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1 © Prentice Hall, 2000 Chapter 11 Infrastructure for Electronic Commerce

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Page 1: Prentice Hall, 2000

1copy Prentice Hall 2000

Chapter 11Infrastructure for

Electronic Commerce

2copy Prentice Hall 2000

Learning Objectives

Describe the protocols underlying Internet clientserver applications

Compare the functions and structures of Web browsers and servers

Discuss the security requirements of Internet and e-commerce applications and how are these requirements fulfilled by various hardware and software systems

Describe the functional requirements for online selling and what are the specialized services and servers that perform these functions

3copy Prentice Hall 2000

Describe the business functions that Web chat can fulfill and list some of the commercially available systems that support chat

Understand the ways in which audio video and other multimedia content are being delivered over the Internet and to what business uses this content is being applied

Learning Objectives (cont)

4copy Prentice Hall 2000

A Network of Networks = Internet

Internet is a network of hundreds of thousands interconnected networks

Network Service Providers (NSPs) runs the backbones

Internet Service Providers (ISPs) provide the delivery subnetworks

5copy Prentice Hall 2000

Internet Network Architecture

NAP

NAPNAP

NAP

ISP

ISPISP

ISP

ISP ISP

ISP

ISP

ISP

ISP

0

Backbone5

copy Prentice Hall 2000

6copy Prentice Hall 2000

Internet ProtocolsProtocols - A set of rules that determine how two

computers communicate with one another over a network The protocols embody a series of design principles

Interoperablemdash the system supports computers and software from different vendors For e-commerce this means that the customers or businesses are not required to buy specific systems in order to conduct business

Layeredmdash the collection of Internet protocols work in layers with each layer building on the layers at lower levels

Simplemdash each of the layers in the architecture provides only a few functions or operations This means that application programmers are hidden from the complexities of the underlying hardware

End-to-Endmdash the Internet is based on ldquoend-to-endrdquo protocols This means that the interpretation of the data happens at the application layer and not at the network layers Itrsquos much like the post office

7copy Prentice Hall 2000

TCPIP Architecture

Application LayerFTP HTTP Telnet NNTP

Transport LayerTransmission

Control Protocol(TCP)

UserDatagram Protocol

(UDP)Internet Protocol

(IP)

Network Interface Layer

Physical Layer

copy Prentice Hall 2000

8copy Prentice Hall 2000

TCPIP

Solves the global internetworking problemTransmission Control Protocol (TCP)

Ensures that 2 computers can communicate with one another in a reliable fashion

Internet Protocol (IP) Formats the packets and assigns addresses

packets are labeled with the addresses of the sending and receiving computers

1999 version is version 4 (IPv4) Version 6 (IPv6) has just begun to be adopted

9copy Prentice Hall 2000

Domain NamesReference particular computers on the InternetDivided into segments separated by periods

For example in the case of ldquowwwmicrosoftcomrdquoldquowwwrdquo is the specific computerldquocomrdquo is the top level domainldquomicrosoftrdquo is the subdomain

Internet Assigned Numbers Authority (IANA)controls the domain name system

Network Solutions Inc (NSI)issues and administers domain names for most of the top level

domains

10copy Prentice Hall 2000

Internet ClientServer ApplicationsApplication Protocol PurposeE-mail Allows the transmission of text

messages and binary attachments across the Internet

Simple Mail Transport Protocol (SMTP)Post Office Protocol version 3 (POP3)Multipurpose Internet Mail Extensions (MIME)

File Transfer

File Transfer Protocol (TP) Enables files to be uploaded and downloaded across the Internet

Chat Internet Relay Chat Protocol (IRC) Provides a way for users to talk to one another in real-time over the Internet The real-time chat groups are called channels

UseNet Newsgroups

Network News Transfer Protocol (NNTP) Discussion forums where users can asynchronously post messages and read messages posted by others

World Wide Web (Web)

Hypertext Transport Protocol (HTTP) Offers access to hypertext documents executable programs and other Internet resources

11copy Prentice Hall 2000

New World Network Internet2 Two consortiums are in the process of

constructing the lsquonew world networkrsquo The University Corporation for Advanced Internet

Development (UCAID) wwwucaideduBuilding a leading edge research network called Internet2Based on a series of interconnected gigapops

bull interconnected by the National Science Foundationrsquos very high performance Backbone Network (vBNS) infrastructure

Goals of Internet2bull to connect universities so that a 30 volume encyclopedia

could be transmitted in less than secondbull to support applications like distance learning digital

libraries video teleconferencing teleimmersion and collaborative tools and virtual laboratories

12copy Prentice Hall 2000

New World Network Next Generation Internet

Next Generation Internet (NGI)Government initiated and sponsoredStarted by the Clinton Administration this initiative includes

government research agencies such as bull the Defense Advanced Research Projects Agency (DARPA)bull the Department of Energybull the National Science Foundation (NSF)bull the National Aeronautics and Space Administration (NASA)bull the National Institute of Standards and Technology

Aim of the NGIbull to support next generation applications like health care national security

energy research biomedical research and environmental monitoring

13copy Prentice Hall 2000

Web-based ClientServerWeb browsers servers need as way to

Locate each other so they can send requests and responses back and forth

Communicate with one anotherUniform Resource Locators (URLs)

A new addressing scheme Ubiquitous appearing on the web in print on billboards

on TV and anywhere else a company can advertise Default syntax - wwwAnywhereCom Complete syntax - access-methodserver-name[port]directoryfile

14copy Prentice Hall 2000

Web-based ClientServer (cont)

Hypertext Transport Protocol (HTTP) A new protocol Lightweight stateless protocol that browsers and

servers use to converse with one another Statelessness - every request that a browser makes opens a

new connection that is immediately closed after the document is returnedrepresents a substantial problem for e-commerce applicationsan individual user is likely to have a series of interactions with the

application MIME (Multipurpose Internet Mail Extension)

describes the contents of the documentin the case of an HTML page the header is ldquoContent-type texthtmlrdquo

15copy Prentice Hall 2000

Web Browsers (1999 Generation)

IE 46 suite of components consists of the browser along with the following tools

Outlook Express for e-mail readingFrontPage Express for authoring of HTML Web pagesNet Meeting for collaboration

Netscape Navigator 46 suite consists of the browser plus the following componentsMessenger for e-mail readingComposer for authoring HTML Web pagesCollabora for news offeringsCalendar for personal and group schedulingNetcaster for push delivery of Web pages

16copy Prentice Hall 2000

Web Servers A Software Program

http daemon in Unix http service in Windows NT Functions

service HTTP requestsprovide access control determining who can access

particular directories or files on the Web serverrun scripts and external programs to either add

functionality to the Web documents or provide real-time access to database and other dynamic data

enable management and administration of both the server functions and the contents of the Web site

log transactions that the user makes Distinguished by

platforms performance security and commerce

17copy Prentice Hall 2000

Internet SecurityCornerstones of Security

Authenticitythe sender (either client or server) of a message is who he she or

it claims to be Privacy

the contents of a message are secret and only known to the sender and receiver

Integritythe contents of a message are not modified (intentionally or

accidentally) during transmission Non-repudiation

the sender of a message cannot deny that he she or it actually sent the message

18copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Private Key Private Key

Encryption

Private Key Encryption (Symmetrical Key Encryption)Data Encryption Standard (DES) is the most widely used

symmetrical encryption algorithm

19copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Public Key Encryption (Asymmetrical Key Encryption)

Encryption (cont)

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 2: Prentice Hall, 2000

2copy Prentice Hall 2000

Learning Objectives

Describe the protocols underlying Internet clientserver applications

Compare the functions and structures of Web browsers and servers

Discuss the security requirements of Internet and e-commerce applications and how are these requirements fulfilled by various hardware and software systems

Describe the functional requirements for online selling and what are the specialized services and servers that perform these functions

3copy Prentice Hall 2000

Describe the business functions that Web chat can fulfill and list some of the commercially available systems that support chat

Understand the ways in which audio video and other multimedia content are being delivered over the Internet and to what business uses this content is being applied

Learning Objectives (cont)

4copy Prentice Hall 2000

A Network of Networks = Internet

Internet is a network of hundreds of thousands interconnected networks

Network Service Providers (NSPs) runs the backbones

Internet Service Providers (ISPs) provide the delivery subnetworks

5copy Prentice Hall 2000

Internet Network Architecture

NAP

NAPNAP

NAP

ISP

ISPISP

ISP

ISP ISP

ISP

ISP

ISP

ISP

0

Backbone5

copy Prentice Hall 2000

6copy Prentice Hall 2000

Internet ProtocolsProtocols - A set of rules that determine how two

computers communicate with one another over a network The protocols embody a series of design principles

Interoperablemdash the system supports computers and software from different vendors For e-commerce this means that the customers or businesses are not required to buy specific systems in order to conduct business

Layeredmdash the collection of Internet protocols work in layers with each layer building on the layers at lower levels

Simplemdash each of the layers in the architecture provides only a few functions or operations This means that application programmers are hidden from the complexities of the underlying hardware

End-to-Endmdash the Internet is based on ldquoend-to-endrdquo protocols This means that the interpretation of the data happens at the application layer and not at the network layers Itrsquos much like the post office

7copy Prentice Hall 2000

TCPIP Architecture

Application LayerFTP HTTP Telnet NNTP

Transport LayerTransmission

Control Protocol(TCP)

UserDatagram Protocol

(UDP)Internet Protocol

(IP)

Network Interface Layer

Physical Layer

copy Prentice Hall 2000

8copy Prentice Hall 2000

TCPIP

Solves the global internetworking problemTransmission Control Protocol (TCP)

Ensures that 2 computers can communicate with one another in a reliable fashion

Internet Protocol (IP) Formats the packets and assigns addresses

packets are labeled with the addresses of the sending and receiving computers

1999 version is version 4 (IPv4) Version 6 (IPv6) has just begun to be adopted

9copy Prentice Hall 2000

Domain NamesReference particular computers on the InternetDivided into segments separated by periods

For example in the case of ldquowwwmicrosoftcomrdquoldquowwwrdquo is the specific computerldquocomrdquo is the top level domainldquomicrosoftrdquo is the subdomain

Internet Assigned Numbers Authority (IANA)controls the domain name system

Network Solutions Inc (NSI)issues and administers domain names for most of the top level

domains

10copy Prentice Hall 2000

Internet ClientServer ApplicationsApplication Protocol PurposeE-mail Allows the transmission of text

messages and binary attachments across the Internet

Simple Mail Transport Protocol (SMTP)Post Office Protocol version 3 (POP3)Multipurpose Internet Mail Extensions (MIME)

File Transfer

File Transfer Protocol (TP) Enables files to be uploaded and downloaded across the Internet

Chat Internet Relay Chat Protocol (IRC) Provides a way for users to talk to one another in real-time over the Internet The real-time chat groups are called channels

UseNet Newsgroups

Network News Transfer Protocol (NNTP) Discussion forums where users can asynchronously post messages and read messages posted by others

World Wide Web (Web)

Hypertext Transport Protocol (HTTP) Offers access to hypertext documents executable programs and other Internet resources

