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E-commerce2021:Business.Technology.Society.SixteenthEditionChapter1TheRevolutionIsJustBeginningCopyright©2022,2019,2018PearsonEducation,Inc.AllRightsReservedLearningObjectives1.1
Understandwhyitisimportanttostudye-commerce.1.2
Definee-commerce,understandhowe-commercediffersfrome-business,identifytheprimarytechnologicalbuildingblocksunderlyinge-commerce,andrecognizemajorcurrentthemesine-commerce.1.3
Identifyanddescribetheuniquefeaturesofe-commercetechnologyanddiscusstheirbusinesssignificance.1.4
Describethemajortypesofe-commerce.1.5
Understandtheevolutionofe-commercefromitsearlyyearstotoday.1.6
Describethemajorthemesunderlyingthestudyofe-commerce.1.7
Identifythemajoracademicdisciplinescontributingtoe-commerce.Uber:TheNewFaceofE-commerce?ClassDiscussionHaveyouusedUberoranyotheron-demandservicecompanies?Whatistheappealofthesecompaniesforusersandproviders?Arethereanynegativeconsequencestotheincreaseduseofon-demandserviceslikeUberandAirbnb?HowhastheCovid-19pandemicimpactedUberandotheron-demandservices?TheFirstThirtySecondsFirsttwodecadesofe-commerceJustthebeginningRapidgrowthandchangeTechnologiesevolveatexponentialratesDisruptivebusinesschangeNewopportunitiesWhystudye-commerceUnderstandopportunitiesandrisksAnalyzee-commerceideas,models,issuesIntroductiontoE-commerceUseofInternettotransactbusinessIncludesWeb,mobilebrowsersandappsMoreformally:DigitallyenabledcommercialtransactionsbetweenandamongorganizationsandindividualsTheDifferenceBetweenE-commerceandE-businessE-business:Digitalenablingoftransactionsandprocesseswithinafirm,involvinginformationsystemsunderfirm’scontrolDoesnotincludecommercialtransactionsinvolvinganexchangeofvalueacrossorganizationalboundariesTechnologicalBuildingBlocksUnderlyingE-commerceInternetWorldWideWebH
T
M
LDeepWebversus“surface”WebMobileplatformMobileappsInsightonTechnology:WillAppsMaketheWebIrrelevant?ClassDiscussionWhataretheadvantagesanddisadvantagesofapps,comparedwithwebsites,formobileusers?Whatarethebenefitsofappsforcontentownersandcreators?Whatareprogressivewebapps(P
W
A
s)andhowdotheydifferfromnativeapps?WillappseventuallymaketheWebirrelevant?Whyorwhynot?MajorTrendsinE-commerceBusinesstrendsinclude:Covid-19pandemicfuelssurgeinretaile-commerce,m-commerce,andcertainon-demandservicesTechnologytrendsinclude:MobileplatformandcloudcomputingBigdataandInternetofThingsSocietaltrendsinclude:IncreasedconcernaboutimpactofsocialnetworksConcernsaboutincreasingmarketdominanceofbigtechnologyfirmsUniqueFeaturesofE-commerceTechnology(1of2)UbiquityGlobalreachUniversalstandardsInformationrichnessUniqueFeaturesofE-commerceTechnology(2of2)InteractivityInformationdensityPersonalization/customizationSocialtechnologyTypesofE-commerceBusiness-to-Consumer(B2C)Business-to-Business(B2B)Consumer-to-Consumer(C2C)Mobilee-commerce(M-commerce)Sociale-commerceLocale-commerceFigure1.5TheGrowthofB2CE-commerceintheUnitedStatesFigure1.7TheGrowthofB2BE-commerceintheUnitedStatesFigure1.8TheGrowthofM-commerceintheUnitedStatesE-commerce:ABriefHistory(1of4)PrecursorsBaxterHealthcaremodem-basedsystem(1970s)Orderentrysystems(1980s)ElectronicDataInterchange(E
D
