• legal security and privacy issues in e commerce

    E-commerce growth in the B2B and B2C segments will be strongly dependent on wide availability of the appropriate security authentication infrastructure, as well as on standards for goods sold over the Net. Selling products online is the new norm and must-have for retail. What You Need to Know about Security Issues in E-Commerce. Concern about online security and privacy are leading Americans to curtail online activity, the NTIA reported last week. When the receiving end gets what your server sends them, they must have the appropriate key to decrypt and make use of it. This therefore makes privacy a serious issue in E-commerce. There are several types of risks involving with e-commerce due to its nature and the methodologies that involve with it. Whether there are product guaranties, or whether the company will allow the return of products? Social engineering has become a serious threat to e-commerce security since it is difficult to detect and to combat as it involves ‘human’ factors which cannot be patched akin to hardware or software, albeit staff training and education can somewhat thwart the attack. Laws governing business incorporation, business name … However, present advantages and disadvantages of M-commerce system over and E-commerce system. This part of the report doesn’t compare the two business systems. E-commerce growth will be centered on new technologies. In the e-commerce security, some of the issues to be considered in this issue they are digital signatures, certificates, secure socket layers, firewalls. Proof of data integrity is typically the easiest way to eliminate these problems. The streamlining of cyber laws related to taxation, protection of intellectual property rights and cyber crimes would help cross-border e-commerce. For example, we just saw a record $6.59 billion spent on Cyber Monday online transactions, and soon, online purchases may surpass in-store shopping sales. In 1995, Utah became the first jurisdiction in the world to enact an electronic signature law. VeriSign encryption and authentication technology and practices help assure the consumer that the seal on a WWW site is authentic and the site is entitled to display it: http://atlas.kennesaw.edu/~tnguyen4/webtrust.gif. Privacy and Security Issues in E-Commerce Mark S. Ackerman and Donald T. Davis, Jr. Privacy – the control over one’s personal data – and security – the attempted access to data by unauthorized others – are two critical problems for both e-commerce consumers and sites alike. DoS attacks can be executed in a number of different ways including: Distributed Denial of Service (DDoS) attacks are one of the greatest security fear for IT managers. The use of mobile phones in e-commerce, for example, would extensively depend on WAP authentication protocols. The advantages or benefits of using open environment (meaning site that uses minimal or no security measures) are; the site is easier to use, anyone can browse the site, and it cost less to operate. By M Ali Nasir. In fact, trends in privacy concerns indicate that we should expect more regulations in the future as citizens across the U.S., Europe, and beyond become more savvy about data and personal privacy. Security and privacy, main concerns. A study by researchers Lauer and Deng looked at a model linking privacy policy, through trustworthiness, to online trust and then to consumer’s loyalty and their willingness to provide truthful information. Although we should be wary of a technology-centered, "field-of-dreams" view of success factors, an appropriate technological infrastructure is necessary for the development of E-commerce. Lawmakers around the world are coming to recognize that as e-commerce platforms continue to grow, so too does their potential for exacerbating consumer digital privacy issues. Information exchanged must be kept from unauthorized parties. The introduction of WAP mobile phones will widen access to the Internet. The Internet has driven a huge increase in the level of trade conducted electronically. It’s true that many of these issues are highly technical and usually the domain of trained IT specialists. Flat M2 The need to educate the public about the ethical and legal issues related to e-commerce is highly important from a buyer as well as seller perspective. Network Security. These are just a few of the most common e-commerce security issues and concerns that must be dealt with as the result of the growth of online shopping. One needs to be careful while doing e-commerce activities. To develop a security plan five major steps have to be considered they are risk assessment, developing security policy, implementation plan, create a security organization and performing a security audit. They don’t economize on robust hardware; they don’t rely too heavily on third-party apps or plugins like adobe flash. Privacy now forms an integral part of any e-commerce strategy and investment in privacy protection has been shown to increase consumer’s spend, trustworthiness and loyalty. Sniffing. Privacy has become a major concern for consumers with the rise of identity theft and impersonation, and any concern for consumers must be treated as a major concern for e-Commerce providers. The E-Commerce Explosion. These gaps are filled through confronting on