You can quite easily just turn the pixhos verison to a phong shader (sharper highlight more closer to what the chrome should have) from the doopdown menu. And start working from that.
Environment map, is a way to simulate a reflective environment. Its cheap and usualy quite effective at comveying the fact that this is a reflective material. You could think of it as a big sphere (well its shape depends on how its wrapped it can also be a cube of pictures) surrounding the object. Except it works without raytracing, or in conjunction as follows. If you happen to raytrace then the reflection map acts as the color of the surronding whan the ray misses everything.
It is a cheap means to make convincing reflections without modelling a interesting environment to reflect.