Page 142 - CA 165 ver 1.0 Class 10
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E-commerce is often used to refer to the sale of physical products online, but it includes any kind of
commercial transaction that is facilitated through the Internet. While doing e-commerce, each stakeholder
(either seller or buyer) must follow ethical conduct which are as follows:
E-commerce Privacy
Privacy has become a major concern for users with the rise of theft of data and passwords. e-commerce
privacy relates to concealing information of an individual or an organization while doing transactions on
the net. It includes the process involved while a company collects, handles, stores, shares and protects
users’ personal and often sensitive information gathered through their website. For an e-commerce
company, this is crucial as it is not only seen as a sign of credibility and trust, but also ensures that website
owners are legally safe and protected, along with their customers, adhering to their legal obligations.
E-commerce Fraud
The term e-commerce fraud is also known as purchase fraud. It occurs when a criminal (fraudster)
approaches a merchant and proposes for a business transaction using fraudulent means such as a stolen
or fake credit card to pay for transactions. This leads to payment by some other’s account or leaves the
merchant without getting paid for the sale that was just made. Non delivering of ordered goods and
delivering false/damaged goods are also types of fraud.
Secure Data Transmission in e-commerce
Secure Data Transmission is an essential part of any transaction that takes place over the Internet.
Customers may lose their faith in e-business if there is any chance of leak in its security. Following are the
essential requirements for secure data transmission:
Confidentiality: Information uploaded during e-commerce transaction should not be accessible to
an unauthorized user. It should not be intercepted during the transmission of details.
Integrity: Information should not be altered during its transmission over the network.
Authenticity: There should be a mechanism to authenticate a user before giving him/her an access
to the required information.
Encryption: Information should be encrypted and decrypted only by an authorized user.
Auditability: Data should be recorded in such a way that it can be audited for integrity requirements.
Encryption: Information should be encrypted and decrypted only by an authorized user.
140 Touchpad Computer Applications-X

