Organisation means a group of people work together with a common goal or objective in an organisation, there are many types of organizations, and in my presentation I would use businesses as a type of organization to develop my ideas and explanations. E-commerce offers competitive advantages such as improved customers service, reduced costs and entry to the global market, which attracted a lot of organizations to committing their businesses to an e-commerce system.
However this typical system is not as perfect, there are also tons of potential risks of using e-commerce system.
Especially for a new to e-commerce organisation, their site always not been fully protected or functioned, it would cause series of issues which need to be solved, and in order to solve these issues, organizations have to pay huge amount of money and time to investigate and maintain their systems. A website never born perfectly, the site like Amazon and eBay, years of changes and development has to be made.
For example an business have their own management way, policy and security protection etc and it works very well before they committed to an e-commerce system, they set their tasks and they finished it perfectly without anything to do with ICT, but after they committed to an e-commerce system, it's a completely different story. These management ways they had are become useless, basically the whole thing is different to their traditional way: products needs convert to meet online consumer's perspective, new technologies need to be investigated, new policy and security needs to be setup etc.
A commitment to e-business will probably require taking on extra staff, because it is unlikely that your current employees will have sufficient experience or skills to cope with a significant shift into e-business, so they need to be prepared to recruit more specialist staff. Security risks are one the common issues mostly concerned by both online organizations and customers, it could make both side suffered badly. Security risk arises from virus and hacker attacks. The severity of the damage caused varies with the type of attack (ife matrix of coca cola.).
Viruses and hacker attacks disrupt the organization operations and can lead to loss in customer confidence and sales revenue. It also could attack the payments system, when transactions are done over the internet and when the organizations and its customer's bank details can not be identified. This could cause payment disputes from the real detail holders. These kinds of situations are more commonly to do with credit card payments over the internet. Payment disputes can also arise from ordered goods not been posted or correct delivered from one to another (i. e.B2B, B2C) or goods are not meet to the customer's demands or specification.
There are also anther risks an e-commerce system will face: Information theft Means that e-commerce-related outsiders or unauthorized users through a variety of technical means to intercept and steal other people's information such as account details or to obtain the contents of trade secrets. Network attackers rely on a variety of technical ways to break into information transmission; they can tamper the information, remove or insert, changing the destination, so as to achieve their purpose which would undermine the integrity of information.
In the network environment, the theft of system resources is a common security threats. Denial of service attacks Denial of Service refers to at certain period of time, the network server or service system fails completely. Which could also use a flood of false messages to crash a business' systems - can have a devastating impact upon a business, especially if it is dependent upon its e-commerce system. The growth of the Internet means that there are wider opportunities to mount such an attack, the causes mainly is from hackers and virus attacks and computer hardware damage.
Website defacement Where the corporate image or messages on the website are changed - and virus attacks can lead to commercial embarrassment and damage to the way the business is viewed by its trading partners and the public. Information unreliability Fake information is when the attacker controlled the network information to decrypt the data or business information that can be legitimate to user's counterfeit and send fake information to deceive other users. This mainly happened in the form of fake customers who have engaged in illegal transactions, such as fake e-mail.
As we all know that e-commerce system were depended on computers, organizations are not only face the problem online but also faces the problem with computers problems such as failure of the hardware, software, attack through virus or computer hacker and with the surroundings which also could caused by natural disaster such as power failure, fire or flooding even their online backup server has the possibilities to be affected, if any of these happened the organization will not be able to operate.
Also human errors which would made by their own staff who could accidentally pressed a wrong key caused to change the whole meaning of the data base, sometimes it would lead the business suffer heavy losses. Unless swift action is taken, any problems with your e-commerce site will be immediately obvious to the world.
E-commerce customers typically have very little loyalty, so if your website is unavailable they will simply move on to one of your competitors. In addition, technical failure can have a significant impact, not only on your customers but also on key trading partners. Due to the prospect of this almost instant loss of revenue, taking steps to prevent problems is much more cost-effective than trying to fix them once they have occurred.
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