I)standards(1980s)FrenchMinitel(1981)E-commerce:ABriefHistory(2of4)1995–2000:InventionSaleofsimpleretailgoodsLimitedbandwidthandmediaEuphoricvisionsofFriction-freecommerceFirst-moveradvantagesDot-comcrashof2000E-commerce:ABriefHistory(3of4)2001–2006:ConsolidationEmphasisonbusiness-drivenapproachTraditionallargefirmsexpandpresenceStart-upfinancingshrinksMorecomplexproductsandservicessoldGrowthofsearchengineadvertisingBusinesswebpresencesexpandE-commerce:ABriefHistory(4of4)2007–Present:ReinventionRapidgrowthof:Web2.0,includingonlinesocialnetworksMobileplatformLocalcommerceOn-demandserviceeconomyEntertainmentcontentdevelopsassourceofrevenuesTransformationofmarketingFigure1.10PeriodsintheDevelopmentofE-commerceInsightonBusiness:YCombinator’sStartupBootCampClassDiscussionWhydoyouthinkinvestorstodayarestillinterestedininvestinginstartups?WhatarethebenefitsofinvestinginacompanythatisagraduateofaYCombinatorbootcamp?Isanincubatorthebestsolutionforstartupstofindfunding?Whyorwhynot?AssessingE-commerce(1of2)StunningtechnologicalsuccessEarlyyearsamixedbusinesssuccessFewearlydot-comshavesurvivedOnlinesalesgrowingrapidlyManyearlyvisionsnotfulfilledPricedispersionInformationasymmetryNewintermediariesAssessingE-commerce(2of2)OthersurprisesFast-followeradvantagesStart-upcostsImpactofmobileplatformEmergenceofon-demande-commerceUnderstandingE-commerce:OrganizingThemesTechnology:DevelopmentandmasteryofdigitalcomputingandcommunicationstechnologyBusiness:NewtechnologiespresentbusinesseswithnewwaysoforganizingproductionandtransactingbusinessSociety:Intellectualproperty,individualprivacy,publicwelfarepolicyFigure1.11TheInternetandtheEvolutionofCorporateComputingInsightonSociety:FacebookandtheAgeofPrivacyClassdiscussion:Whyaresocialnetworksinterestedincollectinguserinformation?Whattypesofprivacyinvasionaredescribedinthecase?Whichisthemostprivacy-invading,andwhy?WastheF
T
C’s$5billionfineanditsplacementofnewrestrictionsonFacebook’sbusinessoperationssufficientinlightofFacebook’shistorywithrespecttoprivacyviolations?Howdoyouprotectyourprivacyonline?AcademicDisciplinesConcernedwithTechnologyTechnicalComputerscience,managementscience,informationsystemsBehavioralInformationsystemsresearch,economics,marketing,management,finance/accounting,sociologyCareersinE-commercePosition:CategoryspecialistinE-commerceRetailProgramQualification/SkillsPreparingfortheInterviewPossibleInterviewQuestionsCopyrightThisworkisprotectedbyUnitedStatescopyrightlawsandis
providedsolelyfortheuseofinstructorsinteachingtheircoursesandassessingstudentlearning.Disseminationorsaleofanypartofthiswork(includingontheWorldWideWeb)willdestroytheintegrityoftheworkandisnotpermitted.Theworkandmaterialsfromitshouldneverbemadeavailabletostudentsexceptbyinstructorsusingtheaccompanyingtextintheirclasses.Allrecipientsofthisworkareexpectedtoabidebytheserestrictionsandtohonortheintendedpedagogicalpurposesandtheneedsofotherinstructorswhorelyonthesematerials.E-commerce2021:Business.Technology.Society.SixteenthEditionChapter2E-commerceBusinessModelsandConceptsCopyright©2022,2019,2018PearsonEducation,Inc.AllRightsReservedLearningObjectives2.1
Identifythekeycomponentsofe-commercebusinessmodels.2.2
DescribethemajorB2Cbusinessmodels.2.3
DescribethemajorB2Bbusinessmodels.2.4
