Explain any three basic needs of consumer oriented e-commerce.

It has been said that the meeting of money, commerce, computing and networks form the global consumer market place. It includes facilities for negotiations, bargaining; order processing, payment and customer service. Though it is desirable that the entire system is automated, it may be possible that one/more of these activities may be transactcd in a traditional manner. The order is placed over phone, further negotiations may be made with the sales representative calling on the buyer, the payment may be made through a cheque etc.

The following criteria arc essential for consumer-oriented electronic commerce:

Critical mass of buyers and sellers. The trick is getting a critical mass of corporations and consumers to use electronic mechanisms. In other words, the electronic marketplace should be the first place customers go to find the products and services they need.

Opportunity for independent evaluations and for customer dialogue and discussion. In the marketplace, not only do users buy and sell products or services, they also compare notes on who has the best products and whose prices are outrageous. The ability to openly evaluate the wares offered is a fundamental principle of a viable marketplace.

Negotiation and bargaining. No market place is complete if it does not support negotiation. Buyers and sellers need to be able to haggle over conditions of mutual satisfaction, including money, terms and conditions, delivery dates, and evaluation ctiteria New products and services. In a viable marketplace, consumers can make requests for products and services not currently offered and have reasonable expectations that someone will turn up with a proposed offering to meet that request.

List the OMCs (Order Management Cycle) generic steps.OMC has the following generic steps: 1)Order Planning and Order Generation: The business process begins long before an actual order is placed by the customer. The first step is order planning. Order planning leads into order generation. Orders are generated in number of ways in the e-commerce environment. The sales force broadcasts ads (direct marketing), sends personalized e-mail to customers (cold calls), or creates a WWW page. 2) Cost Estimation and Pricing: Pricing is the bridge between customer needs and company capabilities. Pricing at the individual order level depends on understanding, the value to the customer that is generated bye ach order, evaluating the cost of filling each order; and instituting a system that enables the company to price each order based on its valued and cost. 3) Order Receipt and Entry: After an acceptable price quote, the customer enters the order receipt and entry phase of OMC. Traditionally, this was under the purview of departments variously titled customer service, order entry, the inside sales desk, or customer liaison. These departments are staffed by customer service representatives, usually either very experienced, long-term employees or totally inexperienced trainees. 4) Order Selection and Prioritization: Customer service representatives are also often responsible for choosing which orders to accept and which to decline. In fact, not all customer orders are created equal; some are simply better for the business than others. Another completely ignored issue concerns the importance of order selection and prioritization. Companies that put effort into order selection and link it to their business strategy stand to make more money. 5) Order Scheduling: Ordering scheduling phase the prioritized orders get slotted into an actual production or operational sequence. This task is difficult because the different functional departments sales, marketing, and customer service may have conflicting goals. 6) Order Fulfillment and Delivery: The order fulfillment and delivery phase the actual provision of the product or service is made. While the details vary from industry to industry, in almost every company this step has become increasingly complex. Often, order fulfillment involves multiple functions and locations. 7) Order Billing and Account/Payment management: After the order has been fulfilled and delivered, billing is typically handled by the finance staffs, who view their job as getting the bill out efficiently and collecting quickly. 8) Post-sales Service: This phase plays an increasingly important role in all elements of a companys profit equation: customer value, price, and cost. Depending on the specifics of the business, it can include such elements as physical installation of a product, repair and maintenance, customer training, equipment upgrading and disposal. Because of the information conveyed and intimacy involved, post sales service can affect customer satisfaction and company profitability for years.

What is supply chain management? Give its characteristics. Supply Chain Management (SCM): Supply chain management (SCM) is a network of suppliers and customers within which any business can operates. It is a chain of suppliers and customers for a particular business In electronic commerce, supply chain management has the following characteristics: An ability to source raw material or finished goods from anywhere in the world. A global business and management strategy with flawless local execution. On-line, real-time distributed information processing to the desktop, providing total supply chain information visibility. The ability to manage information not only within a company but across industries and enterprises. The seamless integration of all supply chain processes and measurements, including third-party suppliers, information systems, cost accounting standards, and measurement systems. The development and implementation of accounting models such as activity-based costing that 1 ink cost to performance are used as tools for cost reduction. A reconfiguration of the supply chain organization into high-performance teams going from the shop floor to senior management.

B1

What are the desirable characteristics of E-marketing ? Before we embark on the detailed study of e-commerce, we shall discuss some of related issues. Commonsense tells us that few transactions are more congenial for e-marketing than others. We list out the desirable features of a hypothetical market pace let us call it e-market. 1. A minimal size of the place- Obviously for any such place to thrive there is a critical size, below which it is not profitable to operate. This minimal number of buyers and sellers characterises the profitability of the place. 2. A scope for interactions- Interactions include trial runs of the products, classifications of doubts on the part of the customers, details of after sales services, ability to compare different products and of course scope for negotiations and bargaining. Negotiations can be in terms of cost, value additions, terms and conditions, delivery dates etc.

What are the three types electronic tokens? Explain. None of the banking or selling payment methods is completely adequate in their present form for the consumer-oriented e-commerce environment. Totally new forms of financial instruments are also being developed. One such new financial instrument is electronic tokens in the form of electronic cash / money or checks. Electronic tokens are designed as electronic analogs of various forms of payment backed by a bank or financial institution. Simply stated, electronic tokens are equivalent to cash that is backed by a bank. Electronic tokens are of three types: 1. Cash or real-time. Transactions are settled with the exchange of electronic currency. An example of on-line currency exchange is electronic cash (e-cash). 2. Debit or prepaid. Users pay in advance for the privilege of getting information. Examples of prepaid payment mechanisms are stored in smart cards and electronic purses that store electronic money. 3. Credit or postpaid. The server authenticates the customers and verifies with the bank that funds are adequate before purchase. Examples of postpaid mechanisms are credit / debit cards and electronic checks.

Draw the layered architecture of EDI.EDI architecture specifies four layers: a) The semantic (or application) layer b) The standards translation layer c) The packing (or transport) layer d) The physical network infrastructure layer. The EDT semantic layer describes the business application that is driving EDT. The Information seen at the EDT semantic layer must be translated from a company-specific form to a more generic or universal form so that it can be sent to various trading partners, who could be using a variety of software applications at their end. To facilitate the transfer of computer files between two trading partners requires that the computer applications of both sender and receiver use a compatible format for EDT document exchange. The EDT translation software converts the proprietary format into a standard mutually agreed on by the processing systems. When a company receives the document, their EDT translation software automatically changes the standard format into the proprietary format of their document processing software. The EDT transport layer corresponds closely with the non-electronic activity of sending a business form one company to another. The content and structure of the form are separated from the transport carrier. EDT documents are exchanged rapidly over electronic networks using the existing e-mail programs and infrastructure. EDI in Action The use of EDT transporter saves large administration costs by eliminating the bulk of flow paperwork.

Describe the steps involved in designing electronic payment system. Despite cost and efficiency gains, many hurdles remain to the spread of electronic payment systems. These include several factors, many non-technical in nature that must be addressed before any new payment method can be successful. Privacy: A user expects to trust in a secure system Security: A secure system verifies the identity of two-party transaction through user authentication and reserves flexibility to restrict information / service through access control. Intuitive interface: The payment interface must be as easy to use as a telephone. Generally speaking, users value convenience more than anything. Database integration: With home banking, for example, a customer wants to play with all his accounts. To date, separate accounts have been stored on separate databases. Brokers: A network banker someone to broker goods and services, settle conflicts, and facilitate financial transactions electronically must be in place. Pricing: One fundamental issue is how to price payment system services. Standard: Without standards, the welding of different payment users into different networks and different systems is impossible. Standards enable interoperability, giving users the ability to buy and receive information, regardless of which bank is managing their money. o None of these hurdles are intractable. The biggest question concerns how customers will take to a paperless and (if not cashless) less-cash world.

