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Introduction

The strategic use of information technology is one of the defining aspects of organizational success in today’s
world. Many companies in industries from manufacturing to entertainment use IT to get closer with customers,
enter new markets, streamline business process.

The hardware ,software , telecommunications , database management and other technologies used to store,
process and distribute information.

Data: Raw, now-summarized and unanalyzed facts and figures.


Information: Data that have been converted into a meaningful and useful context for the receiver.
E-business infrastructure

INTERNETACCESS,
SERVICES,
HARDWARE SOFTWARE E-payment,
CERTIFICATES,
ADVERTISEMENT
Web Servers
Web Servers are networked computers that HTTP clients connect to. They send commands, receive
responses and serve useful data to clients. They store and run all the files and software necessary to host an e-
business website . Web servers are very similar to regular desktop PCs however the main difference between the
two is that servers typically require more processing power, memory and are designed to run 24/7.
A Web server is a program that uses HTTP (Hypertext Transfer Protocol) to serve the files that
form Web pages to users, in response to their requests, which are forwarded by their computers' HTTP clients.
Dedicated computers and appliances may be referred to as Web servers as well. IT is the basic network protocol
used to distribute information on the World Wide Web
The primary function of a web server is to store, process and deliver web pages to clients. Pages delivered
are most frequently HTML documents, which may include images, style sheets and scripts in addition to text
content.

For example, when you enter a URL in your browser, this actually sends an HTTP command to the Web server
directing it to fetch and transmit the requested Web page.

What is HTTP?
The Hypertext Transfer Protocol (HTTP) is an application protocol for distributed, collaborative,
hypermedia information systems. HTTP is the foundation of data communication for the World Wide
Web. Hypertext is structured text that uses logical links (hyperlinks) between nodes containing text.
Server Software
Web server software manages and interacts with the server’s hardware components in order to efficiently process
requests from clients. Client machines request content (i.e. HTML documents, photos, videos or other files) and
server software ensures the appropriate requested files are sent back to the client machine.
For example, if an end user visits www.example.com in a web browser, the web server software knows a client is
requesting specific information, so it processes that request and serves the appropriate files to the client which in
this case for example may be index.html, example.jpg, example.css, example.js. The web browser then displays
these files for the end user.
Examples of popular web server software include Windows IIS (runs on Windows machines) and Apache (runs on
Linux machines). Server software can be used on a physical server or alternatively on a virtual / cloud server.
Browsers
A web browser is a software application used to locate, receive and display content received from web
servers on the World Wide Web. The primary purpose of a web browser is to bring information resources to the user
("retrieval" or "fetching"), allowing them to view the information ("display", "rendering"), and then access other
information ("navigation", "following links").
Technically, a Web browser is a client program that uses HTTP (Hypertext Transfer Protocol) to make
requests of Web servers throughout the Internet on behalf of the browser user.
Popular web browsers include Google Chrome, Mozilla Firefox, Safari and Internet Explorer.
Internet and World Wide Web

The Web
An infrastructure of information combined and the network software used to access it

Web page
A document that contains or references various kinds of data

Links A connection between one web page and another

Website
A collection of related web pages
Uniform Resource Locator (URL)
A standard way of specifying the location of a Web page, containing the hostname, "/", and a file.

Internet
The Internet is a worldwide collection of networks that links millions of businesses, government offices,
educational institutions, and individuals. Data is transferred over the Internet using servers, which are computers
that manage network resources and provide centralized storage areas, and clients, which are computers that can
access the contents of the storage areas. The data travels over communications lines. Each computer or device on a
communications line has a numeric address called an IP (Internet protocol) address, the text version of which is
called a domain name. It is a global collection of computer networks linked together.
WWW

The WWW is essentially a huge client-server system with millions of servers distributed worldwide. Each
server maintains a collection of documents; each document is stored as a file (although documents can also be
generated on request). A server accepts requests for fetching a document and transfers it to the client. In addition, it
can also accept requests for storing new documents. The simplest way to refer to a document is by means of a
reference called a Uniform Resource Locator (URL).

A collection of central servers for accessing information on the internet.


