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| Preface | p. xviii |
| Introduction | |
| Introduction to Electronic Commerce | p. 2 |
| Traditional Commerce and Electronic Commerce | p. 4 |
| Traditional Commerce | p. 7 |
| Electronic Commerce | p. 12 |
| International Electronic Commerce | p. 17 |
| Economic Forces and Electronic Commerce | p. 18 |
| Transaction Costs | p. 19 |
| Markets and Hierarchies | ... MOREp. 20 |
| The Role of Electronic Commerce | p. 21 |
| Network Economic Structures | p. 22 |
| Network Effects | p. 23 |
| Value Chains in Electronic Commerce | p. 24 |
| Strategic Business Unit Value Chains | p. 24 |
| Industry Value Chains | p. 26 |
| SWOT Analysis: Evaluating Business Unit Opportunities | p. 28 |
| The Role of Electronic Commerce | p. 29 |
| Technology Infrastructure: The Internet and the World Wide Web | p. 37 |
| The Internet and World Wide Web | p. 38 |
| Origins of the Internet | p. 39 |
| New Uses for the Internet | p. 40 |
| Commereial Use of the Internet | p. 40 |
| Growth of the Internet | p. 41 |
| Emergence of the World Wide Web | p. 42 |
| Packet-Switched Networks | p. 45 |
| Routing Packets | p. 46 |
| Internet Protocols | p. 47 |
| TCP/IP | p. 48 |
| IP Addressing | p. 48 |
| Domain Names | p. 50 |
| Web Page Request and Delivery Protocols | p. 51 |
| Electronic Mail Protocols | p. 51 |
| Markup Languages and the Web | p. 53 |
| Standard Generalized Markup Language | p. 54 |
| Hypertext Markup Language (HTML) | p. 55 |
| Extensible Markup Language (XML) | p. 61 |
| HTML and XML Editors | p. 66 |
| Intranets and Extranets | p. 68 |
| Intranets | p. 68 |
| Extranets | p. 68 |
| Public and Private Networks | p. 69 |
| Virtual Private Network (VPN) | p. 69 |
| INTERNET Connection Options | p. 71 |
| Connectivity Overview | p. 71 |
| Voice-Grade Telephone Connections | p. 71 |
| Broadband Connections | p. 71 |
| Leased-Line Connections | p. 74 |
| Wireless Connections | p. 74 |
| Internet2 and the Semantic Web | p. 77 |
| Business Strategies For Electronic Commerce | |
| Selling on the Web: Revenue Models and Building a Web Presence | p. 88 |
| Revenue Models for Selling on the Web | p. 89 |
| Web Catalog Revenue Models | p. 89 |
| Digital Content Revenue Models | p. 97 |
| Advertising-Supported Revenue Models | p. 99 |
| Advertising-Subscription Mixed Revenue Models | p. 103 |
| Fee-for-Transaction Revenue Models | p. 104 |
| Fee-for-Service Revenue Models | p. 111 |
| Revenue Models in Transition | p. 113 |
| Subscription to Advertising-Supported Model | p. 114 |
| Advertising-Supported to Advertising-Subscription Mixed Model | p. 114 |
| Advertising-Supported to Fee-for-Services Model | p. 114 |
| Advertising-Supported to Subscription Model | p. 115 |
| Multiple Transitions | p. 115 |
| Revenue Strategy Issues | p. 117 |
| Channel Conflict and Cannibalization | p. 117 |
| Strategic Alliances and Channel Distribution Management | p. 118 |
| Creating an Effective Web Presence | p. 121 |
| Identifying Web Presence Goals | p. 121 |
| Achieving Web Presence Goals | p. 122 |
| Web Site Usability | p. 127 |
| How the Web is Different | p. 127 |
| Meeting the Needs of Web Site Visitors | p. 128 |
| Trust and Loyalty | p. 130 |
| Rating Electronic Commerce Web Sites | p. 131 |
| Usability Testing | p. 132 |
| Connecting With Customers | p. 135 |
| The Nature of Communication on the Web | p. 135 |
| Marketing on the Web | p. 146 |
| Web Marketing Strategies | p. 148 |
| Product-Based Marketing Strategies | p. 149 |