the issue and by discussing the facts on how to use the electronic information should be proceed. In the cases of spoofing and sniffing, the preferred technique is to use data encryption, or signed data for the transaction. The logs themselves can be encrypted for permanent archival. The perceived lack of security in transacting and communicating online continues to be seen as an obstacle to the uptake of e-business. Accenture reports that the average cost of cybercrime has increased 72% in the last five years, reaching US$13.0 million in 2018. E-commerce is defined as the buying and selling of products and services over electronic systems, such as the Internet. Whether a company will really carry out its orders for products and services as it claims? I do not believe masks serve any benefit. It also indicates to consumers that they need to click to see practitioner's report. This paper presents a detailed analysis of the security and privacy issues in the case of an e-commerce scenario. The exponential growth of the Internet and online activity raise a number of new regulatory issues and legal questions. Nowadays, most commercially available servers and their respective clients implement encrypted transactions via some, usually proprietary, means. We examine privacy from social psychological, organizational, technical, regulatory, and economic perspectives. Our obligations to our merchants include data security, privacy, and compliance concerns across our entire platform and through all internal systems like Marketo and Salesforce. Ninety-six percent of Americans currently shop online. The log usually includes the IP/DNS address, the time of the download, the user's name (if known by user authentication or obtained by the indented protocol), the URL requested, the status of the request, and the size of the data transmitted. The issues turn on the provision of sufficient band width for the surging use that is also moving to multimedia transmissions, and on the problems fostered by the decentralized nature of the Internet. Revealing any of these data could be potentially damaging to a user. A distributed denial of service attack (DDoS) occurs when multiple compromised systems flood the bandwidth or resources of a targeted system, usually one or more web servers. Credit card is one of the primary means of electronic payment on the WWW. Assess your exposure. Get critical information for loss prevention professionals, security and retail management delivered right to your inbox. Many e-business activities also involve transactions, so customer banking or credit card information also ends up stored online. Internet businesses have a legal obligation to protect the private information of their customers. More and more industries are moving their operations via online mode as it is the choice of the consumer.Its prevalence continues to grow and prosper without any signs of slowing down. E-commerce businesses should consider obtaining insurance coverage in order to limit their financial exposure for information security breaches, online tort and intellectual property right infringement claims, and certain website-specific practices such as hyperlinking, framing, using … More than 41,000 households with at least one Internet user in July responded to several privacy and security questions the U.S. Census Bureau posed for the NTIA. But. Online Data Theft & Security But, they’re also good for the bottom line. A cornerstone of the program is the TRUSTe "trustmark," an online branded seal that takes users directly to a company's privacy statement:http://atlas.kennesaw.edu/~tnguyen4/truste.gif. They are interception of data, redirection of data, identification of parties, exploitable program errors, and being the weakest point in security. Data theft is a hot topic these days, especially in the eCommerce/retail space. RIOT – Most protests are an excuse for destruction and looting. To develop a security plan five major steps have to be considered they are risk assessment, developing security policy, implementation plan, create a security organization and performing a security audit. But without proper controls, electronic transactions and documents can be easily changed, lost, duplicated and incorrectly processed. Before developing an e-commerce site a registered domain and a registered trademark should be established. 1.1 Social and business issues Why is privacy of concern to e-commerce? For example, Article 8 of Human Rights Acts (1998) states that “Everyone has the right to respect for his private and family life, his home and his correspondence”. Digital signatures. In some cases, it is possible for an unsavory individual to snatch packets as they are being communicated over the network, especially with the newer cellular modems, unsecured phone lines, and so on. Phishing is the criminally fraudulent process of attempting to acquire sensitive information such as usernames, passwords and credit card details, by pretending as a trustworthy entity in an electronic communication. Issues related to privacy are most prominent when it comes to e-commerce. Ecommerce stores with ideal security have some features in common. The WebTrust seal of assurance is a symbolic representation of a practitioner's objective report. Security is the main concern when it comes to e-commerce. Any