E-Business Infrastructure

Slide 3.
Chapter 3
E-business infrastructure
Dave Chaffey, E-Business and E-Commerce Management, 4th Edition, © Marketing Insights Limited 2009
Slide 3.2
Learning outcomes
• Outline the hardware and software

technologies used to build an e-business
infrastructure within an organization and with
its partners
• Outline the hardware and software
requirements necessary to enable employee
access to the Internet and hosting of e-
commerce services.
Slide 3.3
Management issues
• What are the practical risks to the

organization of failure to manage e-commerce
infrastructure adequately?
• How should staff access to the Internet
be managed?
• How should we evaluate the relevance of web
services and open source software?
Slide 3.5
Activity – Internet infrastructure

components
• Write down all the different types of hardware
and software involved from when a user types
in a web address such as www.google.com to
the web site being loaded
Slide 3.6
Activity 3.1 Infrastructure risk

assessment
• Make a list of the potential problems for
customers of an online retailer
• You should consider problems faced by users
of e-business applications who are both
internal and external to the organization
• Base your answer on problems you have
experienced on a web site that can be related
to network, hardware and software failures or
problems with data quality
Slide 3.7
Typical problems
• Web site communications too slow

• Web site not available
• Bugs on site through pages being unavailable
or information typed in forms not being
executed
• Ordered products not delivered on time
• E-mails not replied to
• Customers’ privacy or trust is broken through
security problems such as credit cards being
stolen or addresses sold to other companies
Slide 3.8
E-Commerce Infrastructure
• Articulate what e-commerce infrastructure

include
• Are there any differences between a large

organization and a small one?
Slide 3.9
Figure 3.1 This model should not be viewed just from layered perspective
Slide 3.10
Table 3.1 Key management issues of e-business infrastructure
Slide 3.11
Table 3.1 Key management issues of e-business infrastructure (Continued)
Slide 3.12
Physical and network infrastructure components of the Internet

Figure 3.2
(Levels IV and III in Figure 3.1)
Slide 3.13
Figure 3.3 Example hosting provider Rackspace (www.rackspace.com)
Slide 3.14
Figure 3.4 Timeline of major developments in the use of the web
Slide 3.15
Figure 3.5 The Netcraft index of number of servers

Source: Netcraft web Server Survey. http://news.netcraft.com/archives/web_server_survey.html. Netcraft
Slide 3.16
Case Study Innovation at Google

Read the Google case on pages 115-116
– Answer the questions on page 116
– What is AdWords? How does it work?
– What is AdSense? How does it work?
– How does Google make money?

• http://investor.google.com/fin_data.html
Slide 3.17
Intranet and Extranet Applications

What applications can an Intranet support?
What applications can an extranet support?
Slide 3.18
Figure 3.6 Firewall positions within the e-business infrastructure of the B2B company
Slide 3.19
Activity – a common problem with

intranets and extranets
• A B2B Company has found that after an initial
surge of interest in its intranet and extranet,
usage has declined dramatically. The e-
business manager wants to achieve these
aims:
– Increase usage
– Produce more dynamic content
– Encouraging more clients to order (extranet)
– What would you suggest?
Slide 3.20
Suggested answers
• Identify benefits
• Involve staff with development
• Find system sponsors, owners and advocates
• Training
• Keep content fresh, relevant and where
possible, fun
• Use e-mail to encourage usage
Slide 3.21
Web Technology
• Browser
• Server
• Interactive between a browser and a server
P. 125, Fig. 3.7
• Box.3.2 pp. 126-127 Web Server Log
Slide 3.22
Figure 3.8 Transaction log file example
Slide 3.23
Browsershots (www.browsershots.org) – a service for testing cross-