What do you mean by value added networks (VANS) ? Explain. A VAN is a communications network that typically exchanges EDT messages among trading partners. It also provides other services, including holding messages in electronic mailboxes, interfacing with other VANs and supporting many telecommunications modes and transfer protocols. A VANs electronic mailbox is a software feature into which a user deposits EDT transactions and then retrieves those messages when convenient. It works much like residential personal mailboxes, and it allows everybody involved to be flexible and cost-effective. Business can exchange data either by connecting to each other directly or by hooking into a VAN. Traditionally, by acting as middlemen between companies, VANs have allowed companies to automatically and securely exchange purchase orders, invoices, and payments. When a company sends and EDT transaction, it arrives at a message storehouse on the VAN to await pickup by the destination company. In this way VANs can safeguard the transaction network. The disadvantage of EDT- enabling VANs is that they are slow and high priced, charging by the number of characters transmitted. In the figure we see the EDT process. Company A puts an EDT message for trading partner manufacturing company B in the VAN mailbox at a date and time of its choosing. The VAN picks up the message from the mailbox and delivers it to trading partner Bs mailbox, where it will remain until trading partner B logs on and picks it up. Trading partner B responds to trading partner A in the same fashion. The cycle repeats itself on a weekly, daily, or perhaps even hourly basis as needed. This service is generally referred to as mail-enabled EDT.

List the four advantages of internet. 1. Flat pricing, 2. cheap access, 3. common standards and 4. secure 1 Flat-pricing that is not dependent on the amount of information transferred. The Internet flat- rate model is better for the customer as opposed to the standard VAN approach of charges per character. 2 Cheap access with the low cost of connection often a flat monthly fee for leased line or dial- up access. Business users have access to commercial and noncommercial Tnternet services in some 140 countries providing ubiquitous network coverage. 3 Common mail standards and proven networking and interoperable systems; another attraction is that Internet mail standards are nonproprietary and handle congestion and message routing exceptionally well. It has been noted that sometimes on a VAN network an e-mail message can take hours or days to reach its destination, while on the Tnternet it usually takes seconds to minutes. 4 Security- public-key encryption techniques are being incorporated in various electronic mail systems. This will enable systems to ensure the privacy of EDT messages and give users a way to verify the sender or recipient. There many advantages to using the internet such as: Email. Email is now an essential communication tools in business. It is also excellent for keeping in touch with family and friends. The advantages to email is that it is free ( no charge per use) when compared to telephone, fax and postal services. Information. There is a huge amount of information available on the internet for just about every subject known to man, ranging from government law and services, trade fairs and conferences, market information, new ideas and technical support. Services. Many services are now provided on the internet such as online banking, job seeking and applications, and hotel reservations . Often these services are not available off-line or cost more. Buy or sell products. The internet is a very effective way to buy and sell products all over the world. Communities. Communities of all types have sprung up on the internet. Its a great way to meet up with people of similar interest and discuss common issues.

What are the security threats to E-commerce ? Some of the threats that stimulated the upsurge of interest in security include the following Organized and internal attempts to obtain economic or market information from competitive organizations in the private sector. Organized and intentional attempts to obtain economic information from government agencies. Inadvertent acquisition of economic or market information. Inadvertent acquisition of information about individuals. Intentional fraud through illegal access to computer repositories including acquisition of funding data, economic data, law enforcement data, and data about individuals. Government intrusion on the rights of individuals Invasion of individuals rights by the intelligence community.

What is EDI and electronic fund transfer?

The economic advantages of EDI arc widely recognized, but until recently, companies have been able to improve only discrete processes such as automating the accounts payable function or the funds transfer process. Companies are realizing that to truly improve their productivity thcy need to automate their external processes as well as their internal processes. Another goal of new EDI services is to reduce the cost of setting up an EDt relationship. These costs arc still very high because of the need for a detailed two-sided agreement between the involved business partners and for the necessary technical agreements. Therefore most successful EDI implementations are either in long-term partnerships or among a limited number of partners. The advent of inter-organizational commerce, several new types of EDT are emerging that can be broadly categorized as traditional EDT and open EDT. Electronic Funds Transfer is the automatic transfer of funds among banks and other organizations.

Explain secure socket layer (SSL). SSL is an encrypted communication protocol that we use to implement security by switching a website into the secure mode. SSL prevents transactions between a company and its customers from packet-sniffing attacks. The protocol allows client/server applications to communicate in a way that data transmissions cannot be altered. The strength of SSL is that it is application- independent. HTTP, telnet, and FTP can be placed on top of SSL transparently. SSL provides channel security through encryption and reliability through a message integrity check. SSL uses three-part process. First, information is encrypted to prevent unauthorized disclosure. Second, the information is authenticated to make sure that the information is being sent and received by the correct party. Finally, SSL provides message integrity to prevent the information from being altered during interchanges between the source and sink.

Explain secure electronic payment protocol.

SEPP: SEPP stands from Secure Electronic Payment System. SEPP is the electronic corresponding of the paper charge slide, signature, and submission process. SEPP is an open, vendor-neutral, nonproprietary, license free specification for securing on-line transactions. SEPP takes input from the cooperation process and causes the payment to happen via a three-way communication among the cardholder, merchant, and acquirer. SEPP only addresses the payment process. There are several major business requirements addressed by SEPP. 1. To enable confidentiality of payment information. 2. To ensure integrity of all payment data transmitted. 3. To provide authentication that a cardholder is the legitimate owner of a card account. 4. To provide authentication that a merchant can accept master-card, branded card payments with an acquiring member financial institution. SEPP PROCESS: SEPP suppose the cardholder and merchant have been communicating in order to negotiate terms of a purchase and generate an order. These processes may be conducted via a WWW browser. SEPP is designed to support transaction action swapped in both interactive and non interactive modes. The SEPP system is composed of a collection of elements involved in electronic commerce. Card holder: This is an authorized holder of a bankcard supported by an issuer and registered to perform electronic commerce. Merchant: This is a merchant of goods, services, and/or e-products who accepts payment for them electronically and may provide selling services and / or electronic delivery of items for sale. Acguirer: This is a financial institution that supports merchants by providing service for processing credit card based transactions. Certificate management system: This is an agent of one or more bankcard associations that provides for the creation and distribution of electronic certificates for merchants, acquirers, and cardholders. Banknet: This represents the existing Network which interfaces acquirers, issuers and the certificate management systems.

What are the desirable characteristics of an electronic market. Desirable characteristics of E-Marketplace: The following criteria are essential for consumer-oriented electronic commerce: Critical mass of buyers and sellers. The trick is getting a critical mass of corporations and consumers to use electronic mechanisms. In other words, the electronic marketplace should be the first place customers go to find the products and services they need. Opportunity for independent evaluations and for customer dialogue and discussion. In the marketplace, not only do users buy and sell products or services, they also compare notes on who has the best products and whose prices are outrageous. The ability to openly evaluate the wares offered is a fundamental principle of a viable marketplace. Negotiation and barainin. No market place is complete if it does not support negotiation. Buyers and sellers need to be able to haggle over conditions of mutual satisfaction, including money, terms and conditions, delivery dates, and evaluation criteria. New products and services. In a viable marketplace, consumers can make requests for products and services not currently offered and have reasonable expectations that someone will turn up with a proposed offering to meet that request. Seamless interface. The biggest barrier to electronic trade is having all the pieces work together so that information can flow seamlessly from one source to another. This requires standardization. On the corporate side, companies need compatible EDT software and network services in order to send electronic purchase orders, invoices, and payments back and forth. Recourse for disgruntled buyers. A viable marketplace must have a recognized mechanism for resolving disputes among buyers and sellers. Markets typically include a provision for resolving disagreements by returning the product or through arbitrage in other cases.

