Question

Explain risks involved in e-business in detail?

Answer 1

Transactions Risks:

• Seller denies that the customer ever placed the order or the customer denies that he ever placed the order. This may be referred to as 'default on order taking/giving'
• The intended delivery does not take place, goods are delivered at wrong address, or goods other than ordered may be delivered. This may be regarded as 'default on delivery'. Seller does not get the payment for the goods supplied whereas the customer claims that the payment was made. This may be referred to as 'default on payment'.

Data storage and transactions risks:

• Data stored in the systems and en-route is exposed to a number of risks. Vital information may be stolen or modified to pursue some selfish motives or simply for fun/ adventure
• Installing and timely updating anti-virus programmes and scanning the files and disks with them provides protection to your data files, folders and systems from virus attacks.
• Data may be intercepted in the course of transmission. For this, one may use cryptography. It refers to the art of protecting information by transforming it (encrypting it) into an unreadable format called 'cyphertext'. Only those who possess a secret key can decipher (or decrypt) the message into 'plaintext'

Risks of threat to intellectual property and privacy:

• Once the information is available over the Internet, it moves out of the private domain. It then becomes difficult to protect it from being copied.
• Data furnished in the course of online transactions may be supplied to others who may start dumping a host of advertising and promotional literature into your e-mail box.