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o Amount of data that can be transferred from one point to another in a certain time period |
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o Loss of power in a signal as it travels from the sending device to the receiving device |
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Protocol and why is it important? |
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o Rules that govern data communication, including error detection, message length, and transmission speed |
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• Main linking device within a network |
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• Main linking device across different networks |
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• Processing is done at one central computer • Advantage o Being able to exercise tight control on system operations and applications • Disadvantage o Lack of responsiveness to users’ needs |
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• Each user, department, or division has its own computer for performing processing • Advantage o More responsive to users o • Disadvantages o Lack of coordination o High costs o Duplication of efforts |
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• Centralized control and decentralized operations • Advantages: Accessing unused processing power is possible, Computer power can be added or removed, Distance and location aren’t limiting, More compatible with organizational growth o Fault tolerance o Resources can be shared to reduce costs o Reliability is improved o More responsive to user needs • Disadvantages o Dependence on communication technology o Incompatibility between equipment o More challenging network management |
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• Span several cities, states, or even countries • Major carriers lease lines to companies • Data speeds from 28.8 kbps to 155 Mbps • Use many different communication media |
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• Communication for multiple organizations in a city • Data speeds from 34 Mbps to 155 Mbps |
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• Connects hosts that are in close proximity • Data transfer speeds from 100 Mbps to 10 Gbps • Purpose is to share resources in a workgroup • Ethernet is the main type of LAN today |
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• Central computer and a series of nodes • Advantages: Cable layouts are easy to modify, Centralized control makes detecting problems easier, Nodes can be added to the network easily, Better for handling heavy, short bursts of traffic Disadvantages: Single point of potential failure, Increased cost due to many cables |
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Each computer manages its own connectivity, Each node is connected to two other nodes, Upstream neighbor and downstream neighbor Transmission in one direction, Implementations, Token ring Fibre Distributed Data Interface (FDDI), Needs less cable than star, Handles heavy short bursts well |
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Definition
Connects nodes along a network segment Ends of the cable aren’t connected Advantages: Easy to extend, Very reliable, Simple layout uses the least amount of cable Best for handling steady (even) traffic Disadvantages: Fault diagnosis is difficult, Bus cable can be a bottleneck in heavy traffic |
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Uses computers with different processing strengths at different organizational levels Mainframe networks, Ethernet networks Multiplexer allows several hosts to share channel Advantages: Network control, Lower costs Disadvantages: Expansion may be a problem, Traffic congestion at root and higher-level nodes |
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• Every node is connected to every other node • Advantages • Highly reliable • Disadvantages • Costly • Difficult to maintain • Difficult to expand |
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o Message is divided into small packets where each is sent over the fastest available network channel Benefits of packet switching: Uses adaptive routing for efficient line usage, Sending & receiving devices need not have the same data rates, Detection of error results in re-transmission of small data packet, More suited for data transfer, Signals eventually be routed, Packets may be prioritized Disadvantages: Delay due to multiple node decision points, variable delays can cause jitter, extra overhead for packet |
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• Special purpose computers that interconnect the computer networks that make up the Internet and route packets |
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• Ensure packets take best available path |
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Two main protocols form the basis industry standard suite of communication protocols |
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Definition
o Transmission Control Protocol (TCP) • Operates at the OSI model’s Transport layer o Internet Protocol (IP) • Operates at the OSI model’s Network layer |
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Transmission control Protocol - TCP |
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• Operates at the OSI model’s Transport layer |
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• Operates at the OSI model’s Network layer |
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Definition
• Integrating voice, video, and data so multimedia information can be used for decision making o Integrating video with voice and data required network upgrades o Common applications: • E-commerce • Entertainment • Video and computer conferencing • Consumer applications |
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Term
three phases of the Internet evolution and the approximate year of transition from one phase to the next. |
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o Innovation Phase (1961 – 1974) o Institutionalization Phase (1974 – 1995) o Commercialization Phase (1995 – present) Web invented by Tim Berners-Lee |
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Who is credited with inventing the world wide web? |
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• Unique identifiers of network addresses on the Internet expressed in natural language |
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Internet Protocol (IP) Address |
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• Assigned by the Internet Corporation for Assigned Names and Numbers (ICANN) • 208.77.188.166 |
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Uniform resource locators (URLs) |
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Definition
• Addresses used by Web browsers to identify location of a particular Web page • Address of a document or site on the Internet • http://www.ndsu.edu/new_students/application.pdf • Suffix indicating the top-level domain (TLD) • .edu means it is an educational institution |
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Hypertext Markup Language • Easy to use • Provides fixed set of markup “tags” used to format Web pages |
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eXtensible Markup Language • Designed to describe data and information • Tags used are defined by user |
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HTTP is a protocol associated with what application? |
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o Hypertext Markup Language (HTML)
o Language used to create Web pages
o Structure for an HTML document:
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o (Enter the page’s description.)