B2

Write short note on the following:a) Kinds of shopping. Variety of experiences There are many ways that cardholders will shop. This section describes two ways. The SET protocol supports each of these shopping experiences and should support others as they are defined. On-line catalogues The growth of electronic commerce can largely be attributed to the popularity of the World Wide Web. Merchants can tap into this popularity by creating virtual storefronts on the Web that contain on-line catalogues. These catalogues can be quickly updated as merchants product offerings change or to reflect seasonal promotions. Cardholders can visit these Web pages selecting items for inclusion on an order. Once the cardholder finishes shopping, the merchants Web server can send a completed order form for the cardholder to review and approve. Once the cardholder approves the order and chooses to use a payment card, the SET protocol provides the mechanisms for the card holder to securely transmit payment instructions as well as for the merchant to obtain authorization and receive payment for the order. Electronic catalogues Merchants may distribute catalogues on electronic media such as diskettes or CD-ROM. This approach allows the cardholder to browse through merchandise off-line. With an on-line catalogue, the merchant has to be concerned about bandwidth and may choose to include fewer graphics or reduce the resolution of the graphics. By providing an off-line catalogue, such constraints are significantly reduced. b) Secret-key cryptography. Secret Key cryptography, also known as symmetric cryptography, uses the same key to encrypt and decrypt the message. Therefore, the sender and recipient of a message must share a secret, namely the key. A well known secret-key cryptography algorithm is the Data Encryption Standard(DES), which is used by financial institutions to encrypt PINs. Public Key cryptography, also known as asymmetric cryptography, uses two keys: one key to encrypt the message and the other key to decrypt the message. The two keys are mathematically related such that data encrypted with either key can only be decrypted using the other. Each user has two keys: a public key and a private key. The user distributes the public key. Because of the relationship between the two keys, the user and anyone receiving the public key can be assured that data encrypted with the public key and sent to the user can only be decrypted by the user using the private key. This assurance is only maintained if the user ensures that the private key is not disclosed to another. Therefore, the key pair should be generated by the usr. The best known public-key cryptography algorithm is RSA ( named after its inventors Rivest, Shamir and Adleman).Secret-key cryptography is impractical for exchanging messages with a large group of previously unknown correspondents over a public network. In order for a merchant to conduct transactions securely with millions of Internet subscribers, each consumer would need a distinct key assigned by the merchant and transmitted over a separate secure channel. On the other hand, by using public-key cryptography, that same merchant could create a public/private key pair and publish the public key allowing any consumer to send a secure message to the merchant. c) Viruses and worms. A virus is a program that can affect other programs by modifying them, the modified program includes a copy of the virus program, which can then go into another programs. A warm is a program that makes use of networking software to replicate itself and move from system to system. The worm performs some activity on each system it gains access to, such as consuming processor resources or depositing viruses. Countering the threat of viruses: The best solution for the threat of viruses is prevention: do not allow a virus to get into the system in the first place. In general, this goal is impossible to achieve, although prevention can reduce the number of successful viral attacks. The next best approach is to do the following: Detection: After the infection has occurred, determine that it has occurred and locate the virus. Purging: Remove the virus from all infected systems so that the disease cannot spread further. Recovery: Recover any lost data or programs. Because of the variety of viruses, there is no universal remedy. A number of programs provide some protection, and the security manager should be advised to contact several vendors and assess their products.

Explain in detail the e-commerce architecture. The electronic commerce application architecture consists of six layers of functionality or services: (1) Applications Services: The application services layer of e-commerce will be comprised of existing and hope applications built on the native architecture. Brokerage services, data or transaction management: The information brokerage and management layer provides service integration through the concept of information brokerages, the development of which is necessitated by the increasing information resource fragmentation. The concept of information brokerage to represent an intermediary who provides service integration between customers and information providers, given some constraint such as a low price, fast service, or profit maximization for a client. In foreign exchange trading, information is retrieved about the latest currency exchange rates in order to hedge currency holdings to minimize risk and maximize profit. The brokerage function is the support for data management and traditional transaction services. Brokerages may provide tools to accomplish more sophisticated, time- delayed updates or future- compensating transactions. (3) Interface and support layers: Interface and support services, will provide interfaces for electronic commerce applications such as interactive catalogs and will support directory services job needed for information search and access. Interactive catalogs are the modified interface to consumer applications such as home shopping. An interactive catalog is an extension of the paper-based catalog and incorporates additional features. The primary difference between the two is that unlike interactive catalogs, which deal with people, directory support services interact directly with software applications. For this reason, they need not have the multimedia flash and ballet generally associated with interactive catalogs. (4) Secure messaging, security, and electronic document interchange: The importance of the fourth layer, secured messaging, is clear. Messaging is the software that sits between the network infrastructure and the clients or e-commerce applications, masking the peculiarities of the environment. Messaging products are not applications that solve problems; they are more enablers of the applications that solve problems. The main disadvantages of messaging are the new types of applications it enables which appear to be more complex, especially to traditional programmers and the jungle of standards it involves. Also, security, privacy, and confidentiality through data encryption and authentication techniques are important issues that need to be resolved. 5) Middleware and structured document interchange: Middleware is a relatively new concept. With the growth of networks, client-server technology, and all other forms of communicating between / among unlike platforms, the harms of getting all the pieces to work together grew. Middleware is the ultimate mediator between diverse 51w programs that enables them talk to one another. Middleware is the computing shift from application centric to data centric. (6) Network infrastructure and basic communications services: Transparency implies that users should be unaware that they are accessing multiple systems. Transparency is essential for dealing with higher-level issues than physical media and interconnection that the underlying network infrastructure is in charge of. Transparency is accomplished using middleware that facilitates a distributed computing environment. The goal is for m the applications to send a request to the middleware layer, which then satisfies the request any way it can, using remote information.

Explain, how information flows with EDI. Electronic data interchange (EDI) is the structured transmission of data between organizations by electronic means. It is used to transfer electronic documents or business data from one computer system to another computer system, i.e. from one trading partner to another trading partner without human intervention. It is more than mere e-mail ; for instance, organizations might replace bills of lading and even cheques with appropriate EDI messages. It also refers specifically to a family of standards , e.g. UN/EDIFACT, ANSI X12. The National Institute of Standards and Technology in a 1996 publication [1] defines electronic data interchange as "the computer-to-computer interchange of strictly formatted messages that represent documents other than monetary instruments. EDI implies a sequence of messages between two parties, either of whom may serve as originator or recipient. The formatted data representing the documents may be transmitted from originator to recipient via telecommunications or physically transported on electronic storage media.". It goes on further to say that "In EDI, the usual processing of received messages is by computer only. Human intervention in the processing of a received message is typically intended only for error conditions, for quality review, and for special situations. For example, the transmission of binary or textual data is not EDI as defined here unless the data are treated as one or more data elements of an EDI message and are not normally intended for human interpretation as part of online data processing." [1] EDI can be formally defined as 'The transfer of structured data, by agreed message standards, from one computer system to another without human intervention'. Most other definitions used are variations on this theme. Even in this era of technologies such as XML web services , the Internet and the World Wide Web, EDI may be the data format used by the vast majority of electronic commerce transactions in the world.

How does digital signature works? Explain This is the simplest version of how a Digital Signature works. A "Digital Signature" is slightly different than an "Electronic Signature", which is a broader term simply referring to any indication of agreement and identity. A "Digital Signature" often refers to a Public / Private Key encryption system, the most common of which is "PGP", or "Pretty Good Privacy", which is a bit of humorous understatement as it's the basis of most military security and included in export regulations as a U.S. national security secret. By providing two keys, one with the public and the other privately with the buyer. The signature is coded with both.