11copy Prentice Hall 2000

New World Network Internet2 Two consortiums are in the process of

constructing the lsquonew world networkrsquo The University Corporation for Advanced Internet

Development (UCAID) wwwucaideduBuilding a leading edge research network called Internet2Based on a series of interconnected gigapops

bull interconnected by the National Science Foundationrsquos very high performance Backbone Network (vBNS) infrastructure

Goals of Internet2bull to connect universities so that a 30 volume encyclopedia

could be transmitted in less than secondbull to support applications like distance learning digital

libraries video teleconferencing teleimmersion and collaborative tools and virtual laboratories

12copy Prentice Hall 2000

New World Network Next Generation Internet

Next Generation Internet (NGI)Government initiated and sponsoredStarted by the Clinton Administration this initiative includes

government research agencies such as bull the Defense Advanced Research Projects Agency (DARPA)bull the Department of Energybull the National Science Foundation (NSF)bull the National Aeronautics and Space Administration (NASA)bull the National Institute of Standards and Technology

Aim of the NGIbull to support next generation applications like health care national security

energy research biomedical research and environmental monitoring

13copy Prentice Hall 2000

Web-based ClientServerWeb browsers servers need as way to

Locate each other so they can send requests and responses back and forth

Communicate with one anotherUniform Resource Locators (URLs)

A new addressing scheme Ubiquitous appearing on the web in print on billboards

on TV and anywhere else a company can advertise Default syntax - wwwAnywhereCom Complete syntax - access-methodserver-name[port]directoryfile

14copy Prentice Hall 2000

Web-based ClientServer (cont)

Hypertext Transport Protocol (HTTP) A new protocol Lightweight stateless protocol that browsers and

servers use to converse with one another Statelessness - every request that a browser makes opens a

new connection that is immediately closed after the document is returnedrepresents a substantial problem for e-commerce applicationsan individual user is likely to have a series of interactions with the

application MIME (Multipurpose Internet Mail Extension)

describes the contents of the documentin the case of an HTML page the header is ldquoContent-type texthtmlrdquo

15copy Prentice Hall 2000

Web Browsers (1999 Generation)

IE 46 suite of components consists of the browser along with the following tools

Outlook Express for e-mail readingFrontPage Express for authoring of HTML Web pagesNet Meeting for collaboration

Netscape Navigator 46 suite consists of the browser plus the following componentsMessenger for e-mail readingComposer for authoring HTML Web pagesCollabora for news offeringsCalendar for personal and group schedulingNetcaster for push delivery of Web pages

16copy Prentice Hall 2000

Web Servers A Software Program

http daemon in Unix http service in Windows NT Functions

service HTTP requestsprovide access control determining who can access

particular directories or files on the Web serverrun scripts and external programs to either add

functionality to the Web documents or provide real-time access to database and other dynamic data

enable management and administration of both the server functions and the contents of the Web site

log transactions that the user makes Distinguished by

platforms performance security and commerce

17copy Prentice Hall 2000

Internet SecurityCornerstones of Security

Authenticitythe sender (either client or server) of a message is who he she or

it claims to be Privacy

the contents of a message are secret and only known to the sender and receiver

Integritythe contents of a message are not modified (intentionally or

accidentally) during transmission Non-repudiation

the sender of a message cannot deny that he she or it actually sent the message

18copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Private Key Private Key

Encryption

Private Key Encryption (Symmetrical Key Encryption)Data Encryption Standard (DES) is the most widely used

symmetrical encryption algorithm

19copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Public Key Encryption (Asymmetrical Key Encryption)

Encryption (cont)

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 3: Prentice Hall, 2000

3copy Prentice Hall 2000

Describe the business functions that Web chat can fulfill and list some of the commercially available systems that support chat

Understand the ways in which audio video and other multimedia content are being delivered over the Internet and to what business uses this content is being applied

Learning Objectives (cont)

4copy Prentice Hall 2000

A Network of Networks = Internet

Internet is a network of hundreds of thousands interconnected networks

Network Service Providers (NSPs) runs the backbones

Internet Service Providers (ISPs) provide the delivery subnetworks

5copy Prentice Hall 2000

Internet Network Architecture

NAP

NAPNAP

NAP

ISP

ISPISP

ISP

ISP ISP

ISP

ISP

ISP

ISP

0

Backbone5

copy Prentice Hall 2000

6copy Prentice Hall 2000

Internet ProtocolsProtocols - A set of rules that determine how two

computers communicate with one another over a network The protocols embody a series of design principles

Interoperablemdash the system supports computers and software from different vendors For e-commerce this means that the customers or businesses are not required to buy specific systems in order to conduct business

Layeredmdash the collection of Internet protocols work in layers with each layer building on the layers at lower levels

Simplemdash each of the layers in the architecture provides only a few functions or operations This means that application programmers are hidden from the complexities of the underlying hardware

End-to-Endmdash the Internet is based on ldquoend-to-endrdquo protocols This means that the interpretation of the data happens at the application layer and not at the network layers Itrsquos much like the post office

7copy Prentice Hall 2000

TCPIP Architecture

Application LayerFTP HTTP Telnet NNTP

Transport LayerTransmission

Control Protocol(TCP)

UserDatagram Protocol

(UDP)Internet Protocol

(IP)

Network Interface Layer

Physical Layer

copy Prentice Hall 2000

8copy Prentice Hall 2000

TCPIP

Solves the global internetworking problemTransmission Control Protocol (TCP)

Ensures that 2 computers can communicate with one another in a reliable fashion

Internet Protocol (IP) Formats the packets and assigns addresses

packets are labeled with the addresses of the sending and receiving computers

1999 version is version 4 (IPv4) Version 6 (IPv6) has just begun to be adopted

9copy Prentice Hall 2000

Domain NamesReference particular computers on the InternetDivided into segments separated by periods

For example in the case of ldquowwwmicrosoftcomrdquoldquowwwrdquo is the specific computerldquocomrdquo is the top level domainldquomicrosoftrdquo is the subdomain

Internet Assigned Numbers Authority (IANA)controls the domain name system

Network Solutions Inc (NSI)issues and administers domain names for most of the top level

domains

10copy Prentice Hall 2000

Internet ClientServer ApplicationsApplication Protocol PurposeE-mail Allows the transmission of text

messages and binary attachments across the Internet

Simple Mail Transport Protocol (SMTP)Post Office Protocol version 3 (POP3)Multipurpose Internet Mail Extensions (MIME)

File Transfer

File Transfer Protocol (TP) Enables files to be uploaded and downloaded across the Internet

Chat Internet Relay Chat Protocol (IRC) Provides a way for users to talk to one another in real-time over the Internet The real-time chat groups are called channels

UseNet Newsgroups

Network News Transfer Protocol (NNTP) Discussion forums where users can asynchronously post messages and read messages posted by others

World Wide Web (Web)

Hypertext Transport Protocol (HTTP) Offers access to hypertext documents executable programs and other Internet resources

11copy Prentice Hall 2000

New World Network Internet2 Two consortiums are in the process of

constructing the lsquonew world networkrsquo The University Corporation for Advanced Internet

Development (UCAID) wwwucaideduBuilding a leading edge research network called Internet2Based on a series of interconnected gigapops

bull interconnected by the National Science Foundationrsquos very high performance Backbone Network (vBNS) infrastructure

Goals of Internet2bull to connect universities so that a 30 volume encyclopedia

could be transmitted in less than secondbull to support applications like distance learning digital

libraries video teleconferencing teleimmersion and collaborative tools and virtual laboratories

12copy Prentice Hall 2000

New World Network Next Generation Internet

Next Generation Internet (NGI)Government initiated and sponsoredStarted by the Clinton Administration this initiative includes

government research agencies such as bull the Defense Advanced Research Projects Agency (DARPA)bull the Department of Energybull the National Science Foundation (NSF)bull the National Aeronautics and Space Administration (NASA)bull the National Institute of Standards and Technology

Aim of the NGIbull to support next generation applications like health care national security

energy research biomedical research and environmental monitoring

13copy Prentice Hall 2000

Web-based ClientServerWeb browsers servers need as way to

Locate each other so they can send requests and responses back and forth

Communicate with one anotherUniform Resource Locators (URLs)

A new addressing scheme Ubiquitous appearing on the web in print on billboards

on TV and anywhere else a company can advertise Default syntax - wwwAnywhereCom Complete syntax - access-methodserver-name[port]directoryfile

14copy Prentice Hall 2000

Web-based ClientServer (cont)

Hypertext Transport Protocol (HTTP) A new protocol Lightweight stateless protocol that browsers and

servers use to converse with one another Statelessness - every request that a browser makes opens a

new connection that is immediately closed after the document is returnedrepresents a substantial problem for e-commerce applicationsan individual user is likely to have a series of interactions with the

application MIME (Multipurpose Internet Mail Extension)

describes the contents of the documentin the case of an HTML page the header is ldquoContent-type texthtmlrdquo

15copy Prentice Hall 2000

Web Browsers (1999 Generation)

IE 46 suite of components consists of the browser along with the following tools

Outlook Express for e-mail readingFrontPage Express for authoring of HTML Web pagesNet Meeting for collaboration

Netscape Navigator 46 suite consists of the browser plus the following componentsMessenger for e-mail readingComposer for authoring HTML Web pagesCollabora for news offeringsCalendar for personal and group schedulingNetcaster for push delivery of Web pages

16copy Prentice Hall 2000

Web Servers A Software Program

http daemon in Unix http service in Windows NT Functions

service HTTP requestsprovide access control determining who can access

particular directories or files on the Web serverrun scripts and external programs to either add

functionality to the Web documents or provide real-time access to database and other dynamic data

enable management and administration of both the server functions and the contents of the Web site

log transactions that the user makes Distinguished by

platforms performance security and commerce

17copy Prentice Hall 2000

Internet SecurityCornerstones of Security

Authenticitythe sender (either client or server) of a message is who he she or

it claims to be Privacy

the contents of a message are secret and only known to the sender and receiver

Integritythe contents of a message are not modified (intentionally or

accidentally) during transmission Non-repudiation

the sender of a message cannot deny that he she or it actually sent the message

18copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Private Key Private Key

Encryption

Private Key Encryption (Symmetrical Key Encryption)Data Encryption Standard (DES) is the most widely used

symmetrical encryption algorithm

19copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Public Key Encryption (Asymmetrical Key Encryption)

Encryption (cont)

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 4: Prentice Hall, 2000

4copy Prentice Hall 2000

A Network of Networks = Internet

Internet is a network of hundreds of thousands interconnected networks

Network Service Providers (NSPs) runs the backbones

Internet Service Providers (ISPs) provide the delivery subnetworks

5copy Prentice Hall 2000

Internet Network Architecture

NAP

NAPNAP

NAP

ISP

ISPISP

ISP

ISP ISP

ISP

ISP

ISP

ISP

0

Backbone5

copy Prentice Hall 2000

6copy Prentice Hall 2000

Internet ProtocolsProtocols - A set of rules that determine how two

computers communicate with one another over a network The protocols embody a series of design principles

