May 22, 2011

Aspects of E-Commerce Site

In this section, I will elaborate further on these two issues and problems in the world of E-Commerce security and consumer privacy in the use of E-Commerce site.
Safety Aspects of Consumer E-Commerce Site
The development of communication technology such as the Internet is very fast has caused some issues in ethics and regulatory dimensions. One of the interesting issues to be studied more deeply is the issue of security of customer information during online activities. Security issues in the world of E-Commerce is a violation of the points 1,2,3,4 and 10 of "The Ten Commandments of Computer Ethics" Garg et al. stated that 36 to 90 percent of organizations experienced a security breach in the past year (Gupta & Hammond, 2003). This statistic describes the degree of vulnerability of online transactions. The solution to extract the problem and increase online sales is to provide a network that ensures confidentiality and security. Technologies that provide security measures and guarantees flawless requires a lot of investment and in most cases are not easy to obtain.
Security issues in the Internet is very varied character and kind from the form of email spamming, proliferation of computer viruses, online harassment, to a form of cyber theft and identity theft or data. (Flew, 2002). The core of the problem concerning the security of consumer information is centered on the presence of contradictory relationship between the world of the Internet as a social arena for a variety of knowledge possessed by the concept of customer information as private property. (Flew, 2002).
Strategy E-Commerce site to address security issues to deal with two major affairs which is to protect the integrity of the business network as well as their own internal systems and achieve a secure transaction relationship between consumers and business enterprises (Marchany & Tront, 2002). The main tool used business e-commerce company in maintaining their internal network is the firewall. A firewall is a system of hardware and software that only allow users from outside the system that has specific characteristics that can access the protected network system (Kalakota). However, the firewall still has some shortcomings in the system. There are programs such as SMTPTunnel hacker, ICMPTunnel, Nimda, Code Red The firewall to break through several websites E-Commerce companies. Security of transactions conducted in the world of e-commerce depends on the ability of the organization to ensure the privacy, authenticity, integrity, presence and intrusion-blocking unwanted intrusion.
According Machany and Tront, the two major threats to the security mechanism of the E-Commerce is a virus and Trojan Horse programs (Machany & Tront, 2002). The presence of the virus is very annoying but basically a Trojan horse program is a more serious threat because the program is not only facilitates how to break through a network of other systems, but the program also may attack the integrity of data in a system.
Aspects of Consumer Privacy in E-Commerce Site
Culnan defines privacy as "an individual's ability to control the terms that govern how the individual's personal information can be obtained and used" (MJ Culnan, 2000). It is very difficult, even a little unlikely, if in doing a deal with E-Commerce services, consumer did not give personal information, ranging from infomasi the residential address for delivery to the preferences of the consumer products (Ackerman, Cranor, & Reagle, 1999).
The issue of privacy is one of the serious problems that interesting to study in the world of E-Commerce. The results of a poll conducted by the magazine Business Week found that more than 40 per cent of service users E-Commerce websites give great concern to the potential misuse of information by those sites and 57 percent of respondents wanted a law that has the power to regulate how the mechanism suitable for E-Commerce sites collect and use personal information belongs to consumers. (Harris Poll 2000). Culnan also argues that concerns about privacy are the main reasons why many people decide not to do transactions in the online world, even though they will interact in the online world, the information they provide are going the wrong information. (Culnan, 2000). Issues related to privacy issues in e-Commerce is a form of violation points 1,3,7 and 10 of "The Ten Commandments of Computer Ethics"
Culnan and Armstrong also argues that there are two types of concerns of users of E-Commerce related to issues of privacy. The first type is the presence of consumer concerns about unauthorized access to their personal data because of the lack of security and surveillance companies or because of a lack of internal controls of the company itself. The second type is the concern of consumers against the possibility of using their personal data for purposes that are irrelevant and undesirable. This possibility must involve a third party who is not involved at all in the initial transaction between the consumer and the companies that provide E-Commerce services. (M. J. Culnan, 1999)
Addressing privacy issues in the world of E-Commerce is not an easy and simple matter. This is because the Internet now have established a culture that is very free, so what are the limits to the public and the private is bias (Lessig, 2004). In addition, it is also caused by the debate about the meaning of the word "privacy" itself. Some people argue that privacy is a fundamental right for everyone, while many are looking at a person's privacy and personal information as a commodity to be exchanged. The difference in the meaning of the concept of privacy is make efforts to address privacy issues in the development of technology becoming more complex. Mark Ackerman and Donald T. Davis Jr., in his journal "Privacy and Security Issues in E-Commerce" discussion about privacy issues classifies through two perspectives, namely privacy as business and social issues, and privacy as technology issues. (Ackerman & Davis Jr., Privacy and Security Issues in E-Commerce)
a. Privacy For Business and Social Issues in E-Commerce
Privacy now developed into a business issue that is very sensitive to changes in various contexts surrounding it. Digital system allows business owners to collect consumer data with a much larger range. E-Commerce Site may collect consumer data ranging from personal consumer preferences, rituals and consumer spending patterns, patterns of consumers in finding and using information to consumer preferences for goods and services. Not only is it far easier to collect data, but the development of a digital system also makes it easier to find the data of others in the Internet (Dhillon & Moores, 2001). The new computational techniques has enabled the "mining consumer data" to examine patterns of consumers in purchasing goods and other personal researching trends. Such data can be used to specialized shopping experience in E-Commerce websites for other customers.
b. Privacy of Technology Perspective
The use of technology to get the most attention in the fierce debate about privacy issues in e-Commerce systems. Clarke said that there are four types of technology in use is related to issues of privacy, which is the technology used for surveillance, the technology used to form the contract of the release of personal data, technologies for labeling and privacy-enhancing technologies (PETS) (Clarke, 2001).
According to Lyon (2002), one of the main keys to avoid privacy issues in the world of E-Commerce is for Internet users to balance between personal privacy information that was intentionally supplied with information as personal information for various parties such as the government even to the insurance company.