e-commerce system must meet certain criteria to guard against potential threats. Copyright © 2020 Loss Prevention Media. E-Commerce Security also has some main issues. E-Commerce has led to a new generation of associated security threats, There are several threats that badly effect on e-commerce. Symptoms of denial-of-service attacks to include: Dramatic increase in the number of spam emails received. E-commerce activity often involves collecting secure data such as names and phone numbers associated with email addresses. There are numerous means for an unsavory individual to snoop into what you are sending or receiving from the other end, including, but not limited to, the following: Spoofing. The client can trick your server into believing that the request or post that it's sending is from some other site. The three main legal areas you need to consider are privacy and data collection, intellectual property issues, and rules and regulations of the FTC and other consumer protection bodies. These are usually aimed at sites or services such as banks, credit card payment gateways, large online retailers and social networking sites. commerce has changed the way to doing business. Information services can be subscribed online, and many newspapers and scientific journals are even readable via the Internet. Messages are time- stamped or digitally notarized to establish dates and times at which a recipient hard access or even read a particular message. Eavesdropping and acting under false identity is simple. These data security standards are defined by the PCI Security Standards Council (PCI SSC) and enforced by credit card companies. Phishing scams generally are carried out by emailing the victim with a ‘fraudulent’ email from what purports to be a legitimate organization requesting sensitive information. In 1995, Utah became the first jurisdiction in the world to enact an electronic signature law. Inspite of that a large percentage of users (20%) reported that they had their credit card stolen, there is still a lot of consumer confidence in credit card mode of payment. Due to these reasons business through the internet becomes difficult. E-Commerce is one of the parts of Information Science framework and its uses are gradually becoming popular. The goal of P3P is to enable WWW sites to express their privacy practices and users to exercise preferences over those practices. Security issues in e-commerce such as integrity, authentication and non-repudiation must be dealt with effectively for any online business to be successful. Many e-business activities also involve transactions, so customer banking or credit card information also ends up stored online. Studies by Ackerman, Cranor, and Reagle, (1999), revealed that such fears have become amplified over the past. Privacy Issues. E-commerce is a commercial sector where transactions are possible with the help of internet connection. Defending against DoS attacks is one of the most challenging security problems on the Internet today. Security issues in e-commerce such as integrity, authentication and non-repudiation must be dealt with effectively for any online business to be successful. E-commerce legal issues have seen a generation of new players and the merging and acquisition between several old players. Traffic Analysis. Social engineering is the art of manipulating people into performing actions or divulging confidential information. The most famous DDoS attacks occurred in February 2000 where websites including Yahoo, Buy.com, eBay, Amazon and CNN were attacked and left unreachable for several hours each. This chapter reviews the current state of the art and the relevance for privacy and security respectively. If you run an eCommerce business, you need to understand the ethical implications of your business. In the past decade, the US Attorney General’s office has issued hundreds of indictments surrounding e … Internet businesses have a legal obligation to protect the private information of their customers. Are RFID-Blocking Wallets Necessary to Prevent Credit Card Theft? E-commerce offers the managing an account industry great chance, yet additionally creates a set of new dangers and vulnerability, for example, security threats, hackings. One of the key developments in e-commerce security and one which has led to the widespread growth of e-commerce is the introduction of digital signatures as a means of verification of data integrity and authentication. The infrastructure of the Internet, which acts as the current global information infrastructure, has acknowledged problems. W3C's Platform for Privacy Preferences Project (P3P) provides a framework for informed Internet interactions. One of the key developments in e-commerce security and one which has led to the widespread growth of e-commerce is the introduction of digital signatures as a means of verification of data integrity and authentication. As defined in part 1.1., M-commerce is subset of the E-commerce but using end user devices as transaction platforms. Denial of Service (DoS) attacks consist of overwhelming a server, a network or a website in order to paralyze its normal activity. An electronic signature may be defined as "any letters, characters, or symbols manifested by electronic or similar means and executed or adopted by a party with the intent to