Understandkeybusinessconceptsandstrategiesapplicabletoe-commerce.CopingwithaPandemic:SmallBusinessesReinventwithE-commerceClassDiscussionPriortothepandemic,didyouphysicallyshopatsmallbusinessesinyourcommunity?Whatstepshavesmallbusinesseswithwhichyouarefamiliartakentocontinueoperatingduringthepandemic?Howlikelyareyoutocontinuenewconsumerbehaviorsinstitutedduringthepandemicafteritisover?Forinstance,ifyouorderedgroceriesonline,willyoucontinuetodoso?E-commerceBusinessModelsBusinessmodelSetofplannedactivitiesdesignedtoresultinaprofitinamarketplaceBusinessplanDescribesafirm’sbusinessmodelE-commercebusinessmodelUses/leveragesuniquequalitiesofInternetandWebEightKeyElementsofaBusinessModelValuepropositionRevenuemodelMarketopportunityCompetitiveenvironmentCompetitiveadvantageMarketstrategyOrganizationaldevelopmentManagementteam1.ValueProposition“Whyshouldthecustomerbuyfromyou?”Successfule-commercevaluepropositions:Personalization/customizationReductionofproductsearch,pricediscoverycostsFacilitationoftransactionsbymanagingproductdelivery2.RevenueModel“Howwillyouearnmoney?”Majortypesofrevenuemodels:AdvertisingrevenuemodelSubscriptionrevenuemodelFreemiumstrategyTransactionfeerevenuemodelSalesrevenuemodelAffiliaterevenuemodelInsightonSociety:Foursquare’sEvolvingBusinessModel:LeveragingYourLocationClassdiscussion:WhyhastheshiftinFoursquare’sbusinessmodelbeenthekeytosuccessforFoursquare?HowcomfortableareyouwiththeabilityofFoursquaretocharacterizebehaviorintovariouspersonas?WhatisyouropinionofFoursquare’scharacterizationofitselfasoneofthe“goodguys”inthelocationdataindustry?HowisFoursquareattemptingtocopewithamoreprivacy-consciousbusinessenvironment?3.MarketOpportunity“Whatmarketspacedoyouintendtoserveandwhatisitssize?”Marketspace:AreaofactualorpotentialcommercialvalueinwhichcompanyintendstooperateRealisticmarketopportunity:DefinedbyrevenuepotentialineachmarketnicheinwhichcompanyhopestocompeteMarketopportunitytypicallydividedintosmallerniches4.CompetitiveEnvironment“Whoelseoccupiesyourintendedmarketspace?”OthercompaniessellingsimilarproductsinthesamemarketspaceIncludesbothdirectandindirectcompetitorsInfluencedby:NumberandsizeofactivecompetitorsEachcompetitor’smarketshareCompetitors’profitabilityCompetitors’pricing5.CompetitiveAdvantage“Whatspecialadvantagesdoesyourfirmbringtothemarketspace?”Isyourproductsuperiortoorcheapertoproducethanyourcompetitors’?Importantconcepts:AsymmetriesFirst-moveradvantage,complementaryresourcesUnfaircompetitiveadvantageLeveragePerfectmarkets6.MarketStrategy“Howdoyouplantopromoteyourproductsorservicestoattractyourtargetaudience?”DetailshowacompanyintendstoentermarketandattractcustomersBestbusinessconceptswillfailifnotproperlymarketedtopotentialcustomers7.OrganizationalDevelopment“Whattypesoforganizationalstructureswithinthefirmarenecessarytocarryoutthebusinessplan?”DescribeshowfirmwillorganizeworkTypically,dividedintofunctionaldepartmentsAscompanygrows,hiringmovesfromgeneraliststospecialists8.ManagementTeam“Whatkindofbackgroundsshouldthecompany’sleadershave?”Astrongmanagementteam:CanmakethebusinessmodelworkCangivecredibilitytooutsideinvestorsHasmarket-specificknowledgeHasexperienceinimplementingbusinessplansRaisingCapitalSeedcapitalElevatorpitchTraditionalsourcesIncubators,angelinvestorsCommercialbanks,venturecapitalfirmsStrategicpartnersEquitycrowdfundingJ
O
B
