Privacy and Security in E-Commerce Assignment Example | Topics and Well Written Essays - 1000 words

Privacy and Security in E-Commerce - Assignment Example An overly secure environment looks into the security of the transaction by creating passwords and logins in order to ensure privacy and confidentiality of the details of the transactions. In cases where e-commerce involves financial transactions, the risk of loss of money becomes high hence making security issues key to e-commerce. However, both open and overly secure environments have both advantages and disadvantages. There are various advantages of conducting business in open environments. First, users will not require login and passwords in order to navigate on the websites. Paying for items or making orders will not require one to give login for identification purposes. This makes the process easy and faster compared to a secure environment where login is required. The graphical user interface of open environments is simpler and easy to use hence cause customer satisfaction and convenience (Becker, 2008). Cost advantage also arises in an open environment. There is no cost involv ed in developing a secure environment thereby reducing the need to engage experts in developing the site. The costs of hosting such a website are also lower compared to that of an over security environment which requires shrewd experts to develop. However, the cost may arise where customers sue the business for protection purposes. On the other hand, browsing in an insecure open environment is characterized by various drawbacks. To begin with, the computers can be hacked thus infringing on private information. This may make the future transactions insecure and further cause loss of resources. Moreover, it would be easier to get computer virus attacks, which could stall operations and further cause loss of data that may be expensive to acquire. In addition, a company can be faced with innumerable cases from customers for violation of privacy. Because of the multiple suits, the company risks spending colossal amounts in compensating the customers. In instances that the transactions in volve payment of money or transfers of money, open environments are inappropriate because unauthorized third parties might access the customers’ private information. There are cases in which customers have been defrauded money hence causing panic and financial losses to the parties. If this happens, the customers’ confidence and trust are lost hence making open environments riskier and disadvantageous. Similar to an open environment, an overly secure environment also has several advantages and drawbacks. On the side of the advantages, overly secure environment makes customers feel secure therefore promoting online sales. The high number of sales increases the revenues and reduces transaction cost associated with physical transactions. The businesses in ensuring security further achieve their fiduciary obligations of making their customers secure and hence get shielded from legal cases that may arise. A feeling of security encourages repeat purchases. Secondly, overly s ecure environment ensures that the business information is protected from hackers and crackers. When online purchases are made in an open environment, the business equipment and information will remain confidential from being stolen.  

Arrow Electronics Essay Example | Topics and Well Written Essays - 1500 words

Arrow Electronics - Essay Example Zeus to military and aerospace customers, wile, A/S & Anthem to industrial customers. The two other groups were product driven and they are Gates/Arrow distributing and selling primary computer systems, peripherals and software, Capstone electronics passive components. In all the groups Arrow/Schweber (A/S), the largest of Arrow's working groups having higher levels of technological expertise through technical certification of its field sales representatives (FSR). A/S operations were configured by branch, headed by General Manager includes Field sales and inside sales representatives, products managers, field application engineers and others. Overall six VP's oversaw A/S's 39 branch mangers. Arrow electronics was a broad line distribution of electronic parts including semiconductor and passive components, under the leadership of Stephen Kaufman and reached the number one position among electronics distributors by 1992. Most of the distribution companies' worldwide passing through co nsolidation phase and small number of large companies capturing the top tier of the markets by 1997. Arrow's nearest competitors in 1996 is Avnet Inc. having sales around 20% less than Arrow during the year. Other competitors of Arrow, are Future electronics, Pioneer standard, Wyle and Marshall Industries and all have only quarter size of Arrow in total sales volume and earned less than Arrow's largest operating group. Arrow is making profit and earned more than $6.5 billion in sales in 1996. This situation shows Arrow position is very strong in the market having only one genuine competitor Avnet Inc. Creating more value. Basically distributors like Arrow's relationship and dependence with suppliers are vice-versa where both depend on each other. In an electronic industry where top 10 suppliers controls 80% of products, A/S's suppliers list included 56 companies in 1997 and growing. This shows that A/S is not solely dependent on top suppliers or selected few suppliers but effective management of large number of suppliers is not an easy job and requires better networking which incurs high cost. A/S's largest supplier Altera, the manufacturer of proprietary programmable logic device (PLD's) supplies 80% of its products through two distributors capable of providing value added programming required by individual customers. Large suppliers like Intel, Taxes instruments and Motorola are the other 3 of the big four suppliers for the A/S. Now before analyzing A/S on the basis of value provider, we should first understand what is value chain and how it work What is value: The value chain is a system of interdependent rather than independent activities. The way one activity is performed usually has an impact on the way other activities and undertaken. The ability to coordinate the linkages enhances the scope of cutting costs or increasing differentiation. The first step is to identify all the value chain activities that are relevant to the business. The value chain must be defined broadly enough to include all the activities that influence profitability. Once companies like Arrow's identifies how profits are distributed across the industry value chain, it has a better idea of how to reconstruct the value chain to improve performance. Indeed new business models emerge by virtue of their superior ability to create and deliver value. A company can create a stronger competitive position for itself on the value chain by addressing important issues like: How value is being captured; The gap