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Electronic Commerce,9781418837037

Electronic Commerce

by
Edition:
7th
ISBN13:

9781418837037

ISBN10:
1418837032
Format:
Paperback
Pub. Date:
3/27/2006
Publisher(s):
Cengage Learning
List Price: $175.00

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Summary

Electronic Commerce, Seventh Edition covers emerging online technologies and trends and their influence on the electronic commerce marketplace. This edition highlights important security issues, such as spam and phishing, their role in organized crime and terrorism, identity theft, and online payment fraud. The pedagogical value of this new edition is enhanced through a fresh 4-color interior, and new and updated material that balances the technological with the strategic aspects of successful e-commerce.

Author Biography

Gary Schneider is an Associate Professor of Accounting and Information Systems at the University of San Diego School of Business

Table of Contents

Preface xvii
Part 1: Introduction
Introduction to Electronic Commerce
2(49)
Electronic Commerce: The Second Wave
4(10)
Electronic Commerce and Electronic Business
5(1)
Categories of Electronic Commerce
5(3)
The Development and Growth of Electronic Commerce
8(1)
The Dot-Com Boom, Bust, and Rebirth
9(2)
The Second Wave of Electronic Commerce
11(3)
Business Models, Revenue Models, and Business Processes
14(6)
Focus on Specific Business Processes
14(1)
Role of Merchandising
15(1)
Product/Process Suitability to Electronic Commerce
15(2)
Advantages of Electronic Commerce
17(1)
Disadvantages of Electronic Commerce
18(2)
Economic Forces and Electronic Commerce
20(6)
Transaction Costs
21(1)
Markets and Hierarchies
22(2)
Using Electronic Commerce to Reduce Transaction Costs
24(1)
Network Economic Structures
24(1)
Network Effects
25(1)
Using Electronic Commerce to Create Network Effects
26(1)
Identifying Electronic Commerce Opportunities
26(5)
Strategic Business Unit Value Chains
26(2)
Industry Value Chains
28(2)
SWOT Analysis: Evaluating Business Unit Opportunities
30(1)
International Nature of Electronic Commerce
31(10)
Trust Issues on the Web
32(1)
Language Issues
33(1)
Culture Issues
34(2)
Culture and Government
36(2)
Infrastructure Issues
38(3)
Summary
41(1)
Key Terms
41(1)
Review Questions
42(1)
Exercises
42(1)
Cases
43(4)
For Further Study and Research
47(4)
Technology Infrastructure: The Internet and the World Wide Web
51(55)
The Internet and the World Wide Web
53(7)
Origins of the Internet
54(1)
New Uses for the Internet
54(1)
Commercial Use of the Internet
55(1)
Growth of the Internet
56(1)
Emergence of the World Wide Web
57(3)
Packet-Switched Networks
60(2)
Routing Packets
60(2)
Internet Protocols
62(6)
TCP/IP
62(1)
IP Addressing
63(1)
Domain Names
64(2)
Web Page Request and Delivery Protocols
66(1)
Electronic Mail Protocols
66(1)
Unsolicited Commercial E-Mail (UCE, Spam)
67(1)
Markup Languages and the Web
68(14)
Standard Generalized Markup Language
69(1)
Hypertext Markup Language
70(6)
Extensible Markup Language (XML)
76(5)
HTML and XML Editors
81(1)
Intranets and Extranets
82(3)
Intranets
82(1)
Extranets
83(1)
Public and Private Networks
83(1)
Virtual Private Network (VPN)
84(1)
Internet Connection Options
85(7)
Connectivity Overview
85(1)
Voice-Grade Telephone Connections
86(1)
Broadband Connections
86(2)
Leased-Line Connections
88(1)
Wireless Connections
88(4)
Internet2 and the Semantic Web
92(2)
Summary
94(1)
Key Terms
95(2)
Review Questions
97(1)
Exercises
97(1)
Cases
98(3)
For Further Study and Research
101(5)
Part 2: Business Strategies for Electronic Commerce
Selling on the Web: Revenue Models and Building a Web Presence
106(59)
Revenue Models
107(25)
Web Catalog Revenue Models
108(7)
Digital Content Revenue Models
115(2)
Advertising-Supported Revenue Models
117(4)
Advertising-Subscription Mixed Revenue Models
121(1)
Fee-for-Transaction Revenue Models
122(8)
Fee-for-Service Revenue Models
