02 Technologies Standards Architecture

Bachelor: E-Commerce
2. Technologies, Standards and Architecture

Prof. Dr. Jella Pfeiffer
BWL XII: Digitalisierung, E-Business und Operations Management
BWL XII: Digitalisierung, E-Business und Operations

Prof. Dr. Jella Pfeiffer 1
Management
JUSTUS-LIEBIG-UNIVERSITÄT GIESSEN
Structure of Class
AND BEYOND
New Trends in
STAYING E-Commerce (VR, AR,
SUCCESSFUL mobile)
BECOMING
SUCCESSFUL How to stay safe and
secure in the e-
WHAT TO DO commerce
How to implement and
measure an e-commerce environment?
HOW DOES IT What is offered in business‘ success? Security and Payment
e-commerce? Implementation and User System
WORK Products and Services Evaluation
in Electronic How do companies
How does it Commerce How do customers digitally trade with one
technically work? behave and what do we another?
Technologies, How do e-commerce learn from their reviews? B2B Commerce
Standards and companies create Customers in E-
Architecture value? Commerce
E-Commerce Business
Models How to get the
customer‘s attention?
E-Commerce Marketing
and Advertising
© Katemangostar/Freepik
Management
Learning Goals
• You know the origins of, and the key
technology concepts behind, the Internet.
• In detail you can
• explain the current structure of the
Internet.
• understand the limitations of today’s
Internet and the potential capabilities of
the Internet of the future.
• understand how the Web works and
which protocols are needed.
• know how the Internet is governed.
• know how the Internet and E-Commerce
has evolved

Management
Agenda
• 1 Internet Definition and Motivation
• 2 Evolution of Internet
• 3 Internet Architecture
4
Action Time: What is the Internet?

Management
The Internet
Partial Map of the Internet in 2005. Each line
between two nodes represents two IP addresses.
Source: The Opte Project - Originally from the

English Wikipedia; description page is/was here., CC
BY 2.5,
https://commons.wikimedia.org/w/index.php?curi
d=25698718
Internet: Physical network that links computers worldwide. It consists of

D
hosts/end systems (clients and web servers) with communication links
and packet switches between them that are used to transport
information. Based on Kurose and Rose (2017), p. 30
Management
The Intranet, Internet and Extranet
Chaffey (2014), p.15

Management
Motivation
First (inofficial) E-commerce transaction:
FUN FACT: “In 1971 or 1972, Stanford students using Arpanet accounts at
Stanford University's Artificial Intelligence Laboratory engaged
in a commercial transaction with their counterparts at Massa-
chussetts Institute of Technology. […] The students used the
network to quietly arrange the sale of an undetermined
amount of marijuana.” (The Guardian 2013)
The B2C E-commerce market today: around 2 trillion USD annually
The B2B E-commerce market today: around 20 trillion USD annually
B2C
E-Commerce B2B
E-
Commerce
Laudon & Traver (2018), p. 63

Management
Agenda
• 2.1 Innovation Phase

• 2.2 Institutionalization Phase
• 2.3 Commercialization Phase

Management
The Evolution of the Internet 1961–Present

Innovation Phase, 1961–1974
• Creation of fundamental building blocks
Institutionalization Phase, 1975–1995
• Large institutions provide funding and legitimization
Commercialization Phase, 1995–present
• Private corporations take over, expand Internet

backbone and local service
Management
Innovation Phase
• 1961: The concept of packet switching is born (by Kleinrock) (permits to efficiently switch (vermitteln)
data)
• 1969: First packet-switched message is sent from UCLA (i.e., Uni California) to Stanford Research Institute
(SRI) (via ARPANET) – 4 hosts (end systems)
FUN FACT: The first message is “LO,” which

was an attempt by student Charles Kline to
“LOGIN” to the SRI computer from the
university. However, the message was
unable to be completed because the SRI
system crashed.

