Home Technology E-Business Security: Functionality, Advantages, Security Challenges & External Security Mechanisms

E-Business Security: Functionality, Advantages, Security Challenges & External Security Mechanisms

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The aim of and business individual is to earn profit and compete for as long as possible on equal terms with other firms. However, due to numerous factors that affect companies differently, often things do not go as expected. In a specific market segment, the emphasis is typically on economic , political and social factors. Above all these considerations, all the practises that characterise an organisation must also benefit the working environment. (2015) Laudon, K. C., & Laudon, J. P. Management Information Systems: Handling with Pearson eText the Digital Firm Plus MyMISLab — Access Card Kit. Prentice-Press of the Space.

There are technological factors that should be observed to make such companies profitable and competitive in the provision of products and services in a particular industry while transitioning to e-business or e-commerce. A key element of the whole undertaking is the protection factor. Therefore, a lot of monitoring mechanisms must be placed in place to ensure the protection of all stakeholders on a specific forum is guaranteed. E-business or e-commerce protection is a fundamental aspect that should be preserved in all online companies in this period of technology where the globe has been narrowed down from the advanced levels of technology into a small village.

This paper will therefore concentrate on the protection of e-business, the effects of cybercrime on companies, fraud detection mechanisms, and the interventions deployed to strengthen security on those platforms. With all types of advanced technology globally, if there are no comprehensive and sophisticated security systems introduced in this field, e-business companies trading electronically will experience security problems.


A., Darnell, & Rahn, D. R. 2017. (2017). A Turnkey Experiential Oriented Course for Teaching Faculty: E-Business for Entrepreneurs. Journal of the Philosophy and Reality of Higher Education, 17(5), 25-27. This concept is commonly referred to as e-commerce, where transactions must be made electronically regardless of the location where the parties are located. Electronic business is therefore an avenue in which business transactions are carried out using the internet, the internet, intranets or intranets. These sections can be used interchangeably to promote online companies and accomplish the aims and goals of a company. In this century, as we look at business patterns, shareholders or investors have tried to revolutionise their business practises by exploring the global market, thus boosting globalisation.

E-Business Security Functionality, Advantages, Security Challenges & External Security Mechanisms

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J., Chen, Y., Benitez, Y., Teo, T. S., & Ajamieh, A. 2017. (2017). The effect on organizational competence and company profitability of e-business technology over time. Too much has changed in the pursuit of globalization in how companies are operated by administrators trying to minimize operational costs while operating internationally. Exploring foreign markets is focused on reducing manufacturing costs, improving productivity and improving the level of profitability and competitiveness. Seamlessly handling all global operations includes information systems that will allow all the business units to function professionally. E-business will include a wide range of business processes, including the distribution chain, electronically placing orders and systems that deal with the concerns of consumers that will automatically respond to their competence and profitability issues.

Ahern, M. (2017). US Patent No. 9,691,042. Washington, DC: US Patent and Trademark Office. All these e-business infrastructures would only serve the purpose effectively based on the security level that each of the systems has and the robustness in the latter. The system developers and designers must address the issue of security. Its architectural design addresses both the internal and external aspects of the management systems regarding security and operations. There are many instances in which the e-business industry has had hard times through fraud activities that have made most of the enterprise in the market lose a lot of their funds.

Xu, M., Alhindi, M., Ishizaka, A., & Read, M. (2016). E-Business Adoption in SME-Models and Determinants: A Comparative Review of UK and KSA. In Encyclopedia of E-Commerce Development, Implementation, and Management(pp. 453-469). IGI Global. In response to such and other related problems in the industry, managers and shareholders have sought to spend much of their financial support in acquiring secure and reliable management systems for their businesses to thrive as desired. An enterprise’s ability to purchase these e-business platforms for various online transactions determines the success of each organization and the competitiveness in the global market. These interventions exhibit a lot of challenges, but an entity’s ability to deal with them becomes a determinant of how the firm would thrive in the ever-competitive business environment.

The Functionality of the E-Business Platform

Ye, Q., & Ma, B. (2017). E-Business Platform Information Search Services. In Internet+ and Electronic Business in China: Innovation and Applications (pp. 339-368). Emerald Publishing Limited. The E-business platform works like any other form of trading goods and services. This platform involves buyers and sellers carrying out transactions from different parts of the world electronically. Therefore, an organization would be required to open distribution centers of their goods and services globally, out of which the buyers would access them. An online electronic system is developed to allow the buyers to view the interests of their choice, make orders and eventually make payments according to a firm’s agreements. The customers’ goods are ultimately shipped to their respective homes or center of the collection, as stipulated by the terms in each order.