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o (Enter the page’s content.)
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o |
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Simple Message Transfer Protocol • Associated with E-mail, newsgroups, discussion groups, Internet Relay Chat, instant-messaging, and Internet telephony |
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• Organize information into categories • Indexes of information based on keywords in documents • Yahoo • Types: • Automated (crawler-based) • Human powered |
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• Provides easy way to look up information and resources on the Internet • Enables users to retrieve data from the Web by searching using search terms • Google.com or Ask.com • Bing.com – claims to be a “Decision engine” • Three-step process • Crawling the Web • Indexing • The search process |
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Google and the Innovation of Google instant serach |
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Definition
1. User enters a search query 2. Google’s Web servers receive the search request. Google uses an estimated 500,000 to 1 million PCs linked together and connected to the Internet to handle incoming queries and produce search results. 3. The search request is sent to Google’s index servers, which maintain data about the Web pages that contain the keywords matching the query, and the location of those pages. 4. Using Google’s PageRank software, the system measures the “importance” or popularity of each page by solving an equation with more than 500 variables and two-billion terms. These are likely the “best” pages for the query. 5. Small text summaries are prepared for each Web page. 6. Results delivered to user, 10 to a page. Runs over one million servers globally Processes over one billion search requests and 24 petabytes of user-generated data every day Seeks to leverage massive data collected over the last decade, Google Trends, Search refined in real-time, Reduce search time from 9 sec to 4 sec, 300 ms / keystroke, 30 ms / glance, Leverage huge search database, Deliver more ads |
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Definition
o A major real estate Web sites |
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Trend of Web applications that are more interactive than traditional Web applications Collaboration or e-collaboration, Recent potentially disruptive applications Social Networking Sites, Mashups, Blogs, Really Simple Syndication (RSS) Podcasting, Wikis, Internet Telephony, Using packet switching and Voice over Internet Protocol (VoIP), Videocasts and digital video on demand, Internet television (IPTV) , Video conferencing, Online software and Web services, Web apps, widgets and gadgets, digital software libraries, distributed storage, M-commerce applications |
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The Semantic Web • Based largely on XML • Provides a context for searching online information • Focuses on “intelligent” Web applications using various applications of artificial intelligent technologies |
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For internal use by employees (apporoved users only, restricted access) Many companies also allow trusted business partners to access their intranets (limited to unlimited geographical scope) Different from a LAN Define and limit access carefully |
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Secure network Uses the Internet and Web technologies to connect intranets of business partners Critical for sophisticated supply chain systems Advantages: Coordination, Feedback, Consumer satisfaction, Cost reduction, Expedited communication |
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Definition
Refers to the demilitarized zone, an area of the network that’s separate from the organization’s LAN |
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Types of Interorganization system |
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Definition
Electronic funds transfer (EFT) Electronic data interchange (EDI) eXtensible markup language (XML) Radio frequency identification (RFID |
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Applications of an internet |
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Definition
Human resources management Sales and marketing Production and operations Accounting and finance Moves organization from a calendar- or schedule-based document-publishing strategy to one based on events or need Reduce the costs and time of document production |
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Electronic funds transfer (EFT) |
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Definition
The electronic exchange, transfer of money from one account to another, either within a single financial institution or across multiple institutions, through computer-based systems. |
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Electronic data interchange (EDI) |
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Definition
a method for transferring data between different computer systems or computer networks. It is commonly used by big companies for e-commerce purposes, such as sending orders to warehouses or tracking their order |
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Term
Radio Frequency identification (RFID) |
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Definition
is the use of a wireless non-contact system that uses radio-frequency electromagnetic fields to transfer data from a tag attached to an object, for the purposes of automatic identification and tracking. |
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Term
EXtensible markup language (XML) |
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Definition
is a markup language that defines a set of rules for encoding documents in a format that is both human-readable and machine-readable. It is defined in the XML 1.0 Specification produced by the W3C, and several other related specifications, all gratis open standards. |
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is the effect that one user of a good or service has on the value of that product to other people, Also called a network effect or demand-side economies of scale When a network effect is present, the value of a product or service is dependent on the number of others using it. Classic example is the telephone. The more people own telephones, the more valuable the telephone is to each owner - this is a positive externality |
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Definition
is a cost or benefit that is not transmitted through prices in that it is incurred by a party who was not involved as either a buyer or seller of the goods or services causing the cost or benefit. |