Web Authoring Tools
A web authoring tool is a piece of software used by a web developer to create or modify web content. They range from basic text
HTML text editors (such as Notepad++) to much more complex graphic authoring tools and content management systems with
built in frameworks, debugging tools and collaboration features.
Popular web authoring software tools include Microsoft Visual Studio, Adobe Dreamweaver and Aptana Studio. All of these tools
enable web developers to create, develop and test web applications and many also have built in tools which allow for easy
synchronisation of files on web servers.
Other web authoring tools come in the form of graphic design packages such as Adobe Photoshop or Adobe Illustrator which
enable users to design a user interface for a website and export the designs in to saved html and css file format.
Basic Database concepts

Field : a single piece of information. A field is an area (within a record) reserved for a specific piece of data.
Examples: customer number, customer name, street address, city, state, phone, current balance.

Record: a collection of related fields. A number of pieces of information that relate to the same object. For
example: If you keep records on an employee, you might have their name, address, social security number, phone
number, etc…Each piece of the information relates back to one employee. This would be the employee’s record.

Table: a collection of related records. If you put all the employee records together, you have a table of employees.

Database: a collection of tables. If you were keeping the company records, you might have a table for employees, a
table for customers, and another for sales records. All these tables would be combined as a database.

A database is a set of data that has a regular structure and that is organized in such a way that a computer can
easily find the desired information.
Data is a collection of distinct pieces of information, particularly information that has been formatted (i.e.,
organized) in some specific way for use in analysis or making decisions.
Database Management System
A database management system (DBMS) is a collection of programs  that enables you to store, modify, and extract
information from a database. There are many different types of DBMSs, ranging from
all systems that run on personal computers  to huge systems that run on mainframes. The following are examples
of database applications:
•computerized library systems
•automated teller machines
•flight reservation systems
•computerized parts inventory systems

A secure, robust database system is an integral part of any e-business website. Custom queries can be
written to extract useful information from the database which can help business owners understand more about
customer behavior.
Popular database management systems include MySQL, Oracle and Microsoft SQL server.
Networking, TCP/IP and Other Protocols
The TCP/IP protocol defines how computers should be connected to each other over the internet and how they
should transfer information. TCP stands for ‘Transfer Control Protocol’, IP stands for ‘Internet Protocol’.
Everyone using the internet to access websites uses the TCP/IP protocol without realizing it. Common TCP/IP
protocols are HTTP, HTTPS and FTP. HTTP (hyper text transfer protocol) handles communication between a web
server and a web browser. HTTPS (the S stands for ‘secure’) handles secure communication between a server and a
browser (such as credit card data and personal information). FTP (file transfer protocol) takes care of the
transmissions of files between computers. This is used any time you download files in a browser such as a pdf
document, a piece of software, an image etc… 
SSL – Secure Sockets Layer – is a protocol used to encrypt data for secure transmission. TLS – Transport Layer
Security is a more updated and secure version of SSL.
For an e-business website or any site that stores sensitive information, it is considered essential and end users /
customers have come to associate it with security / trust.
Domain Names

It is the part of a network address which identifies it as belonging to a particular domain. A domain name is an identification
string that defines a realm of administrative autonomy, authority or control within the Internet. Domain names are formed by
the rules and procedures of the Domain Name System (DNS). Any name registered in the DNS is a domain name.
Programming Requirements
A programming language is a formal computer language or constructed language designed to
communicate instructions to a machine, particularly a computer. Programming languages can be used to create
programs to control the behavior of a machine or to express algorithms. Everyone has their favorite programming
language and there are different ways of going about building an e-business website.
You may decide to use PHP as a programming language if you’re most comfortable with PHP and may need to
write code to accomplish the following tasks:
filter products by most viewed, most purchased, least expensive
store customer account information in database securely
store credit card data securely
create admin panel for staff to add / remove / edit products

You may also need to use JavaScript to add items to a shopping cart and store them for the user using cookies so
that the items still remain in the cart as the user navigates through the website.
E-Business Security
E-Business systems naturally have greater security risks than traditional business systems, therefore it is
important for e-business systems to be fully protected against these risks. A far greater number of people have
access to e-businesses through the internet than would have access to a traditional business. Customers, suppliers,
employees, and numerous other people use any particular e-business system daily and expect their confidential
information to stay secure. Hackers are one of the great threats to the security of e-businesses. Some common
security concerns for e-Businesses include keeping business and customer information private and confidential,
authenticity of data, and data integrity. Some of the methods of protecting e-business security and keeping
information secure include physical security measures as well as data storage, data transmission, anti-virus
software, firewalls, and encryption to list a few.