| Customer-Based Marketing Strategies | p. 151 |
| Communicating with Different Market Segments | p. 153 |
| Trust and Media Choice | p. 153 |
| Market Segmentation | p. 154 |
| Market Segmentation on the Web | p. 156 |
| Offering Customers a Choice on the Web | p. 158 |
| Beyond Market Segmentation: Customer Behavior and Relationship Intensity | p. 159 |
| Segmentation Using Customer Behavior | p. 159 |
| Customer Relationship Intensity and Life-Cycle Segmentation | p. 162 |
| Acquisition, Conversion, and Retention of Customers | p. 165 |
| Advertising on the Web | p. 167 |
| Banner Ads | p. 167 |
| Other Web Ad Formats | p. 171 |
| E-mail Marketing | p. 172 |
| Permission Marketing | p. 173 |
| Technology-Enabled Customer Relationship Management | p. 174 |
| CRM as a Source of Value in the Marketspace | p. 175 |
| Creating and Maintaining Brands on the Web | p. 177 |
| Elements of Branding | p. 177 |
| Emotional Branding vs. Rational Branding | p. 178 |
| Brand Leveraging Strategies | p. 179 |
| Brand Consolidation Strategies | p. 179 |
| Costs of Branding | p. 180 |
| Affiliate Marketing Strategies | p. 180 |
| Viral Marketing Strategies | p. 182 |
| Search Engine Positioning and Domain Names | p. 183 |
| Search Engines and Web Directories | p. 183 |
| Web Site Naming Issues | p. 185 |
| Business-to-Business Strategies: From Electronic Data Interchange to Electronic Commerce | p. 195 |
| Purchasing, Logistics, and Support Activities | p. 197 |
| Purchasing Activities | p. 197 |
| Direct vs. Indirect Materials Purchasing | p. 199 |
| Logistics Activities | p. 200 |
| Support Activities | p. 201 |
| E-Government | p. 203 |
| Network Model of Economic Organization | p. 205 |
| Electronic Data Interchange | p. 206 |
| Early Business Information Interchange Efforts | p. 206 |
| Emergence of Broader EDI Standards | p. 207 |
| How EDI Works | p. 209 |
| Value-Added Networks | p. 213 |
| EDI on the Internet | p. 216 |
| Open Architecture of the Internet | p. 216 |
| Financial EDI | p. 217 |
| Supply Chain Management | p. 219 |
| Value Creation in the Supply Chain | p. 219 |
| Internet Technologies and the Supply Chain | p. 220 |
| Building and Maintaining Trust in the Supply Chain | p. 223 |
| Electronic Marketplaces and Portals | p. 224 |
| Industry Marketplaces | p. 224 |
| Private Stores and Customer Portals | p. 227 |
| Private Company Marketplaces | p. 227 |
| Industry Consortia-Sponsored Marketplaces | p. 228 |
| Web Auctions, Virtual Communities, and Web Portals | p. 237 |
| Auction Overview | p. 238 |
| Origins of Auctions | p. 239 |
| English Auctions | p. 239 |
| Dutch Auctions | p. 240 |
| First-Price Sealed-Bid Auctions | p. 240 |
| Second-Price Sealed-Bid Auctions | p. 241 |
| Open-Outery Double Auctions | p. 241 |
| Sealed-Bid Double Auctions | p. 241 |
| Web Auctions and Related Businesses | p. 243 |
| General Consumer Auctions | p. 243 |
| Specialty Consumer Auctions | p. 249 |
| Business-to-Business Auctions | p. 252 |
| Auction-Related Services | p. 255 |
| Seller-Bid (Reverse) Auctions | p. 256 |
| Group Purchasing Sites | p. 258 |
| Virtual Community and Portal Strategies | p. 259 |
| Mobile Commerce | p. 259 |
| Electronic Marketplaces | p. 260 |
| Intelligent Software Agents | p. 261 |
| Push Technology | p. 263 |
| Virtual Communities | p. 263 |
| Early Web Communities | p. 264 |
| Web Community Consolidation | p. 265 |
| Web Portal Strategies | p. 265 |
| The Environment of Electronic Commerce: International, Legal, Ethical, and Tax Issues | p. 275 |