Interoperablemdash the system supports computers and software from different vendors For e-commerce this means that the customers or businesses are not required to buy specific systems in order to conduct business

Layeredmdash the collection of Internet protocols work in layers with each layer building on the layers at lower levels

Simplemdash each of the layers in the architecture provides only a few functions or operations This means that application programmers are hidden from the complexities of the underlying hardware

End-to-Endmdash the Internet is based on ldquoend-to-endrdquo protocols This means that the interpretation of the data happens at the application layer and not at the network layers Itrsquos much like the post office

7copy Prentice Hall 2000

TCPIP Architecture

Application LayerFTP HTTP Telnet NNTP

Transport LayerTransmission

Control Protocol(TCP)

UserDatagram Protocol

(UDP)Internet Protocol

(IP)

Network Interface Layer

Physical Layer

copy Prentice Hall 2000

8copy Prentice Hall 2000

TCPIP

Solves the global internetworking problemTransmission Control Protocol (TCP)

Ensures that 2 computers can communicate with one another in a reliable fashion

Internet Protocol (IP) Formats the packets and assigns addresses

packets are labeled with the addresses of the sending and receiving computers

1999 version is version 4 (IPv4) Version 6 (IPv6) has just begun to be adopted

9copy Prentice Hall 2000

Domain NamesReference particular computers on the InternetDivided into segments separated by periods

For example in the case of ldquowwwmicrosoftcomrdquoldquowwwrdquo is the specific computerldquocomrdquo is the top level domainldquomicrosoftrdquo is the subdomain

Internet Assigned Numbers Authority (IANA)controls the domain name system

Network Solutions Inc (NSI)issues and administers domain names for most of the top level

domains

10copy Prentice Hall 2000

Internet ClientServer ApplicationsApplication Protocol PurposeE-mail Allows the transmission of text

messages and binary attachments across the Internet

Simple Mail Transport Protocol (SMTP)Post Office Protocol version 3 (POP3)Multipurpose Internet Mail Extensions (MIME)

File Transfer

File Transfer Protocol (TP) Enables files to be uploaded and downloaded across the Internet

Chat Internet Relay Chat Protocol (IRC) Provides a way for users to talk to one another in real-time over the Internet The real-time chat groups are called channels

UseNet Newsgroups

Network News Transfer Protocol (NNTP) Discussion forums where users can asynchronously post messages and read messages posted by others

World Wide Web (Web)

Hypertext Transport Protocol (HTTP) Offers access to hypertext documents executable programs and other Internet resources

11copy Prentice Hall 2000

New World Network Internet2 Two consortiums are in the process of

constructing the lsquonew world networkrsquo The University Corporation for Advanced Internet

Development (UCAID) wwwucaideduBuilding a leading edge research network called Internet2Based on a series of interconnected gigapops

bull interconnected by the National Science Foundationrsquos very high performance Backbone Network (vBNS) infrastructure

Goals of Internet2bull to connect universities so that a 30 volume encyclopedia

could be transmitted in less than secondbull to support applications like distance learning digital

libraries video teleconferencing teleimmersion and collaborative tools and virtual laboratories

12copy Prentice Hall 2000

New World Network Next Generation Internet

Next Generation Internet (NGI)Government initiated and sponsoredStarted by the Clinton Administration this initiative includes

government research agencies such as bull the Defense Advanced Research Projects Agency (DARPA)bull the Department of Energybull the National Science Foundation (NSF)bull the National Aeronautics and Space Administration (NASA)bull the National Institute of Standards and Technology

Aim of the NGIbull to support next generation applications like health care national security

energy research biomedical research and environmental monitoring

13copy Prentice Hall 2000

Web-based ClientServerWeb browsers servers need as way to

Locate each other so they can send requests and responses back and forth

Communicate with one anotherUniform Resource Locators (URLs)

A new addressing scheme Ubiquitous appearing on the web in print on billboards

on TV and anywhere else a company can advertise Default syntax - wwwAnywhereCom Complete syntax - access-methodserver-name[port]directoryfile

14copy Prentice Hall 2000

Web-based ClientServer (cont)

Hypertext Transport Protocol (HTTP) A new protocol Lightweight stateless protocol that browsers and

servers use to converse with one another Statelessness - every request that a browser makes opens a

new connection that is immediately closed after the document is returnedrepresents a substantial problem for e-commerce applicationsan individual user is likely to have a series of interactions with the

application MIME (Multipurpose Internet Mail Extension)

describes the contents of the documentin the case of an HTML page the header is ldquoContent-type texthtmlrdquo

15copy Prentice Hall 2000

Web Browsers (1999 Generation)

IE 46 suite of components consists of the browser along with the following tools

Outlook Express for e-mail readingFrontPage Express for authoring of HTML Web pagesNet Meeting for collaboration

Netscape Navigator 46 suite consists of the browser plus the following componentsMessenger for e-mail readingComposer for authoring HTML Web pagesCollabora for news offeringsCalendar for personal and group schedulingNetcaster for push delivery of Web pages

16copy Prentice Hall 2000

Web Servers A Software Program

http daemon in Unix http service in Windows NT Functions

service HTTP requestsprovide access control determining who can access

particular directories or files on the Web serverrun scripts and external programs to either add

functionality to the Web documents or provide real-time access to database and other dynamic data

enable management and administration of both the server functions and the contents of the Web site

log transactions that the user makes Distinguished by

platforms performance security and commerce

17copy Prentice Hall 2000

Internet SecurityCornerstones of Security

Authenticitythe sender (either client or server) of a message is who he she or

it claims to be Privacy

the contents of a message are secret and only known to the sender and receiver

Integritythe contents of a message are not modified (intentionally or

accidentally) during transmission Non-repudiation

the sender of a message cannot deny that he she or it actually sent the message

18copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Private Key Private Key

Encryption

Private Key Encryption (Symmetrical Key Encryption)Data Encryption Standard (DES) is the most widely used

symmetrical encryption algorithm

19copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Public Key Encryption (Asymmetrical Key Encryption)

Encryption (cont)

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 5: Prentice Hall, 2000

5copy Prentice Hall 2000

Internet Network Architecture

NAP

NAPNAP

NAP

ISP

ISPISP

ISP

ISP ISP

ISP

ISP

ISP

ISP

0

Backbone5

copy Prentice Hall 2000

6copy Prentice Hall 2000

Internet ProtocolsProtocols - A set of rules that determine how two

computers communicate with one another over a network The protocols embody a series of design principles

Interoperablemdash the system supports computers and software from different vendors For e-commerce this means that the customers or businesses are not required to buy specific systems in order to conduct business

Layeredmdash the collection of Internet protocols work in layers with each layer building on the layers at lower levels

Simplemdash each of the layers in the architecture provides only a few functions or operations This means that application programmers are hidden from the complexities of the underlying hardware

End-to-Endmdash the Internet is based on ldquoend-to-endrdquo protocols This means that the interpretation of the data happens at the application layer and not at the network layers Itrsquos much like the post office

7copy Prentice Hall 2000

TCPIP Architecture

Application LayerFTP HTTP Telnet NNTP

Transport LayerTransmission

Control Protocol(TCP)

UserDatagram Protocol

(UDP)Internet Protocol

(IP)

Network Interface Layer

Physical Layer

copy Prentice Hall 2000

8copy Prentice Hall 2000

TCPIP

Solves the global internetworking problemTransmission Control Protocol (TCP)

Ensures that 2 computers can communicate with one another in a reliable fashion

Internet Protocol (IP) Formats the packets and assigns addresses

packets are labeled with the addresses of the sending and receiving computers

1999 version is version 4 (IPv4) Version 6 (IPv6) has just begun to be adopted

9copy Prentice Hall 2000

Domain NamesReference particular computers on the InternetDivided into segments separated by periods

For example in the case of ldquowwwmicrosoftcomrdquoldquowwwrdquo is the specific computerldquocomrdquo is the top level domainldquomicrosoftrdquo is the subdomain

Internet Assigned Numbers Authority (IANA)controls the domain name system

Network Solutions Inc (NSI)issues and administers domain names for most of the top level

domains

10copy Prentice Hall 2000

Internet ClientServer ApplicationsApplication Protocol PurposeE-mail Allows the transmission of text

messages and binary attachments across the Internet

Simple Mail Transport Protocol (SMTP)Post Office Protocol version 3 (POP3)Multipurpose Internet Mail Extensions (MIME)

File Transfer

File Transfer Protocol (TP) Enables files to be uploaded and downloaded across the Internet

Chat Internet Relay Chat Protocol (IRC) Provides a way for users to talk to one another in real-time over the Internet The real-time chat groups are called channels

UseNet Newsgroups

Network News Transfer Protocol (NNTP) Discussion forums where users can asynchronously post messages and read messages posted by others

World Wide Web (Web)

Hypertext Transport Protocol (HTTP) Offers access to hypertext documents executable programs and other Internet resources

11copy Prentice Hall 2000

New World Network Internet2 Two consortiums are in the process of

constructing the lsquonew world networkrsquo The University Corporation for Advanced Internet

Development (UCAID) wwwucaideduBuilding a leading edge research network called Internet2Based on a series of interconnected gigapops

bull interconnected by the National Science Foundationrsquos very high performance Backbone Network (vBNS) infrastructure

Goals of Internet2bull to connect universities so that a 30 volume encyclopedia

could be transmitted in less than secondbull to support applications like distance learning digital

libraries video teleconferencing teleimmersion and collaborative tools and virtual laboratories

12copy Prentice Hall 2000

New World Network Next Generation Internet

Next Generation Internet (NGI)Government initiated and sponsoredStarted by the Clinton Administration this initiative includes

government research agencies such as bull the Defense Advanced Research Projects Agency (DARPA)bull the Department of Energybull the National Science Foundation (NSF)bull the National Aeronautics and Space Administration (NASA)bull the National Institute of Standards and Technology

Aim of the NGIbull to support next generation applications like health care national security

energy research biomedical research and environmental monitoring

13copy Prentice Hall 2000

Web-based ClientServerWeb browsers servers need as way to

Locate each other so they can send requests and responses back and forth

Communicate with one anotherUniform Resource Locators (URLs)

A new addressing scheme Ubiquitous appearing on the web in print on billboards

on TV and anywhere else a company can advertise Default syntax - wwwAnywhereCom Complete syntax - access-methodserver-name[port]directoryfile

14copy Prentice Hall 2000

Web-based ClientServer (cont)

Hypertext Transport Protocol (HTTP) A new protocol Lightweight stateless protocol that browsers and

servers use to converse with one another Statelessness - every request that a browser makes opens a

new connection that is immediately closed after the document is returnedrepresents a substantial problem for e-commerce applicationsan individual user is likely to have a series of interactions with the

application MIME (Multipurpose Internet Mail Extension)

describes the contents of the documentin the case of an HTML page the header is ldquoContent-type texthtmlrdquo

15copy Prentice Hall 2000

Web Browsers (1999 Generation)

IE 46 suite of components consists of the browser along with the following tools

Outlook Express for e-mail readingFrontPage Express for authoring of HTML Web pagesNet Meeting for collaboration

