Business Informatics Final

Unique features of E-Commerce: Ubiquity

Ease of access, internet is avalible everywhere no need to go to a Physical market

Unique features of E-Commerce: Global Reach

Billions of potential customer due to online stores not being limited by reigion

Unique features of E-Commerce: Universal Standards

Only one set of standards which is the internet standards. which lowers search costs and market entry costs.

Unique features of E-Commerce: richness

Supports Video, audio and text messages. all these media types can be included in marketing. (Tip the human version of adding enrichment to a cats food)

Unique features of E-Commerce: Interactivity

Technology works through interaction with the user, therefor online stores can tailer to their customers exact needs

Unique features of E-Commerce: Information Density

The amount and quality of available information is huge.

Unique features of E-Commerce: Personalization

Technology allows for personalisation of products or services to tailer to an individual or group of people.

Unique features of E-Commerce: Social Technology

Technology allows for social networking, and user-generated content

What does E-commerce enable?

price discrimination, dynamic pricing, price disintermediation

What does E-commerce reduce?

information asymmetry, reduces search costs, transaction costs, and menu costs

Information Asymmetry

When one party of a transasction has more knowladge than another

Menu Costs

The costs of changing prices

Transaction Costs

Costs to participate in a market/ cost of purchasing (ie. no need for gas)

Price Discrimination

different prices in different markets depending on how much a buyer is willing to pay

Dynamic pricing

Changing price based on factors of demand, such as more people are searching this product now, so increase price

List E-commerce business models

Portal, E-tailer, Content Provider, Transaction Broker, Market Creator, Service provider, Community provider

List E-commerce Revenue Models

Advertising, sales, subscriptions, transaction fee, affiliate

What is a value proposition?

How a companys products fullfill the customers needs

What are some Web 2.0 Services?

Croud Searching/wisdom of the crowds, Website Visiter Tracking, website personalisation

What is an EDI?

Electronic data Interchange, is a tool used to automate Buisness to Buisness trasactions (BTB)

What are the essential components of a network?

PC with a network interface ward, Network Switch, Server, Router

What is packet Switching?

Slicing the message/data into parts then sending them separately. Once the Data reaches its destination the message/data is returned into its original form

What is client Server Computing?

A client PC requests a serivce which a main central server then process and provides the required data.Cleints are linked by a centralized mainframe computing system (The internet)

Components of networks in large companies?

Local Area networks are linked to a corporate network of powerful servers. Includes back end systems. Such as Mobile wireless lans, video conference systems and so on

TCP and IP Connectivity

Connectivity between two different computers is based on certain protocols. These protocols are rules that govern the transmission between two point. Transmission control protocol and Internet Protocol.

TCP/IP connectivity example

Application — Transport — Internet — Network Interface -

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Application — Transport — Internet — Network Interface

Domain Name System

root domain is . , top level domain is com, edu, org , second level domain is google congress expidia, third level domain is the host

Internet services

Email, Instant messaging/chatting, File Transfer Protocal (FTP), VoIP, Vitual Private Network, World Wide Web (www)

File Transfer Protocal (FTP)

a standard network protocol used for the transfer of files from one host to another over a TCP-based network, such as the Internet

VoIP

technology that allows you to make voice calls

Components of the World Wide Web (www)

HTML, Hyper Text Transfer Protocols (HTTP), Uniform Resource Locators (URL), Web Servers, Search engine, Shopping bots

HTML

standard language for documents designed to be displayed in a web browser

Hyper Text Transfer Protocols (HTTP)

set of rules which allows data to be transferred in web pages

Web 2.0

more interactive, real time user control, social participation, user generated content

Web 3.0

more intelegent computing, seemless experiance, making searches more relevent to the user

Raidio Frequency Identification (RFID)

tag with a microchip containing data about an items location and antenna. They transmit data to RFID readers, which send the data to a network for processing.

Common Uses of RFID

Automate toll collection, and track goods in the supply chain. It also requires special hardware and software. But become cheap so becoming accessible

IT infrastructure

Set of devices and software required to operate an enterprise.

What services does IT infrastructure provide?

Telecommunications services, data management services, computing services, service platform perspective (more accurate view of investments)

What is the evolution of IT infrastructure?

Mainframe and micro computing, personal computer, client server network, enterprise computing, cloud computing.

Mainframe and Micro computing

Mainframes can process requests from a number of users simultaneously, whereas a microcomputer is designed to be used by one person at a time

enterprise computing

the information technology infrastructure, systems, and applications that businesses and large organizations use to manage and process their data on a large scale

cloud computing

on-demand availability of computer system resources, especially data storage and computing power, without direct active management by the user

Laws of IT Infrastructure: moore’s law

computing doubles every 18 months

Laws of IT Infrastructure: metcalf’s law

power of a network grows exponentially as a function of the network members. the more network members a network has the higher demand to join a network has.

Laws of IT Infrastructure: law of mass digital storage

the data stored doubles each year

Laws of IT Infrastructure: declining communication

communicatopom and internet are becmoing more accessable. Therefor usage of comuting facilities increase.