Explain EDI business application layer with a diagram. The first step in the EDT process creates a document in this case, an invoice in a software application. This software application then sends the document to an EDT translator, which automatically reformats the invoice into the agreed- on EDT standard. If these two pieces of software are from different vendors, it is very important that the document preparation application seamlessly integrate with the EDT translation software. Tf both the EDT translator and business application are on the same type of computer, the data will move faster and more easily from one to another. The translator creates and wraps the document in an electronic envelope EDT package that has a mailbox TD for the companys trading partners. The EDT wrapper software can be a module to the translator, a programming tool to write a different communications protocols, or a separate application.

Explain main categories of SCM in details Computerworld - In the simplest terms, supply chain management (SCM) lets an organization get the right goods and services to the place theyre needed at the right time, in the proper quantity and at an acceptable cost. Efficiently managing this process involves overseeing relationships with suppliers and customers, controlling inventory, forecasting demand and getting constant feedback on whats happening at every link in the chain. The supply chain involves several elements: Location. Its important to know where production facilities, stocking points and sourcing points are located; these determine the paths along which goods will flow. Production. An organization must decide what products to create at which plants, which suppliers will service those plants, which plants will supply specific distribution centers, and, sometimes, how goods will get to the final customer. These decisions have a big impact on revenue, costs and customer service. Inventory. Each link in the supply chain has to keep a certain inventory of raw materials, parts, subassemblies and other goods on hand as a buffer against uncertainties and unpredictabilities. Shutting down an assembly plant because an expected parts shipment didnt arrive is expensive. But inventory costs money too, so its important to manage deployment strategies, determine efficient order quantities and reorder points, and set safety stock levels. Transportation. How do materials, parts and products get from one link in the supply chain to the next? Choosing the best way to transport goods often involves trading off the shipping cost against the indirect cost of inventory. For example, shipping by air is generally fast and reliable. Shipping by sea or rail will likely be cheaper, especially for bulky goods and large quantities, but slower and less reliable. So if you ship by sea or rail, you have to plan further in advance and keep larger inventories than you do if you ship by air.

Mention some hacking techniques. Some Hacking Techniques: Stolen access: Involves the use of another users ID or password without permission to gain access to the internet. Stolen resources: Search for processors to store stolen software and data bases. Internet virus: Virus designed to traverse through the network, passing through multiple processors and either sending information back to the originator or doing damage to the processors it passes though. Email Impostures: Sending email while falsifying from field Email passes through at least two nodes to be received, email. Email snooping: passes through these nodes, and is stored transiently, it is susceptible to people tithe system access, unless secured. Sniffing: If a hacker has gained access to a host, the hacker may set up sniffing programs to observe traffic storing information (IDs/passwords) that can be used to compromise other systems. Spoofing: Assuming someone elses identity, whether it is a login ID, an IP address a server, or an ecommerce merchant. Async attacks: While programs are idle in host memory, a hacker may have the opportunity to access the programs data. Trojan horses: Viruses concealed within a software package injected into a host. May be destructive or perform some covert activity designed to send data back to the hacker. Back doors : Applications/system programmers may implement a secret password that allows the programmer easy access to a host or application on the host; these passwords may be infiltrated.

Explain digital signature technique.If digital signatures are to replace handwritten signatures, they must have the same legal status as handwritten signatures. The digital signature provides a means for a third party to verify that the notarized object is authentic. Digital signatures should have greater legal authority than handwritten signatures. If the contract was signed by digital signatures, however, a third party can verify that not one byte of the contract has been altered.

B3

Write a note on the following: (a) Significance of WWW on e-commerce World Wide Web (WWW) as the architecture: -Electronic commerce depends on the unspoken statement that computers co-operate efficiently for seamless information sharing. Unfortunately, this statement of interoperability has not been supported by the realities of practical computing. Computing is still a world make up of many technical directions, product, implementations and competing vendors. The Web community of developers and users is tackling these complex problems. The architecture is made up of three primary entities: client browser, Web server, and third-party services. The client browser usually interacts with the WWW server, which acts as an intermediary in the interaction with third-party services. The client browser resides on the users PC or workstation and provides an interface to the various types of content. The browser has to be smart enough to understand what file it is downloading and what browser extension it needs to activate to display the file. Browsers are also capable of manipulating local files. Web server functions can be categorized into information retrieval, data and transaction management, and security. The third-party services could be other Web servers that make up the digital library, information processing tools, and electronic payment systems. (b) Security threats Some of the threats that stimulated the upsurge of interest in security include the following Organized and internal attempts to obtain economic or market information from competitive organizations in the private sector. Organized and intentional attempts to obtain economic information from government agencies. Inadvertent acquisition of economic or market information. Inadvertent acquisition of information about individuals. Intentional fraud through illegal access to computer repositories including acquisition of funding data, economic data, law enforcement data, and data about individuals. Government intrusion on the rights of individuals Invasion of individuals rights by the intelligence community (c) Security tools Secure Transport Stacks (Secure Transport Protocol): The internet uses the transport control protocol / Internet protocol (TCP/IP) as the primary network protocol engine. Each IP packet contains the data that is to be sent to some endpoint destination. The IP packet consists of a 32 bit source and destination address optional bit flags, a header checksum, and the data itself. There is guarantee at the network layer that the IP protocol data units will be received, and even if they are received, they may not be received in any particular order. We cannot solely rely on the source address to validate the identity of the user who sent the packet. TCP provided retransmission of lost or corrupted protocol data units into their original order of transmission. Each packet contains a sequence number which is what TCP uses to sort the protocol data units. The acknowledgement number is the sequence number of the last packet transmitted. The two most prominent secure transmission protocols for secure Web communication are: 1 .Secure Sockets Layer 2.Secure HTTP (S-HTTP) (d) Cryptography Protection of sensitive information Cryptography has been used for centuries to protect sensitive information as it is transmitted from one location to another. In a cryptographic system, a message is encrypted using a key. The esulting ciphertext is then transmitted to the recipient where it is decrypted using a key to produce the original message. There are two primary encryption methods in use today: secret-key cryptography and public- key cryptography. SET uses both methods in its encryption process. Secret key cryptography Secret Key cryptography, also known as symmetric cryptography, uses the same key to encrypt and decrypt the message. Therefore, the sender and recipient of a message must share a secret, namely the key. A well known secret-key cryptography algorithm is the Data Encryption Standard(DES), which is used by financial institutions to encrypt PINs. (e) S-HTTP S-HTTP sets up security details with special packet headers that are exchanged in S-HTTP. The headers define the type of security techniques, including the use of private-key encryption, server authentication, client authentication, and message integrity. A secure envelope encapsulates a message and provides secrecy, integrity, and client/server authentication. S-HTTP provides a number of security features. These include: Client and server authentication Spontaneous encryption S-HTTP operates at the topmost layer of the protocol suitethe application layer. It provides: Symmetric encryption for maintaining secret communications. Public-key encryption to establish client/server authentication. Message digests for data integrity. (f) Payment processing Transactions described This section describes the flow of transactions as they are processed by various systems. SET defines a variety of transaction protocols that utilize the cryptographic concepts introduced in previous section to securely conduct electronic commerce. The section describes the following transactions: Cardholder registration Merchant registration Purchase request Payment authorization Payment capture Other transactions The following additional transactions are part of these specifications, but are not described in this section: Certificate query Purchase inquiry Purchase notification Sale transaction Authorization reversal Capture reversal Credit Credit reversal

Stages of E-Commerce architecture on Web. 1 .Client browser, 2. WWW server functions and 3. third party services. The Web community of developers and users is tackling these complex problems. The architecture is made up of three primary entities: client browser, Web server, and third-party services. The client browser usually interacts with the WWW server, which acts as an intermediary in the interaction with third-party services. The client browser resides on the users PC or workstation and provides an interface to the various types of content. The browser has to be smart enough to understand what file it is downloading and what browser extension it needs to activate to display the file. Browsers are also capable of manipulating local files

