1. The Internet: Past And Present Chapter One

2. Copyright © Houghton Mifflin Company. All rights reserved.1–21–2 Learning Objectives To develop a marketing perspective in the Internet age To examine links from the Internet’s past To examine links to the Internet’s present To identify current effects of the Internet economy

3. Copyright © Houghton Mifflin Company. All rights reserved.1–31–3 A Marketing Perspective In the Internet Age Marketing brings buyers and sellers together to facilitate satisfying exchanges Practically anything can be marketed Internet marketing is marketing in electronic environments

4. Copyright © Houghton Mifflin Company. All rights reserved.1–41–4 Links From the Internet’s Past Look to the future but learn from the past Connections to past events, discoveries, innovations

5. Figure 1-1: Historical Triggers

6. Copyright © Houghton Mifflin Company. All rights reserved.1–61–6 Links From the Internet’s Past: Communication Long history of written communication – Cave drawings – Egyptian hieroglyphics First information revolution and the dissemination of ideas Second information revolution led by the Internet

7. Copyright © Houghton Mifflin Company. All rights reserved.1–71–7 Links From the Internet’s Past: Industrialization Two industrial revolutions led by inventions in England and U.S. –Mechanized manufacturing, modern industries, modern marketing –Steam power for manufacturing and transport –Electricity, chemicals, internal combustion engine Some groups and individuals fought rapid change in societies –Luddites

8. Copyright © Houghton Mifflin Company. All rights reserved.1–81–8 Links From the Internet’s Past: Numeration Thinking quantitatively and expressing relationships in numeric form Thinking machines –Charles Babbage's digital analytical engine –Ada Byron's computer program –Herman Hollerith's punch cards –Eniac

9. Copyright © Houghton Mifflin Company. All rights reserved.1–91–9 Links To the Internet’s Present Changes since the first information revolution –Population growth –More channels for mass and interpersonal communication –Innovations diffuse more rapidly –Moore's law and the power of the chip

10. Copyright © Houghton Mifflin Company. All rights reserved.1–10

11. Copyright © Houghton Mifflin Company. All rights reserved.1–11 Links To the Internet’s Present (cont’d) Contributions of The Cold War and Sputnik Initial ARPA and DARPA research Four peer computer nodes connected in 1969 Development of TCP/IP protocols Release of the World Wide Web –Open, not proprietary

12. Copyright © Houghton Mifflin Company. All rights reserved.1–12 Links To the Internet’s Present (cont’d) HTML Berners Lee Mosaic (University of Illinois) Netscape Internet Explorer Firefox ?

13. Copyright © Houghton Mifflin Company. All rights reserved.1–13 Current Effects of the Internet Economy Access Speed Reduced inventory costs Reduced supply costs Worldwide exposure Pricing transparency Reduced intermediary costs Customer satisfaction

14. Copyright © Houghton Mifflin Company. All rights reserved.1–14

15. Copyright © Houghton Mifflin Company. All rights reserved.1–15

16. Copyright © Houghton Mifflin Company. All rights reserved.1–16 Current Effects of the Internet Economy (cont’d) Tomorrow's Internet –Faster and more stable –More secure –Virtual reality –New jobs and occupations –Wireless –Speech commands –Multiple concurrent web access –Barrier-free –Web 2.0

17. Copyright © Houghton Mifflin Company. All rights reserved.1–17 Web 2.0 Blogs Wikis –Open (wikipedia.org) –Proprietary (class wiki) RSS / XML