130(2)
Revenue Models in Transition
132(4)
Subscription to Advertising-Supported Model
133(1)
Advertising-Supported to Advertising-Subscription Mixed Model
133(1)
Advertising-Supported to Fee-for-Services Model
133(1)
Advertising-Supported to Subscription Model
134(1)
Multiple Transitions
134(2)
Revenue Strategy Issues
136(4)
Channel Conflict and Cannibalization
137(1)
Strategic Alliances and Channel Distribution Management
138(1)
Mobile Commerce
139(1)
Creating an Effective Web Presence
140(6)
Identifying Web Presence Goals
140(1)
Achieving Web Presence Goals
141(5)
Web Site Usability
146(5)
How the Web is Different
146(1)
Meeting the Needs of Web Site Visitors
147(2)
Trust and Loyalty
149(1)
Rating Electronic Commerce Web Sites
150(1)
Usability Testing
150(1)
Customer-Centric Web Site Design
151(1)
Connecting with Customers
151(4)
The Nature of Communication on the Web
152(3)
Summary
155(1)
Key Terms
155(1)
Review Questions
156(1)
Exercises
157(1)
Cases
157(4)
For Further Study and Research
161(4)
Marketing on the Web
165(52)
Web Marketing Strategies
167(4)
Product-Based Marketing Strategies
168(2)
Customer-Based Marketing Strategies
170(1)
Communicating with Different Market Segments
171(5)
Trust and Media Choice
172(1)
Market Segmentation
173(2)
Market Segmentation on the Web
175(1)
Offering Customers a Choice on the Web
176(1)
Beyond Market Segmentation: Customer Behavior and Relationship Intensity
176(8)
Segmentation Using Customer Behavior
176(3)
Customer Relationship Intensity and Life-Cycle Segmentation
179(2)
Acquisition, Conversion, and Retention of Customers
181(2)
Customer Acquisition, Conversion, and Retention: The Funnel Model
183(1)
Advertising on the Web
184(7)
Banner Ads
185(4)
Other Web Ad Formats
189(1)
Site Sponsorships
190(1)
Effectiveness of Online Advertising
190(1)
E-Mail Marketing
191(2)
Permission Marketing
191(1)
Combining Content and Advertising
192(1)
Outsourcing E-Mail Processing
192(1)
Technology-Enabled Customer Relationship Management
193(2)
CRM as a Source of Value in the Marketspace
193(2)
Creating and Maintaining Brands on the Web
195(6)
Elements of Branding
195(1)
Emotional Branding vs. Rational Branding
196(1)
Brand Leveraging Strategies
197(1)
Brand Consolidation Strategies
197(1)
Costs of Branding
197(1)
Affiliate Marketing Strategies
198(1)
Viral Marketing Strategies
199(2)
Search Engine Positioning and Domain Names
201(6)
Search Engines and Web Directories
201(1)
Paid Search Engine Inclusion and Placement
202(2)
Web Site Naming Issues
204(3)
Summary
207(1)
Key Terms
207(2)
Review Questions
209(1)
Exercises
209(1)
Cases
210(3)
For Further Study and Research
213(4)
Business-to-Business Strategies: From Electronic Data Interchange to Electronic Commerce
217(46)
Purchasing, Logistics, and Support Activities
219(10)
Purchasing Activities
220(2)
Direct vs. Indirect Materials Purchasing
222(1)
Logistics Activities
223(2)
Support Activities
225(1)
E-Government
226(2)
Network Model of Economic Organization
228(1)
Electronic Data Interchange
229(10)
Early Business Information Interchange Efforts
230(1)
Emergence of Broader EDI Standards
231(1)
How EDI Works
232(5)
Value-Added Networks
237(2)
EDI on the Internet
239(3)
Open Architecture of the Internet
240(1)
Financial EDI
241(1)
Supply Chain Management Using Internet Technologies
242(6)
Value Creation in the Supply Chain
242(2)
Increasing Supply Chain Efficiencies
244(1)
Using Materials-Tracking Technologies with EDI and Electronic Commerce
245(2)
Creating an Ultimate Consumer Orientation in the Supply Chain
247(1)
Building and Maintaining Trust in the Supply Chain
247(1)
Electronic Marketplaces and Portals
248(6)
Independent Industry Marketplaces
248(3)
Private Stores and Customer Portals
251(1)
Private Company Marketplaces
251(1)
Industry Consortia-Sponsored Marketplaces
252(2)
Summary
254(1)
Key Terms
254(1)
Review Questions
255(1)
Exercises
256(1)
Cases
256(3)
For Further Study and Research