What are the basic banking services provided in e-commerce. 1. Basic banking services: -normal customer would be transacting with his bank most of the time. They are mainly related to personal finances. A customer has with his bank can be classified into the following: i Checking his accounts statements ii Round the clock banking (ATM) iii Payment of bills etc. iv Fund transfer and v Updating of his pass books etc. The concept of Automated Teller Machines is to allow the customer to draw money from his account at any part of the day or night. The customer need not go to the bank at all for his most important service. ATMs are connected to a Bank Switching Centre. The Switching Centre of several banks is interconnected to an association switching centre. 2. Home shopping: -We assume it is television based shopping. It may be noted that this concept is picking up now in India in a small way, wherein the channels set apart only a very small portion of their broadcasting time to teleshopping. Customer can order the items over phone. The goods are delivered to his home and payment can be made in the normal modes. Concepts of traditional marketing like negotiations, trial testing etc. are missing from this scheme and it is most suitable for those customers who are almost sure of what they need to buy but who are to busy to go to the shops. 3. Home entertainment: - The next example of this type of commerce is home entertainment. Dubbed on line movies, it is possible for the user to select a movie/CD online and make his cable operator play the movie exclusively for him (movie on demand) cause against payment like Tata Sky. Payment can be either online/ payable to his account. It is also possible to play interactive games online/download them to your computer to play. The concept of downloading games/news etc. At a cost to the mobiles is also a similar concept. It may be noted that in all these cases, the physical movement of the customer/trader is avoided; of course, the computer need not always be a part of the deal. 4. Micro-transaction for information: - The telephone directories provide a basic type of micro- transaction. If we want by one particular type of item say books they list the addresses and phone numbers of the various book dealers whom we may contact. Similar facilities are available on the internet may be for more number of items and also with more details. This can be though of as an extension of the earlier described television based ordering. We dont have to order only those items that are shown in the computer, but search for an item that we need. Basic Tenets of E-Commerce in a consumer oriented scenario: - It has been said that the meeting of money, commerce, computing and networks form the global consumer market place. It includes facilities for negotiations, bargaining; order processing, payment and customer service. Though it is desirable that the entire system is automated, it may be possible that one/more of these activities may be transacted in a traditional manner. The order is placed over phone, further negotiations may be made with the sales representative calling on the buyer, the payment may be made through a cheque etc. Some of the fundamental issues of consumer oriented e-commerce can be made broad based are listed below: a) Standard business practices and processes for buying and selling of products as well as services need to be established. b) Easy to use and well accepted software and hardware implementations of the various stages of ecommerce like order taking, payment, delivery, after sales interactions etc. need to be established. c) Secure commercial and transport practices that make the parties believe that they are not at the mercy of any body else for the safety of their information and goods need to be in place. It may be noted that each one of the above requirements can be established only over a period of time with several trial and error methods.

What are the benefits of EDI. EDI can be a cost- and time-saving system, for many reasons. The automatic transfer of information from computer to computer reduces the need to rekey information and as such reduces costly errors to near zero. EDI transactions produce acknowledgments of receipt of data. Saving also accrues from the following improvements: Reduced paper-based systems: EDI can impact the effort and expense a company devotes to maintaining records, paper- related supplies, filing cabinets, or other storage systems and to the personnel required to maintain all of these systems. EDI can also reduce postage bills because of the amounts of paper that no longer need be sent. Improved problem resolution and customer service: EDI can minimize the time companies spend to identify and resolve inter-business problems. EDI can improve customer service by enabling the quick transfer of business documents and a marked decrease in errors. Expanded customer/supplier base: Many large manufacturers and retailers with the necessary clout are ordering their suppliers to institute an EDT program. However, these are isolated islands of productivity because they are unable to build bridges to other companies. With the advent of electronic commerce, the bridge is now available.

What is e-cash give the properties of e-cash. Electronic Cash: Electronic cash (e-cash) is a new concept in on-line payment systems because it combines computerized convenience with security and privacy that improve on paper cash. E-cash presents some interesting characteristics that should make it an attractive alternative for payment over the Internet. E-cash focuses on replacing cash as the principal payment vehicle in consumer-oriented electronic payments. The predominance of cash indicates an opportunity for innovative business practice that revamps the purchasing process where consumers are heavy users of cash. Cash is negotiable, meaning it can be given or traded to some one else. Cash is legal tender, meaning the payee is obligated to take it. Cash is a bearer instrument, meaning that possession is prima facie proof of ownership. Properties of E-cash: Specifically, e-cash must have the following four properties: monetary value, interoperability, retrievability, and security. E-cash must have a monetary value it must be backed by cash (currency), bank-authorized credit, or a bank-certified cashiers check. When e-cash created by one bank is accepted by others, reconciliation must occur without any problems. Stated another way, e-cash without proper bank certification caffies the risk that when deposited, it might be returned for insufficient funds. E-cash must be interoperable exchangeable as payment for other e-cash, paper cash, goods or services, lines of credit, deposits in banking accounts, bank notes or obligations, electronic benefits transfers,. E-cash must be storable and retrievable. The cash could be stored on a remote computers memory, in smart cards, or in other easily transported standard devices. Because it might be easy to create counterfeit cash that is stored in a computer, it might be preferable to store cash on a committed device that cannot be misused. E-cash should not be easy to copy or tamper with while being exchanged this includes detecting duplication and double-spending. Fake a particular problem, in the Internet and anywhere in the world and so is difficult to catch without appropriate international agreements. Detection is essential in order to audit whether prevention is working. Then there is the tricky issue of double spending (DFN88). Preventing double- spending from occurring is extremely difficult if multiple banks are involved in the transaction. For this reason, most systems rely on post-fact detection and punishment.

What is electronic pulse? Explain. A new digital andphysical Label for electronic Music. electronic pulse records is not just a label. Velocity is electronic pulse records!a comprehensive platform for artists, musicians, producers and all other friends of electronic music.Completely independent and solely to the development and Expansion of electronic music, open to everything and constantly on the lookout for new sounds that is electronic pulse records!! Compare push and pull based supply chains. The business terms push and pull originated in the marketing and selling world.but are also applicable in the world of electronic content and supply chain management. The push/pull relationship is that between a product or piece of information and who is moving it. A customer pulls things towards themselves, while a producer pushes things toward customers. With a push-based supply chain, products are pushed through the channel, from the production side up to the retailer. The manufacturer sets production at a level in accord with historical ordering patterns from retailers. It takes longer for a push-based supply chain to respond to changes in demand, which can result in overstocking or bottlenecks and delays, unacceptable service levels and product obsolescence. In a pull-based supply chain, procurement, production and distribution are demand driven so that they are coordinated with actual customer orders, rather than forecast demand. A supply chain is almost always a combination of both push and pull, where the interface between the push- based stages and the pull-based stages is known as the push-pull boundary. An example of this would be Dells build to order supply chain. Inventory levels of individual components are determined by forecasting general demand, but final assembly is in response to a specific customer request. The push-pull boundary would then be at the beginning of the assembly line. A push-pull-system in business describes the movement of a product or information between two subjects. On markets the consumers usually pulls the goods or information they demand for their needs, while the offerers or suppliers pushes them toward the consumers. In logistic chains or supply chains the stages are operating normally both in push- and pull-manner. The interface between push-based stages and pull-based stages are called push-pull boundary or decoupling point .