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is an action of a product on consumers that imposes a negative side effect on a third party; it is "social cost". |
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Activities a company performs for selling and buying products and services, using computers and communication technologies -Major factor in the widespread demand and use of global information systems |
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Definition
Buying and selling goods and services over the Internet Advantages: Better relationships with suppliers, customers, business partners, Price transparency, Round the clock and global operations, More, information on potential customers, Increasing customer involvement, Improving customer service, Increasing flexibility and ease of shopping, Increasing the number of customers, Increasing opportunities for collaboration with business partners , Increasing return on investment because inventory needs are reduced , Offering personalized services and product customization, Reducing administrative and transaction costs, Disadvantages: Bandwidth capacity problems (in certain parts of the world), Security issues (partly user perception), Accessibility (due to digital divide), Acceptance (adoption issues) |
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Trends in online retailing |
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Definition
Emphasis on better shopping experience- Retailers integrate multiple channels, nteractive multimedia marketing, Social shopping Selection of goods online increases- More personalized and customized goods, Specialty retail sites show rapid growth Important role for retail intermediaries, Increase in product-based services |
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Definition
Integrate Web with physical storeProvide integrated shopping experienceLeverage value of physical storeTypes: Online order, in-store pickup,Online order, store directory and inventory, In-store kiosk or clerk Web order, home deliveryWeb order, in-store returns and adjustments, Online Web catalogWeb promotions to drive customers to stores, Gift cards, program points usable in any channel |
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Definition
Companies sell directly to consumers - Examples (Amazon, dell) Types: Virtual merchants, Brick-and-clicks (brick and mortat store with virtual storefronts, catalog merchants, manufacturers direct) |
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Definition
More than 10X larger than B2C e-commerce, the fastest growing segment of e-commerce, Electronic transactions between businesses Electronic data interchange (EDI) and electronic funds transfer (EFT), Purchase orders, invoices, inventory status, shipping logistics, business contracts, and other operations )Example: Walmart) B2B partners use these technologies extensively: Intranets, Extranets, Virtual private networks, Electronic data interchange (EDI), Electronic funds transfer (EFT), Lowers production costs and improves accuracy by eliminating many labor-intensive tasks |
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Business Applications that use the internet |
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Definition
Electronic commerce business model that enables a firm to generate revenue streams on hundreds (even thousands) of items without carrying inventories, managing orders, processing payments, or handling packaging and shipping. In this arrangement, a website concentrates on a relationship with a very specific group of individuals as its core competence (see core competencies). It develops and continuously upgrades content and services to attract and retain the patronage of this group. Once it has a sizable number of regular visitors, it can generate revenue by carrying ads or links to merchants with products that its visitors seek or are interested in. |
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Michael Porters Value Chain |
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Definition
Activies designed to meet business needs by adding value (or cost) in each phases of the process (Organizational structure, Human resource management, technological development, procurement, as well as inbound logistics, operations, outbound logistics, service, and a margin |
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Definition
How the firm will earn revenue, generate profits, and produce a return on investment (could be a combination) - (Merchant model , advertising model, informediary model, subscription model, affiliate modei) |
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Definition
Mobile commerce-Based on Wireless Application Protocol (WAP)-Using handheld devices, such as smart phones or PDAs, to conduct business transactionsSupporting technologies:-Wireless wide-area networks and 3G networks -Short-range wireless communication technologies Examples: app stores, mobile banking, payment with smart phone |
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Early vision of online retailing |
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Definition
Low search costs would cause shoppers to abandon physical stores for low prices, Low entry costs would allow efficient virtual storefronts to enter marketplace, Traditional offline physical stores would be forced out of business, Disintermediation as consumers go direct to manufacturers, Everyone would move to their beach home or mountain cabin |
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Term
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Definition
involves the establishment of an electronic storefront on the World Wide Web, an information-technology infrastructure capable of receiving and processing orders, appropriate security measures to assure the safety, secrecy, and authenticity of transaction information, and means for procuring payments—either online or in the physical world—and completing orders via shipping and delivery. |
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Whether a company sells products or services to consumers, other businesses, or both, there are many different ways to approach the marketplace and make a profit. Business models, of which the brokerage model is simply one, are used to describe how companies go about this process. They spell out the main ways in which companies make profits by identifying a company's role during commerce and describing how products, information, and other important elements are structured. |
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an extension of traditional advertising media, such as radio and television. |