259(4)
Online Auctions, Virtual Communities, and Web Portals
263(46)
Auction Overview
264(5)
Origins of Auctions
265(1)
English Auctions
265(1)
Dutch Auctions
266(1)
First-Price Sealed-Bid Auctions
267(1)
Second-Price Sealed-Bid Auctions
267(1)
Open-Outcry Double Auctions
267(1)
Sealed-Bid Double Auctions
268(1)
Reverse (Seller-Bid) Auctions
268(1)
Online Auctions and Related Businesses
269(19)
General Consumer Auctions
270(6)
Specialty Consumer Auctions
276(1)
Consumer Reverse Auctions and Group Purchasing Sites
276(3)
Business-to-Business Auctions
279(4)
Business-to-Business Reverse Auctions
283(1)
Auction-Related Services
284(4)
Virtual Communities and Web Portals
288(12)
Mobile Communications Technology
289(1)
Mobile Business
290(1)
Intelligent Software Agents
290(1)
Virtual Communities
291(1)
Early Web Communities
292(2)
Web Community Consolidation
294(1)
Web Communities in the Second Wave of Electronic Commerce
294(2)
Revenue Models for Web Portals and Virtual Communities
296(4)
Summary
300(1)
Key Terms
300(1)
Review Questions
301(1)
Exercises
302(1)
Cases
303(2)
For Further Study and Research
305(4)
The Environment of Electronic Commerce: Legal, Ethical, and Tax Issues
309(45)
The Legal Environment of Electronic Commerce
311(11)
Borders and Jurisdiction
311(3)
Jurisdiction on the Internet
314(3)
Conflict of Laws
317(1)
Contracting and Contract Enforcement in Electronic Commerce
318(4)
Use and Protection of Intellectual Property in Online Business
322(9)
Web Site Content Issues
322(4)
Domain Names, Cybersquatting, and Name Stealing
326(1)
Protecting Intellectual Property Online
327(1)
Defamation
328(1)
Deceptive Trade Practices
329(1)
Advertising Regulation
329(2)
Online Crime, Terrorism, and Warfare
331(2)
Online Crime
331(2)
Online Warfare and Terrorism
333(1)
Ethical Issues
333(7)
Ethics and Web Business Policies
334(1)
Privacy Rights and Obligations
334(5)
Communications with Children
339(1)
Taxation and Electronic Commerce
340(4)
Nexus
341(1)
U.S. Income Taxes
341(1)
U.S. State Sales Taxes
342(1)
European Union Value Added Taxes
343(1)
Summary
344(1)
Key Terms
345(1)
Review Questions
345(1)
Exercises
346(1)
Cases
346(3)
For Further Study and Research
349(5)
Part 3: Technologies for Electronic Commerce
Web Server Hardware and Software
354(43)
Web Server Basics
356(7)
Types of Web Sites
356(1)
Web Clients and Web Servers
357(1)
Dynamic Content
358(2)
Various Meanings of ``Server''
360(1)
Web Client/Server Communication
361(1)
Two-Tier Client/Server Architecture
361(1)
Three-Tier and N-Tier Client/Server Architectures
362(1)
Software for Web Servers
363(4)
Operating Systems for Web Servers
364(1)
Web Server Software
364(3)
Finding Web Server Software Information
367(1)
Electronic Mail (E-Mail)
367(10)
E-Mail Benefits
367(1)
E-Mail Drawbacks
367(1)
Spam
368(1)
Solutions to the Spam Problem
369(8)
Web Site and Internet Utility Programs
377(4)
Finger and Ping Utilities
378(1)
Tracert and Other Route-Tracing Programs
378(1)
Telnet and FTP Utilities
379(1)
Indexing and Searching Utility Programs
380(1)
Data Analysis Software
380(1)
Link-Checking Utilities
380(1)
Remote Server Administration
381(1)
Web Server Hardware
381(7)
Server Computers
381(2)
Web Server Performance Evaluation
383(1)
Web Server Hardware Architectures
384(4)
Summary
388(1)
Key Terms
388(1)
Review Questions
389(1)
Exercises
390(1)
Cases
390(4)
For Further Study and Research
394(3)
Electronic Commerce Software
397(41)
Web Hosting Alternatives
398(2)
Basic Functions of Electronic Commerce Software
400(7)
Catalog Display
401(2)
Shopping Cart
403(4)
Transaction Processing
407(1)
Advanced Functions of Electronic Commerce Software
407(8)
Middleware
407(1)
Enterprise Application Integration and Databases
408(2)
Web Services
410(3)
Integration with ERP Systems
413(2)
Electronic Commerce Software for Small and Midsize Companies
415(6)
Basic Commerce Service Providers
415(3)
Mall-Style Commerce Service Providers
