chapter 3

1. Because of cloud computing, no it won't ever get full.
2. Intranet is for a single organization to use for purposes of communications and info processing (military), Exteranet is when firms permit outsiders to access their internal networks (midlands tech)
The Internet as a whole is a network of Intranets and Extranets that provides service to users much like a telephone system makes voice and data services available to the public.
3. The internet is governed by no one, policing and monitering is difficult. The net does run over public and private telecom facilities that are themselves governed by laws though.
4. They display web pages, have e-mail, and news groups. Now they can make suggestions to other sites based on your previous searches and are customizable.
5. E-mail - a series of protocols to enable messages containing text, images, sound, and video clips to be transferred from one user to another
Instant Messaging - displays words typed on a computer almost untantaneously.
Search Engines - identifies Web pages that appear to math keywords typed by the user.
Intelligent Agent - software program that gathers and filters info on a specific topic and then provides a list of results for the user.
Online Forums - allows users to communucate with each other (not in real time)
Online Chat - enables users to communicate via computer in real time.
6. The next generation is mobile commerce, it has already begun with the advent of the iphone and blackberry devices. Now the Android phone is out and they are all capable of combining any and all of the powers of a pc in a small hand held device.

chapter 2

1.The eight key components of an effective business model are: value proposition, revenue model, market opportunity, competitive environment, competitive advantage, market strategy, organizational development, and management team.
2. Advertising revenue model - provides a forum for advertisements and receives fees from advertisers
Subscription revenue model - offers its users content or services and charges a subscription fee
Transaction fee revenue model - receives a fee for enabling or executing a transaction
Sales revenue model - derives revenue by selling goods, information, or services
Affiliate revenue model - steers business to an affiliate and receives a referral fee or percentage of the revenue from any resulting sales
3.Less competition.
4. Horizontal - Hughes net
    Vertical - Bing
5. Walmart has a physical location where as drugstore.com does not. The advantage that Walmart has is money and brand recognition (they are everywhere and everyone knows who they are) drugstore.com can service all of the disinfranchised customers that don't care for Walmart for whatever reason, they also may carry some specialty drugs that Walmart or other big chains do not.