SActInsightonBusiness:StartupsTurntoCrowdfundingClassDiscussionWouldyoufeelcomfortableinvestinginastartupthatraisescapitalusingequitycrowdfunding?Whyorwhynot?Whyisitimportanttodemocratizeaccesstocapital?Whatobstaclesarepresentedintheuseofcrowdfundingasamethodtofundstartups?CategorizingE-commerceBusinessModelsNoonecorrectwaytocategorizeTextcategorizesaccordingto:E-commercesector(e.g.,B2B)E-commercetechnology(e.g.,m-commerce)SimilarmodelsappearindifferentsectorsCompaniesmayusemultiplebusinessmodels(e.g.,eBay)E-commerceenablersB2CBusinessModelsE-tailerCommunityprovider(socialnetwork)ContentproviderPortalTransactionbrokerMarketcreatorServiceproviderB2CModels:E-TailerOnlineversionoftraditionalretailerRevenuemodel:SalesVariations:VirtualmerchantBricks-and-clicksCatalogmerchantManufacturer-directLowbarrierstoentryB2CModels:CommunityProviderProvideonlineenvironment(socialnetwork)wherepeoplewithsimilarinterestscantransact,sharecontent,andcommunicateExamples:Facebook,LinkedIn,Twitter,PinterestRevenuemodels:Typicallyhybrid,combiningadvertising,subscriptions,sales,transactionfees,andsoonB2CModels:ContentProviderDigitalcontentontheWeb:News,music,video,text,artworkRevenuemodels:Usevarietyofmodels,includingadvertising,subscription;salesofdigitalgoodsKeytosuccessistypicallyowningthecontentVariations:SyndicationAggregatorsInsightonTechnology:ConnectedCarsandtheFutureofE-commerceClassDiscussionHowarenewconnectedcartechnologiesalsocreatingnewbusinessmodels?Whatisthepotentialimpactondifferentformsofe-commerce,suchasthecontentindustry?Whyaretechcompaniessointerestedintheconnectedcarplatform?Arethereanyissueswithrespectto“connected”cars?B2CBusinessModels:PortalSearchplusanintegratedpackageofcontentandservicesRevenuemodels:Advertising,referralfees,transactionfees,subscriptionsforpremiumservicesVariations:Horizontal/general(examples:Yahoo,A
O
L,M
S
N)Vertical/specialized(vortal)(example:Sailnet)Search(examples:Google,Bing)B2CModels:TransactionBrokerProcessonlinetransactionsforconsumersPrimaryvalueproposition-savingtimeandmoneyRevenuemodel:TransactionfeesIndustriesusingthismodel:FinancialservicesTravelservicesJobplacementservicesB2CModels:MarketCreatorCreatedigitalenvironmentwherebuyersandsellerscanmeetandtransactExamples:Priceline,eBayRevenuemodel:Transactionfees,feestomerchantsforaccessOn-demandservicecompanies(sharingeconomy):platformsthatallowpeopletosellservicesExamples:Uber,AirbnbB2CModels:ServiceProviderOnlineservicesExamples:GoogleGoogleMaps,Gmail,andsoonValuepropositionValuable,convenient,time-saving,low-costalternativestotraditionalserviceprovidersRevenuemodels:Salesofservices,subscriptionfees,advertising,salesofmarketingdataB2BBusinessModelsNetmarketplacesE-distributorE-procurementExchangeIndustryconsortiumPrivateindustrialnetworkB2BModels:E-distributorVersionofretailandwholesalestore,M
R
Ogoods,andindirectgoodsOwnedbyonecompanyseekingtoservemanycustomersRevenuemodel:SalesofgoodsExample:GraingerB2BModels:E-procurementCreatesdigitalmarketswhereparticipantstransactforindirectgoodsB2Bserviceproviders,S
a
a
SandP
a
a
