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Pearson Education Limited Edinburgh Gate Harlow Essex CM20 2JE England and Associated
Companies throughout the world Visit us on the World Wide Web at: www.pearsoned.co.uk First
published 2002 Second edition published 2004 Third edition published 2007 Fourth edition published
2009 Dave Chaffey 2002 Marketing Insights Limited 2002, 2009 The right of Dave Chaffey to be
identified as author of this work has been asserted by him in accordance with the Copyright, Designs
and Patents Act 1988. All rights reserved. No part of this publication may be reproduced, stored in a
retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying,
recording or otherwise, without either the prior written permission of the publisher or a licence
permitting restricted copying in the United Kingdom issued by the Copyright Licensing Agency Ltd,
Saffron House, 610 Kirby Street, London EC1N 8TS. All trademarks used herein are the property of
their respective owners. The use of any trademark in this text does not vest in the author or
publisher any trademark ownership rights in such trademarks, nor does the use of such trademarks
imply any affiliation with or endorsement of this book by such owners. ISBN: 978-0-273-71960-1
British Library Cataloguing-in-Publication Data A catalogue record for this book is available from the
British Library Library of Congress Cataloging-in-Publication Data Chaffey, Dave, 1963 E-business
and e-commerce management : strategy, implementation, and practice / Dave Chaffey. -- 4th ed. p.
cm. Includes bibliographical references and index. ISBN 978-0-273-71960-1 (pbk. : alk. paper) 1.
Electronic commerce. 2. Business enterprises--Computer networks. I. Title. II. Title: Ebusiness and
ecommerce management. HF5548.32.C472 2009 658.8'72--dc22 2009009561 10 9 8 7 6 5 4 3 2 1 13
12 11 10 09 Typeset in 10/12pt Minion by 30 Printed and bound by Rotolito Lombarda, Italy The
publishers policy is to use paper manufactured from su

Organizations have now been applying technologies based on the Internet, World Wide Web and
wireless communications to transform their businesses for over 15 years since the creation of the
first web site (http://info.cern.ch) by Sir Tim Berners-Lee in 1991. Deploying these technologies has
offered many opportunities for innovative e-businesses to be created based on new approaches to
business. Table 1.1 highlights some of the best-known examples and in Activity 1.1 you can explore
some of the reasons for success of these e-businesses. For the author, e-business and e-commerce is
an exciting area to be involved with, since many new opportunities and challenges arise yearly,
monthly and even daily. Innovation is a given, with the continuous introduction of new technologies,
new business models and new communications approaches. For example, Google innovates
relentlessly. Its service has developed a long way since 1998 (Figure 1.1) with billions of pages now
indexed and other services such as web mail, pay per click adverts, analytics and social networks all
part of its offering. Complete Activity 1.1 or view Table 1.1 to see other examples of the rate at which
new innovations occur. Introduction The Internet The Internet refers to the physical network that
links computers across the globe. It consists of the infrastructure of network servers and
communication links between them that are used to hold and transport information between the
client PCs and web servers. World Wide Web (WWW) The most common technique for publishing
information on the Internet. It is accessed through web browsers which display web pages of

embedded graphics and HTML/XML-encoded text. Wireless communications Electronic transactions


and communications conducted using mobile devices such as laptops, personal digital assistants
(PDAs) and mobile phones (and fixed access platforms) with different forms of wireless connection.
Figure 1.1 Google circa 1998 Source: Wayback machine archive:
http://web.archive.org/web/19981111183552/g

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