Explain electronic tokens present in payment systems None of the banking or selling payment methods is completely adequate in their present form for the consumer-oriented e-commerce environment. Totally new forms of financial instruments are also being developed. One such new financial instrument is electronic tokens in the form of electronic cash / money or checks. Electronic tokens are designed as electronic analogs of various forms of payment backed by a bank or financial institution. Simply stated, electronic tokens are equivalent to cash that is backed by a bank. Electronic tokens are of three types: 1. Cash or real-time. Transactions are settled with the exchange of electronic currency. An example of on-line currency exchange is electronic cash (e-cash). 2. Debit or prepaid. Users pay in advance for the privilege of getting information. Examples of prepaid payment mechanisms are stored in smart cards and electronic purses that store electronic money. 3. Credit or postpaid. The server authenticates the customers and verifies with the bank that funds are adequate before purchase. Examples of postpaid mechanisms are credit / debit cards and electronic checks.

B4

What are the desirable characteristics of e-commerce Desirable characteristics of E-Commerce: - Commonsense tells us that few transactions are friendlier for e-marketing than others. We list out the desirable features of a hypothetical market pace let us call it e-market. a) A minimal size of the place: Obviously for any such place to thrive there is a critical size, below which it is not profitable to operate. This minimal number of buyers and sellers characterizes the profitability of the place. A scope for interactions: Interactions include trial runs of the products, classifications of doubts on the part of the customers, details of after sales services, b) ability to compare different products and of course scope for negotiations and bargaining. Negotiations can be in terms of cost, value additions, terms and conditions, delivery dates etc. c) Scope for desinint new products: The customer need not buy only what is available. He can ask for modifications, up-gradations etc. The supplier must be able to accept these and produce made to order items. d) A seamless connection to the marketplace: It is obvious that each customer will be operating with a different type of computer, software, connectivity etc. There should be available standards sot that any of these costumers will be able to attach himself to any of the markets without changing his hardware/software/interfaces etc. Recourse for disgruntled users: It is nave to believe that transaction of such a place end up in complete satisfaction to all parties concerned. Especially because of the facelessness of the customer and the supplier, there should be a standard recourse to settle such disputes.

Define e-commerce. Name any two areas which are reasons of worry in e commerce.1.Security and 2. legal acceptance Security. A secure system verifies the identity of two-party transaction through user authentication and reserves flexibility to restrict information / service through access control. Millions of dollars have been embezzled by computer fraud. No systems are yet fool-proof, although designers are concentrating closely on security. Legal acceptance. It is not that the concept of e-commerce is totally without side effects. The very nature of the concept, that is revolutionary makes it difficult for the users to understand fully the various issues involved. There are several areas of security, safety against fraud etc., the concept of legal acceptance that are yet to be solved. Also since the internet knows no national boundaries, the concepts become more complex, since what is legal in one country may not be so in another. There is also the concepts of taxation and state controls that needs to be solved. All these issues will be taken up in some detail during the course of this topic.

How does the commerce and e-commerce are related.Concept of Commerce and E-Commerce: -Commerce is normally associated with the buying and selling of items. Commerce is one of the oldest activities of human beings and the concept of traders selling and buying items is a part of history. Markets are a common place where the buyers and sellers meet along with their products. Money is also an essential part of the market place. The concept of money, we have several concepts of banking, various methods of representing and transferring money like cheques, MOUs, Drafts etc. The key element of e-commerce is information processing. Every stage of commerce, except of route production of goods and their physical delivery can be automated. The tasks that can be automated include information gathering, processing, and manipulation and information distribution.

Explain the four layers of EDI architecture and list the benefits of EDI. a) The semantic (or application) layer b) The standards translation layer c) The packing (or transport) layer d) The physical network infrastructure layer. The EDT semantic layer describes the business application that is driving EDT. The Information seen at the EDT semantic layer must be translated from a company-specific form to a more generic or universal form so that it can be sent to various trading partners, who could be using a variety of software applications at their end. To facilitate the transfer of computer files between two trading partners requires that the computer applications of both sender and receiver use a compatible format for EDT document exchange. The EDT translation software converts the proprietary format into a standard mutually agreed on by the processing systems. When a company receives the document, their EDT translation software automatically changes the standard format into the proprietary format of their document processing software. The EDT transport layer corresponds closely with the non-electronic activity of sending a business form one company to another. The content and structure of the form are separated from the transport carrier. EDT documents are exchanged rapidly over electronic networks using the existing e-mail programs and infrastructure. Tandble Benefits of EDI: EDT can be a cost- and time-saving system, for many reasons. The automatic transfer of information from computer to computer reduces the need to rekey information and as such reduces costly errors to near zero. EDT transactions produce acknowledgments of receipt of data. Saving also accrues from the following improvements: Reduced paper-based systems: EDT can impact the effort and expense a company devotes to maintaining records, paper- related supplies, filing cabinets, or other storage systems and to the personnel required to maintain all of these systems. EDT can also reduce postage bills because of the amounts of paper that no longer need be sent. Improved problem resolution and customer service: EDT can minimize the time companies spend to identify and resolve inter-business problems. EDT can improve customer service by enabling the quick transfer of business documents and a marked decrease in errors. Expanded customer/supplier base: Many large manufacturers and retailers with the necessary clout are ordering their suppliers to institute an EDT program. However, these are isolated islands of productivity because they are unable to build bridges to other companies. With the advent of electronic commerce, the bridge is now available.

Explain the legal and security aspects of EDISince in the case of EDT, we are dealing with trade between countries and company, issues of legal admissibility and computer security are paramount. However, careful assessment of the trade-offs must be part of this process and should satisfy legal requirements. 1)Legal status of EDI Messages: There has been considerable debate concerning the legal status of EDT messages and electronic messages in general. No rules exist that indicate how electronic messages may be considered binding in business or other related transactions. The establishment of such a framework is essential if EDT is to become widespread. 2)Digital Signatures and EDI: If digital signatures are to replace handwritten signatures, they must have the same legal status as handwritten signatures. The digital signature provides a means for a third party to verify that the notarized object is authentic. Digital signatures should have greater legal authority than handwritten signatures. If the contract was signed by digital signatures, however, a third party can verify that not one byte of the contract has been altered.

