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Unit 34: e-Commerce

NQF Level 3: BTEC National Guided learning hours: 60

Unit abstract

One of the most important developments in business in recent times has been the increasing use of e-commerce. It has revolutionised many marketplaces and opened up opportunities never before imagined. Businesses that are not exploring the use of e-commerce are in danger of finding themselves being overtaken by those who are utilising this technology. E-commerce uses the internet to build and enhance relationships with customers, partners and other businesses. This can involve processing orders electronically, handling customer service and cooperating with business partners. E-commerce can be conducted using the internet, intranets, extranets, or a combination of these. The unit starts by looking at the benefits and drawbacks for society of e-commerce and then investigates the technologies involved in e-commerce. This is followed by exploring the security issues surrounding the use of e-commerce, both from the business and the user perspective.

Learning outcomes
On completion of this unit a learner should: 1 Know the effects on society of e-commerce 2 Understand the technologies involved in e-commerce 3 Understand the security issues in e-commerce and the laws and guidelines that regulate it.

fluid Consumer Credit Act 1974. international legislation. informative eg bbc. consumer led eg eBay. providing service. HTTPS. 24/7 trading. alternative income sources c) Drawbacks: consumer trust. domain names eg use of memorable names. programming FAQ. NoChex. firewall impact on site performance. economic and social impact due to speed of changes.Unit content 1 Know the effects on society of e-commerce a) Social implications: changing customer perspective eg providing added value. as well as . financial eg esure. newsgroups and forums. strong passwords. multiple registration of domains (. lastminute. pricing opportunities eg differences. search facilities. contact information eg email. impact on business and society as a whole. browser and platform compatibility b) Networking: TCP/IP addresses. Freedom of Information Act 2000. nationalrail. c) Payment systems: services available eg electronic direct providing customer account/profile. download speeds. relatively low start-up and running costs. ‘spiders’. competitive edge. banners and pop-ups. Trading Standards. live-chat. order tracking. browsers. identity theft. product description problems. delivery site portability. lack of human contact. phone contact. copyright legislation . ease and security. bank sites with web-only accounts 2 Understand the technologies involved in e-commerce a) Hardware and software: web servers. paying for prominence in search result listing. credit or debit cards d) Promotion: effective use of search engines eg use meta tags. bricks and clicks (integrating high street and online presence) b) Benefits: global security issues d) e-commerce entities: e-tailers eg Amazon. SSL. Computer Misuse Act 1990. web authoring tools. gathering customer storage existing retailers eg spam. database viruses. RSA certificates. lternative authentication methods b) Legislation: relevant legislation eg Data Protection Act 1998. dealing with complaints 3 Understand the security issues in e-commerce and the laws and guidelines that regulate it a) Security: prevention of hacking. establishing customer loyalty in a virtual environment e) Customer interface: usability server software. service providers eg easyjet. ports and protocols. ensuring an effective user interface. manufacturers eg dell. ebuyer.

D2 P3 describe the hardware. P4 P5 P6 . M3 D3 predict and describe potential future of e-commerce and its impact on society. software and networking technologies involved in ecommerce describe how ecommerce systems can be promoted and marketed describe the security issues in e-commerce describe what and how legislation impacts e-commerce systems. benefits and drawbacks of ecommerce describe three different and current e-commerce entities M1 explain the potential risks to organisations of committing to an e-commerce system D1 evaluate the use of ecommerce in a ‘brick and click’ organisation that balances e-commerce with a continued high street presence justify the choice of security techniques used to protect an e-commerce system P2 M2 compare two different payment systems used in e-commerce systems explain how security issues in e-commerce can be overcome.Unit Criteria P1 describe the social implications.