| International Nature of Electronic Commerce | p. 276 |
| Trust and Culture on the Web | p. 277 |
| Language Issues | p. 278 |
| Culture Issues | p. 281 |
| Infrastructure Issues | p. 287 |
| The Legal Environment of Electronic Commerce | p. 290 |
| Borders and Jurisdiction | p. 290 |
| Jurisdiction on the Internet | p. 293 |
| Contracting and Contract Enforcement in Electronic Commerce | p. 296 |
| Web Site Content Issues | p. 302 |
| Web-Based Crime, Terrorism, and Warfare | p. 307 |
| Ethical Issues | p. 308 |
| Ethics and Web Business Policies | p. 309 |
| Privacy Rights and Obligations | p. 309 |
| Communications with Children | p. 312 |
| Taxation and Electronic Commerce | p. 314 |
| Nexus | p. 314 |
| Income Taxes | p. 314 |
| Sales Taxes | p. 316 |
| Technologies for Electronic Commerce | |
| Web Server Hardware and Software | p. 326 |
| Web Server Basics | p. 327 |
| Types of Web Sites | p. 328 |
| Web Clients and Web Servers | p. 329 |
| Dynamic Content | p. 330 |
| Various Meanings of "Server" | p. 331 |
| Web Client/Server Communication | p. 331 |
| Two-Tier Client/Server Architecture | p. 332 |
| Three-Tier and N-Tier Client/Server Architectures | p. 334 |
| Software for Web Servers | p. 335 |
| Operating Systems for Web Servers | p. 335 |
| Web Server Software | p. 337 |
| Finding Web Server Software Information | p. 342 |
| Web Site and Internet Utility Programs | p. 343 |
| Finger and Ping Utilities | p. 343 |
| Tracert and Other Route-Tracing Programs | p. 344 |
| Electronic Mail | p. 345 |
| Telnet and FTP Utilities | p. 347 |
| Indexing and Searching Utility Programs | p. 349 |
| Data Analysis Software | p. 349 |
| Link-Checking Utilities | p. 350 |
| Remote Server Administration | p. 351 |
| Web Server Hardware | p. 352 |
| Server Computers | p. 352 |
| Web Server Performance Evaluation | p. 354 |
| Web Server Hardware Architectures | p. 356 |
| Web Hosting Choices | p. 359 |
| Electronic Commerce Software | p. 368 |
| Basic Functions of Electronic Commerce Software | p. 369 |
| Catalog Display | p. 370 |
| Shopping Cart | p. 371 |
| Transaction Processing | p. 375 |
| Advanced Functions of Electronic Commerce Software | p. 376 |
| Middleware | p. 376 |
| Application Integration and Databases | p. 377 |
| Web Services | p. 379 |
| Integration with ERP Systems | p. 381 |
| Electronic Commerce Software for Small and Mid-Sized Companies | p. 382 |
| Basic Commerce Service Providers | p. 384 |
| Mall-Style Commerce Service Providers | p. 386 |
| Estimated Operating Expenses for a Small Web Business | p. 389 |
| Electronic Commerce Software for Medium-Sized to Large Businesses | p. 390 |
| Web Site Development Tools | p. 390 |
| Intershop Enfinity | p. 391 |
| IBM WebSphere Commerce Professional Edition | p. 392 |
| Microsoft Commerce Server 2002 | p. 393 |
| Electronic Commerce Software for Large Businesses | p. 394 |
| Enterprise-Class Electronic Commerce Software | p. 395 |
| Customer Relationship Management Software | p. 397 |
| Supply Chain Management Software | p. 397 |
| Content Management Software | p. 398 |
| Knowledge Management Software | p. 399 |
| Security Threats to Electronic Commerce | p. 406 |
| Internet Security Issues Overview | p. 407 |
| Computer Security Classifications | p. 409 |
| Security Policy and Integrated Security | p. 409 |
| Intellectual Property Threats | p. 411 |
| Cybersquatting | p. 411 |
| Name Changing | p. 413 |
| Name Stealing | p. 413 |
| Threats to the Security of Client Computers | p. 414 |