The system requires that a firm operating in an international market can open offices or distribution centers whereby customers can collect their goods or sometimes get help through customer care services. Operations of these distributed offices or centers are centrally controlled from the headquarters of a particular organization. The regional functions are delegated to designated branch managers to maintain and enhance the business in their respective areas of operation or market segments. These individual managers or directors are required to report to the headquarters the progress of business through the online platform where they share business information, which would improve the provision of goods and services.Cassidy, A. (2016). A practical guide to planning for E-business success: how to E-enable your enterprise. CRC Press.

Frequent communication between the management teams of all the branches located globally is vital in improving the provision of goods and services to all the clients and addressing all the issues raised by the customers in a bid to enhance the quality of products sold in the market. All these forms of communication are dependent on the level of security that the system exhibits to protect all the information regarding an organization’s transactions and the customers’ information. Thus, the systems’ administrators must ensure that security is enhanced at all times, such that unauthorized persons for personal gain access to no data. Maes, S. H. (2015). US Patent No. 8,966,498. Washington, DC: US Patent and Trademark Office.

The access control mechanisms must be useful, robust and reliable to safeguard an organization’s data. Data is an essential asset to each entity that must be protected by all means for each enterprise’s success and progress. Investing in the information systems whose security is guaranteed is worth wasting millions of dollars on outsourcing these services in which the associated risks would not be addressed adequately. No matter how sophisticated or robust an e-commerce system is, the latter’s security would never be a hundred percent based on the increased rates of cyberterrorism. Thus, this enables the system developer to design, develop and implement automated platforms that would send signals to the administrators of an attack as soon as the attack is launched.

The level of security that a platform can achieve reflects how much a firm would spend to acquire one for the management of its business units and the customers in the global market. Therefore, the security features of the system must match the organization’s operations and be able to serve the purpose they are designed for in pursuit of improving the level of competition and profitability.

Advantages of the E-Business Platform

  • Enhances Marketing

Turban, E., King, D., Lee, J. K., Liang, T. P., & Turban, D. C. (2015). Electronic commerce: A managerial and social network perspective. Springer. E-business is a platform that enhances the global marketing strategy through which the products and services offered by an entity are advertised on the internet and reach an extensive market segment. With millions of users able to access the internet and its peripherals, e-business thus becomes an avenue to market products through the available mechanisms like the Ads and pop-ups on a particular webpage or application.

  • Lowers the Cost of Production 

Contrary to the traditional ways of running business operations, using an e-business platform minimizes production cost because there are limited employees who would be employed to facilitate this platform in the delivery of services and products. Through the e-business technology, firms would establish their production and processing factories in any part of the world in which the costs of operation are relatively low. This crucial because instead of importing raw materials to the domestic firm, the specific organization could set up a production plant in the countries that provide the materials for production, thus lowering the costs incurred in the production process.

  • Improves the Sales Volume

The objective of the business entities is to make profits out of the sales made. The sales and marketing department is usually engaged with increasing sales volume made in a particular market segment. The conformity of the units sold and the firm’s goals defines the success of the latter. With the e-business platform, many customers are reached electronically, thus increasing the number of targeted customers who would translate to an increase of orders made globally, hence improving the units of products sold annually.

  • Enhances International Trade

Globalization has been made possible through the advancement of technology and the development of e-business platforms. Establishing businesses worldwide has become easier because all that is needed is to have an online trading platform for a specific firm through which customers can view the products and services offered and finally make orders awaiting the delivery of the products to the customers on time as desired.

E-commerce enables any individual from any part of the world to shop products online without necessarily going to the firm’s geographical location for the purchases. This means that any particular entity that would wish to trade on the international market should acquire a robust and dedicated management system for carrying out business transactions and strategically open stores in a central location for distribution.

Security Challenges of E-Business

Brehmer, M., & Seitz, J. (2015). Long-term Data Security Challenges Using Cloud Storage Services. WHICEB 2015 Proceedings. Numerous challenges are associated with E-business platforms in terms of security. These challenges must be addressed to enhance business operations by effectively serving the stakeholders, thus leading to satisfaction. The systems’ designers and developers are working around the clock to improve security in the E-business industry and curb the loss of financial resources through cybercrime. Cases of cybercrime are currently affecting many businesses and government entities, thus becoming an area of concern that should be researched to provide solutions to the latter. The e-business industry’s problems involve fraud instances, hacking of the information system, among other insecurities.