Name three broad phases of consumers perspective and give categories of consumers. 1) Pre-purchase Preparative: The pre-purchase preparation phase includes search and discovery for a set of products in the larger information space capable of meeting customer requirements and products selection from the smaller set of products based on attribute comparison. 2) Purchase Consummation: The purchase consummation phase includes mercantile protocols that specify the flow of information and documents associated with purchasing and negotiation with purchasing and negotiation with merchants for suitable terms, such as price, availability, and delivery dates; and electronic payment mechanisms that integrate payment into the purchasing process. 3) Post-purchase interaction: The post-purchase interaction phase includes customer service and support to address customer complaints, product returns, and product defects. Purchase deliberation is defined as the elapsed time between a consumers first thinking about buying and the actual purchase Pre-purchase Preparative: Purchase deliberation is defined as the elapsed time between a consumers first thinking about buying and the actual purchase itself. Information search should constitute the major part of the duration, but comparison of alternatives and price negotiation would be included in the continually evolving information search and deliberation process. Customer can be categorized into three types: 1. Impulsive buyers: - Who purchase products quickly. 2. Patient buyers: -Who purchase products after making some comparisons. 3. Analytical buyers: - Who do large research before making the decision to purchase products or services. Marketing researchers have isolated several types of purchasing: Specifically planned purchases. The need was recognized on entering the store and the shopper bought the exact item planned. Generally planned purchases. The need was recognized, but the shopper decided in-store on the actual manufacturer of the item to satisfy the need. Reminder purchases. The shopper was reminded of the need by some store influence. This shopper is influenced by in-store advertisements and can substitute products readily. Entirely unplanned purchases. The need was not recognized entering the store like gift items. Purchase Consummation: After identifying the products to be purchased, the buyer and seller must interact in some way to actually carry out the mercantile transaction. A mercantile transaction is defined as the exchange of information between the buyer and seller followed by the necessary payment. There may be many variants of this protocol, the basic flow remains the same; they are listed below: 1. Buyer contacts vendor to purchase product or service. 2. Vendor states price. 3. Buyer and vendor may or may not engage in negotiation. 4. If satisfied, buyer authorizes payment to the vendor with an encrypted transaction containing a digital signature for the agreed price. 5.Vendor contacts his or her billing service to verify the encrypted authorization for authentication. 6. Billing service decrypts authorization and checks buyers account balance or credit and puts a hold on the amount of transfer. 7. Billing service gives the vendor the green light to deliver product and sends a standardized message giving details of transaction. 8. On notification of adequate funds to cover financial transaction, vendor delivers the goods to buyer or in the case of information purchase provides a crypto key to unlock the file. 9. On receiving the goods, the buyer signs and delivers receipt. Vendor then tells billing service to complete the transaction. 10. At the end of the billing cycle, buyer receives a list of transactions. Buyer can then either deny certain transactions or complain about over billing. Suitable audit or customer service actions are then initiated depending on the payment scheme. Post-purchase Interaction: Returns and claims are an important part of the purchasing process that impact administrative costs, scrap and transportation expenses, and customer relations. Other complex customer service challenges arise in customized retailing that we have not fully understood or resolved: Inventory issues: To serve the customer properly, a company should inform a customer right away when an item ordered is sold out-not with a rain check or back-order notice several days later. On the other hand, if the item is in stock, a company must be able to assign that piece to the customer immediately and remove it from available inventory. Database access and compatibility issues: Unless the customer can instantly access all the computers of all the direct-response vendors likely to advertise on the Information Superhighway on a realtime basis, with compatible software he or she is not likely to get the kind of service that customers normally get. Customer service issues: Customers often have questions about the product (color, size, shipment), want expedited delivery, or have one of a myriad of other things in mind that can be resolved only by talking to an order entry operator.

What are security strategies and list the security tools. There is basic security strategies that can be utilized to combat the threats discussed so for: access to control, integrity, confidentiality, and authentication Secure Transport Stacks (Secure Transport Protocol): The internet uses the transport control protocol / Internet protocol (TCP/IP) as the primary network protocol engine. Each TP packet contains the data that is to be sent to some endpoint destination. The IP packet consists of a 32 bit source and destination address optional bit flags, a header checksum, and the data itself. There is guarantee at the network layer that the IP protocol data units will be received, and even if they are received, they may not be received in any particular order. We cannot solely rely on the source address to validate the identity of the user who sent the packet. TCP provided retransmission of lost or corrupted protocol data units into their original order of transmission. Each packet contains a sequence number which is what TCP uses to sort the protocol data units. The acknowledgement number is the sequence number of the last packet transmitted. The two most prominent secure transmission protocols for secure Web communication are: Secure Sockets Layer: SSL is an encrypted communication protocol that we use to implement security by switching a website into the secure mode. SSL prevents transactions between a company and its customers from packet-sniffing attacks. The protocol allows client/server applications to communicate in a way that data transmissions cannot be altered. The strength of SSL is that it is application- independent. HTTP, telnet, and FTP can be placed on top of SSL transparently. SSL provides channel security through encryption and reliability through a message integrity check. SSL uses three-part process. First, information is encrypted to prevent unauthorized disclosure. Second, the information is authenticated to make sure that the information is being sent and received by the correct party. Finally, SSL provides message integrity to prevent the information from being altered during interchanges between the source and sink. SSL depends on RSA encryption for exchange of the session key and client/server authentication and for various other cryntographic algorithms. The length of key can vary between 40 to 1024 bits. The information is sent to the company, which then uses a private key to decrypt the information. The process is transparent to customers; hence it is easy to use: the shoppers enter their credit card numbers, SSL encrypts them and sends the encrypted files to the merchant; the transmission proceeds as soon as SSL decrypts the files. Secure HTTP (S-HTTP: S-HTTP sets up security details with special packet headers that are exchanged in S-HTTP. The headers define the type of security techniques, including the use of private-key encryption, server authentication, client authentication, and message integrity. A secure envelope encapsulates a message and provides secrecy, integrity, and client/server authentication. S-HTTP provides a number of security features. These include: Client and server authentication Spontaneous encryption

What are the approaches for enterprise level security. A firewall is a security mechanism that allows users with special rights to access a protected network. Illegal users are denied access to the protected websites on the Internet. It is important to note that a firewall can only prevent the corporate data against user threats, but it cannot protect against viruses. Firewalls are mainly used to protect sites that involve financial transactions. A selection basis is applied while granting access to external users. The selection procedure is based on the user name and password, Internet Protocol (IP) address, or domain name. For example, a vendor could permit entry to its website through the firewall only to those users with specific domain names belonging to customer companies. Firewalls are classified into three main categories: 1. Packet filters: Packet filtering at the network layer can be use as a first defense. Basic filtering comes as part of most routers software. Each packet is either forwarded or dropped based on its source address destination address, or a defined (TCP) port. Configuring a filter involves some determination of what services/ addresses should and should not be permitted to access the network or server.2. Application level gateways: An application-level gateway provides a mechanismfor filtering traffic for various applications. The administrator defines and implements code specific to applications or services used by the users site. Services or users that can compromise the network security can then e restricted. To counter some weaknesses associated with packet filtering routers, firewalls utilize software applications to forward and filter connections for services such as Telnet, FTP, and HTTP. 3. Proxy servers: A proxy server terminates a users connection (by application) and sets up a new connection to the ultimate destination on behalf of the user, proxying for the user. A user connects with a port on the proxy; the connection is routed through the gateway to a destination port, which is routed to the destination address.

B5

Name any four issues addressed in a e- payment system? Despite cost and efficiency gains, many hurdles remain to the spread of electronic payment systems. These include several factors, many non-technical in nature that must be addressed before any new payment method can be successful. Privacy: A user expects to trust in a secure system Security: A secure system verifies the identity of two-party transaction through user authentication and reserves flexibility to restrict information / service through access control. Intuitive interface: The payment interface must be as easy to use as a telephone. Generally speaking, users value convenience more than anything. Database integration: With home banking, for example, a customer wants to play with all his accounts. To date, separate accounts have been stored on separate databases. Brokers: A network banker someone to broker goods and services, settle conflicts, and facilitate financial transactions electronically must be in place. Pricing: One fundamental issue is how to price payment system services. Standard: Without standards, the welding of different payment users into different networks and different systems is impossible. Standards enable interoperability, giving users the ability to buy and receive information, regardless of which bank is managing their money. None of these hurdles are intractable. The biggest question concerns how customers will take to a paperless and (if not cashless) less-cash world.

Explain any four components of EDI implementation. EDT implementation starts with an agreement between a company and its trading partner. The data moves without much interference to the trading partners application, with no additional steps to slow the process. Both parties exchange message based on a structured format each type of message; a standard format has been agreed on by the exchanging parties. The basic kit necessary for EDT implementation are: Common EDT standards dictate syntax and standardize on the business language. EDT standards basically specify transaction sets complete sets of business documents. Translation software sends messages between trading partners, integrates data into and from existing computer applications, and translates among EDT message standards. Trading partners are a firms customers and suppliers with whom business is conducted. Banks facilitate payment and remittance. EDT Value -Added Network services (VANs). A VAN is a third-party service provider that manages data communications networks for businesses that exchange electronic data with other businesses. Proprietary hardware and networking if it is a hub company. Hubs, also called sponsors, are large companies, very active in EDT, that facilitate their business partners use of EDT. An important feature of EDT is that software evaluates and processes structured messages. The information system then proceeds to act upon the message.