| Active Content | p. 414 |
| Steganography | p. 425 |
| Threats to the Security of Communication Channels | p. 425 |
| Secrecy Threats | p. 426 |
| Integrity Threats | p. 429 |
| Necessity Threats | p. 429 |
| Threats to the Physical Security of Internet Communications Channels | p. 430 |
| Threats to Wireless Networks | p. 430 |
| Threats to the Security of Server Computers | p. 431 |
| Web Server Threats | p. 431 |
| Database Threats | p. 434 |
| Common Gateway Interface Threats | p. 434 |
| Other Programming Threats | p. 435 |
| Threats to the Physical Security of Web Servers | p. 436 |
| Organizations that Promote Computer Security | p. 437 |
| Implementing Electronic Commerce Security | p. 445 |
| Electronic Commerce Security Objectives | p. 446 |
| History of Security in Computer Information Systems | p. 446 |
| Security Requirements for Electronic Commerce | p. 447 |
| Protecting Intellectual Property | p. 448 |
| Protecting Privacy of Web Site Customers | p. 451 |
| Protecting Client Computers | p. 454 |
| Digital Certificates | p. 454 |
| Client Security in Microsoft Internet Explorer | p. 457 |
| Client Security in Netscape Navigator | p. 460 |
| Using Antivirus Software | p. 462 |
| Protecting Electronic Commerce Communication Channels | p. 462 |
| Encryption | p. 463 |
| Encryption Algorithms and Standards | p. 467 |
| Secure Sockets Layer (SSL) Protocol | p. 468 |
| Secure HTTP (S-HTTP) | p. 472 |
| Ensuring Transaction Integrity with Hash Functions | p. 474 |
| Ensuring Transaction Integrity with Digital Signatures | p. 474 |
| Guaranteeing Transaction Delivery | p. 476 |
| Protecting the Web Server | p. 476 |
| Access Control and Authentication | p. 478 |
| Operating System Controls | p. 480 |
| Firewalls | p. 481 |
| Computer Forensics and Ethical Hacking | p. 483 |
| Physical Security | p. 484 |
| Payment Systems for Electronic Commerce | p. 490 |
| Online Payment Basics | p. 492 |
| Payment Cards | p. 494 |
| Advantages and Disadvantages of Payment Cards | p. 495 |
| Payment Acceptance and Processing | p. 496 |
| Electronic Cash | p. 499 |
| Holding Electronic Cash: Online and Offline Cash | p. 502 |
| Advantages and Disadvantages of Electronic Cash | p. 502 |
| How Electronic Cash Works | p. 503 |
| Providing Security for Electronic Cash | p. 504 |
| Electronic Cash Systems | p. 505 |
| Electronic Wallets | p. 512 |
| Microsoft .NET Passport | p. 514 |
| Yahoo! Wallet | p. 515 |
| W3C Micropayment Standards Development Activity | p. 516 |
| The ECML Standard | p. 517 |
| Stored-Value Cards | p. 519 |
| Magnetic Strip Cards | p. 520 |
| Smart Cards | p. 520 |
| Integration | |
| Planning for Electronic Commerce | p. 532 |
| Planning Electronic Commerce Initiatives | p. 533 |
| Identifying Objectives | p. 533 |
| Linking Objectives to Business Strategies | p. 534 |
| Measuring Benefit Objectives | p. 535 |
| Measuring Cost Objectives | p. 536 |
| Comparing Benefits to Costs | p. 541 |
| Return on Investment (ROI) | p. 541 |
| Strategies for Developing Electronic Commerce Web Sites | p. 543 |
| Internal Development vs. Outsourcing | p. 544 |
| Selecting a Hosting Service | p. 547 |
| New Methods for Implementing Partial Outsourcing | p. 548 |
| Managing Electronic Commerce Implementations | p. 550 |
| Project Management | p. 550 |
| Project Portfolio Management | p. 552 |
| Staffing for Electronic Commerce | p. 552 |
| Post-Implementation Audits | p. 554 |
| Glossary | p. 562 |
| Index | p. 595 |
| Table of Contents provided by Ingram. All Rights Reserved. |