchants. In collecting and maintaining customer information, SAK's local database is much faster than competitive programs (e.g. Microsoft's CRM). SAKs "imports thousands of customers from your e-mail client by parsing your order notifications or from any other database by parsing a comma-delimited file in just a few seconds" allowing merchants to "drag-and-drop" customer addresses from an e-mail client into the Software Administration Kit (Lobstersoft, 2006).
The kit also works to collect information from all major registration services and shopping cart systems. This feature can be removed on request. SAKs give merchants the organizational power to make existing and potential customers easy to find, transforming interested viewers into buying customers (Lobstersoft, 2006). Unlike CRM which works only on Microsoft OSs, SAKs can be used in a variety of system environments.
Additionally, many free to low cost options are available, including those provided through Bravenet.com (2006). Bravenet offers free guestbooks, email forms, counter and url (IP addresses, referral addresses) trackers, and more. Restriction on free services often includes a limit on the number of responses in a guestbook, replies through a form, or when a certain number of visitors have been reached. However, many services, like Bravenet, offer low fees to upgrade to unlimited use.

The source: http://www.gradingrocket.com

Article Source: http://www.articleset.com