authenticate writing". Second, the European Union Data Directive has provided an added incentive for e-commerce firms in the US to post privacy policies. He used the same user names and passwords on all sites he accessed, including eCommerce websites, until he found that someone had stolen his identity. Get critical infromation for loss prevention professionals, security and retail management delivered right to your inbox. In many countries, operational speed and pace of downloads are regarded as slow. This post dives into the ethical issues in eCommerce that you should be thinking about. In each of these cases, the risk can be alleviated (or greatly reduced). Repudiation is the idea that one party can default the transaction once an actual online transaction took place. Popular PC operating systems offer little or no security against virus or other malicious software, which means that users cannot even trust the information displayed on their own screens. It is the most important issues for e-commerce because without security & privacy, the customer will scared get cheated by the seller. Guarding consumer privacy must be an integral part of any e-commerce strategy. Consumers browse through catalogues, searching for best offers, order goods, and pay them electronically. These would help remove security concerns and boost confidence in e-commerce transactions. There are several reasons that contribute to this insecurity such as, The Internet does not offer much security. Again, this trust should not be betrayed and arrangements should be made to assure those who are reluctant. Therefore, security Contact your privacy lawyer for any questions that you may have concerning data security, such as how to handle a situation when your records haven’t been disposed of correctly, or if your credit has been compromised due to stolen records. How would you describe the recent rise in protests and public demonstrations? There are several complex issues and obstacles that need to be overcome in order to make sure that you are abiding by all the relevant legal guidelines. Abstract: Threat of security issues in Information Science has now become an important subject of discussion amongst the concerned users. A man-in-the-middle attack is where the attacker secretly and invisibly relays or possibly alters the communication between two parties. However, appearances can be deceiving and several questions arise: How can a consumer know. If you don’t secure it, it won’t take long before you’ll realize your trademark is being infringed upon. This guide gives a brief overview of the subject. This is known as IP and/or DNS spoofing. Many users seem to be comfortable with providing demographic information if its intent and application was made clear to them. Its goal is to provide: Online consumers with control over their personal information. And to ease your e-commerce headaches, we'll tell you what you can do to prevent shopping cart abandonment and lower your return fraud rates. In 1995, Utah became the first jurisdiction in the … to business conducted via the Internet. Eighty-four percent of those households named at least one online privacy and security concern. This has enabled development of new services, distribution channels and far greater efficiency in business activities than ever before. If you are unable to attend, please make cancellations in writing and email to register@infonex.com or fax to 1.800.558.6520 no later than November 4, 2020.A credit voucher will be issued to you for the full amount, redeemable against any other INFONEX course and which is valid for twelve months (one year) from the date of issue. Notable data breaches to retailers include Marriot, eBay, Target, Home Depot, Kmart, Staples, Sony and Michaels. Click here to continue to Loss Prevention Magazine. The ability to operate online has made many entities profitable. Data breaches happen on a daily basis, but some are bigger than others. Non-repudiation techniques prevent the sender of a message from subsequently denying that they sent the message. REBELLION – People have a right to voice their opinions and be heard. The Federal Trade Commission (FTC) is the primary federal agency regulating e-commerce activities, including use of commercial e-mails, online advertising and consumer privacy. Integrity, Authentication, and Non-Repudiation. Legal Issues Involved in E-Commerce. However, there are several key legal issues you need to be aware of before you start contacting customers or potential customers. Electronic commerce (E-commerce) websites have grown significantly over the years. General Data Protection Regulation (GDPR). The explosion of e-commerce created a silent revolution in how consumers purchase goods and services. M-commerce vs. E-commerce. In order for a digital signature to attain the same legal status as an ink-on-paper signature, asymmetric key cryptology must have been employed in its production. These attributes may cause the integrity of electronic transactions and documents to be questioned, causing disputes regarding the terms of a transaction and the related billing. In May 2007 the internet infrastructure in Estonia was crippled by multiple sustained brute force attacks against government and commercial institutions in the country. 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