CHAPTER 2
LITERATURE
REVIEW
2.1
The
Internet
and
Electronic
commerce
2.1.1
The
Internet
The rapid growth of a variety of available options the Internet can help to reach all
segments of customers because the Internet provides the worldwide network of
computers in communications. As defined by Ellsworth & Ellsworth
(1995 p3)
that
“Internet is a
large
interconnected network of computer networks linking
people
and
computers all over
the
world
via phone
lines, satellites
and
other
telecommunications system”.
There are various communication services offered for
exploring the Internet. World Wide Web (WWW) is the most familiar one to explore the
Internet. It provides the best and unique opportunity for companies and their customers to
interact. It also creates current dialogues with new customers.
(Martin 1999, p6)
Internet provides a great opportunity for doing business more efficiently and effectively.
The authors of “Marketing Research” introduce Internet in doing research. They find out
that Internet offers some typical usages as opportunities
(Aaker,
Kumar
&
Day
1998, p163)
:
1)
Internal and external communication, 2) Data transfer – between sites, to/from other
companies, on-the-road staff, 3) Information retrieval/research /utilization, 4) Logistics –
for scheduling, planning, calendars, inventory, 5) Cost containment – alternative
communications: telephone, mail, 6) Collaboration/product development – workgroups,
7) Marketing research – primary and secondary, surveys, 8) Direct marketing/advertising,
9) Sales – product support, distribution channels, information vendors/customers, online
sales, etc.
Actually, the Internet, like most other resources facilities and utilities, has its own sets of
rules, regulations, guidelines and cultural traditions. A good citizen of Internet will be
intent to the various sets of rules and guidelines, which can be grouped into several
categories
(Dern
1994, p384)
:
1. Appropriate usage. It means what you
want to do
within the boundaries of
what each
involved network party authorize and you are allowed to do it
2. Security. It
means
you
have
to
make sure
for compromising the security of
yourself
or any other involved party
3. Netiquette.
It
means
what
you
are
doing
isn’t
in
conflict
with
Internet
culture
or
community
in
specific or
general cost.
It
means
you
are
authorized
to
expend
your
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