SprovidersScaleeconomiesRevenuemodel:Servicefees,supply-chainmanagement,fulfillmentservicesExample:AribaB2BModels:ExchangesIndependentlyownedverticaldigitalmarketplacefordirectinputsRevenuemodel:Transaction,commissionfeesCreatepowerfulcompetitionbetweensuppliersTendtoforcesuppliersintopowerfulpricecompetition;numberofexchangeshasdroppeddramaticallyExample:Go2PaperB2BModels:IndustryConsortiaIndustry-ownedverticaldigitalmarketplaceopentoselectsuppliersMoresuccessfulthanexchangesSponsoredbypowerfulindustryplayersStrengthentraditionalpurchasingbehaviorRevenuemodel:Transaction,commissionfeesExample:SupplyOnB2BModels:PrivateIndustrialNetworksDigitalnetworkusedtocoordinateamongfirmsengagedinbusinesstogetherTypicallyevolveoutoflargecompany’sinternalenterprisesystemKey,trusted,long-termsuppliersinvitedtonetworkExample:Walmart’snetworkforsuppliersHowE-commerceChangesBusinessE-commercechangesindustrystructurebychanging:RivalryamongexistingcompetitorsBarrierstoentryThreatofnewsubstituteproductsStrengthofsuppliersBargainingpowerofbuyersIndustrystructuralanalysisIndustryValueChainsSetofactivitiesperformedbysuppliers,manufacturers,transporters,distributors,andretailersthattransformrawinputsintofinalproductsandservicesInternetreducescostofinformationandothertransactionalcostsLeadstogreateroperationalefficiencies,loweringcost,prices,addingvalueforcustomersFigure2.4E-commerceandIndustryValueChainsFirmValueChainsActivitiesthatafirmengagesintocreatefinalproductsfromrawinputsEachstepaddsvalueEffectofInternet:IncreasesoperationalefficiencyEnablesproductdifferentiationEnablesprecisecoordinationofstepsinchainFigure2.5E-commerceandFirmValueChainsFirmValueWebsNetworkedbusinessecosystemUsesInternettechnologytocoordinatethevaluechainsofbusinesspartnersCoordinatesafirm’ssupplierswithitsownproductionneedsusinganInternet-basedsupplychainmanagementsystemFigure2.6Internet-EnabledValueWebBusinessStrategyPlanforachievingsuperiorlong-termreturnsoncapitalinvested:thatis,profitFivegenericstrategiesProduct/servicedifferentiationCostcompetitionScopeFocus/marketnicheCustomerintimacyE-commerceTechnologyandBusinessModelDisruptionDisruptivetechnologiesDigitaldisruptionSustainingtechnologyStagesDisruptorsintroducenewproductsoflowerqualityDisruptorsimproveproductsNewproductsbecomesuperiortoexistingproductsIncumbentcompanieslosemarketshareCareersinE-commercePosition:AssistantManagerofE-businessQualification/SkillsPreparingfortheInterviewPossibleInterviewQuestionsCopyrightThisworkisprotectedbyUnitedStatescopyrightlawsandis
providedsolelyfortheuseofinstructorsinteachingtheircoursesandassessingstudentlearning.Disseminationorsaleofanypartofthiswork(includingontheWorldWideWeb)willdestroytheintegrityoftheworkandisnotpermitted.Theworkandmaterialsfromitshouldneverbemadeavailabletostudentsexceptbyinstructorsusingtheaccompanyingtextintheirclasses.Allrecipientsofthisworkareexpectedtoabidebytheserestrictionsandtohonortheintendedpedagogicalpurposesandtheneedsofotherinstructorswhorelyonthesematerials.E-commerce2021:Business.Technology.Society.SixteenthEditionChapter3E-commerceInfrastructure:TheInternet,Web,andMobilePlatformCopyright©2022,2019,2018PearsonEducation,Inc.AllRightsReservedLearningObjectives3.1
Discusstheoriginsof,andthekeytechnologyconceptsbehind,theInternet.3.2
ExplainthecurrentstructureoftheInternet.3.3
UnderstandhowtheWebworks.3.4
DescribehowInternetandwebfeaturesandservicessupporte-commerce.3.5
