Another blanket article about the pros and cons of Direct to Consumer (D2C) isn’t needed, I know. By now, we all know the rules for how this model enters a market: its disruption fights any given sector’s established sales model, a fuzzy compromise is temporarily met, and the lean innovator always wins out in the end.

That’s exactly how it played out in the music industry when Apple and record companies created a digital storefront in iTunes to usher music sales into the online era. What now appears to have been a stopgap compromise, iTunes was the standard model for 5-6 years until consumers realized there was no point in purchasing and owning digital media when internet speeds increased and they could listen to it for free through a music streaming service.  In 2013, streaming models are the new music consumption standard. Netflix is nearly parallel in the film and TV world, though they’ve done a better job keeping it all under one roof. Apple mastered retail sales so well that the majority of Apple products, when bought in-person, are bought at an Apple store. That’s even more impressive when you consider how few Apple stores there are in the U.S. (253) compared to big box electronics stores that sell Apple products like Best Buy (1,100) Yet while some industries have implemented a D2C approach to great success, others haven’t even dipped a toe in the D2C pool, most notably the auto industry.

What got me thinking about this topic is the recent flurry of attention Tesla Motors has received for its D2C model. It all came to a head at the beginning of July when a petition on whitehouse.gov to allow Tesla to sell directly to consumers in all 50 states reached the 100,000 signatures required for administration comment. As you might imagine, many powerful car dealership owners armed with lobbyists have made a big stink about Elon Musk, Tesla’s CEO and Product Architect, choosing to sidestep the traditional supply chain and instead opting to sell directly to their customers through their website. These dealership owners say that they’re against the idea because they want to protect consumers, but the real motive is that they want to defend their right to exist (and who wouldn’t?). They essentially have a monopoly at their position in the sales process, and they want to keep it that way. More frightening for the dealerships is the possibility that once Tesla starts selling directly to consumers, so will the big three automakers, and they fear that would be the end of the road for their business. Interestingly enough, the big three flirted with the idea of D2C in the early 90’s before they were met with fierce backlash from dealerships. I’m sure the dealership community has no interest in mounting a fight like that again. 

To say that the laws preventing Tesla from selling online are peripherally relevant would be a compliment. By and large, the laws the dealerships point to fall under the umbrella of “Franchise Laws” that were put in place at the dawn of car sales to protect franchisees against manufacturers opening their own stores and undercutting the franchise that had invested so much to sell the manufacturer’s cars.  There’s certainly a need for those laws to exist, because no owner of a dealership selling Jeeps wants Chrysler to open their own dealership next door and sell them for substantially less. However, because Tesla is independently owned and isn’t currently selling their cars through any third party dealership, this law doesn’t really apply to them. Until their cars are sold through independent dealerships, they’re incapable of undercutting anyone by implementing D2C structure.

With stiff penalties for being caught and the whiff of secretive underground or even nefarious acts, computer hacking can be seen as a somewhat dubious pursuit. Not all hackers operate with the motive of emptying your Paypal account, however; there are many hackers who utilize their skills to aid companies in locating security flaws ("penetration testing") or engage in hacking with the goal of becoming cyber-freedom-fighters that champion simple human freedoms, such as the right to free speech.

Computer hacking is as much an art as it is a skill. At its simplest distillation, hacking is the systematic search for chinks in programming armor. While advanced problem-solving, intuition and sophisticated understanding of programming languages are a distinct advantage, there does exist a number of push-button programs that computing wizards have written allowing those less sophisticated in the art of hacking to break into remote computers in a variety of ways. Because of this new ubiquity, today's hackers no longer need to be a programming Wunderkind; they simply need to know where to download software and be able to turn on a computer. It really is that simple and the implications can be disturbing.

Phishing, Push-Button Programs and Brute Force Tactics

There's no need to crack a company's firewall if you have direct physical access to their computers. One aspect of hacking is the impersonation of an employee or service worker with the goal of gaining access to a company's database, where the hacker can then unleash whatever havoc he or she has planned into the system. Another is to engage in simple phishing techniques, such as impersonating an employee who forgot their password and needs help logging into the system.

Because such impersonations often fail thanks to companies becoming more security-conscious, taking over operations of a computer remotely is often the preferred method of gaining access. Such attempts can be facilitated in a variety of ways. One is the brute-force method, in which a program such as SQLmap, Nmap or Burpsuite is used; running one of these programs is analogous to trying every doorknob in a neighborhood to see which house is unlocked. Using a variety of different parameters, these programs can find access to a vulnerable computer or network in less than a minute.