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characterized by the capture and/or sharing of information. The simplest form of an infomediary model is the registration model. In this scenario, companies require users to register before gaining access to information on their Web sites, even if the information itself is provided at no charge. One possible scenario for this example involves companies that offer white papers, or expert articles containing valuable advice, to Web site visitors. These white papers usually are written by the company's experts, who are available as consultants. |
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Definition
a business model where a customer must pay a subscription price to have access to the product/service. The model was pioneered by magazines and newspapers, but is now used by many businesses and websites. |
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Definition
Based on who control the marketplace: Seller side, buyer side, intermediary sidel (third-party) A fourth model automates many current pre-Internet practices -Trading partner agreements |
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Term
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Definition
Electronic commerce business model that enables a firm to generate revenue streams on hundreds (even thousands) of items without carrying inventories, managing orders, processing payments, or handling packaging and shipping. In this arrangement, a website concentrates on a relationship with a very specific group of individuals as its core competence (see core competencies). It develops and continuously upgrades content and services to attract and retain the patronage of this group. Once it has a sizable number of regular visitors, it can generate revenue by carrying ads or links to merchants with products that its visitors seek or are interested in. |
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Major B2B e-commerce models |
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Definition
Based on who control the marketplace: Seller side, buyer side, intermediary sidel (third-party) A fourth model automates many current pre-Internet practices -Trading partner agreements |
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Definition
Most popular B2B modelSellers to specialized markets jointly create a common marketplace for buyersE-procurement: -Enables employees in an organization to order and receive supplies and services directly from suppliers -Can automate some buying & selling activitiesMajor solution providers include I2 Technologies, IBM, Oracle, and SAP |
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Definition
Buyer, or a group of buyers, opens an electronic marketplace Invites sellers to bid on announced products or requests for quotation (RFQs) Buyers can: Manage procurement process more efficiently Lower administrative costs Implement uniform pricing Major users include General Electric, Boeing, Big Three automakers |
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Third-Party Exchange market place |
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Definition
Controlled by a third party -Revenue from fees for matching buyers/sellers Network externalities are critical -Value of being in the network increases with more network membership Usually active in vertical or horizontal market Offers suppliers a direct channel of communication to buyers through online storefronts run by the third party |
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Trading Partner Agreements |
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Definition
Automate negotiating processes and enforce contracts between participating businesses -Business partners can send and receive bids, contracts, and other information needed when offering and purchasing products and services Based on XML -Enables customers to submit electronic documents via the Internet that previously required hard copies with signatures |
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Definition
Involves business transactions between users -Revenue often is transaction fee or advertising Network externalities are critical to grow participation Online classified ads: -Craigslist.org Online auction sites: -eBay.com |
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Money or script that is exchanged only electronically |
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Definition
Credit card sized, contains embedded chip storing important financial and personal information |
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Electronic Payment Systems |
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Definition
Electronic payment -Money or scrip that is exchanged only electronically Smart cards -Credit card sized, contains embedded chip storing important financial and personal infoOther types: -e-cash, e-check, e-wallets, PayPal, micropayments |
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Search Engine Optimization |
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Definition
Method for improving the volume or quality of traffic to a Web site Some companies offer SEO service -Editing a site’s contents and HTML code to increase its relevance to specific keywords Recommendations for optimizing a Web site: -Keywords -Page title -Inbound links |
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why companies have a strong emphasis on going global and why information systems often need to be global systems. |
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Definition
•Globalization is the process of international cultural and economic integration arising from the interchange of world views, products, ideas, and other aspects of culture–Contributing factors include advances in global transportation and telecommunications systems. For information systems, this creates a demand for integrated global services. Example: US-based shoe company –Produces leather and uppers in Italy –Uppers shipped to China for shoe assembly –Shoes tested in Ireland–Sold in United StatesExample: Coca-Cola Company –More than 80% of revenues from outside US. Example: Airline reservation systems –First large-scale interactive global system. E-business –Major factor in the widespread demand and use of global information systemsThe Internet –Standardized approach to information and communications technology (ICT)–Simplify communication–Change business relationships–Consumers can engage in comparison shopping more easily |
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Term
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Definition