Privacy and confidentiality:

Confidentiality is the extent to which businesses makes personal information available to other businesses
and individuals.With any business, confidential information must remain secure and only be accessible to the
intended recipient. However, this becomes even more difficult when dealing with e-businesses specifically. To keep
such information secure means protecting any electronic records and files from unauthorized access, as well as
ensuring safe transmission and data storage of such information. Tools such as encryption and firewalls manage this
specific concern within e-business.
Authenticity

E-business transactions pose greater challenges for establishing authenticity due to the ease with which electronic
information may be altered and copied. Both parties in an e-business transaction want to have the assurance that the other
party is who they claim to be, especially when a customer places an order and then submits a payment electronically. One
common way to ensure this is to limit access to a network or trusted parties by using a virtual private network (VPN) technology.
The establishment of authenticity is even greater when a combination of techniques are used, and such techniques involve
checking "something you know" (i.e. password or PIN), "something you need " (i.e. credit card), or "something you are" (i.e.
digital signatures or voice recognition methods). Many times in e-business, however, "something you are" is pretty strongly
verified by checking the purchaser's "something you have" (i.e. credit card) and "something you know" (i.e. card number).

Data integrity

Data integrity answers the question "Can the information be changed or corrupted in any way?" This leads to the
assurance that the message received is identical to the message sent. A business needs to be confident that data is not changed
in transit, whether deliberately or by accident. To help with data integrity, firewalls protect stored data against unauthorized
access, while simply backing up data allows recovery should the data or equipment be damaged.
Access control

When certain electronic resources and information is limited to only a few authorized individuals, a business and its
customers must have the assurance that no one else can access the systems or information. Fortunately, there are a variety of
techniques to address this concern including firewalls, access privileges, user identification and authentication techniques (such
as passwords and digital certificates), Virtual Private Networks (VPN), and much more.

Availability

This concern is specifically pertinent to a business' customers as certain information must be available when customers
need it. Messages must be delivered in a reliable and timely fashion, and information must be stored and retrieved as required.
Because availability of service is important for all e-business websites, steps must be taken to prevent disruption of service by
events such as power outages and damage to physical infrastructure. Examples to address this include data backup, fire-
suppression systems, Uninterrupted Power Supply (UPS) systems, virus protection, as well as making sure that there is sufficient
capacity to handle the demands posed by heavy network traffic.

Cost

In the twenty-first century, look for new businesses that will help standardize the look and feel of the internet presence
of a business to be more uniform in nature to help reduce the cost of maintenance. Expect maintenance by graphical software
tools instead of directly by code as a key business proposition that will revolutionize the internet once again.
Non-repudiation

This concern deals with the existence of proof in a transaction. A business must have assurance that the receiving party
or purchaser cannot deny that a transaction has occurred, and this means having sufficient evidence to prove the transaction.
One way to address non-repudiation is using digital signatures. A digital signature not only ensures that a message or document
has been electronically signed by the person, but since a digital signature can only be created by one person, it also ensures that
this person cannot later deny that they provided their signature. [
Security solutions
When it comes to security solutions, sustainable electronic business requires support for data integrity, strong
authentication, and privacy.