Hackers can also attempt to gain access with a program like Metasploit. With literally a few clicks of a mouse, access to a remote and vulnerable computer can be achieved by a relative newbie. With a related hacking aid, called Meterpreter, a backdoor is created that allows access into an operating system. It does not install itself onto the remote computer, running instead using the computer's memory; in fact, Meterpreter can hide itself inside the operations of a perfectly valid program, so it cannot be detected even by sophisticated programmers. Once engaged, it allows a remote user carte blanche access to the system in question.

Where to Learn the Art of Hacking

Of course, for those who wish to learn the actual skills rather than download someone else's hack, there are a number of practice sites that pose an increasingly difficult set of challenges intended to train neophytes in the art of hacking. For example, Hack This Site starts beginners with the goal of cracking simple flaws in coding scripts or software such as HTML, Unix, Javascript and Apache. Their structured series of tests increase in complexity, incorporating real-word scenarios and even old-fashioned "phone phreaking" challenges that recall the bygone golden age of hacking skills displayed by Matthew Broderick in "WarGames."

Using just these simple tools and free practice sites, beginners have a powerful array of hacking resources just a simple mouse click away.

A business rule is the basic unit of rule processing in a Business Rule Management System (BRMS) and, as such, requires a fundamental understanding. Rules consist of a set of actions and a set of conditions whereby actions are the consequences of each condition statement being satisfied or true. With rare exception, conditions test the property values of objects taken from an object model which itself is gleaned from a Data Dictionary and UML diagrams. See my article on Data Dictionaries for a better understanding on this subject matter.

A simple rule takes the form:

if condition(s)

then actions.

An alternative form includes an else statement where alternate actions are executed in the event that the conditions in the if statement are not satisfied:

if condition(s)

then actions

else alternate_actions

It is not considered a best prectice to write rules via nested if-then-else statements as they tend to be difficult to understand, hard to maintain and even harder to extend as the depth of these statements increases; in other words, adding if statements within a then clause makes it especially hard to determine which if statement was executed when looking at a bucket of rules. Moreoever, how can we determine whether the if or the else statement was satisfied without having to read the rule itself. Rules such as these are often organized into simple rule statements and provided with a name so that when reviewing rule execution logs one can determine which rule fired and not worry about whether the if or else statement was satisfied. Another limitation of this type of rule processing is that it does not take full advantage of rule inferencing and may have a negative performance impact on the Rete engine execution. Take a class with HSG and find out why.

Rule Conditions

1. The IRS is enabling taxpayers to download their tax transcripts over the internet from the Internal Revenue Service. The official secure URL for the transcripts download followed immediately after The White House fact sheet confirmed the decision. According to the Tech Crunch You Can Now Download Your Tax Returns From The IRS  article, there are some minor bug issues when registering. Given that security has long been problematic with the IRS, the best course of action for the public is to take some precautions when downloading personal information on mobile devices, pc’s and laptops. Installing disk encryption software on all your devices will protect your files reduce risk
2. Have an awesome Start-Up with products in ‘stealth or private beta” that you want like to pitch for a chance to get a table at Disrupt NY? TechCrunch is heading to Atlanta and New Orleans February 18^th and 20^th 2014 and will host a beer fest night in exchange for your thoughts and pitches. Tickets are $5, and all entrepreneurs, investors, dreamers or tech enthusiast are welcome.
3. Cloutex, a cloud computing future enabler has just secured their first round of seed funding.  Cloutex is an Estonian tech startup, which connects and syncs various web applications such as e-marketing, CRM and accounting tools under one convenient hub. The United Partners, SmartCap and EstBan business angels seeded the start-up with $6000, 000.
4. Could you get everything important that you need to know about living successfully from a computer program? Ryan Dube seems to think so. In his 6 Life Habits That Programming Could Teach You Today  he speaks in flow charts, loops and program modules, in the same breath as paying off debt or buying a house.  How can your programming skills help in life skills by modeling some of the same principles?
5. 10 Incredibly Simple Things You Can Do To Protect Your PrivacyPassword protect your devices.  Put alerts on your name in Google; simple tasks that can be significant in protecting your privacy.
6. Adobe Brings 3D Printing Support to PhotoshopAmong the latest updates in Adobe, Photoshop users have the ability to design 3D models from scratch as well as being able to toy around with color, shape and angles.