Figure 3.9
browser compatibility
Slide 3.24
Internet Applications
• Atomisation concept
• Widget
• Blogs
• Feeds
• IPTV
• Peer-to-peer
• Social networks
• Tagging
• VOIP
Slide 3.25
Internet Applications
• How are the tools mentioned in the last slide
relevant to e-commerce?
Slide 3.26
Figure 3.11 Personalized feed home page from iGoogle (www.igoogle.com)
Slide 3.27
Figure 3.12 Joost service
Slide 3.28
URLS and domain names
• Web addresses are structured in a standard way as

follows:
• http://www.domain-name.extension/filename.html
• What do the following extensions or global top level
domains stand for?
– .com
– .co.uk, .uk.com
– .org or .org.uk
– .gov
– .edu, .ac.uk
– .int
– .net
– .biz
– .info
Slide 3.29
Box 3.3. Identify URL components:

http://video.google.co.uk:80/videoplay?docid
=-7246927612831078230&hl=en#00h02m30s
• Protocol
• Host or hostname
• Subdomain
• Domain name
• Top-level domain or TLD
• Second-level domain (SLD)
• The port
• The path
• URL parameter
• Anchor or fragment
Slide 3.30
How does DNS service work?
Slide 3.31
HTML and XML
• HTML (Hypertext Markup Language)

A standard format used to define the text and
layout of web pages. HTML files usually have
the extension .HTML or .HTM
• XML or eXtensible Markup Language

A standard for transferring structured data,
unlike HTML which is purely presentational
Slide 3.32
Figure 3.13 The TCP/IP protocol
Slide 3.35
Semantic Web
• Interrelated content with defined meaning,

enabling better exchange of information between
computers and between peoples and computers
• Example-Mini Case Study 3.3. pp. 149-151
Slide 3.36
Figure 3.15 Architecture of semantic web system used at Electricite de France
Slide 3.38
Internet Governance
Net Neutrality Principle

• What it is
• Should it be upheld?
• What two forces are threatening net
neutrality?
• What’s your opinion on this matter?
Slide 3.39
Internet Governance
• Internet Corp. for assigning names and

numbers-http://www.icann.org
• What is the equivalency in Canada?
– http://www.cira.ca/home-en/?lang=en
• Internet Society-www.isoc.org
• Internet Engineering Force—www.ietf.org
• WWW Consortium-www.w3.org
Slide 3.40
Open Source vs. Commercial
• Read and discuss p.157 Activity 3.4
Slide 3.41
Managing e-business Infrastructure
• What to manage?
• What are the main challenges
• Mini Case Study 3.4 Twitter
– How does twitter make money or not make
money?
Slide 3.42
Managing HW/OS Infrastructure
• Client and server machines

• OS
• Networks
• Storage
Slide 3.43
Managing I-Services and Hosting

Providers
Key issues
• Connection methods
• Service quality and prices
• Speed of access
– How slow is slow? P.162 box 3.6
• Shared or dedicated hardware and bandwidth
• Availability
• Service level agreement
• Security
Slide 3.44
Managing Application Infrastructures
• This primarily concerns delivering the right

applications to all users of e-business
services
Slide 3.45
Figure 3.17 (a) Fragmented applications infrastructure

Source: Adapted from Hasselbring (2000)
Slide 3.46
Figure 3.17 (b) integrated applications infrastructure (Continued)

Source: Adapted from Hasselbring (2000)
Slide 3.47
Figure 3.18 Differing use of applications at levels of management within companies
Slide 3.48
Figure 3.19 Elements of e-business infrastructure that require management
Slide 3.49
Web Services, SaaS, and SOA
• Web Services—applications are provided

though internet but not necessarily on the
same machine or the same network
• SaaS—applications are licensed to customers
for use as a service on demand
• What are the challenges for SaaS?
Slide 3.50
• What is cloud computing?