Management
Packet Switching How to be more efficient than

circuit switching (e.g., fixed
end-to-end connections like for
the telephone?)
• Slicing digital messages into
packets
• Send packets along different
communication paths as they
become available
• Reassembles packets once they
arrive at destination
• Two types of packet switches:
routers and link-layer switches
• Less expensive, wasteful than
circuit-switching

Management
Routers and Routing Algorithms
Router: Special-purpose computer that interconnects the computer D

networks that make up the Internet and routes packets to their ultimate
destination as they travel the Internet. Laudon & Traver (2019), p.101
.
Routing Algorithms: The network layer must determine the route or path
D
taken by packets as they flow from a sender to a receiver. The algorithms
that calculate these paths are referred to as routing algorithms.
Kurose & Ross (2005), p.302.

Management
Packet Switching
Laudon & Traver (2019), p.101.

Management
Innovation Phase
data)
• 1969: First packet-switched message is sent from UCLA (i.e., Uni California) to Stanford (via ARPANET) – 4
nodes
• 1972: With E-Mail the first largescale internet application is invented (by Ray Tomlinson)
• 1973: Ethernet (by Bob Metcalfe); permits development of local area networks and client/server
computing – 40 hosts

Management
Client/Server Computing
• Hosts are either clients or servers
• Client program runs on one host and requests

and receives a service from a server program
running on another host.
• Server offer common services to clients like file

storage, software aplications, printings, web
David VignoniGnome-fs-server.svg,
https://commons.wikimedia.org/w/index.php?curid=15782858
• The client requests a service from the server, for
example: show me an http-page
Laudon & Traver (2019), p.106.

Management
Thin vs. Thick Client

• Fat Client: full-featured computers that are connected to a network
• Thin Client: runs from resources stored on a central server instead of a localized hard drive. Thin
clients work by connecting remotely to a server-based computing environment where most
applications, sensitive data, and memory, are stored.
https://thecustomizewindows.com/2012
/03/fat-client-in-client-server-
BWL XII: Digitalisierung, E-Business und Operations architecture/
Management
Action Time – Discuss with Your Neighbour
What are advantages of the Client/Server Architecture

over Centralized Mainframes?
Mainframe: A mainframe is an ultra high-performance
computer made for high-volume, processor-intensive
computing

Management
Innovation Phase
data)
• 1969: First packet-switched message is sent from UCLA (i.e., Uni California) to Stanford (via ARPANET) – 4
nodes
• 1972: With E-Mail the first largescale internet application is invented (by Ray Tomlinson)
• 1973: Ethernet (by Bob Metcalfe); permits development of local area networks and client/server
computing
• 1974: TCP/IP (by Vint Cerf) – 46 hosts

Management
TCP/IP How to break up messages,

route them and reassamble them?
• Transmission Control Protocol (TCP)

• Establishes connections among sending and
receiving hosts
• Handles assembly of packets at point of
transmission, and reassembly at receiving end
• End-to-end connection between pairs: IP-address +
port = socket
• Internet Protocol (IP)
• Provides the Internet’s addressing scheme and is
responsible for efficient delivery (routing) of packets

Management
Similarity of Human and Computer Protocol
Protocol: A protocol defines the D

format and the order of messages
exchanged between two or more
communicating entities, as well as
the actions taken on the transmission
and/or receipt of a message or other
event. Kurose & Ross (2005), p. 8
Kurose & Ross (2005), p. 7

Management
The TCP/IP Architecture and Protocol Suite

protocols used to
provide user services or
exchange data
providing communcation
with other protcols
within TCP/IP suite
(e.g., HTTP)
adressing, packaging,
and routing messages
placing packets on and

receiving them from
the network medium
Laudon & Traver (2018)

Management
Internet (IP) Addresses

How to identify the different
hosts in the Internet?
IPv4
• 32-bit number
• Four sets of numbers marked off by periods: 201.61.186.227
• Class C address: Network identified by first three sets, computer
identified by last set
IPv6
• 128-bit addresses, able to handle up to 1 quadrillion addresses (IPv4 can
handle only 4 billion)