Understandtheimpactofmobileapplications.TheCovid-19Pandemic:WilltheInternetBreak?ClassDiscussionHowhasyourusageoftheInternetchangedasaresultofthepandemic?WhyarefearsthattheInternetwillbreakmisguided?Howhasthepandemichighlightedtheissuesraisedbythe“digitaldivide”?TheInternet:TechnologyBackgroundInternetInterconnectednetworkofthousandsofnetworksandmillionsofcomputersLinksbusinesses,educationalinstitutions,governmentagencies,andindividualsWorldWideWeb(Web)OneoftheInternet’smostpopularservicesProvidesaccesstobillions,possiblytrillions,ofwebpagesTheEvolutionoftheInternet1961–PresentInnovationPhase,1961–1974CreationoffundamentalbuildingblocksInstitutionalizationPhase,1975–1995LargeinstitutionsprovidefundingandlegitimizationCommercializationPhase,1995–presentPrivatecorporationstakeover,expandInternetbackboneandlocalserviceTheInternet:KeyTechnologyConceptsInternetdefinedasnetworkthat:UsesI
PaddressingSupportsT
C
P/I
PProvidesservicestousers,inmannersimilartotelephonesystemThreeimportantconcepts:PacketswitchingT
C
P/I
PcommunicationsprotocolClient/servercomputingPacketSwitchingSlicesdigitalmessagesintopacketsSendspacketsalongdifferentcommunicationpathsastheybecomeavailableReassemblespacketsoncetheyarriveatdestinationUsesroutersLessexpensive,wastefulthancircuit-switchingFigure3.3PacketSwitchingT
C
P/I
PTransmissionControlProtocol(T
C
P)EstablishesconnectionsamongsendingandreceivingWebcomputersHandlesassemblyofpacketsatpointoftransmission,andreassemblyatreceivingendInternetProtocol(I
P)FourT
C
P/I
PlayersNetworkinterfacelayerInternetlayerTransportlayerApplicationlayerFigure3.4TheT
C
P/I
PArchitectureandProtocolSuiteInternet(I
P)AddressesI
P
v432-bitnumberFoursetsofnumbersmarkedoffbyperiods:27ClassCaddress:Networkidentifiedbyfirstthreesets,computeridentifiedbylastsetI
P
v6128-bitaddresses,abletohandleupto1quadrillionaddresses(I
P
v4canhandleonly4billion)Figure3.5RoutingInternetMessages:T
C
P/I
PandPacketSwitchingDomainNames,D
N
S,andU
R
L
sDomainnameI
PaddressexpressedinnaturallanguageDomainnamesystem(D
N
S)AllowsnumericI
PaddressestobeexpressedinnaturallanguageUniformresourcelocator(U
R
L)AddressusedbywebbrowsertoidentifylocationofcontentontheWebForexample:/Client/ServerComputingPowerfuldesktopcomputers(clients)connectedinnetworkwithoneormoreserversServersperformcommonfunctionsfortheclientsStoringfilesSoftwareapplicationsAccesstoprinters,andsoonTheMobilePlatformPrimaryInternetaccessisnowthroughsmartphonesandtabletsSmartphonesareadisruptivetechnologyNewprocessorsandoperatingsystemsOver245millioninU.S.accessInternetwithmobilephoneTabletssupplementP
C
sformobilesituationsOver170millioninU
.
S.useInternetwithtabletsTheInternet“CloudComputing”Model(1of2)FirmsandindividualsobtaincomputingpowerandsoftwareoverInternetThreetypesofservicesInfrastructureasaservice(I
a
a
S)Softwareasaservice(S
a
a
S)Platformasaservice(P
a
a
S)Public,private,andhybridcloudsTheInternet“CloudComputing”Model(2of2)DrawbacksSecurityrisksShiftsresponsibilityforstorageandcontroltoprovidersRadicallyreducescostsof:BuildingandoperatingwebsitesInfrastructure,I
TsupportHardware,softwareOtherInternetProtocolsandUtilityProgramsInternetprotocolsH
T
T
PE-mail:S
M
T
P,P
O
P
3,I
M
A
PF
T
P,Telnet,S
S
L/T
L
