INTERNET SECURITY

The Effect Of Internet Security On The Global Economy

Abstract

Internet security is the process of managing online financial transactions by individuals and companies. This includes business-to-business (B2B), business-to-consumer (B2C) and business-to-government (B2G) transactions. The focus of internet security is on the systems and procedures whereby financial documents and information of all types are exchanged. This includes online credit card transactions, e-cash, e-billing, e-cheques, electronic invoices, purchase order and financial statements. Internet security is particularly concerned with the technologies that enable EDI-type functionality on the Internet.

The Effect of Internet Security on the Global Economy

Introduction

To be done an internationally agreed working definition of internet security it was accepted the need for three dimensions to be spelt out as part of the definition process. These dimensions relate to the: Networks over which the relevant activities are carried out; Processes that ought to be included within the general domain of electronic commerce; and Actors involved in the transactions. Networks are specified through broad and narrow definitions.

The broad definition considers an electronic transaction to be the sale or purchase of goods or services, whether between businesses, households, individuals, Governments, and other public or private organizations, conducted over computer - mediated networks. The goods and services are ordered over those networks, but the payment and the ultimate delivery of the good or service may be conducted on- or offline.

The narrow definition considers an Internet transaction to be the sale or purchase of goods or services, whether between businesses, households, individuals, Governments, and other public or private organizations, conducted over the Internet. The goods and services are ordered over the Internet, but the payment and the ultimate delivery of the good or service may be conducted on-or offline.

Concerning the processes that ought to be included many countries want to restrict the definition to the purchasing and selling aspect incorporated in the above definitions, many others want to include other types of business processes, such as marketing and advertising. Developing countries will also favour a definition that includes business activities that go beyond purchasing and selling, given the restrictions that some of those countries face in conducting online payments.

Background of the Study

Internet security is often described as being one of three varieties - business-to-business (B2B), business-to-consumer (B2C) or business-to-government (B2G).

Much of the interest and the literature has focused on B2B and B2C electronic commerce and most of the statistical indicators have also been in respect of these two forms. About 80 per cent of the total value of electronic commerce in the world today are accounted for by B2B internet security. It provides also the greatest potential benefits in terms of productivity gains. B2C internet security has the potential to substantially affect the way in which people live and interact with each other and is therefore a key aspect for statistical measurement. Only a small number of countries have so far undertaken much work with respect to the measurement of B2G internet security.

Internet security today is very much a business-to business ...