E-Business

CH 2
E-business
technology
Key issues:

The development of the internet;

The World Wide Web (WWW);
Information infrastructure;
Electronic Data Interchange (EDI); Ltabedol l electroni llal bayenet
Program languages;
Industry standards; Ma3ayir lsine3a
Wireless technology;
Interactive television;
Payment systems.
 The development of the internet

• The development of the internet stems from innovations in computer

technology. The first attempts at constructing a computer date back
to the early twentieth century. In 1913 Vannevar Bush invented the
Prolific Tracer, a device comprising a bicycle wheel, a rotating drum,
gears and a pen. The device could measure distances over uneven
ground. By 1919, Bush had created the first computer that could solve
mathematical equations, called the ‘differential analyser’.
• The onset of two World Wars meant that greater investment was
poured into developing technology for military purposes. Computers
became bigger and more sophisticated
• By the early 1990s the use of the internet had expanded beyond
university departments and government bodies to incorporate
the business world. However, the use of the internet for business
purposes got off to a slow start because no infrastructure existed that
could connect users to the network from any location around the
globe. Only those with a good knowledge of the technology could
find their way around the large number of databases.

B awe2el ltes3inet twassa3 est3emel lnet lal idarat ljemi3iye wlhay2at lhukumiye, m3 hek
este3mel lnet lal business balchet 3l bati2 l2n ma fi bnye tahtiye eln. Bs li 3ndn ma3rife bl
technology by2dru yet3amalu m3 lkamiye lkbire mn ldatabases.
The World Wide Web (WWW)

• Perhaps the most significant development in bringing forward the

application of business via the internet was the emergence of the
World Wide Web (WWW).

Aham tatawor b enu sar business app 3l net huwe zuhur chabaket zuhur lweb l3alamiye
• Thus, very soon after the development of the WWW in 1993 a
team of researchers at the National Center for Supercomputing
Applications (NCSA) at the University of Illinois developed a
windows-based graphical user interface for the internet. The
window is a specialised form of software which is run on client
computers to provide an instant interface for the Web. The generic
name for the software is a Web browser.
B3d w2t asir mn tetwir www bsent 1993 ken lbehisin bl markaz lwatani lal husub lfe2ika (NCSA)
Bi jem3et illinois wada3u wejhet lmusta5dem lal
Information infrastructure

• The information infrastructure is the support system that allows the

internet to work.

• The main infrastructure support facilities exist in developed nations

where access to the internet has moved beyond fixed location
computers to incorporate mobile wireless computers and mobile
phones.
Broadband

• Broadband has been part of communications terminology for

a number of years but few consumers of media are aware of what it
is or what it does.

• Broadband is a term used to describe the bandwidth of a transmitted

communications signal. The bandwidth describes a range of
frequencies that the signal occupies
Electronic Data Interchange (EDI)

• Electronic Data Interchange (EDI) describes the exchange of

documents between organisations in standardised electronic form
directly between computer applications.
• Many routine and procedural processes between organisations are
automated and completed electronically using EDI.
Minoli and Minoli (1998) summarise the key features of EDI as:

The use of an electronic transmission medium;

The use of structured, formatted messages based upon

agreed standards;

The fast delivery of electronic documents from sender to

receiver;

The direct communication between applications and

systems.
The key benefits associated with EDI include:

Lower costs in administration and processing;

Lower costs in posting and preparation of transactions;

Increased efficiency in transaction processing;

Eliminating paper-handling tasks;

Program languages

• Technology development lies at the heart of e-business. In order to

communicate with others via a computer it is necessary to access
a program language.
• A program language facilitates the development of a set of
instructions from the programmer that constitutes a computer
program.
Machine languages

• The initial and most basic form of program language used binary
numbers as codes for instructions.

• This first generation of program language was slow, cumbersome and

prone to error because instructions were required for every switch
and indicator used by the program.
Assembler languages
• Assembler languages require translator programs (assemblers) that
enable a computer to convert the instructions into machine language.
Assembler languages use letters of the alphabet and symbols rather
than binary numbers as codes for instruction.
High-level languages
• High-level languages are simpler to learn than assembler languages
since they are less formal and rules based, however it requires longer
computer time to translate into machine language.
Fourth generation languages

• (4GL) place the onus on programmers to specify the results they are
looking for.
• The computer then works out the sequence of instructions that
achieve the stated results.
Object-orientated programming (OOP) languages

• Object-orientated programming (OOP) languages include languages,

such as Java and Cþþ, that are tools for software development.
• OOP languages bind together the data elements and the procedures
to be performed upon them to create objects.
Java

• Java is an extensive, object-orientated programming language that is

widely used to facilitate e-business applications, whether via the
World Wide Web or intranets and extranets.
XML

• The program language XML (eXtensible Markup Language) is

a subset of the Standard Generalized Markup Language (SGML)
and applies identifying tags to the data in web documents to describe
the content of web pages.
The designers of XML had to incorporate a number of
key characteristics including:

Ease of use over the internet;

The capability of supporting a wide range of applications;

Compatibility with SGML;

Legibility to the human eye;

Minimal optional features;

Ease of program writing for processing XML documents

Industry standards

• The internet allows a wide range of applications and functions

through a single interface.
• The quality of service is enhanced by developing an integrated system
that allows the free flow of information between all parties in the
supply chain.
Assessing the multiple and single interface
for e-business

• Electronic Data Interchange (EDI)

