Problems solving for global e business

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  • Document type:
    Math Problem
  • Level:
    High School
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Section A

  1. Explain what the internet, intranet, and extranet are. Explain the similarities, the benefits of each and how does each reduces transactions cost?

The Internet is a worldwide computer network system that uses internet protocols suits as a way of connecting different devices including smartphones, and personal computers. The intranet is a local system composed of computers and devices connected to a private network within a single organization. The extranet is a private network system that allows outsiders access to an organization’s internal network. A similarity between these three network types is that they allow the sharing of information between different devices. Access to the intranet and extranet is often restricted with the internet being accessible to the public. Using the internet in commerce allows reduction of transaction cost due to reduced search, contracting and coordinating costs. The internet allows reduction of the costs incurred in searching for goods as well as determining who has the lowest prices in the market. Using the Internet in business operation allows easy and efficient sharing of information; therefore, reduced coordination costs. The intranet promotes efficient communication within an organization; therefore, reduce information transmission costs. The extranet promoted the reduction of information transmission costs by providing an inexpensive method for transmitting information to potential and current clients.

  1. What is the digital divide? Explain some of the factors which are likely to contribute to the digital divide in Australia and outline some of the measures taken by the Australian government to deal with this issue.

The digital divide is the gap that exists between individuals with access to the internet, and electronic technology and those without who cannot access such technologies. One of the factors likely to promote the digital divide in Australia is the level of education between different individuals. Highly educated households are more likely to use the internet and electronic technology. Lowly educated individuals are less likely to use electronic devices and the internet during their daily activities. The level of income is also another factor contributing to the digital divide. Households in high-income groups are likely to have home internet and a variety of electronic devices. People in low-income groups are less likely to have the internet; therefore, limited access to websites and other digital technologies. Age is also another factor leading to the digital divide in Australia. The younger generation is more exposed to electronic devices; therefore, have higher access than the elderly generation.

As a remedy for the situation, the Australian government has ensured the introduction of a technology and internet based curriculum to allow equal access to information even for children. Another strategy to help reduce the digital divide in Australia is the introduction of community access centers especially in remote rural areas to allow equal access to the internet and electronic devices. The government has also allowed the existence of several internet service providers; therefore, allowing increased access to te Internet by even people in low-income groups.

  1. What are the factors you will consider in designing an e-commerce website? What are the factors you will consider in designing a web page?

The process of developing an e-commerce website should involve a consideration of several factors including the site navigability, content to use among others. A site navigability has a direct impact on the number of customers using the site. When designing an e-commerce website, it is important to ensure that the site is easily navigable to ensure customers can locate items without much difficulty. The amount of time taken to load information on the website is also another important factor to consider when designing an e-commerce website. To ensure fast loading of information, one can make use of compression tools and plugins to ensure quick loading while at the same time maintain an aesthetic design. Since the internet allows connection of a variety of devices, it is important to consider the sites compatibility with different devices. The type of images to use in the website is also another important factor to consider when designing an e-commerce website. The types of images and texts used on a site also have an impact on the number of visitors as clearer images and creative images, allow increased interest in products.

When designing a web page, some of the factors to consider include the fonts to use, the graphics, the page response time as well as page navigability. The size and color of the font used on the web page are an important factor to consider during the design process. Web pages should involve the use of large fonts compatible with different devices. It I also important to consider the types of graphics to use on the web page. The backgrounds, shapes, and pictures used in a web page have an impact on the how fast the page loads. When determining images to use, one needs to use a format compatible with different devices.

  1. Identify the three points of vulnerability in a typical e-commerce transaction. Select one point of vulnerability and discuss at least three possible security threats which may arise at this point.

  2. What are the benefits to both the market-makers and consumers in an auction?

Section B

  1. What is intellectual property? What is the purpose of copyright law, and what are its basic tenets and protections? Is legal protection of intellectual property an appropriate way to promote innovation? Examine the pros and cons.

  2. Describe the major issues surrounding the decisions to build and/or host your e-commerce Web site or to outsource some aspects of site development. Include the advantages and disadvantages of each decision.

  3. A variety of electronic payment forms has been developed in the past few years. (a) Identify and briefly describe the alternative forms of electronic payment that have emerged to support purchasing on the Internet. (b) Which e-payment form(s) are likely to dominate as online retailing continues to grow? Why?