Management
Agenda
• 2.1 Innovation Phase

• 2.2 Institutionalization Phase
• 2.3 Commercialization Phase

Management
Institutionalization Phase
• 1977 & 1980: foundation of two other networks: CSNET (for science) and
BITNET (with IBM, non-scientific): both using ARPANET as their backbone
communication system  ARPA-INTERNET
• 1981: First B2B online shopping system
• 1983: split between ARPANET (scientific purpose) and MILNET(military

applications)
• 1984: Domain Name System (DNS) introduced
http://www.aldricharchive.com/downloa
ds/Thomson.pdf

Management
Domain Names and URLs

• Domain name: IP address expressed in natural language
• Uniform resource locator (URL)
 Address used by Web browser to identify location of content on the Web,
for example: https://www.uni-giessen.de/ = 134.176.3.181
 Consists of 3 parts
• 1. Scheme: communication protocol, e.g. http
• 2. Authority: Computer address, e.g. domain name or directly the IP. Port number (:) optional.
• 3. Storage location on the computer: path, query (?), fragment (#)
• Examples:
 http://www.example.org:8082/informationen/geheim.htm#impressum
 ftp://192.168.78.10/
 https://www.google.com/search?client=firefox-b-d&q=port+8082

Management
• 1977 & 1980: foundation of two other networks: CSNET (for science) and BITNET (with IBM, non-
scientific): both using ARPANET as their backbone communication system  ARPA-INTERNET
• 1983: split between ARPANET (scientific purpose) and MILNET(military applications) -
• 1984: First B2C online shopping system (first online shopper: Mrs. Snowball, aged 72)

Management
First Online Shopper
https://www.bbc.com/news/magazine-24091393
Management
• 1989: WWW (HTTP, HTML) at CERN (by Tim Berners-Lee)

Management
3. Internettechnologien und Standards
WWW (World Wide Web / Web)

Web’s major goal was to be a shared information space
through which people and machines could communicate.”
“The web is simply defined as the universe of global
network-accessible information.” Berners-Lee (1996)
Web is based on:
• Standard address space (URLs)
• Standard representation format (HTML (, XML))
• Standard access/application protocol (HTTP)
• Linking of information by means of hypertext (hypermedia)

Management
HTML
HTML: Hypertext Markup Language
• Markup „tags“ used to format a web page
• Read in by browser
• Used together with CSS (Cascadings Style Sheet): tells browser how to display HTML elements
• HTML5:
• Most recent standard
• Enables not only video, but also animations and interactivity
• Also used for mobile apps
• Can access built-in features of mobile devices like GPS and swiping

Management
Example HTML5 Links
See https://www.w3schools.com/html/html_examples.asp

Management
Example HTML5: Get Geolocation
See https://www.w3schools.com/html/html_examples.asp
See
https://www.w3schools.com/html/html_
BWL XII: Digitalisierung, E-Business und Operations examples.asp
Management
HTML5: Play Video with Controls
See
https://www.w3schools.com/html/html_ex
amples.asp

Management
Action Time

Management
XML
• Meta language for the definition of markup languages
• Idea: Metadata about structure, format and partly semantics become part of the message itself.
Thus adaptable to sender and receiver (interoperability)
• HTML: “Look and feel” and display of data on web page
• XML: describe data and information
• to be able to store and exchange data in a structured way
• Extensible: Tags are not predefined (like in HTML, e.g. <p>, <h1>), but are defined by the user; can be
extended continuously with new tags text-based

Management
XML Document: Example

comment start-tag of element “book“
text (content)
attribute
<!--- root element ->
<book year=“2004”>
Hierarchical structure
<title>Data Bases: An Introduction</title>

<authors>
subelement
<author>Alfons Kempler</author>
<author>Andre Eickler</author>
</authors>
<publisher>Oldenbourg Verlag</publisher>
</book>
end-tag of element “book“

Management
XML: Hierarchical Structure

Tree Block
(root)
book
book
title authors publisher title
authors
author author author
author
Text form with paranthesis
(book (title) (authors (author) (author)) publisher
(publisher) )