One of the first e-marketplace models proposed for integrating
systems was that of the Electronic Data Interchange (EDI)
communication system between partners participating in the supply
chain.
• XML
The Extensible Markup Language (XML) is a class of data objects that
are stored on computers. XML goes some way to describe the
behaviour of programs that process these objects.
• ebXML
ebXML is an attempt to overcome restricted applications by
operating a horizontal standard that can be developed for use in
any vertical industry, with the main users being small and medium
sized enterprises.
The keys to the success of ebXML are:

That the standards implemented must remove human

involvement historically required in the set-up of the
exchange of information between two entities;

That much greater speed be applied to the standards

development process to accommodate need and the pace
of change in e-commerce;

That implementation of a standard set of communications

characteristics overcome integration problems and have
benefits industry-wide.
Universal Business Language (UBL)

• The main attributes of UBL are experienced and proven leadership

qualities, broad industry and vendor support and a solid technical
foundation.
Rosetta Net

• Rosetta Net is an industry specific system geared towards vertical

standards in the IT, electronics and hi-tech industries. This e-business
initiative is geared towards creating an industry standard that helps
to leverage efficiency and cost savings across the supply chain
Figure 2.2
The Rosetta Net model of e-business exchange

Telephone Application

Business process E-business process

Dialogue Partner Interface Process (PIP)

Grammar Framework

Words Dictionaries

Alphabet HTML/XML

Sound Internet
UDDI

• Universal Description Discovery and Integration (UDDI) is a rival

to ebXML. UDDI is the initiative developed by a consortium
comprising Microsoft, IBM and Ariba. This system also seeks depth to
the interconnections between e-businesses
Wireless technology

• Wireless technology has been the catalyst for structural change in the
internet economy since it first emerged as a viable e-business channel
in the 1990s.

The emergence of mobile internet networks can be viewed as

one of the most significant media opportunities presented to firms
across a wide range of industry sectors.
Developments in wireless technology

WAP
Wireless Applications Protocol (WAP) is a standard that transfers data
and information to wireless devices.
3G

• Each new technology for accessing mobile internet applications has

its own transmission speed. 3G operates at 384 k/bits per second,
a tenfold increase since second generation (2G) rollout only a few
years previously in 2000.
Bluetooth

• Bluetooth is a specification for short-range radio communications

among mobile devices

• Mobile devices operating

Bluetooth can communicate when they come within range of each
other and establish a network relationship
Wi-fi

• Wireless-fidelity, or wi-fi, is a high-speed local-area network enabling

wireless access to the internet for mobile, office and home users. Its
main attribute is its flexibility since it can be used in built-up urban
areas without the need for a fixed connection.
Wimax

• Wimax is a broadband service that can support data transmission at

speeds of up to 10 Mb a second, twenty times faster than
conventional 512 kb/s available on copper wires.
Wireless standards

• The standard protocol for sending data between wireless devices is

the Wireless Application Protocol (WAP). WAP uses a version of
HTML called Wireless Markup Language (WML) and is designed
specifically for small devices such as mobile phones and PDAs.
Mobile wireless-enabling capabilities

• Mobile wireless technology provides the capability for overcoming

some of the problems associated with ‘wired’ e-commerce.

• Wireless also enhances monitoring and management of the

supply chain process by improving the flow of information for
ordering, stock control and payment
 Other emerging technologies

• Internet protocol
Internet protocol (IP) is a system that facilitates the convergence
of voice and video with existing forms of internet communication
(e-mail, databases, etc.)
Voip

A challenge to mobile telecoms companies is the prospect of the

development of internet telephony, and in particular, voiceover
internet protocol (voip). Voip is a means of making telephone calls
over the internet and is set to have a considerable impact on the
telecoms market
Voice recognition

A great amount of time, energy and resources has been poured into
developing voice recognition technology, with IBM leading the way in
both research and design. Once voice recognition becomes widely
available it will offer a further value-added dimension to
communicating via fixed or mobile internet.
Internet television

Internet television (IPTV) enables viewers to choose from a vast

archive of film and television programmes.
Mobile phone television

• Major telecommunications businesses are involved in providing

mobile television services.

• The development of mobile phone television provides another

channel for telecommunication companies, content providers,
broadcasters, advertisers and other businesses to reach customers.
 Interactive television

• Interactive television is a manifestation of the convergence of

television and new interactive technologies such as the internet.
The main characteristic of interactive television is the engagement
of the viewer in the television experience since it offers the possibility
of interaction between consumer and content.
Interactive television technology
• There are three main
components to interactive television technology. These are the:

Platform: the underlying system and standards that makes

up the set-top box. The platform enables interactivity and
other applications. Platforms can include interactive television related software,
middleware and/or hardware.

Middleware: a general name for any program that serves

to bring together the interactive engine and databases.
Middleware provides the software for services between
server and end-user.

Software: software adds features to the set-top box.

 Payment systems

• One of the most important aspects of secure payment systems for

e-business and e-commerce is the authenticity of transactions. The
most common software used for this purpose is Secure Sockets Layer
(SSL) developed by Netscape.

The two main standards are:

The Open Buying on the Internet;

The Open Trading Protocol.
The Open Buying on the Internet (OBI)

• OBI provides an open architecture that brings buyers and sellers

together for the transaction of high-volume, low value products
between companies that form the majority of trade between
businesses.
The Open Trading Protocol (OTP)

• OTP is designed to deliver a virtual analogue of the traditional trading

environment across the supply chain from negotiation to delivery of
products.
• This means that consumers have a choice of payment systems and
may take advantage of offers, discounts or price differentials between
competing systems.
Finally, Companies have good commercial reasons for seeking to ensure
that their system becomes the industry standard. While this continues,
standardisation is likely to remain elusive.
THANKYOU