SUtilityprogramsPingTracertInternetInfrastructureInternethasbeenabletogrowexponentiallywithoutdisruptionbecauseof:Client/servercomputingmodelHourglass,layeredarchitectureNetworkTechnologySubstrateTransportServicesandRepresentationStandardsMiddlewareServicesApplicationsFigure3.10TheHourglassModeloftheInternetFigure3.11InternetNetworkArchitectureTheInternetBackboneComprisedoffiber-opticcable:hundredsofglassstrandsthatuselighttotransmitdataFasterspeedsandgreaterbandwidthThinner,lightercablesLessinterferenceBetterdatasecurityTier1InternetServiceProviders(Tier1I
S
P
s)ortransitI
S
P
sNumerousprivatenetworksphysicallyconnectedtoeachotherUnderseafiberoptics,satellitelinksInternetExchangePoints(I
X
P
s)RegionalhubswhereTier1I
S
P
sphysicallyconnectwithoneanotherandwithregionalTier2I
S
P
s.Tier2I
S
P
sprovideTier3I
S
P
swithInternetaccess.OriginallycalledNetworkAccessPoints(N
A
P
s)orMetropolitanAreaExchanges(M
A
E
s).Tier3InternetServiceProvidersRetailprovidersLeaseInternetaccesstohomeowners,smallbusinessesLargeproviders:Comcast,CharterSpectrum,A
T&T,Verizon,Altice(Optimum)SmallerlocalprovidersServicesNarrowbandBroadbandDigitalsubscriberline(D
S
L)CableInternetSatelliteInternetCampus/CorporateAreaNetworksLocalareanetworksoperatingwithinsingleorganization,suchasN
Y
UorMicrosoftCorporationLeaseInternetaccessdirectlyfromregionalandnationalcarriersMobileInternetAccessTwobasictypesofwirelessInternetaccess:Telephone-based(mobilephones,smartphones)Computernetwork-based(wirelesslocalareanetwork-based)Telephone-basedwirelessInternetaccessCurrentlybasedon3Gand4Gtechnologies5Gwillprovidehigherbandwidthwithspeedsreaching10G
b
p
sormoreWirelessLocalAreaNetwork(W
L
A
N)-BasedInternetAccessWi-Fi(various802.11standards)High-speed,fixedbroadbandwirelessL
A
N(W
L
A
N)Wirelessaccesspoint(“hotspots”)LimitedrangebutinexpensiveWiMaxBluetoothFigure3.13Wi-FiNetworksOtherInnovativeInternetAccessTechnologies:Drones,Balloons,andWhiteSpaceGoogle:ProjectLoonFacebook:FacebookConnectivityLab/AcquiladroneMicrosoft:AirbandInitiative(whitespaces)TheInternetofThings(I
O
T)Objectsconnectedviasensors/R
F
I
DtotheInternet“Smartthings”InteroperabilityissuesandstandardsSecurityandprivacyconcernsInsightonBusiness:TheAppleWatch:BringingtheInternetofThingstoYourWristClassDiscussionAreyouoranyoneyouknowusingtheAppleWatch?Ifnot,whynot?Ifso,whatappsdoyouusemost?Whatarethepotentialbenefitsofwearabletechnology?Arethereanydisadvantages?WhateffectswillfeaturesliketheApplePaybuttonandTapticEnginehave?Arethereanyprivacyissuesraisedbywearabletechnology?WhoGovernstheInternet?OrganizationsthatinfluencetheInternetandmonitoritsoperationsinclude:InternetCorporationforAssignedNamesandNumbers(I
C
A
N
N)InternetEngineeringTaskForce(I
E
T
F)InternetResearchTaskForce(I
R
T
F)InternetEngineeringSteeringGroup(I
E
S
G)InternetArchitectureBoard(I
A
B)InternetSociety(I
S
O
C)InternetGovernanceForum(I
G
F)WorldWideWebConsortium(W3C)InternetNetworkOperatorsGroups(N
O
G
s)InsightonSociety:GovernmentRegulationandSurveillanceoftheInternetClassdiscussion:Howisitpossibleforanygovernmentto“control”orcensortheWeb?DoestheChinesegovernment,ortheU.S.government,havetherighttocensoronlinecontent?HowshouldU.S.companiesdealwithgovernmentsthatwanttocensorcontent?Whatwouldhappentoe-commerceiftheexistingWebsplitintoadifferentWebforeachcountry?TheWeb1989–1991:WebinventedTimBerners-LeeatC
E
R
NH
T
M
L,H
T
T
P,webserver,webbrowser1993:Mosaicwebbrowserw/G
U
IAndreessenandothersatN
C
S
ARunsonWindows,Macintosh,orUnix1994:
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