Access and data integrity

There are several different ways to prevent access to the data that is kept online. One way is to use anti-virus software.
This is something that most people use to protect their networks regardless of the data they have. E-businesses should use this
because they can then be sure that the information sent and received to their system is clean. A second way to protect the data
is to use firewalls and network protection. A firewall is used to restrict access to private networks, as well as public networks that
a company may use. The firewall also has the ability to log attempts into the network and provide warnings as it is happening.
They are very beneficial to keep third-parties out of the network. Businesses that use Wi-Fi need to consider different forms of
protection because these networks are easier for someone to access. They should look into protected access, virtual private
networks, or internet protocol security. Another option they have is an intrusion detection system. This system alerts when there
are possible intrusions. Some companies set up traps or "hot spots" to attract people and are then able to know when someone
is trying to hack into that area.
Encryption:

Encryption, which is actually a part of cryptography, involves transforming texts or messages into a code which is
unreadable. These messages have to be decrypted in order to be understandable or usable for someone. There is a key that
identifies the data to a certain person or company. With public key encryption, there are actually two keys used. One is public
and one is private. The public one is used for encryption, and the private for decryption.

Digital certificates
The point of a digital certificate is to identify the owner of a document. This way the receiver knows that it is an
authentic document. Companies can use these certificates in several different ways. They can be used as a replacement for user
names and passwords. Each employee can be given these to access the documents that they need from wherever they are.
These certificates also use encryption. They are a little more complicated than normal encryption however. They actually used
important information within the code. They do this in order to assure authenticity of the documents as well as confidentiality
and data integrity which always accompany encryption. Digital certificates are not commonly used because they are confusing
for people to implement. There can be complications when using different browsers, which means they need to use multiple
certificates. The process is being adjusted so that it is easier to use.

Digital signatures

A final way to secure information online would be to use a digital signature. If a document has a digital signature on it, no one
else is able to edit the information without being detected. That way if it is edited, it may be adjusted for reliability after the fact.
In order to use a digital signature, one must use a combination of cryptography and a message digest. A message digest is used
to give the document a unique value. That value is then encrypted with the sender's private key.
Methods of online payment

Credit cards constitute a popular method of online payment but can be expensive for the merchant to
accept because of transaction fees primarily. Debit cards constitute an excellent alternative with similar security but
usually much cheaper charges. Besides card-based payments, other forms of payment have emerged and sometimes
even claimed market leadership.

E-Money
E-Money transactions refers to situation where payment is done over the network and amount gets transferred from
one financial body to another financial body without any involvement of a middleman. E-money transactions are
faster, convenient and saves a lot of time.
Online payments done via credit card, debit card or smart card are examples of e-money transactions. Another
popular example is e-cash. In case of e-cash, both customer and merchant both have to sign up with the bank or
company issuing e-cash.
Credit Card
Payment using credit card is one of most common mode of electronic payment. Credit card is small
plastic card with a unique number attached with an account. It has also a magnetic strip embedded in it which is
used to read credit card via card readers. When a customer purchases a product via credit card, credit card issuer
bank pays on behalf of the customer and customer has a certain time period after which he/she can pay the
credit card bill. It is usually credit card monthly payment cycle.

Debit Card

Debit card, like credit card is a small plastic card with a unique number mapped with the bank account
number. It is required to have a bank account before getting a debit card from the bank. The major difference
between debit card and credit card is that in case of payment through debit card, amount gets deducted from
card's bank account immediately and there should be sufficient balance in bank account for the transaction to
get completed. Whereas in case of credit card there is no such compulsion.
Debit cards free customer to carry cash, cheques and even merchants accepts debit card more readily.
Smart Card

Smart card is again similar to credit card and debit card in appearance but it has a small microprocessor chip
embedded in it. It has the capacity to store customer work related/personal information. Smart card is also used to
store money which is reduced as per usage.
Smart card can be accessed only using a PIN of customer. Smart cards are secure as they stores information in
encrypted format and are less expensive/provides faster processing.