What are the 7 main components of IT infrastructure?

computer hardware

operating system

enterprise software

data maanagment and storage

networking and telecommunications platform

Internet Platform

Consulting system integration services

Computer Hardware Trends

mobiles, grid computing, virtualization, on-demand, green computing, multi processors, autonomic computing

Grid Computing

connects geographicly remote computers in order to create a single super computer

Virtualization

allows a single physical resource to act as multiple logical ones

On demand

offloading peak demand for computing power to remote large scale data processing centers

Green computing

practices and technologys for manufactoring using and disposing of computing networking hardware. Attemts to make computing mroe eco freindly and reduce energy consumption

Types of software

Open source, ajax, service oriented, apps, machups, widgets, software packages, cloud based software, software outsearching

Software out searching (domestic,offshore)

"Software outsourcing" is when a company hires another company or individuals to do some of its software development work. domestic outsourcing is hiring people within the country. Offshore is hiring people out of country

Total cost of ownership model (TCO)

Analysing the direct and indirect costs, cost of teh software and hardware (20%), cost of training, installation, space, downtime.

How can TCO be reduced?

Centralization, standardization of hardware, and use of cloud services

Viruses

Rogue software program that attaches itself to other software programs or data files in order to be executed

Worms

Independent computer programs that copy themselves from one computer to other computers over a network

Trojan horses

Software program that appears to be benign but then does something other than expected

SQL injection attacks

Hackers submit data to web forms that exploits site’s unprotected software and sends rogue SQL query to database

Spyware

Small programs install themselves surreptitiously on computers to monitor user web surfing activity and serve up advertising

Key loggers

Record every keystroke on computer to steal serial numbers, passwords, launch internet attacks

Hackers Activities include:

System intrusion, system damage, cybervandalism

Sniffer

Eavesdropping program that monitors information traveling over network Enables hackers to steal proprietary information such as e-mail, company files

Click fraud

Occurs when individual or computer program fraudulently clicks on online ad without any intention of learning more about the advertiser or making a purchase

Why systems are vulnerable

Accessibility of networks, Hardware problems, Software problems, Loss and theft of portable devices

Denial-of-service attacks (DoS)

Flooding server with thousands of false requests to crash the network

Identity theft

Theft of personal Information

Evil twins

Wireless networks that pretend to offer trustworthy Wi-Fi connections to the internet

Spoofing

Misrepresenting oneself by using fake e-mail addresses or masquerading as someone else

Phishing

Setting up fake websites/emails that look like legitimate businesses to ask users for confidential personal data

Pharming

Redirects users to a bogus web page, even when the individual types the correct web page address into their browser

How can security threats originate from within the organization?

inside knowledge, Sloppy security procedures, User lack of knowledge

Social engineering

Tricking employees into revealing their passwords by pretending to be legitimate members of the company in need of information

Software vulnerability

software contains hidden bugs, these bugs can open networks to intruders. Patches are small peirces of software which repare bugs. but exploits are created faster than patches.

What are technical Safegaurds

Identification and authentication, firewalls, malware protection

Firewalls

network security device that monitors traffic to or from your network

Malware Protection

Instaling anti virus and anti spyware programs, frequent comuter scans, install software updates

Digital certificate

Data file used to establish the identity of users and electronic assets for protection of online transactions Uses a trusted third party, certification authority (CA), to validate a user’s identity. CA verifies user’s identity, stores information in CA server, which generates encrypted digital certificate containing owner ID information and copy of owner’s public key

Data Safegaurds

protect databases and other organizational data

Data administration

an organization-wide function develops data policies
enforce data standards

Database administration

particular database function procedures for multi-user processing Encryption keysprotection of database

Encryption keys

are used with Encryption algorithm/ciphers to protect data

Backup copies

Store off-premise, Check validity

Physical security

Lock and control access to facility, Maintain entry log

Third party contracts

Safeguards are written into contracts, Right to inspect premises and interview personnel

Security in the cloud

Firms must ensure providers provide adequate protection, meets the Service level agreements (SLA), and complies with SOC2

What is MIS audit?

Examines a firm’s overall security level, reviews technologies, procedures, and documentation, and may stimulate disasters in order to test response. assesses financial and organisational impact of threats.

Risk assessment

determines the levels of risk if an activity is not properly controlled. Takes into account: the type of threat, probability of occurrence, potential loss, expected annual loss

Software metrics

bjective assessments of system in form of quantified measurements such as: Number of transactions, Online response time, Payroll checks printed per hour, Known bugs per hundred lines of code

Walkthrough

Review of specification or design document by small group of qualified people

Debugging

Process by which errors are eliminated

First mover vs fast follwers

first movers: inventors of disruptive technologies. Fast followers: firms with the size and resources to captalize on that technology

What are disruptive technologies

Technology that brings about sweeping change to businesses, industries, markets

Agency costs

the costs of managing a firm’s employees

Why does IT flatten organization

since decision-making is pushed down, and Organizations flatten because, in postindustrial societies, authority increasingly relies on knowledge and competence rather than formal positions

What are the four statigies for dealing with competitive forces?

Low-cost leadership, Product differentiation, Focus on market niche, Strengthen customer and supplier intimacy

Low cost leadership

Produce products at a lower price than competitors while enhancing quality and level of service

Product differentiation

enable new products or services, greatly change customer convience and experience