|I think you may be getting confused as to what is meant be on-line and off-line.|
You are on-line when you connect to the LAN which will give you access to the Intranet although not necessary the Internet. On-line means connected to a network.
When you are of-line you have access to nothing except what is on your own hard disk. No network connection of any description.
127.0.0.1 will only give you access to your own computer. Every Windows computer has this home address. If Apache is on the computer that this command is used on then it will work. That is what is known as off-line access.
However if it run on some other computer on the LAN they will get nowhere. The will need to know the address within the LAN to access the web server and will need to be on-line to do it.