Electronic Fund Transfer


It is a very popular electronic payment method to transfer money from one bank account to another bank account.
Accounts can be in same bank or different bank. Fund transfer can be done using ATM (Automated Teller Machine)
or using computer.
Now a day, internet based EFT is getting popularity. In this case, customer uses website provided by the bank.
Customer logins to the bank's website and registers another bank account. He/she then places a request to transfer
certain amount to that account. Customer's bank transfers amount to other account if it is in same bank otherwise
transfer request is forwarded to ACH (Automated Clearing House) to transfer amount to other account and amount is
deducted from customer's account. Once amount is transferred to other account, customer is notified of the fund
transfer by the bank.
Information Technology:

For Accounting
The implications of replacing paper documents by electronic may impact many of the
accountants’ tasks, especially the auditing of EC activities and systems
For Finance
The world of banking ,stocks, and commodities markets, and other financial services are
being reengineered due to E-Business.
For Marketing
The revolution is affecting many marketing theories, ranging form consumer behavior to
advertisement strategies
For Production/Operations Management
Electronic business is changing the manufacturing system form a product-push mass
production to an order-pull mass customization
For Human Resource Management
Modern HRM has tremendous opportunities to exploit Internet capabilities to improve the
productivity of HRM personnel, recruit and maintain top employees, and increase job
satisfaction to very high levels
Negative Impacts

Ads Backfiring
Advertising on social networks has had mixed results so far. Many consumers find targeted ads on these sites to be intrusive
and untrustworthy. When people do click on the banner ads, the visitors don't stay on the advertising eBusinesses' sites long
enough to buy anything A lot of companies are still in an interim stage, in which social networking still supplements older
business practices. Having both in place only makes social networking more expensive, rather than a cost saver.

Privacy 
It is easy to collect a lot of personal information from a consumer using an website, sometimes too easy. Since all online
transactions are recorded, it's relatively easy to create an online profile of the buyer, and use that to send targeted
advertisements. However, many will agree that this is an intrusion on a consumer's right to privacy, and it's something that is
heavily regulated on many countries. This means small businesses aiming to establish an online presence using e-business need
to be aware of the legislation that applies, as mistakes can be costly both in terms of fines and customer trust.

Security 
Another negative effect of e-business is its effect on consumers' security. Online transactions are inherently more insecure than
those conducted in person because there's no way to guarantee that the person making the payment is the actual owner of the
credit card used. At the same time, when the customer inputs the payment information they risk a third party intercepting it if
the website doesn't comply with the adequate security measures, giving rise to credit card fraud and identity theft. Merchants
need to be aware of the risks electronic transactions carry, and work towards securing the systems to the highest standards.
Price Wars 

Merchants used to selling at their shop may often find selling online an extremely competitive marketplace. Their products are
displayed alongside competitive offers, often from different countries or bigger retailers with access to better wholesale prices.
This can affect the retailer negatively, as they cannot sell as much as they expected to actually make a profit.

Returns And Complaints 


Selling online means usually a higher return rate on products than when the purchase was conducted in person. This is due partly
to the fact that customers haven't seen the goods in person prior to purchase, but also to the fact that many online shoppers buy
things on impulse, and by the time they receive them at their home they have changed their mind and make use of favorable
return policies. While a big retailer would have no problem accommodating this, it can be highly disruptive for a small business
with limited stock management.
Electronic Commerce Applications
• Direct Marketing • Stocks, Jobs • On-line banking
• Procurement and purchasing • Malls • Procurement • Auctions •
Travel
• On-line publishing • Customer Services • Intrabusiness
Transactions

People:
Public Policy : Marketing and Supply Chain:
Buyers, Sellers,
Taxes, Legal, Advertisement: Logistics and
Intermediaries, Privacy Issues, Market Research, Business Partners
Services, IS People Regulations, and Promotions, and
and Management Technical Web content
Standards

Infrastructure
(1) (2) (4)
(3) (5)
Common business Messaging and Network infrastructure
Multimedia content Interfacing
services infrastructure information distribution (Telecom, cable TV
and network infrastructure
(security, smart infrastructure wireless, Internet)
publishing infrastructure (The databases,
cards/authentication (EDI(electronic Data Interchange), (VAN(Value Added Network),
(HTML, JAVA, World logistics,
electronic payments, e-mail, Hyper Text WAN, LAN,
Wide Web) customers, and
directories/catalogs Transfer Protocol, Chat Intranet, Extranet)
applications)
Rooms) Access (cell phones)

Management

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