Netscape Navigator 46 suite consists of the browser plus the following componentsMessenger for e-mail readingComposer for authoring HTML Web pagesCollabora for news offeringsCalendar for personal and group schedulingNetcaster for push delivery of Web pages

16copy Prentice Hall 2000

Web Servers A Software Program

http daemon in Unix http service in Windows NT Functions

service HTTP requestsprovide access control determining who can access

particular directories or files on the Web serverrun scripts and external programs to either add

functionality to the Web documents or provide real-time access to database and other dynamic data

enable management and administration of both the server functions and the contents of the Web site

log transactions that the user makes Distinguished by

platforms performance security and commerce

17copy Prentice Hall 2000

Internet SecurityCornerstones of Security

Authenticitythe sender (either client or server) of a message is who he she or

it claims to be Privacy

the contents of a message are secret and only known to the sender and receiver

Integritythe contents of a message are not modified (intentionally or

accidentally) during transmission Non-repudiation

the sender of a message cannot deny that he she or it actually sent the message

18copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Private Key Private Key

Encryption

Private Key Encryption (Symmetrical Key Encryption)Data Encryption Standard (DES) is the most widely used

symmetrical encryption algorithm

19copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Public Key Encryption (Asymmetrical Key Encryption)

Encryption (cont)

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 6: Prentice Hall, 2000

6copy Prentice Hall 2000

Internet ProtocolsProtocols - A set of rules that determine how two

computers communicate with one another over a network The protocols embody a series of design principles

Interoperablemdash the system supports computers and software from different vendors For e-commerce this means that the customers or businesses are not required to buy specific systems in order to conduct business

Layeredmdash the collection of Internet protocols work in layers with each layer building on the layers at lower levels

Simplemdash each of the layers in the architecture provides only a few functions or operations This means that application programmers are hidden from the complexities of the underlying hardware

End-to-Endmdash the Internet is based on ldquoend-to-endrdquo protocols This means that the interpretation of the data happens at the application layer and not at the network layers Itrsquos much like the post office

7copy Prentice Hall 2000

TCPIP Architecture

Application LayerFTP HTTP Telnet NNTP

Transport LayerTransmission

Control Protocol(TCP)

UserDatagram Protocol

(UDP)Internet Protocol

(IP)

Network Interface Layer

Physical Layer

copy Prentice Hall 2000

8copy Prentice Hall 2000

TCPIP

Solves the global internetworking problemTransmission Control Protocol (TCP)

Ensures that 2 computers can communicate with one another in a reliable fashion

Internet Protocol (IP) Formats the packets and assigns addresses

packets are labeled with the addresses of the sending and receiving computers

1999 version is version 4 (IPv4) Version 6 (IPv6) has just begun to be adopted

9copy Prentice Hall 2000

Domain NamesReference particular computers on the InternetDivided into segments separated by periods

For example in the case of ldquowwwmicrosoftcomrdquoldquowwwrdquo is the specific computerldquocomrdquo is the top level domainldquomicrosoftrdquo is the subdomain

Internet Assigned Numbers Authority (IANA)controls the domain name system

Network Solutions Inc (NSI)issues and administers domain names for most of the top level

domains

10copy Prentice Hall 2000

Internet ClientServer ApplicationsApplication Protocol PurposeE-mail Allows the transmission of text

messages and binary attachments across the Internet

Simple Mail Transport Protocol (SMTP)Post Office Protocol version 3 (POP3)Multipurpose Internet Mail Extensions (MIME)

File Transfer

File Transfer Protocol (TP) Enables files to be uploaded and downloaded across the Internet

Chat Internet Relay Chat Protocol (IRC) Provides a way for users to talk to one another in real-time over the Internet The real-time chat groups are called channels

UseNet Newsgroups

Network News Transfer Protocol (NNTP) Discussion forums where users can asynchronously post messages and read messages posted by others

World Wide Web (Web)

Hypertext Transport Protocol (HTTP) Offers access to hypertext documents executable programs and other Internet resources

11copy Prentice Hall 2000

New World Network Internet2 Two consortiums are in the process of

constructing the lsquonew world networkrsquo The University Corporation for Advanced Internet

Development (UCAID) wwwucaideduBuilding a leading edge research network called Internet2Based on a series of interconnected gigapops

bull interconnected by the National Science Foundationrsquos very high performance Backbone Network (vBNS) infrastructure

Goals of Internet2bull to connect universities so that a 30 volume encyclopedia

could be transmitted in less than secondbull to support applications like distance learning digital

libraries video teleconferencing teleimmersion and collaborative tools and virtual laboratories

12copy Prentice Hall 2000

New World Network Next Generation Internet

Next Generation Internet (NGI)Government initiated and sponsoredStarted by the Clinton Administration this initiative includes

government research agencies such as bull the Defense Advanced Research Projects Agency (DARPA)bull the Department of Energybull the National Science Foundation (NSF)bull the National Aeronautics and Space Administration (NASA)bull the National Institute of Standards and Technology

Aim of the NGIbull to support next generation applications like health care national security

energy research biomedical research and environmental monitoring

13copy Prentice Hall 2000

Web-based ClientServerWeb browsers servers need as way to

Locate each other so they can send requests and responses back and forth

Communicate with one anotherUniform Resource Locators (URLs)

A new addressing scheme Ubiquitous appearing on the web in print on billboards

on TV and anywhere else a company can advertise Default syntax - wwwAnywhereCom Complete syntax - access-methodserver-name[port]directoryfile

14copy Prentice Hall 2000

Web-based ClientServer (cont)

Hypertext Transport Protocol (HTTP) A new protocol Lightweight stateless protocol that browsers and

servers use to converse with one another Statelessness - every request that a browser makes opens a

new connection that is immediately closed after the document is returnedrepresents a substantial problem for e-commerce applicationsan individual user is likely to have a series of interactions with the

application MIME (Multipurpose Internet Mail Extension)

describes the contents of the documentin the case of an HTML page the header is ldquoContent-type texthtmlrdquo

15copy Prentice Hall 2000

Web Browsers (1999 Generation)

IE 46 suite of components consists of the browser along with the following tools

Outlook Express for e-mail readingFrontPage Express for authoring of HTML Web pagesNet Meeting for collaboration

Netscape Navigator 46 suite consists of the browser plus the following componentsMessenger for e-mail readingComposer for authoring HTML Web pagesCollabora for news offeringsCalendar for personal and group schedulingNetcaster for push delivery of Web pages

16copy Prentice Hall 2000

Web Servers A Software Program

http daemon in Unix http service in Windows NT Functions

service HTTP requestsprovide access control determining who can access

particular directories or files on the Web serverrun scripts and external programs to either add

functionality to the Web documents or provide real-time access to database and other dynamic data

enable management and administration of both the server functions and the contents of the Web site

log transactions that the user makes Distinguished by

platforms performance security and commerce

17copy Prentice Hall 2000

Internet SecurityCornerstones of Security

Authenticitythe sender (either client or server) of a message is who he she or

it claims to be Privacy

the contents of a message are secret and only known to the sender and receiver

Integritythe contents of a message are not modified (intentionally or

accidentally) during transmission Non-repudiation

the sender of a message cannot deny that he she or it actually sent the message

18copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Private Key Private Key

Encryption

Private Key Encryption (Symmetrical Key Encryption)Data Encryption Standard (DES) is the most widely used

symmetrical encryption algorithm

19copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Public Key Encryption (Asymmetrical Key Encryption)

Encryption (cont)

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 7: Prentice Hall, 2000

7copy Prentice Hall 2000

TCPIP Architecture

Application LayerFTP HTTP Telnet NNTP

Transport LayerTransmission

Control Protocol(TCP)

UserDatagram Protocol

(UDP)Internet Protocol

(IP)

Network Interface Layer

Physical Layer

copy Prentice Hall 2000

8copy Prentice Hall 2000

TCPIP

Solves the global internetworking problemTransmission Control Protocol (TCP)

Ensures that 2 computers can communicate with one another in a reliable fashion

Internet Protocol (IP) Formats the packets and assigns addresses

packets are labeled with the addresses of the sending and receiving computers

1999 version is version 4 (IPv4) Version 6 (IPv6) has just begun to be adopted

9copy Prentice Hall 2000

Domain NamesReference particular computers on the InternetDivided into segments separated by periods

For example in the case of ldquowwwmicrosoftcomrdquoldquowwwrdquo is the specific computerldquocomrdquo is the top level domainldquomicrosoftrdquo is the subdomain

Internet Assigned Numbers Authority (IANA)controls the domain name system

Network Solutions Inc (NSI)issues and administers domain names for most of the top level

domains

10copy Prentice Hall 2000

Internet ClientServer ApplicationsApplication Protocol PurposeE-mail Allows the transmission of text

messages and binary attachments across the Internet

Simple Mail Transport Protocol (SMTP)Post Office Protocol version 3 (POP3)Multipurpose Internet Mail Extensions (MIME)

File Transfer

File Transfer Protocol (TP) Enables files to be uploaded and downloaded across the Internet

Chat Internet Relay Chat Protocol (IRC) Provides a way for users to talk to one another in real-time over the Internet The real-time chat groups are called channels

UseNet Newsgroups

Network News Transfer Protocol (NNTP) Discussion forums where users can asynchronously post messages and read messages posted by others

World Wide Web (Web)

Hypertext Transport Protocol (HTTP) Offers access to hypertext documents executable programs and other Internet resources

11copy Prentice Hall 2000

New World Network Internet2 Two consortiums are in the process of

constructing the lsquonew world networkrsquo The University Corporation for Advanced Internet

Development (UCAID) wwwucaideduBuilding a leading edge research network called Internet2Based on a series of interconnected gigapops

bull interconnected by the National Science Foundationrsquos very high performance Backbone Network (vBNS) infrastructure

Goals of Internet2bull to connect universities so that a 30 volume encyclopedia

could be transmitted in less than secondbull to support applications like distance learning digital

libraries video teleconferencing teleimmersion and collaborative tools and virtual laboratories

12copy Prentice Hall 2000

New World Network Next Generation Internet

Next Generation Internet (NGI)Government initiated and sponsoredStarted by the Clinton Administration this initiative includes

government research agencies such as bull the Defense Advanced Research Projects Agency (DARPA)bull the Department of Energybull the National Science Foundation (NSF)bull the National Aeronautics and Space Administration (NASA)bull the National Institute of Standards and Technology

Aim of the NGIbull to support next generation applications like health care national security

energy research biomedical research and environmental monitoring

13copy Prentice Hall 2000

Web-based ClientServerWeb browsers servers need as way to

Locate each other so they can send requests and responses back and forth

Communicate with one anotherUniform Resource Locators (URLs)

A new addressing scheme Ubiquitous appearing on the web in print on billboards

on TV and anywhere else a company can advertise Default syntax - wwwAnywhereCom Complete syntax - access-methodserver-name[port]directoryfile

14copy Prentice Hall 2000

Web-based ClientServer (cont)

