The Legal Barriers in E-Commerce and to What Extend the E-Commerce Act 2006 Manage to Overcome the Barriers.
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- Date Submitted: 12/18/2014 04:34 AM
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The advent of internet has transformed the traditional marketing model and system. Besides functioning as a communication medium, internet has been used as a market space where buyers and sellers exchange information, goods and services without the hindrance of time and geographical constraints. Commercial activity on the internet which is known as e-commerce is a recent and rapidly growing business medium. However, despite of its rapid growth, there are a few legal barriers that take place.
The first legal barriers that can be seen when e-commerce was introduced are security. Security is said to be one of the major worry as people that conduct e-commerce must give out their credit card numbers or others means of remotely accessing funds. It was assumed that researchers using the system would not jeopardize their jobs since security was not a major issue in the early days of the internet. Security has come a long way, with strong military grade encryption becoming the norm. However, highly publicized security concerns of the early days of the commercial internet still resonate with online consumers and these concerns are periodically reinforced with high profile news stories of identity theft at major websites. When a site does not look secure to a consumer, the consumer will no longer trust it.
The second legal barriers of e-commerce are in terms of its infrastructure. Without the required backup services and hardware, e-commerce won’t be able to operate. Not all the nations have the necessary infrastructure in place to fully benefit from e commerce. High connectivity costs will minimize the use of the internet by a nations population, thus will effectively keep a large segment of its citizens permanently blind to e-commerce.
Governments together with the private sector should invest in e-commerce infrastructure facilities. Action should be taken to maximize internet usage among the citizens through increased computer literacy and investment on...
The first legal barriers that can be seen when e-commerce was introduced are security. Security is said to be one of the major worry as people that conduct e-commerce must give out their credit card numbers or others means of remotely accessing funds. It was assumed that researchers using the system would not jeopardize their jobs since security was not a major issue in the early days of the internet. Security has come a long way, with strong military grade encryption becoming the norm. However, highly publicized security concerns of the early days of the commercial internet still resonate with online consumers and these concerns are periodically reinforced with high profile news stories of identity theft at major websites. When a site does not look secure to a consumer, the consumer will no longer trust it.
The second legal barriers of e-commerce are in terms of its infrastructure. Without the required backup services and hardware, e-commerce won’t be able to operate. Not all the nations have the necessary infrastructure in place to fully benefit from e commerce. High connectivity costs will minimize the use of the internet by a nations population, thus will effectively keep a large segment of its citizens permanently blind to e-commerce.
Governments together with the private sector should invest in e-commerce infrastructure facilities. Action should be taken to maximize internet usage among the citizens through increased computer literacy and investment on...