FREEnet (The Network for Research, Education and Engineering)
FREEnet is an academic and research network, interconnecting computer networks of research institutes of the Russian Academy of Sciences, universities, colleges, and other research and academic institutions. It was established in 1991 by the N.D. Zelinsky Institute of Organic Chemistry at the Center of Computer Assistance to Chemical Research. It provides its more than 350 members of the academic and educational community with all types of basic Internet services and various information services.
Strategies and Policies
FREEnets general intention is to become a backbone infrastructure providing:
Open networking services for efficient access to the network and information resources located both in Russia and all over the Internet.
Reliable network connectivity for research, academic and educational communities in Russia and abroad.
Worldwide access to science and information resources of the Russian Academy of Sciences, universities and colleges in Russia.
Assistance to the progress of Russian based fundamental research.
Assistance to the development and application of modern information technologies in education.
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The Advertising Industry
The advertising industry is dominated by three huge advertising networks, which offer their services throughout the world. Gross income of the three leading agencies is twice as much, as the one of places four to ten.
Table: World's Top 10 Advertising Organizations 1999
(figures in millions of U.S. dollars)
Rank 1999
| Advertising Organization
| Headquarters
| World-Wide Gross Income 1999
| 1
| Omnicom
| New York, USA
| $ 5,743.4
| 2
| Interpublic Group of Cos.
| New York, USA
| $ 5,079.3
| 3
| WPP Group
| London, UK
| $ 4,819.3
| 4
| Havas Advertising
| Levallois-Perret, France
| $ 2,385.1
| 5
| Dentsu
| Tokyo, Japan
| $ 2,106.8
| 6
| B Com3 Group
| Chicago, USA
| $ 1,933.8
| 7
| Young & Rubicam Inc.
| New York, USA
| $ 1,870.1
| 8
| Grey Advertising
| New York, USA
| $ 1,577.9
| 9
| True North
| Chicago, USA
| $ 1,489.2
| 10
| Publicis SA
| Paris, France
| $ 1,434.6
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Table: Top 10 Global Marketers 1998
(figures in millions of U.S. dollars)
Rank 1998
| Advertiser
| Headquarters
| World-Wide Media Spending 1998
| 1
| Procter & Gamble Co.
| Cincinnati (US)
| $ 4,747.6
| 2
| Unilever
| Rotterdam (NL)/London (UK)
| $ 3,428.5
| 3
| General Motors Corp.
| Detroit (US)
| $ 3,193.5
| 4
| Ford Motor Co.
| Darborn (US)
| $ 2,229.5
| 5
| Philip Morris Cos.
| New York
| $ 1,980.3
| 6
| Daimler Chrysler
| Stuttgart (GER)/Auburn Hills (US
| $ 1,922.2
| 7
| Nestle
| Vevey (SUI)
| $ 1,833.0
| 8
| Toyota Motor Corp.
| Toyota City (JP)
| $ 1,692.4
| 9
| Sony Corp.
| Tokyo (JP)
| $ 1,337.7
| 10
| Coca-Cola Co.
| Atlanta (US)
| $ 1,327.3
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On the other hand the three biggest advertisers only spend about US$ 2 millions less than places four to ten together. Whereas money spent on advertising in traditional media comes from very diverse categories, companies offering computer hard- and software, peripherals or Internet services mainly pay for on-line advertisements.
Table: Top 10 Internet Advertisers 1998
(figures in millions of U.S. dollars)
Rank 1998
| Advertiser
| Internet Spending 1998
| 1998 - 1997 % Change
| 1
| Microsoft Corp.
| $ 34.9
| 9.4
| 2
| IBM Corp.
| $ 28.5
| 58.6
| 3
| Compaq Computer Corp.
| $ 16.2
| 169.8
| 4
| General Motors Corp.
| $ 12.7
| 84.8
| 5
| Excite
| $ 12.4
| 1.5
| 6
| Infoseek Corp.
| $ 9.3
| 22.3
| 7
| AT&T Corp.
| $ 9.3
| 43.5
| 8
| Ford Motor Co.
| $ 8.6
| 46.7
| 9
| Hewlett-Packard Co.
| $ 8.1
| 102.9
| 10
| Barnes & Noble
| $ 7.6
| 280.2
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Source: Advertising Age
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Sponsorship Models
With new sponsorship models being developed, even further influence over content from the corporate side can be expected. Co-operating with Barnes & Nobel Booksellers, the bookish e-zine FEED for instance is in part relying on sponsoring. Whenever a specific title is mentioned in the editorial, a link is placed in the margin - under the heading "Commerce" - to an appropriate page on Barnes & Noble. Steve Johnson, editor of FEED, says "We do not take a cut of any merchandise sold through those links.", but admits that the e-zine does indirectly profit from putting those links there.
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Division of labor
The term refers to the separation of a work process into a number of tasks, with each task performed by a separate person or group of persons. It is most often applied to mass production systems, where it is one of the basic organizing principles of the assembly line. Breaking down work into simple, repetitive tasks eliminates unnecessary motion and limits the handling of tools and parts. The consequent reduction in production time and the ability to replace craftsmen with lower-paid, unskilled workers result in lower production costs and a less expensive final product. The Scottish economist Adam Smith saw in this splitting of tasks a key to economic progress by providing a cheaper and more efficient means of producing economic goods.
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