  • Fraud 

Malicious individuals are using online platforms in conducting fraud through which a lot of businesses have lost their finances. Fraudsters use the wrong credit cards or IDs to purchase products online. The very individuals would as well access people’s accounts illegally to steal from the online platforms.

  • Hacking 

This is one of the most commonly used techniques of getting into a person’s account or system in which malicious persons could use them for different attacks. Hackers would use the methods they know, like generating lines of codes that would interfere with the normal functioning of the e-commerce systems, thus stealing from the particular organizations fraudulently. Hacking is a form of a security breach intended to access vital information of a specific firm through which an economic attack is launched on the victimized organizations. This information could be financial, strategic planning, production information, among other essential forms of data.

  • Detection of the Security Breach

Ng, J., Joshi, D., & Banik, S. M. (2015, April). Applying data mining techniques to intrusion detection. In Information Technology-New Generations (ITNG), 2015 12th International Conference on (pp. 800-801). IEEE. The e-business platforms must be kept secure by ensuring automated alerts that would always send signals to the systems’ administrators who would, in turn, prevent the attack from occurring. The firewalls are also vital in enhancing the systems’ security on the internet. This is because it can block malware and other malicious sites from being accessed via the internet. Automated alert systems are developed and installed on the servers and end to end computer systems to send signals of an attack as and at when it takes place. System terminators must also be installed on the servers to shut down the systems wherever there is an emergency of an attack on the e-business site or platform.

  • Mechanisms of Preventing Security Breach in E-Business Platforms

Prevention of security breach of the e-business sites involves internal and external mechanisms that ensure data is protected from malicious persons for personal gains. Internal interventions would be reflected by the code of conduct and the organization’s policy. The internal procedures would be prohibiting carrying flash drives into the server rooms for access of information illegally. It also requires access to any of the systems within the business environment or e-business; a person must have the credentials necessary for entry. This is primarily dependent on the access controls of a particular e-business system of an organization through which the access is limited. The super-administrator has all the privileges regarding the system’s operation.

External Security Mechanisms

  • Using Strong Passwords

Hossain, M. M., Fotouhi, M., & Hasan, R. (2015, June). Towards an analysis of security issues, challenges, and open problems in the internet of things. In Services (SERVICES), 2015 IEEE World Congress on (pp. 21-28). IEEE. The e-commerce firm is responsible for safeguarding the users’ information on the back-end through the provision of complex or strong passwords that are hard to breach. The system should have a set of character or value combinations of the passwords that each user must meet the minimum requirement for accessing the online platform.

  • Use a Secure E-Business Platform and Card Verification System

The platform must have an architecture that has higher-level security. A sophisticated object-oriented programming language would also be part of the security design, which is relatively challenging to breach. This is in conjunction with the address and card verification system in which the customers get a notification and confirmation messages before a transaction is completed. The message is responded to by the customer through the acceptable mechanisms to approve the transaction process.

  • Layering the Security System and Using Tracking Numbers for Each Order

An enterprise needs to its business operations safe from cybercriminals by layering its security infrastructure. The layering would involve the use of firewalls accompanied by other security layers that would ensure the security of the website or system as a whole is protected. The firm must also deploy tracking numbers for each order placed by customers in pursuit of combating some forms of fraud like chargeback.

  • Security Training For Employees and the Use of Alerts 

The employees of a particular organization must be frequently trained on the importance of enhancing security. They must not text or email any sensitive information about the firm or the customers’ data to other people. The e-business platforms must as well utilize system alerts that have the capability of monitoring multiple transactions. Through these mechanisms, suspicious transactions are detected, and a signal is sent to the administrators for an action to be taken to realize data protection.

Recommendation and Conclusion

E-business is a platform that is increasing in pursuit of achieving globalization in the world. Opportunities and challenges surround it, but most importantly, the security of the entire e-business is paramount. Electronic businesses’ success depends on the ability of an organization to utilize the advancement of technology in their favour through the use of sophisticated and robust systems whose security is difficult to breach. Various security features must be used on the platform such that only the authorized customers and employees can use the system to transact business. The access control of these platforms must match the organization’s policies for the firm’s success and competitiveness.

In conclusion, security is vital in carrying out an online business, most notably in curbing cybercrime. Therefore, the e-business industry stakeholders must strive to develop security policies that would enhance the level of security on online transactions. The right combination of security features is a priority that systems’ security officials must strive to attain, thus improving the safety of all its users and the platform as a whole.


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