is the process of international cultural and economic integration arising from the interchange of world views, products, ideas, and other aspects of culture –Contributing factors include advances in global transportation and telecommunications systems |
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trends in global adoption of the Internet. |
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Definition
Very rapid growth in developing world Africa: quadrupled with annual growth over 60% Middle East: tripled with annual growth over 35% Latin America: doubled with annual growth over 25% By end of 2013, Asia will have half of all Internet users |
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how global information systems influence an organization’s approach to organizational control and coordination. |
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Definition
–IS that works across national borders–Facilitates communication between headquarters and subsidiaries in other countries–Incorporates all technologies and applications found in a typical information system –Stores, manipulates, and transmits data across cultural and geographic boundaries–For an international company, can increase control and enhance coordination of subsidiaries Control – using managerial power to ensure adherence to organization’s goals •Coordination – managing the interaction between different parts of an organization•The tradeoff between control and coordination drives an organization’s approach to “IT Governance”. IT Governance: the leadership and organizational structures and processes that ensure that the organization’s IT sustains and extends the organization’s strategies and objectives |
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Definition
the leadership and organizational structures and processes that ensure that the organization’s IT sustains and extends the organization’s strategies and objectives |
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What are the key issues that must be considered when developing a global information system? |
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Definition
•Prerequisites for successful GIS –Clear understanding of customs, laws, technological issues, and local business needs and practices •Organizational Issues: –Identify opportunities in global marketplace –Justify investment in GIS –IS personnel must have technical & business expertise •Economic Issues: –Cost structures vary widely in different markets •Technical Issues –Challenge to set up global distributed database system –Transborder data flow may be restricted |
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Four common types of global organizations |
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Definition
Multinational Global International Transnational |
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Global information system (GIS) |
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Definition
IS that works across national borders Facilitates communication between headquarters and subsidiaries in other countries Incorporates all technologies and applications found in a typical information system Stores, manipulates, and transmits data across cultural and geographic boundaries For an international company, can increase control and enhance coordination of subsidiaries |
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Term
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Definition
Use managerial power to ensure adherence to organizations goal Requires:
Centralized architecture for data Standardized definitions used across the organization Standard formats for reports Defined behaviors for different processes Performance-tracking system |
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Definition
Managing the interaction between different parts of an organization Requires:
Decentralized architecture for data Standardization within departments Ability to communicate these standards to other departments Collaboration systems Technologies that support informal communication and socialization |
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Term
Three approaches to IT Governance |
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Definition
Centralized Hybrid Decentralized |
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Definition
Most profitable Cost control and efficient operations |
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Definition
Balanced Goals Asset utilization via discipline, cooperations, defined mechanisms, and shared services |
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Definition
More Growth Innovation and time to market |
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Definition
Production, sales, and marketing are decentralized Financial management remains the parent’s responsibility Example: Tyco Corporation Focus on local responsiveness Reduces the need for communication between subsidiaries and headquarters Each subsidiary on a different platform |
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Definition
Highly centralized information system Subsidiaries have little autonomy Sometimes called a “franchiser” Requires extensive communication network Difficult and impractical on global scale Heavy reliance on headquarters for new products and ideas Examples: McDonald’s, Mrs. Fields’ Cookies, GM |
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Definition
Operates much like a multinational corporation But subsidiaries depend on headquarters more for process and production decisions Information systems personnel are regularly exchanged among locations Encourages a cooperative culture in geographically dispersed personnel Example: Caterpillar Corporation |
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Term
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Definition
Parent and subsidiaries work together in designing policies, procedures, and logistics, Usually focuses on optimizing supply sources and using advantages available in subsidiary locations, Requires a higher level of standardization and uniformity for global efficiency, But must maintain local responsiveness Examples: Citigroup, Sony, Ford |
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Definition
Alternative for developing information systems
Organization chooses an outsourcing firm in another country Used for many information technology tasks GIS plays an important role in supporting offshore outsourcing |
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Definition
Lack of standardization Diverse regulatory practices Cultural Differences Poor telecommunication infrastructures Lack of skilled analysts and programmers |
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