Hypertext Transport Protocol (HTTP) A new protocol Lightweight stateless protocol that browsers and

servers use to converse with one another Statelessness - every request that a browser makes opens a

new connection that is immediately closed after the document is returnedrepresents a substantial problem for e-commerce applicationsan individual user is likely to have a series of interactions with the

application MIME (Multipurpose Internet Mail Extension)

describes the contents of the documentin the case of an HTML page the header is ldquoContent-type texthtmlrdquo

15copy Prentice Hall 2000

Web Browsers (1999 Generation)

IE 46 suite of components consists of the browser along with the following tools

Outlook Express for e-mail readingFrontPage Express for authoring of HTML Web pagesNet Meeting for collaboration

Netscape Navigator 46 suite consists of the browser plus the following componentsMessenger for e-mail readingComposer for authoring HTML Web pagesCollabora for news offeringsCalendar for personal and group schedulingNetcaster for push delivery of Web pages

16copy Prentice Hall 2000

Web Servers A Software Program

http daemon in Unix http service in Windows NT Functions

service HTTP requestsprovide access control determining who can access

particular directories or files on the Web serverrun scripts and external programs to either add

functionality to the Web documents or provide real-time access to database and other dynamic data

enable management and administration of both the server functions and the contents of the Web site

log transactions that the user makes Distinguished by

platforms performance security and commerce

17copy Prentice Hall 2000

Internet SecurityCornerstones of Security

Authenticitythe sender (either client or server) of a message is who he she or

it claims to be Privacy

the contents of a message are secret and only known to the sender and receiver

Integritythe contents of a message are not modified (intentionally or

accidentally) during transmission Non-repudiation

the sender of a message cannot deny that he she or it actually sent the message

18copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Private Key Private Key

Encryption

Private Key Encryption (Symmetrical Key Encryption)Data Encryption Standard (DES) is the most widely used

symmetrical encryption algorithm

19copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Public Key Encryption (Asymmetrical Key Encryption)

Encryption (cont)

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 8: Prentice Hall, 2000

8copy Prentice Hall 2000

TCPIP

Solves the global internetworking problemTransmission Control Protocol (TCP)

Ensures that 2 computers can communicate with one another in a reliable fashion

Internet Protocol (IP) Formats the packets and assigns addresses

packets are labeled with the addresses of the sending and receiving computers

1999 version is version 4 (IPv4) Version 6 (IPv6) has just begun to be adopted

9copy Prentice Hall 2000

Domain NamesReference particular computers on the InternetDivided into segments separated by periods

For example in the case of ldquowwwmicrosoftcomrdquoldquowwwrdquo is the specific computerldquocomrdquo is the top level domainldquomicrosoftrdquo is the subdomain

Internet Assigned Numbers Authority (IANA)controls the domain name system

Network Solutions Inc (NSI)issues and administers domain names for most of the top level

domains

10copy Prentice Hall 2000

Internet ClientServer ApplicationsApplication Protocol PurposeE-mail Allows the transmission of text

messages and binary attachments across the Internet

Simple Mail Transport Protocol (SMTP)Post Office Protocol version 3 (POP3)Multipurpose Internet Mail Extensions (MIME)

File Transfer

File Transfer Protocol (TP) Enables files to be uploaded and downloaded across the Internet

Chat Internet Relay Chat Protocol (IRC) Provides a way for users to talk to one another in real-time over the Internet The real-time chat groups are called channels

UseNet Newsgroups

Network News Transfer Protocol (NNTP) Discussion forums where users can asynchronously post messages and read messages posted by others

World Wide Web (Web)

Hypertext Transport Protocol (HTTP) Offers access to hypertext documents executable programs and other Internet resources

11copy Prentice Hall 2000

New World Network Internet2 Two consortiums are in the process of

constructing the lsquonew world networkrsquo The University Corporation for Advanced Internet

Development (UCAID) wwwucaideduBuilding a leading edge research network called Internet2Based on a series of interconnected gigapops

bull interconnected by the National Science Foundationrsquos very high performance Backbone Network (vBNS) infrastructure

Goals of Internet2bull to connect universities so that a 30 volume encyclopedia

could be transmitted in less than secondbull to support applications like distance learning digital

libraries video teleconferencing teleimmersion and collaborative tools and virtual laboratories

12copy Prentice Hall 2000

New World Network Next Generation Internet

Next Generation Internet (NGI)Government initiated and sponsoredStarted by the Clinton Administration this initiative includes

government research agencies such as bull the Defense Advanced Research Projects Agency (DARPA)bull the Department of Energybull the National Science Foundation (NSF)bull the National Aeronautics and Space Administration (NASA)bull the National Institute of Standards and Technology

Aim of the NGIbull to support next generation applications like health care national security

energy research biomedical research and environmental monitoring

13copy Prentice Hall 2000

Web-based ClientServerWeb browsers servers need as way to

Locate each other so they can send requests and responses back and forth

Communicate with one anotherUniform Resource Locators (URLs)

A new addressing scheme Ubiquitous appearing on the web in print on billboards

on TV and anywhere else a company can advertise Default syntax - wwwAnywhereCom Complete syntax - access-methodserver-name[port]directoryfile

14copy Prentice Hall 2000

Web-based ClientServer (cont)

Hypertext Transport Protocol (HTTP) A new protocol Lightweight stateless protocol that browsers and

servers use to converse with one another Statelessness - every request that a browser makes opens a

new connection that is immediately closed after the document is returnedrepresents a substantial problem for e-commerce applicationsan individual user is likely to have a series of interactions with the

application MIME (Multipurpose Internet Mail Extension)

describes the contents of the documentin the case of an HTML page the header is ldquoContent-type texthtmlrdquo

15copy Prentice Hall 2000

Web Browsers (1999 Generation)

IE 46 suite of components consists of the browser along with the following tools

Outlook Express for e-mail readingFrontPage Express for authoring of HTML Web pagesNet Meeting for collaboration

Netscape Navigator 46 suite consists of the browser plus the following componentsMessenger for e-mail readingComposer for authoring HTML Web pagesCollabora for news offeringsCalendar for personal and group schedulingNetcaster for push delivery of Web pages

16copy Prentice Hall 2000

Web Servers A Software Program

http daemon in Unix http service in Windows NT Functions

service HTTP requestsprovide access control determining who can access

particular directories or files on the Web serverrun scripts and external programs to either add

functionality to the Web documents or provide real-time access to database and other dynamic data

enable management and administration of both the server functions and the contents of the Web site

log transactions that the user makes Distinguished by

platforms performance security and commerce

17copy Prentice Hall 2000

Internet SecurityCornerstones of Security

Authenticitythe sender (either client or server) of a message is who he she or

it claims to be Privacy

the contents of a message are secret and only known to the sender and receiver

Integritythe contents of a message are not modified (intentionally or

accidentally) during transmission Non-repudiation

the sender of a message cannot deny that he she or it actually sent the message

18copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Private Key Private Key

Encryption

Private Key Encryption (Symmetrical Key Encryption)Data Encryption Standard (DES) is the most widely used

symmetrical encryption algorithm

19copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Public Key Encryption (Asymmetrical Key Encryption)

Encryption (cont)

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 9: Prentice Hall, 2000

9copy Prentice Hall 2000

Domain NamesReference particular computers on the InternetDivided into segments separated by periods

For example in the case of ldquowwwmicrosoftcomrdquoldquowwwrdquo is the specific computerldquocomrdquo is the top level domainldquomicrosoftrdquo is the subdomain

Internet Assigned Numbers Authority (IANA)controls the domain name system

Network Solutions Inc (NSI)issues and administers domain names for most of the top level

domains

10copy Prentice Hall 2000

Internet ClientServer ApplicationsApplication Protocol PurposeE-mail Allows the transmission of text

messages and binary attachments across the Internet

Simple Mail Transport Protocol (SMTP)Post Office Protocol version 3 (POP3)Multipurpose Internet Mail Extensions (MIME)

File Transfer

File Transfer Protocol (TP) Enables files to be uploaded and downloaded across the Internet

Chat Internet Relay Chat Protocol (IRC) Provides a way for users to talk to one another in real-time over the Internet The real-time chat groups are called channels

UseNet Newsgroups

Network News Transfer Protocol (NNTP) Discussion forums where users can asynchronously post messages and read messages posted by others

World Wide Web (Web)

Hypertext Transport Protocol (HTTP) Offers access to hypertext documents executable programs and other Internet resources

11copy Prentice Hall 2000

New World Network Internet2 Two consortiums are in the process of

constructing the lsquonew world networkrsquo The University Corporation for Advanced Internet

Development (UCAID) wwwucaideduBuilding a leading edge research network called Internet2Based on a series of interconnected gigapops

bull interconnected by the National Science Foundationrsquos very high performance Backbone Network (vBNS) infrastructure

Goals of Internet2bull to connect universities so that a 30 volume encyclopedia

could be transmitted in less than secondbull to support applications like distance learning digital

libraries video teleconferencing teleimmersion and collaborative tools and virtual laboratories

12copy Prentice Hall 2000

New World Network Next Generation Internet

Next Generation Internet (NGI)Government initiated and sponsoredStarted by the Clinton Administration this initiative includes

government research agencies such as bull the Defense Advanced Research Projects Agency (DARPA)bull the Department of Energybull the National Science Foundation (NSF)bull the National Aeronautics and Space Administration (NASA)bull the National Institute of Standards and Technology

Aim of the NGIbull to support next generation applications like health care national security

energy research biomedical research and environmental monitoring

13copy Prentice Hall 2000

Web-based ClientServerWeb browsers servers need as way to

Locate each other so they can send requests and responses back and forth

Communicate with one anotherUniform Resource Locators (URLs)

A new addressing scheme Ubiquitous appearing on the web in print on billboards

on TV and anywhere else a company can advertise Default syntax - wwwAnywhereCom Complete syntax - access-methodserver-name[port]directoryfile

14copy Prentice Hall 2000

Web-based ClientServer (cont)

Hypertext Transport Protocol (HTTP) A new protocol Lightweight stateless protocol that browsers and

servers use to converse with one another Statelessness - every request that a browser makes opens a

new connection that is immediately closed after the document is returnedrepresents a substantial problem for e-commerce applicationsan individual user is likely to have a series of interactions with the

application MIME (Multipurpose Internet Mail Extension)

describes the contents of the documentin the case of an HTML page the header is ldquoContent-type texthtmlrdquo

15copy Prentice Hall 2000

Web Browsers (1999 Generation)

IE 46 suite of components consists of the browser along with the following tools

Outlook Express for e-mail readingFrontPage Express for authoring of HTML Web pagesNet Meeting for collaboration

Netscape Navigator 46 suite consists of the browser plus the following componentsMessenger for e-mail readingComposer for authoring HTML Web pagesCollabora for news offeringsCalendar for personal and group schedulingNetcaster for push delivery of Web pages

16copy Prentice Hall 2000

Web Servers A Software Program

http daemon in Unix http service in Windows NT Functions

service HTTP requestsprovide access control determining who can access

particular directories or files on the Web serverrun scripts and external programs to either add

functionality to the Web documents or provide real-time access to database and other dynamic data

enable management and administration of both the server functions and the contents of the Web site

log transactions that the user makes Distinguished by

platforms performance security and commerce

17copy Prentice Hall 2000

Internet SecurityCornerstones of Security

Authenticitythe sender (either client or server) of a message is who he she or

it claims to be Privacy

the contents of a message are secret and only known to the sender and receiver

Integritythe contents of a message are not modified (intentionally or

accidentally) during transmission Non-repudiation

the sender of a message cannot deny that he she or it actually sent the message

18copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Private Key Private Key

