Your Questions About Internet Business Models
Lisa asks…
What is the business model of the Internet’s backbone infrastructure?
For example, when I access Yahoo!, there is a connection between my home and my IPS, which I pay for, called the “last mile”. My IPS probably pays some larger company to gain access to the Net, but from there on, the packets can go any route all away acrross thousands of miles to CA, USA. Most of the distance is covered through very expensive backbone connections (that connect cities, countries and continents together). Due to TCP’s characteristics, there is no way of controlling what backbone my packets will be using, much less (I imagine) billing for it. So who pays for this investment?
Jere answers:
A lot of the backbone is paid for by big companys but since 9/11 the U.S. Government is taking a big role in the root 13 servers.
Some of the main developers are company’s like Verisign and google.
Mostly for security reasons but I would imagine that a lot of our taxpayer money goes to the development.
Here are some links for more reading:
https://ssl.cpsr.org/pipermail/governance/2004-January/000686.html
http://www.root-servers.org/
http://en.wikipedia.org/wiki/Security_through_obscurity
http://www.msnbc.msn.com/Default.aspx?id=4009568&p1=01%7C%7C%7C%7C004
Ken asks…
I am looking in to a modeling business on the internet, how do I find out if it’s a legal business or not?
Is carsforfim a legitamate business or is it a scam?
Jere answers:
You can check the legitimacy of a business several ways.
Every state keeps a record of which business are incorporated in its jurisdiction. If the business was incorporated in another state, it must file documents in the state where it is operating. For example, a Delaware corporation must file with New York if it wants to conduct business in NY.
You can check this with the Department of State in your state government’s offices.
The fact it is incorporated doesn’t mean the business is ok, just it is a legal entity. You should also check the Better Business Bureau to see if any complaints have been filed against it.
You can also check Dun and Bradstreet and get a credit check on the company and the status of their payments to creditors/vendors.
This information will cost a little money, but it may end up saving you in the long term if the company turns out to not be legitimate.
Helen asks…
What would be a good e business model for a bank which also offers internet banking?
Doing a project and I am stuck, as i am looking for a business model, and one that would for online banking
Jere answers:
Develop one?
Do not think they are available freely
Charles asks…
Is travel agents loosing business to the internet agents?
I am planning to buy a commercial property and the current business in it is a travel agent. As a landlord, I would prefer the tenant to stay as long as they can. Does anyone see’s the pitfall of their business model. All answers are welcomed and thank you in advance.
Jere answers:
Finding a good travel agent is like finding a good lawyer. It takes both parties to agree on who works best for them. The internet is like an electronic brochure. Just the same as asking your friends for legal advise. But if you want to know the real answer to have to use someone professional that does it everyday. Send a scout to see what kind of work they are doing in there. If the internet is hurting them they probly arent that good.
Lizzie asks…
Internet may not make corporations obsolete, but they will have to change their business models. Agree? Why?
Jere answers:
Corporations have all the tools and resources at their disposal to be competitive and successful in the internet market. I would say they have a leg-up on any start-up with regards to gaining presence on the internet because of this.
People are looking for interactivity with whomever they do business these days. Corporations are adapting to this by making their products provide a more personal experience to their customers.
Powered by Yahoo! Answers