How does the commerce and e-commerce are related.Concept of Commerce and E-Commerce: -Commerce is normally associated with the buying and selling of items. Commerce is one of the oldest activities of human beings and the concept of traders selling and buying items is a part of history. Markets are a common place where the buyers and sellers meet along with their products. Money is also an essential part of the market place. The concept of money, we have several concepts of banking, various methods of representing and transferring money like cheques, MOUs, Drafts etc. The key element of e-commerce is information processing. Every stage of commerce, except of route production of goods and their physical delivery can be automated. The tasks that can be automated include information gathering, processing, and manipulation and information distribution.

What is meant by integrity of data ? Explain the encryption Algorithm on which SSL depends. Data integrity is data that has a complete or whole structure. All characteristics of the data including business rules, rules for how pieces of data relate, dates, definitions and lineage must be correct for data to be complete. Per the discipline of data architecture, when functions are performed on the data the functions must ensure integrity. Examples of functions are transforming the data, storing the history, storing the definitions (Metadata) and storing the lineage of the data as it moves from one place to another. The most important aspect of data integrity per the data architecture discipline is to expose the data, the functions and the datas characteristics. Data that has integrity is identically maintained during any operation (such as transfer, storage or retrieval). Put simply in business terms, data integrity is the assurance that data is consistent, certified and can be reconciled. In terms of a database data integrity refers to the process of ensuring that a database remains an accurate reflection of the universe of discourse it is modelling or representing. In other words there is a close correspondence between the facts stored in the database and the real world it models A Web server that utilizes security protocols like SSL to encrypt and decrypt data, messages, and online payment gateways to accept credit cards, to protect them against fraud, false identification, or third party tampering. Purchasing from a secure Web server ensures that a users credit card information, or personal information can be encrypted with a secret code that is difficult to break. Popular security protocols include SSL, SHTTP, SSH2, SFTP, PCT, and IPSec.

List advantages and disadvantages of internet. Tnternet is probably one of the greatest inventions of the century. Before we have to go to the library to do our research work but now, all we have to do is go to Google and do our research. We can do many things with the internet: we can shop from eBay , chat with your friends in Facebook or Skype , watch videos in YouTube, earn money from blogging, and many more! Internet is really useful and has a lot of advantages, but there are also some disadvantages of using it. Check out this list of advantages and disadvantages of the internet: Advantages- Communication : The foremost target of internet has always been the communication. And internet has excelled beyond the expectations . Still; innovations are going on to make it faster, more reliable. By the advent of computers Internet, our earth has reduced and has attained the form of a global village. Now we can communicate in a fraction of second with a person who is sitting in the other part of the world. Today for better communication, we can avail the facilities of e-mail; we can chat for hours with our loved ones. There are plenty messenger services in offering. With help of such services, it has become very easy to establish a kind of global friendship where you can share your thoughts, can explore other cultures of different ethnicity. Information: Information is probably the biggest advantage internet is offering. The Internet is a virtual treasure trove of information. Any kind of information on any topic under the sun is available on the Internet. The search engines like Google, yahoo is at your service on the Internet. You can almost find any type of data on almost any kind of subj ect that you are looking for. There is a huge amount of information available on the internet for just about every subj ect known to man, ranging from government law and services, trade fairs and conferences, market information, new ideas and technical support, the list is end less. Students and children are among the top users who surf the Internet for research. Today, it is almost required that students should use the Internet for research for the purpose of gathering resources. Teachers have started giving assignments that require research on the Internet. Almost every coming day, researches on medical issues become much easier to locate. Numerous web sites available on the net are offering loads of information for people to research diseases and talk to doctors online at sites such as, Americas Doctor. During 1998 over 20 million people reported going online to retrieve health information. Entertainment: Entertainment is another popular raison dtre why many people prefer to surf the Internet. In fact, media of internet has become quite successful in trapping multifaceted entertainment factor. Downloading games, visiting chat rooms or just surfing the Web are some of the uses people have discovered. There are numerous games that may be downloaded from the Internet for free. The industry of online gaming has tasted dramatic and phenomenal attention by game lovers. Chat rooms are popular because users can meet new and interesting people. In fact, the Internet has been successfully used by people to find life long partners. When people surf the Web, there are numerous things that can be found. Music, hobbies, news and more can be found and shared on the Internet. Services: Many services are now provided on the internet such as online banking, job seeking, purchasing tickets for your favorite movies, guidance services on array of topics engulfing the every aspect of life, and hotel reservations. Often these services are not available off-line and can cost you more. E-Commerce: Ecommerce is the concept used for any type of commercial maneuvering, or business deals that involves the transfer of information across the globe via Internet. It has become a phenomenon associated with any kind of shopping, almost anything. You name it an Ecommerce with its giant tentacles engulfing every single product and service will make you available at your door steps. It has got a real amazing and wide range of products from household needs, technology to entertainment.

Disadvantages Theft of Personal information If you use the Internet, you may be facing grave danger as your personal information such as name, address, credit card number etc. can be accessed by other culprits to make your problems worse. Spamming: Spamming refers to sending unwanted e-mails in bulk, which provide no purpose and needlessly obstruct the entire system. Such illegal activities can be very frustrating for you, and so instead of just ignoring it, you should make an effort to try and stop these activities so that using the Internet can become that much safer. Virus threat: Virus is nothing but a program which disrupts the normal functioning of your computer systems. Computers attached to internet are more prone to virus attacks and they can end up into crashing your whole hard disk, causing you considerable headache. Pornography: This is perhaps the biggest threat related to your childrens healthy mental life. A very serious issue concerning the Internet. There are thousands of pornographic sites on the Internet that can be easily found and can be a detrimental factor to letting children use the Internet. In short answer The advantages of using internet communication are that * can callibrate easily with people * its easy to access with just one click * we have the ability to link to peapole and places immediately The disadvantages of using Internet communication are that * not everyone have the access to the Internet * it requires a specialist staff The disadvantages of using the Internet in general are * young children have access to porn * anyone can easily access instructions on making bombs, guns, silencers, or other dangerous materials. *anyone can find information on committing an almost untraceable murder *anyone can find anything, no matter how illegal

List the six layers of E-Commerce architecture and what are the four types of Purchases. The electronic commerce application architecture consists of six layers of functionality or services: (1) Applications Services: The application services layer of e-commerce will be comprised of existing and hope applications built on the native architecture. Three district classes of electronic commerce applications can be famous: a) Customer-to- business: Customers learn about products differently through electronic publishing, buy them using electronic cash and secure payment systems, and have them delivered differently. b) Business-to-business: Businesses, governments, and other organizations depend on computer-to-computer communication as a fast, an economical, and a reliable way to conduct business transactions. Small companies are also beginning to see the benefits of adopting the similar methods. c) Intra-oranization: A Company becomes market driven by dispersing throughout the firm information about its customers and competitors. To maintain the relationships that are critical to delivering superior customer value, management must pay close attention to service, both before and after sales. (2) Brokerage services, data or transaction management: The information brokerage and management layer provides service integration through the concept of information brokerages, the development of which is necessitated by the increasing information resource fragmentation. The concept of information brokerage to represent an intermediary who provides service integration between customers and information providers, given some constraint such as a low price, fast service, or profit maximization for a client. In foreign exchange trading, information is retrieved about the latest currency exchange rates in order to hedge currency holdings to minimize risk and maximize profit. The brokerage function is the support for data management and traditional transaction services. Brokerages may provide tools to accomplish more sophisticated, time- delayed updates or future- compensating transactions. (3) Interface and support layers: Interface and support services, will provide interfaces for electronic commerce applications such as interactive catalogs and will support directory services job needed for information search and access. Interactive catalogs are the modified interface to consumer applications such as home shopping. An interactive catalog is an extension of the paper-based catalog and incorporates additional features. The primary difference between the two is that unlike interactive catalogs, which deal with people, directory