Encryption

Private Key Encryption (Symmetrical Key Encryption)Data Encryption Standard (DES) is the most widely used

symmetrical encryption algorithm

19copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Public Key Encryption (Asymmetrical Key Encryption)

Encryption (cont)

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 10: Prentice Hall, 2000

10copy Prentice Hall 2000

Internet ClientServer ApplicationsApplication Protocol PurposeE-mail Allows the transmission of text

messages and binary attachments across the Internet

Simple Mail Transport Protocol (SMTP)Post Office Protocol version 3 (POP3)Multipurpose Internet Mail Extensions (MIME)

File Transfer

File Transfer Protocol (TP) Enables files to be uploaded and downloaded across the Internet

Chat Internet Relay Chat Protocol (IRC) Provides a way for users to talk to one another in real-time over the Internet The real-time chat groups are called channels

UseNet Newsgroups

Network News Transfer Protocol (NNTP) Discussion forums where users can asynchronously post messages and read messages posted by others

World Wide Web (Web)

Hypertext Transport Protocol (HTTP) Offers access to hypertext documents executable programs and other Internet resources

11copy Prentice Hall 2000

New World Network Internet2 Two consortiums are in the process of

constructing the lsquonew world networkrsquo The University Corporation for Advanced Internet

Development (UCAID) wwwucaideduBuilding a leading edge research network called Internet2Based on a series of interconnected gigapops

bull interconnected by the National Science Foundationrsquos very high performance Backbone Network (vBNS) infrastructure

Goals of Internet2bull to connect universities so that a 30 volume encyclopedia

could be transmitted in less than secondbull to support applications like distance learning digital

libraries video teleconferencing teleimmersion and collaborative tools and virtual laboratories

12copy Prentice Hall 2000

New World Network Next Generation Internet

Next Generation Internet (NGI)Government initiated and sponsoredStarted by the Clinton Administration this initiative includes

government research agencies such as bull the Defense Advanced Research Projects Agency (DARPA)bull the Department of Energybull the National Science Foundation (NSF)bull the National Aeronautics and Space Administration (NASA)bull the National Institute of Standards and Technology

Aim of the NGIbull to support next generation applications like health care national security

energy research biomedical research and environmental monitoring

13copy Prentice Hall 2000

Web-based ClientServerWeb browsers servers need as way to

Locate each other so they can send requests and responses back and forth

Communicate with one anotherUniform Resource Locators (URLs)

A new addressing scheme Ubiquitous appearing on the web in print on billboards

on TV and anywhere else a company can advertise Default syntax - wwwAnywhereCom Complete syntax - access-methodserver-name[port]directoryfile

14copy Prentice Hall 2000

Web-based ClientServer (cont)

Hypertext Transport Protocol (HTTP) A new protocol Lightweight stateless protocol that browsers and

servers use to converse with one another Statelessness - every request that a browser makes opens a

new connection that is immediately closed after the document is returnedrepresents a substantial problem for e-commerce applicationsan individual user is likely to have a series of interactions with the

application MIME (Multipurpose Internet Mail Extension)

describes the contents of the documentin the case of an HTML page the header is ldquoContent-type texthtmlrdquo

15copy Prentice Hall 2000

Web Browsers (1999 Generation)

IE 46 suite of components consists of the browser along with the following tools

Outlook Express for e-mail readingFrontPage Express for authoring of HTML Web pagesNet Meeting for collaboration

Netscape Navigator 46 suite consists of the browser plus the following componentsMessenger for e-mail readingComposer for authoring HTML Web pagesCollabora for news offeringsCalendar for personal and group schedulingNetcaster for push delivery of Web pages

16copy Prentice Hall 2000

Web Servers A Software Program

http daemon in Unix http service in Windows NT Functions

service HTTP requestsprovide access control determining who can access

particular directories or files on the Web serverrun scripts and external programs to either add

functionality to the Web documents or provide real-time access to database and other dynamic data

enable management and administration of both the server functions and the contents of the Web site

log transactions that the user makes Distinguished by

platforms performance security and commerce

17copy Prentice Hall 2000

Internet SecurityCornerstones of Security

Authenticitythe sender (either client or server) of a message is who he she or

it claims to be Privacy

the contents of a message are secret and only known to the sender and receiver

Integritythe contents of a message are not modified (intentionally or

accidentally) during transmission Non-repudiation

the sender of a message cannot deny that he she or it actually sent the message

18copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Private Key Private Key

Encryption

Private Key Encryption (Symmetrical Key Encryption)Data Encryption Standard (DES) is the most widely used

symmetrical encryption algorithm

19copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Public Key Encryption (Asymmetrical Key Encryption)

Encryption (cont)

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 11: Prentice Hall, 2000

11copy Prentice Hall 2000

New World Network Internet2 Two consortiums are in the process of

constructing the lsquonew world networkrsquo The University Corporation for Advanced Internet

Development (UCAID) wwwucaideduBuilding a leading edge research network called Internet2Based on a series of interconnected gigapops

bull interconnected by the National Science Foundationrsquos very high performance Backbone Network (vBNS) infrastructure

Goals of Internet2bull to connect universities so that a 30 volume encyclopedia

could be transmitted in less than secondbull to support applications like distance learning digital

libraries video teleconferencing teleimmersion and collaborative tools and virtual laboratories

12copy Prentice Hall 2000

New World Network Next Generation Internet

Next Generation Internet (NGI)Government initiated and sponsoredStarted by the Clinton Administration this initiative includes

government research agencies such as bull the Defense Advanced Research Projects Agency (DARPA)bull the Department of Energybull the National Science Foundation (NSF)bull the National Aeronautics and Space Administration (NASA)bull the National Institute of Standards and Technology

Aim of the NGIbull to support next generation applications like health care national security

energy research biomedical research and environmental monitoring

13copy Prentice Hall 2000

Web-based ClientServerWeb browsers servers need as way to

Locate each other so they can send requests and responses back and forth

Communicate with one anotherUniform Resource Locators (URLs)

A new addressing scheme Ubiquitous appearing on the web in print on billboards

on TV and anywhere else a company can advertise Default syntax - wwwAnywhereCom Complete syntax - access-methodserver-name[port]directoryfile

14copy Prentice Hall 2000

Web-based ClientServer (cont)

Hypertext Transport Protocol (HTTP) A new protocol Lightweight stateless protocol that browsers and

servers use to converse with one another Statelessness - every request that a browser makes opens a

new connection that is immediately closed after the document is returnedrepresents a substantial problem for e-commerce applicationsan individual user is likely to have a series of interactions with the

application MIME (Multipurpose Internet Mail Extension)

describes the contents of the documentin the case of an HTML page the header is ldquoContent-type texthtmlrdquo

15copy Prentice Hall 2000

Web Browsers (1999 Generation)

IE 46 suite of components consists of the browser along with the following tools

Outlook Express for e-mail readingFrontPage Express for authoring of HTML Web pagesNet Meeting for collaboration

Netscape Navigator 46 suite consists of the browser plus the following componentsMessenger for e-mail readingComposer for authoring HTML Web pagesCollabora for news offeringsCalendar for personal and group schedulingNetcaster for push delivery of Web pages

16copy Prentice Hall 2000

Web Servers A Software Program

http daemon in Unix http service in Windows NT Functions

service HTTP requestsprovide access control determining who can access

particular directories or files on the Web serverrun scripts and external programs to either add

functionality to the Web documents or provide real-time access to database and other dynamic data

enable management and administration of both the server functions and the contents of the Web site

log transactions that the user makes Distinguished by

platforms performance security and commerce

17copy Prentice Hall 2000

Internet SecurityCornerstones of Security

Authenticitythe sender (either client or server) of a message is who he she or

it claims to be Privacy

the contents of a message are secret and only known to the sender and receiver

Integritythe contents of a message are not modified (intentionally or

accidentally) during transmission Non-repudiation

the sender of a message cannot deny that he she or it actually sent the message

18copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Private Key Private Key

Encryption

Private Key Encryption (Symmetrical Key Encryption)Data Encryption Standard (DES) is the most widely used

symmetrical encryption algorithm

19copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Public Key Encryption (Asymmetrical Key Encryption)

Encryption (cont)

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 12: Prentice Hall, 2000

12copy Prentice Hall 2000

New World Network Next Generation Internet

Next Generation Internet (NGI)Government initiated and sponsoredStarted by the Clinton Administration this initiative includes

government research agencies such as bull the Defense Advanced Research Projects Agency (DARPA)bull the Department of Energybull the National Science Foundation (NSF)bull the National Aeronautics and Space Administration (NASA)bull the National Institute of Standards and Technology

Aim of the NGIbull to support next generation applications like health care national security

energy research biomedical research and environmental monitoring

13copy Prentice Hall 2000

Web-based ClientServerWeb browsers servers need as way to

Locate each other so they can send requests and responses back and forth

Communicate with one anotherUniform Resource Locators (URLs)

A new addressing scheme Ubiquitous appearing on the web in print on billboards

on TV and anywhere else a company can advertise Default syntax - wwwAnywhereCom Complete syntax - access-methodserver-name[port]directoryfile

14copy Prentice Hall 2000

Web-based ClientServer (cont)

Hypertext Transport Protocol (HTTP) A new protocol Lightweight stateless protocol that browsers and

servers use to converse with one another Statelessness - every request that a browser makes opens a

new connection that is immediately closed after the document is returnedrepresents a substantial problem for e-commerce applicationsan individual user is likely to have a series of interactions with the

application MIME (Multipurpose Internet Mail Extension)

describes the contents of the documentin the case of an HTML page the header is ldquoContent-type texthtmlrdquo

15copy Prentice Hall 2000

Web Browsers (1999 Generation)

IE 46 suite of components consists of the browser along with the following tools

Outlook Express for e-mail readingFrontPage Express for authoring of HTML Web pagesNet Meeting for collaboration

Netscape Navigator 46 suite consists of the browser plus the following componentsMessenger for e-mail readingComposer for authoring HTML Web pagesCollabora for news offeringsCalendar for personal and group schedulingNetcaster for push delivery of Web pages

16copy Prentice Hall 2000

Web Servers A Software Program

http daemon in Unix http service in Windows NT Functions

service HTTP requestsprovide access control determining who can access

particular directories or files on the Web serverrun scripts and external programs to either add

functionality to the Web documents or provide real-time access to database and other dynamic data

enable management and administration of both the server functions and the contents of the Web site

log transactions that the user makes Distinguished by

platforms performance security and commerce

17copy Prentice Hall 2000

Internet SecurityCornerstones of Security

Authenticitythe sender (either client or server) of a message is who he she or

it claims to be Privacy

the contents of a message are secret and only known to the sender and receiver

Integritythe contents of a message are not modified (intentionally or

accidentally) during transmission Non-repudiation

the sender of a message cannot deny that he she or it actually sent the message

18copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Private Key Private Key