Management
HTTP
Request/Response-Interaction
Request (HTTP-)
Browser
Server
Response
Universal (request) interface with few generic basic mechanisms ("verbs")

GET (information retrieval on the server)
POST (change of state on the server)
PUT (explicit redefinition of a state on the server)
DELETE (Delete states on the server)
Status messages (during response)
2xx: Successful (200: OK; 201: Created; …)
4xx: Client Error (400: Bad Request; 404: Not Found; …)
5xx: Server Error (500: Internal Server Error; …)
…
Management
• 1989: WWW (HTTP, HTML) at CERN (by Tim Berners-Lee)
• 1993: First graphical web browser (called Mosaic) is invented (by Andreessen)
• 1994: First banner advertisement

Management
First graphical Web Browser

Management
Too be continued next week….
Technologies, Standards and Architecture, Part 2

Management

02 Technologies Standards Architecture

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

02 Technologies Standards Architecture

Uploaded by

Copyright:

Available Formats

Bachelor: E-Commerce

2. Technologies, Standards and Architecture

BWL XII: Digitalisierung, E-Business und Operations

BWL XII: Digitalisierung, E-Business und Operations

Action Time: What is the Internet?

BWL XII: Digitalisierung, E-Business und Operations

Source: The Opte Project - Originally from the

Internet: Physical network that links computers worldwide. It consists of

The Intranet, Internet and Extranet

Chaffey (2014), p.15

Laudon & Traver (2018), p. 63

• 2.1 Innovation Phase

BWL XII: Digitalisierung, E-Business und Operations

The Evolution of the Internet 1961–Present

• Creation of fundamental building blocks

Institutionalization Phase, 1975–1995

• Large institutions provide funding and legitimization

Commercialization Phase, 1995–present

• Private corporations take over, expand Internet

FUN FACT: The first message is “LO,” which

BWL XII: Digitalisierung, E-Business und Operations

Packet Switching How to be more efficient than

BWL XII: Digitalisierung, E-Business und Operations

Routers and Routing Algorithms

Router: Special-purpose computer that interconnects the computer D

BWL XII: Digitalisierung, E-Business und Operations

Laudon & Traver (2019), p.101.

BWL XII: Digitalisierung, E-Business und Operations

• Client program runs on one host and requests

• Server offer common services to clients like file

Laudon & Traver (2019), p.106.

Thin vs. Thick Client

Action Time – Discuss with Your Neighbour

What are advantages of the Client/Server Architecture

BWL XII: Digitalisierung, E-Business und Operations

• 1974: TCP/IP (by Vint Cerf) – 46 hosts

BWL XII: Digitalisierung, E-Business und Operations

TCP/IP How to break up messages,

• Transmission Control Protocol (TCP)

BWL XII: Digitalisierung, E-Business und Operations

Similarity of Human and Computer Protocol

Protocol: A protocol defines the D

Kurose & Ross (2005), p. 7

BWL XII: Digitalisierung, E-Business und Operations

The TCP/IP Architecture and Protocol Suite

placing packets on and

Laudon & Traver (2018)

Internet (IP) Addresses

BWL XII: Digitalisierung, E-Business und Operations

• 2.1 Innovation Phase

BWL XII: Digitalisierung, E-Business und Operations

• 1981: First B2B online shopping system

• 1983: split between ARPANET (scientific purpose) and MILNET(military

• 1984: Domain Name System (DNS) introduced

BWL XII: Digitalisierung, E-Business und Operations

Domain Names and URLs

BWL XII: Digitalisierung, E-Business und Operations

• 1983: split between ARPANET (scientific purpose) and MILNET(military applications) -

• 1984: Domain Name System (DNS) introduced

BWL XII: Digitalisierung, E-Business und Operations

First Online Shopper

• 1983: split between ARPANET (scientific purpose) and MILNET(military applications) -

• 1984: Domain Name System (DNS) introduced