• What is virtualization?
– Benefits
– Challenges
– Mini Case Study 3.5, p. 173
Slide 3.51
• What is SOA?
• A collection of services that communicate with
each other as part of a distributed system
• The motive is to develop applications that are
independent of hardware, OS, language, etc.
• Case Study 3.2, pp. 174-175
Slide 3.52
Figure 3.20 Google apps (www.google.com/apps)
Slide 3.53
Figure 3.21 Salesforce.com (www.salesforce.com)
Slide 3.54
M-Commerce
• What is m-commerce?
• What are its advantages?
• What are its limits?
Slide 3.55
M-Commerce
• Mobile phone Technologies

• Ref. p.178, Table 3.6
Slide 3.56
M-Commerce
• Mobile phone Technologies

– Ref. p.178, Table 3.6
• Mobile phone user market
– http://www.cwta.ca/CWTASite/english/index.html
– http://www.marketingcharts.com/direct/us-catches-up-with-
western-europe-in-3g-mobile-device-adoption-5908/
Slide 3.57
M-Commerce
Popular mobile applications

– Short Message Services (SMS) applications
– Wi-Fi mobile access
– Bluetooth wireless applications
• Technology Convergence
– Access device convergence
– Delivery channel convergence
– Supplier convergence
Slide 3.58
M-Commerce
Strategies
• For portal and media sites, they may adopt
embrace early or wait and see
• For B2C e-commerce sites, they may market,
sell, and building the brand
Slide 3.59
Next Class
Preview chapter 4
Read the Econsultancy interview on pages 196-
198 and be prepared to discuss these
questions
– What’s their business model?
– How did they plan to develop their business?
– Do you think they have a good chance to
succeed?
– What can we learn from the interview?

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Slide 3.

• Outline the hardware and software

• What are the practical risks to the

Activity – Internet infrastructure

Activity 3.1 Infrastructure risk

• Web site communications too slow

• Articulate what e-commerce infrastructure

• Are there any differences between a large

Table 3.1 Key management issues of e-business infrastructure

Table 3.1 Key management issues of e-business infrastructure (Continued)

Physical and network infrastructure components of the Internet

Figure 3.3 Example hosting provider Rackspace (www.rackspace.com)

Figure 3.4 Timeline of major developments in the use of the web

Figure 3.5 The Netcraft index of number of servers

Case Study Innovation at Google

– Answer the questions on page 116

– What is AdWords? How does it work?

– What is AdSense? How does it work?

– How does Google make money?

Intranet and Extranet Applications

What applications can an extranet support?

Activity – a common problem with

Figure 3.8 Transaction log file example

Browsershots (www.browsershots.org) – a service for testing cross-

Figure 3.11 Personalized feed home page from iGoogle (www.igoogle.com)

Figure 3.12 Joost service

URLS and domain names

• Web addresses are structured in a standard way as

Box 3.3. Identify URL components:

How does DNS service work?

HTML and XML

• HTML (Hypertext Markup Language)

• XML or eXtensible Markup Language

Figure 3.13 The TCP/IP protocol

• Interrelated content with defined meaning,

Figure 3.15 Architecture of semantic web system used at Electricite de France

Net Neutrality Principle

• Internet Corp. for assigning names and

Open Source vs. Commercial

• Read and discuss p.157 Activity 3.4

Managing e-business Infrastructure

Managing HW/OS Infrastructure

• Client and server machines

Managing I-Services and Hosting

Managing Application Infrastructures

• This primarily concerns delivering the right

Figure 3.17 (a) Fragmented applications infrastructure

Figure 3.17 (b) integrated applications infrastructure (Continued)

Figure 3.18 Differing use of applications at levels of management within companies

Figure 3.19 Elements of e-business infrastructure that require management

Web Services, SaaS, and SOA

• Web Services—applications are provided

Web Services, SaaS, and SOA

• What is cloud computing?

Web Services, SaaS, and SOA

Figure 3.20 Google apps (www.google.com/apps)

Figure 3.21 Salesforce.com (www.salesforce.com)

• What are its advantages?

• What are its limits?

• Mobile phone Technologies

• Mobile phone Technologies

Popular mobile applications

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