Encryption

Private Key Encryption (Symmetrical Key Encryption)Data Encryption Standard (DES) is the most widely used

symmetrical encryption algorithm

19copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Public Key Encryption (Asymmetrical Key Encryption)

Encryption (cont)

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 13: Prentice Hall, 2000

13copy Prentice Hall 2000

Web-based ClientServerWeb browsers servers need as way to

Locate each other so they can send requests and responses back and forth

Communicate with one anotherUniform Resource Locators (URLs)

A new addressing scheme Ubiquitous appearing on the web in print on billboards

on TV and anywhere else a company can advertise Default syntax - wwwAnywhereCom Complete syntax - access-methodserver-name[port]directoryfile

14copy Prentice Hall 2000

Web-based ClientServer (cont)

Hypertext Transport Protocol (HTTP) A new protocol Lightweight stateless protocol that browsers and

servers use to converse with one another Statelessness - every request that a browser makes opens a

new connection that is immediately closed after the document is returnedrepresents a substantial problem for e-commerce applicationsan individual user is likely to have a series of interactions with the

application MIME (Multipurpose Internet Mail Extension)

describes the contents of the documentin the case of an HTML page the header is ldquoContent-type texthtmlrdquo

15copy Prentice Hall 2000

Web Browsers (1999 Generation)

IE 46 suite of components consists of the browser along with the following tools

Outlook Express for e-mail readingFrontPage Express for authoring of HTML Web pagesNet Meeting for collaboration

Netscape Navigator 46 suite consists of the browser plus the following componentsMessenger for e-mail readingComposer for authoring HTML Web pagesCollabora for news offeringsCalendar for personal and group schedulingNetcaster for push delivery of Web pages

16copy Prentice Hall 2000

Web Servers A Software Program

http daemon in Unix http service in Windows NT Functions

service HTTP requestsprovide access control determining who can access

particular directories or files on the Web serverrun scripts and external programs to either add

functionality to the Web documents or provide real-time access to database and other dynamic data

enable management and administration of both the server functions and the contents of the Web site

log transactions that the user makes Distinguished by

platforms performance security and commerce

17copy Prentice Hall 2000

Internet SecurityCornerstones of Security

Authenticitythe sender (either client or server) of a message is who he she or

it claims to be Privacy

the contents of a message are secret and only known to the sender and receiver

Integritythe contents of a message are not modified (intentionally or

accidentally) during transmission Non-repudiation

the sender of a message cannot deny that he she or it actually sent the message

18copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Private Key Private Key

Encryption

Private Key Encryption (Symmetrical Key Encryption)Data Encryption Standard (DES) is the most widely used

symmetrical encryption algorithm

19copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Public Key Encryption (Asymmetrical Key Encryption)

Encryption (cont)

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 14: Prentice Hall, 2000

14copy Prentice Hall 2000

Web-based ClientServer (cont)

Hypertext Transport Protocol (HTTP) A new protocol Lightweight stateless protocol that browsers and

servers use to converse with one another Statelessness - every request that a browser makes opens a

new connection that is immediately closed after the document is returnedrepresents a substantial problem for e-commerce applicationsan individual user is likely to have a series of interactions with the

application MIME (Multipurpose Internet Mail Extension)

describes the contents of the documentin the case of an HTML page the header is ldquoContent-type texthtmlrdquo

15copy Prentice Hall 2000

Web Browsers (1999 Generation)

IE 46 suite of components consists of the browser along with the following tools

Outlook Express for e-mail readingFrontPage Express for authoring of HTML Web pagesNet Meeting for collaboration

Netscape Navigator 46 suite consists of the browser plus the following componentsMessenger for e-mail readingComposer for authoring HTML Web pagesCollabora for news offeringsCalendar for personal and group schedulingNetcaster for push delivery of Web pages

16copy Prentice Hall 2000

Web Servers A Software Program

http daemon in Unix http service in Windows NT Functions

service HTTP requestsprovide access control determining who can access

particular directories or files on the Web serverrun scripts and external programs to either add

functionality to the Web documents or provide real-time access to database and other dynamic data

enable management and administration of both the server functions and the contents of the Web site

log transactions that the user makes Distinguished by

platforms performance security and commerce

17copy Prentice Hall 2000

Internet SecurityCornerstones of Security

Authenticitythe sender (either client or server) of a message is who he she or

it claims to be Privacy

the contents of a message are secret and only known to the sender and receiver

Integritythe contents of a message are not modified (intentionally or

accidentally) during transmission Non-repudiation

the sender of a message cannot deny that he she or it actually sent the message

18copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Private Key Private Key

Encryption

Private Key Encryption (Symmetrical Key Encryption)Data Encryption Standard (DES) is the most widely used

symmetrical encryption algorithm

19copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Public Key Encryption (Asymmetrical Key Encryption)

Encryption (cont)

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 15: Prentice Hall, 2000

15copy Prentice Hall 2000

Web Browsers (1999 Generation)

IE 46 suite of components consists of the browser along with the following tools

Outlook Express for e-mail readingFrontPage Express for authoring of HTML Web pagesNet Meeting for collaboration

Netscape Navigator 46 suite consists of the browser plus the following componentsMessenger for e-mail readingComposer for authoring HTML Web pagesCollabora for news offeringsCalendar for personal and group schedulingNetcaster for push delivery of Web pages

16copy Prentice Hall 2000

Web Servers A Software Program

http daemon in Unix http service in Windows NT Functions

service HTTP requestsprovide access control determining who can access

particular directories or files on the Web serverrun scripts and external programs to either add

functionality to the Web documents or provide real-time access to database and other dynamic data

enable management and administration of both the server functions and the contents of the Web site

log transactions that the user makes Distinguished by

platforms performance security and commerce

17copy Prentice Hall 2000

Internet SecurityCornerstones of Security

Authenticitythe sender (either client or server) of a message is who he she or

it claims to be Privacy

the contents of a message are secret and only known to the sender and receiver

Integritythe contents of a message are not modified (intentionally or

accidentally) during transmission Non-repudiation

the sender of a message cannot deny that he she or it actually sent the message

18copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Private Key Private Key

Encryption

Private Key Encryption (Symmetrical Key Encryption)Data Encryption Standard (DES) is the most widely used

symmetrical encryption algorithm

19copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Public Key Encryption (Asymmetrical Key Encryption)

Encryption (cont)

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 16: Prentice Hall, 2000

16copy Prentice Hall 2000

Web Servers A Software Program

http daemon in Unix http service in Windows NT Functions

service HTTP requestsprovide access control determining who can access

particular directories or files on the Web serverrun scripts and external programs to either add

functionality to the Web documents or provide real-time access to database and other dynamic data

enable management and administration of both the server functions and the contents of the Web site

log transactions that the user makes Distinguished by

platforms performance security and commerce

17copy Prentice Hall 2000

Internet SecurityCornerstones of Security

Authenticitythe sender (either client or server) of a message is who he she or

it claims to be Privacy

the contents of a message are secret and only known to the sender and receiver

Integritythe contents of a message are not modified (intentionally or

accidentally) during transmission Non-repudiation

the sender of a message cannot deny that he she or it actually sent the message

18copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Private Key Private Key

Encryption

Private Key Encryption (Symmetrical Key Encryption)Data Encryption Standard (DES) is the most widely used

symmetrical encryption algorithm

19copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Public Key Encryption (Asymmetrical Key Encryption)

Encryption (cont)

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 17: Prentice Hall, 2000

17copy Prentice Hall 2000

Internet SecurityCornerstones of Security

Authenticitythe sender (either client or server) of a message is who he she or

it claims to be Privacy

the contents of a message are secret and only known to the sender and receiver

Integritythe contents of a message are not modified (intentionally or

accidentally) during transmission Non-repudiation

the sender of a message cannot deny that he she or it actually sent the message

18copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Private Key Private Key

Encryption

Private Key Encryption (Symmetrical Key Encryption)Data Encryption Standard (DES) is the most widely used

symmetrical encryption algorithm

19copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Public Key Encryption (Asymmetrical Key Encryption)

Encryption (cont)

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 18: Prentice Hall, 2000

18copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Private Key Private Key

Encryption

Private Key Encryption (Symmetrical Key Encryption)Data Encryption Standard (DES) is the most widely used

symmetrical encryption algorithm

19copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Public Key Encryption (Asymmetrical Key Encryption)

Encryption (cont)

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 19: Prentice Hall, 2000

19copy Prentice Hall 2000

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Public Key Encryption (Asymmetrical Key Encryption)

Encryption (cont)

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 20: Prentice Hall, 2000

20copy Prentice Hall 2000

Encryption (cont)

Digital Envelope mdash combination of symmetrical and public key encryption

MessageText

CipheredText

MessageText

Sender Receiver

Encryption Decryption

Session Key Session Key

Public key of Recipient

Public key of RecipientSession Key Session KeyDigital Envelop

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 21: Prentice Hall, 2000

21copy Prentice Hall 2000

MessageText

MessageText

Sender Receiver

Encryption Decryption

Public Key of Recipient

Private Key ofRecipient

Digital Signatures Authenticity and Non-Denial

Signature Signature

Private Key of Sender

Public Key of Sender

CipheredText

Encryption (cont)

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 22: Prentice Hall, 2000

22copy Prentice Hall 2000

Digital Certificates andCertifying Authorities

Digital Certificates Verify the holder of a public and private key is who he

she or it claims to beCertifying Authorities (CA)

Issue digital certificates Verify the information and creates a certificate that

contains the applicantrsquos public key along with identifying information

Uses their private key to encrypt the certificate and sends the signed certificate to the applicant

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 23: Prentice Hall, 2000

23copy Prentice Hall 2000

Secure Socket Layer (SSL)

A protocol that operates at the TCPIP layerEncrypts communications between browsers

and serversSupports a variety of encryption algorithms

and authentication methodsEncrypts credit card numbers that are sent

from a consumerrsquos browser to a merchantsrsquo Web site

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 24: Prentice Hall, 2000

24copy Prentice Hall 2000

Secure Electronic Transactions (SET)

A cryptographic protocol to handle the complete transaction

Provides authentication confidentiality message integrity and linkage

Supporting features Cardholder registration Merchant registration Purchase requests Payment authorizations Payment capture

Chargebacks Credits Credit reversal Debit card transactions

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 25: Prentice Hall, 2000

25copy Prentice Hall 2000

Access Control

Password Protection Passwords are notoriously susceptible to

compromiseUsers have a habit of sharing their passwords with

others writing them down where others can see them and choosing passwords that are easily guessed

Browser transmits the passwords in a form that is easily intercepted and decoded By making sure that even if the passwords are compromised the intruder only has restricted access to the rest of the network which is one of the roles of a firewall

