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Question

Difficulty: MediumInternet and Telecommunications in Business Communication

A major retail distribution firm in Onitsha connects its private computer network directly with its key commercial suppliers and institutional buyers to enable secure automated inventory tracking and order processing. Which type of network infrastructure is this enterprise utilizing for business communication?

  1. An ExtranetAnswer
  2. B
    An Intranet
  3. C
    A Public Internet
  4. D
    An Automated Teller Network

Answer

An Extranet
An extrranet is a restricted private network that enables an enterprise to share confidential operational data, such as inventory and purchase orders, securely with external business partners like suppliers and distributors.

Step-by-Step Solution

1
Analyze the business communication requirements of the firm.
The firm requires secure digital connection between itself and external business partners (suppliers and buyers).
Identifying who needs access determines the appropriate network architecture.
2
Distinguish between network access levels (Intranet vs. Extranet vs. Internet).
An Intranet is internal-only; the Internet is fully public; an Extranet extends an intranet to authorized external commercial entities.
Extranets are explicitly designed for inter-firm business communication and supply chain collaboration.

Key Concept

Extranet as a telecommunication tool in business communication
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Topics

Internet and Telecommunications in Business Communication

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