418(2)
Estimated Operating Expenses for a Small Web Business
420(1)
Electronic Commerce Software for Midsize to Large Businesses
421(2)
Web Site Development Tools
421(2)
Electronic Commerce Software for Large Businesses
423(7)
Enterprise-Class Electronic Commerce Software
424(2)
Customer Relationship Management Software
426(2)
Supply Chain Management Software
428(1)
Content Management Software
428(1)
Knowledge Management Software
429(1)
Summary
430(1)
Key Terms
430(1)
Review Questions
431(1)
Exercises
431(2)
Cases
433(2)
For Further Study and Research
435(3)
Electronic Commerce Security
438(55)
Online Security Issues Overview
440(4)
Managing Risk
441(1)
Computer Security Classifications
442(1)
Security Policy and Integrated Security
442(2)
Security for Client Computers
444(15)
Cookies
444(3)
Web Bugs
447(1)
Active Content
447(2)
Java Applets
449(1)
JavaScript
449(1)
ActiveX Controls
450(1)
Graphics and Plug-Ins
450(1)
Viruses, Worms, and Antivirus Software
451(4)
Digital Certificates
455(3)
Steganography
458(1)
Physical Security for Clients
458(1)
Communication Channel Security
459(15)
Secrecy Threats
459(2)
Integrity Threats
461(1)
Necessity Threats
462(1)
Threats to the Physical Security of Internet Communications Channels
463(1)
Threats to Wireless Networks
463(1)
Encryption Solutions
464(7)
Ensuring Transaction Integrity with Hash Functions
471(1)
Ensuring Transaction Integrity with Digital Signatures
472(1)
Guaranteeing Transaction Delivery
473(1)
Security for Server Computers
474(7)
Web Server Threats
474(1)
Database Threats
475(1)
Other Programming Threats
475(1)
Threats to the Physical Security of Web Servers
476(2)
Access Control and Authentication
478(1)
Firewalls
479(2)
Organizations that Promote Computer Security
481(3)
CERT
482(1)
Other Organizations
482(1)
Computer Forensics and Ethical Hacking
483(1)
Summary
484(1)
Key Terms
485(1)
Review Questions
486(1)
Exercises
487(1)
Cases
487(3)
For Further Study and Research
490(3)
Payment Systems for Electronic Commerce
493(43)
Online Payment Basics
495(2)
Payment Cards
497(6)
Advantages and Disadvantages of Payment Cards
499(1)
Payment Acceptance and Processing
499(4)
Electronic Cash
503(10)
Micropayments and Small Payments
504(1)
Privacy and Security of Electronic Cash
504(1)
Holding Electronic Cash: Online and Offline Cash
505(1)
Advantages and Disadvantages of Electronic Cash
506(1)
How Electronic Cash Works
507(1)
Providing Security for Electronic Cash
507(1)
Electronic Cash Systems
508(5)
Electronic Wallets
513(4)
Microsoft .NET Passport
514(1)
Yahoo! Wallet
514(1)
W3C Micropayment Standards Development Activity
515(1)
The ECML Standard
515(2)
Stored-Value Cards
517(3)
Magnetic Strip Cards
517(1)
Smart Cards
518(2)
Internet Technologies and the Banking Industry
520(6)
Check Processing
520(1)
Phishing Attacks
521(2)
Organized Crime, Identity Theft, and Phishing Attacks
523(1)
Phishing Attack Countermeasures
524(2)
Summary
526(1)
Key Terms
526(1)
Review Questions
527(1)
Exercises
527(2)
Cases
529(2)
For Further Study and Research
531(5)
Part 4: Integration
Planning for Electronic Commerce
536(33)
Planning Electronic Commerce Initiatives
537(11)
Identifying Objectives
538(1)
Linking Objectives to Business Strategies
538(1)
Measuring Benefits
539(1)
Managing Costs
540(7)
Comparing Benefits to Costs
547(1)
Return on Investment (ROI)
547(1)
Strategies for Developing Electronic Commerce Web Sites
548(7)
Internal Development vs. Outsourcing
549(4)
Selecting a Hosting Service
553(1)
New Methods for Implementing Partial Outsourcing
554(1)
Managing Electronic Commerce Implementations
555(6)
Project Management
555(2)
Project Portfolio Management
557(1)
Staffing for Electronic Commerce
557(3)
Postimplementation Audits
560(1)
Summary
561(1)
Key Terms
561(1)
Review Questions
562(1)
Exercises
562(1)
Cases
563(3)
For Further Study and Research
566(3)
Glossary 569(32)
Index 601


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