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 26: Prentice Hall, 2000

26copy Prentice Hall 2000

Firewalls A network node consisting of both hardware and software that isolates

a private network from a public network Make sure that even if the passwords are compromised the intruder

only has restricted access to the rest of the network Two types

Dual-homed gatewaybastion gateway connects a private internal network to outside Internetproxies (software programs) run on the gateway server and pass

repackaged packets from one network to the other Screen-host gateway

screened subnet gateway in which the bastion gateway offers access to a small segment of the internal network

demilitarized zone is the open subnet

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 27: Prentice Hall, 2000

27copy Prentice Hall 2000

Screened Subnet Firewall

InternetRouter Local

Network

BastionHost

ProxiesFTP HTTP

NNTPTelnet

Router

FTP Server

Web Server

copy Prentice Hall 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 28: Prentice Hall, 2000

28copy Prentice Hall 2000

Virtual Private Networks (VPN)

A VPN combines encryption authentication and protocol tunneling to provide secure transport of private communications over the public Internet Itrsquos as if the Internet becomes part of a larger enterprise wide area network (WAN) In this way transmission costs are drastically reduced because workers can access enterprise data by making a local call into an ISP rather than using a long distance phone call

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 29: Prentice Hall, 2000

29copy Prentice Hall 2000

Virtual Private Networks (VPN) (cont)

Real challenge of a VPN To ensure the confidentiality and integrity of the data transmitted

over the Internet

Protocol tunneling Support multi-protocol networking To encrypt and encapsulate the data being transmitted Types of protocol mdash being used to carry out protocol tunneling

protocols are aimed primarily at site-to-site VPNs (eg IPV6)protocols are used to support VPNs that provide employees

customers and others with dial-up access via an ISP (eg Microsoftrsquos Point-to-Point Tunneling Protocol (PPTP))

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 30: Prentice Hall, 2000

30copy Prentice Hall 2000

Selling on the WebFunction Requirements for an Electronic Storefront

Search for discover and compare products for purchase Select a product to be purchased and negotiate or determine its total

price Place an order for desired products Have their order confirmed ensuring that the desired product is

available Pay for the ordered products (usually through some form of credit) Verify their credit and approve their purchase Have orders processed Verify that the product has been shipped Request post-sales support or provide feedback to the seller

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 31: Prentice Hall, 2000

31copy Prentice Hall 2000

Selling on the Web (cont)

Electronic storefront must contain A merchant system or storefront that provides the

merchantrsquos catalog with products prices and promotions

A transaction system for processing orders and payments and other aspects of the transaction

A payment gateway that routes payments through existing financial systems primarily for the purpose of credit card authorization and settlement

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 32: Prentice Hall, 2000

32copy Prentice Hall 2000

Outsourcing Vs Insourcing Insourcingmdash build and run the electronic storefront inhouse

Large companies wanting bull to ldquoexperimentrdquo with e-commerce without a great investmentbull to protect their own internal networksbull to rely on experts to establish their sites

Outsourcingmdash contract with an outside firmSmaller or medium sized companies with few IT staff and smaller

budgetsThree types of providers

bull Internet Mallsmdash offers cross-selling from one store to another and provides a common payment structure

bull Internet Service Providersmdash focused on operating a secure transaction environment not on store content

bull Telecommunication Companiesmdash includes the full range of e-commerce solutions

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 33: Prentice Hall, 2000

33copy Prentice Hall 2000

Electronic Catalogs and Merchant Servers

The virtual equivalents of traditional product catalogs Commonly include

Templates or wizards for creating a storefront and catalog pages with pictures describing products for sale

Electronic shopping carts that enable consumers to gather items of interest until they are ready for checkout

Web-based order forms for making secure purchases (either through a SSL or a SET)

Database for maintaining product descriptions and pricing as well as customer orders

Integration with third party software for calculating taxes and shipping costs and for handling distribution and fulfillment

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 34: Prentice Hall, 2000

34copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Internet

WebServer

FinancialNetwork

Merchant Server Architecture

3rd PartyApplications

WebBrowser

StoreHTML Pages

MerchantServer

DatabaseCatalogOrder

copy Prentice Hall 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 35: Prentice Hall, 2000

35copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Two of the best known products in this category iCat Electronic Commerce Suite

Standard edition includesbull Catalog templatesbull Shopping cartsbull Product searching

Professional edition provides support forbull High-end databasesbull Integration with ISAPI and Netscapes NSAPIbull Options for third-party plug-ins for searching user tracking sale

pricing discounting etc

bull Cross sellingbull Secure payment processing

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 36: Prentice Hall, 2000

36copy Prentice Hall 2000

Electronic Catalogs and MerchantServers (cont)

Microsoftrsquos Site Server Commerce EditionFeatures of this product are

bull Commerce Sample Sites providing templates for complete applicationsbull Microsoftrsquos Wallet supporting a variety of digital currenciesbull Site Builder Wizard for stores with multi-level departmentsbull Commerce Server Software Development Kit (SDK) for developing custom-

order processingbull Order processing pipeline for managing orders according to specified

business rulesbull Microsoftrsquos Wallet Software Development Kit (SDK) for supporting a variety of

digital payment schemesbull Promotion and Cross-selling Manager for administering a range of

specialized promotions discountscross-selling opportunitiesbull Integration with Microsoftrsquos Web site development (eg Visual InterDev) and

administrative tools (eg NT Security Support)

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 37: Prentice Hall, 2000

37copy Prentice Hall 2000

Electronic Commerce Suites Offer merchants greater flexibility specialization

customization and integration in supporting complete front and back-office functionality

Internet

CatalogApplicationCustomer

ManagementRegistration

Profiles Service

Order CaptureCompletion Fulfillment

SystemsPayment

Processing(SET amp Purchase

Order)

CatalogDatabase

CustomerDatabase

OrderDatabase

PaymentDatabase

FinancialNetwork

WebBrowser Web

Server

Open Market E-Commerce Server Architecture

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 38: Prentice Hall, 2000

38copy Prentice Hall 2000

Open Market (wwwopenmarketcom)

One of the market leaders in the electronic commerce software segment

Provides a compete set of end-to-end transaction services includingAnalysis and ProfilingDemand GenerationOrder ManagementFulfillmentPaymentSelf-ServiceCustomer ServiceReporting

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 39: Prentice Hall, 2000

39copy Prentice Hall 2000

Chatting on the Web

Varied uses of the forums and chat groups Communication Centers

a virtual meeting place where communications can take place among the participants

Customer Serviceoffer online support where customers can converse with help-

line staff and receive advice Community Discussion

provide forums and chat services with a marketing eye toward developing a community of loyal users followers and advocates

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 40: Prentice Hall, 2000

40copy Prentice Hall 2000

Multimedia DeliveryWebcastingmdash describes Internet-based broadcasting of audio and video

content Types of Webcasts

Text Streamsmdash Text-only wordcasts and datacastsbull to deliver constant news and stock price updates

Ambient Webcastsmdash Video contentbull is captured from a Webcam and delivered as single-frame updates that are

transmitted at periodic intervalsStreaming Audiomdash Web equivalent of radio

bull to deliver everything from talk radio to sports broadcasts to music previews to archived music and radio shows

Streaming Videobull to deliver videoconferences where high quality images are not required and

there is not much movement among participants

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 41: Prentice Hall, 2000

41copy Prentice Hall 2000

Webcasting Works in a straightforward way Examples of companies offering both Webcast servers and players

RealNetworks ( wwwrealcom )Liquid Audio ( wwwliquidaudiocom )Xingtech with its streamworks technology ( wwwxingtechcom )Apple with its QuickTime system ( quicktimeapplecom )Microsoft with its Netshow software (wwwmicrosoftcomwindowswindowsmedia )

Multicastingstream a Webcast from a central server to other media servers which are distributed to

different locationswhen a listener or viewer clicks on a Webcast link they are automatically routed to the

closest server

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 42: Prentice Hall, 2000

42copy Prentice Hall 2000

Bandwidth Requirements for Streaming Audio and Video

Bandwidth [1 mbps = 1 million kbps]the speed with which content can be delivered144 kbps to 56 kbps for connecting to the Internet over the

telephone through modems128 kbps for connecting to the Internet over ISDN telephone

lines1 - 15 mbps for connecting to the Internet over digital

subscriber line (DSL)10 mbps for downloading over cable wires

To download a standard Web page say around 400000 kilobits56 kbps modem takes about 7 secondsCable modem takes about 004 seconds

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 43: Prentice Hall, 2000

43copy Prentice Hall 2000

Internet Telephones Internet phones

programs that let you talk with other people using the Internet

the added cost to the end user is at best zero and at worst a substantially lower total charge than a standard telephone call

PC-to-PC PC-to-phone and phone-to-phonevendors who dominate the Internet telephone market space

bull VocalTec ( wwwvocalteccom )bull IDT ( wwwmet2phonecom )bull Delta Three ( wwwdeltathreecom )

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 44: Prentice Hall, 2000

44copy Prentice Hall 2000

Analyzing Web Visits Access logs file

Text file example wwwsomewherecom - [18Aug1998120000 +0000] ldquoGet a htm HTTP10rdquo 200 15000

Telling you which pages are most popular which times are most popular which geographical regions make the most requests and other interesting tidbits that help site administrators maintain and refine their sites

Software for analyzing access log files (FREE) netAnalysis form netGenesis ( wwwnetgencom ) Insight form Accrue ( wwwaccruecom ) Web Trends Log Analyzer from Web Trends Corporation (

wwwegsoftwarecom )

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues
Page 45: Prentice Hall, 2000

45copy Prentice Hall 2000

Managerial IssuesNow or latermdash the question is no longer ldquoWillrdquo but ldquoWhenrdquoItrsquos the business issues that countmdash to succeed a

business must understand how to meet the needs of their online customers

In-house or outsourcemdash mainly depends on the company size

Analyzing the datamdash automatic record of everyone who visits your Web site

Securitymdash management takes every precaution to ensure the security of their sites and their communications with site visitors

Evolving Webmdash rapid change of the underlying standards protocols and governance

  • Chapter 11 Infrastructure for Electronic Commerce
  • Learning Objectives
  • Learning Objectives (cont)
  • A Network of Networks = Internet
  • Internet Network Architecture
  • Internet Protocols
  • TCPIP Architecture
  • TCPIP
  • Domain Names
  • Internet ClientServer Applications
  • New World Network Internet2
  • New World Network Next Generation Internet
  • Web-based ClientServer
  • Web-based ClientServer (cont)
  • Slide 15
  • Slide 16
  • Internet Security
  • Slide 18
  • Slide 19
  • Encryption (cont)
  • Slide 21
  • Digital Certificates and Certifying Authorities
  • Secure Socket Layer (SSL)
  • Secure Electronic Transactions (SET)
  • Access Control
  • Firewalls
  • Screened Subnet Firewall
  • Virtual Private Networks (VPN)
  • Virtual Private Networks (VPN) (cont)
  • Selling on the Web
  • Selling on the Web (cont)
  • Slide 32
  • Slide 33
  • Electronic Catalogs and Merchant Servers (cont)
  • Slide 35
  • Slide 36
  • Slide 37
  • Slide 38
  • Chatting on the Web
  • Multimedia Delivery
  • Slide 41
  • Slide 42
  • Slide 43
  • Analyzing Web Visits
  • Managerial Issues