Requirements for Electronic Payment System, Problems of Taxing E-Commerce, Purpose of Copyright Law - Assignment Example

University Student Id Course Date 1. 5. Explain the main requirements for a good electronic payment system. How do electronic wallets and credit card payments meet these key features? Identify and briefly describe the alternative forms of electronic payment that have emerged to support purchasing on the Internet. Which e-payment form(s) are likely to dominate as online retailing continues to grow? Why? The electronic payment system is usually used in transferring cash from a certain bank to another bank without any exchange of money by hand. The major requirements of a good payment system include; the direct debit whereby the account holder requests the bank to make to pay a certain amount of cash to another individual. Another requirement is the Electronic check which is the electronic transfer of cash from the bank account without having the check paper. Credit cards and electronic wallets payment meet the features of electronic payment system as they can enable online transactions. Both the electronic wallets and also the credit card payment always meet these requirements through the following ways; the credit card allows the payment of cash through online, while the electronic wallet stores the financial data thus facilitating the easy online transaction (Gary, 2011). Some of the alternative forms of the electronic payment which support the payment of both goods and services through the internet include net banking and PayPal. Net Banking is an electronic transaction of cash which does not involve any physical card. Net banking is usually used by the customers who their bank accounts are connected with internet banking. Importantly, the transactions which are conducted through the net banking tend to be much safe as compared to the usage of the credit cards. PayPal is the global electronic commerce which allows business transactions as well as the money transfers via the internet. The PayPal is the alternative form of electronic payment which is more likely to dominate the online training. The main reason for this is that it usually charges a fee which is proportionate to the amount of cash being received. The fees also depend on the method of payment and also the currency used in the transactions. 2. Discuss some of the problems of taxing e-commerce. Explain why the taxation of e-commerce raises governance and jurisdiction issues. Select two countries of your choice and discuss how these two countries have dealt with the problems you have identified. Some of the problems which are usually associated with the taxation of the electronic commerce include; there is a significant challenge in the compliance of the taxation system. Another problem is that the internet is mostly susceptible to the double taxation and also a taxation which is discriminative. For the case of the double taxation, it is quite difficult for the business people to evade since the borderless nature of the internet makes it be tricky. Another problem is that the electronic commerce is new and therefore makes it quite hard to predict how its basic business model would be in the future time. The taxation of the electronic commerce results into governance issues and also into jurisdiction issues because of the following reasons; first, there is no clear understanding about the collection of the sales tax and the purchase tax since it is a new way of taxation. The second reason is that the individual customers are in very rare cases audited by the taxation authorities, hence the majority of them usually escape the payment of the tax. The United States and Australia are among the countries that have tried to address the problems associated with the taxation of e-commerce. The National Governors Association which has been leading the Australia and the United States have made a revision on how the taxation system of the state government, as well as the local governments, should be collecting taxes on the transactions conducted through the electronic commerce (Gary, 2011). These two countries believe that a new model for the sales taxation should be implemented so as to benefit fully from the burgeoning economy of the internet. Moreover, the states have made a proposal for streamlined sales taxation system which uses technology since the current system of the sales tax is quite cumbersome. 3. 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. The main aim of the copyright law is not only to provide protection to the economic interests of both artists and also authors but also to promote the progression of various important art such as the creative works. The copyright law promotes this useful art through the provision of incentives to the creative society which include granting them exclusive rights in doing their work for a certain period. Moreover, the main element of an incentive is the provision of the owner with a copyrighted work through the exclusive rights which are usually exercised as per the terms of the copyright. However, providing exclusive rights to the creative workers do not mean that they are granted with monopoly power. The legal protection of the intellectual property is the best method of promoting the aspect of the innovation. This is because it lays a strong foundation for the innovative activities of an economy. In addition, the legal laws which protect the intellectual property also minimize the transaction cost thus increasing the productivity of a firm. It is through protection of the intellectual property that companies can become more innovative as other firms cannot imitate hence being motivated to continue being innovative. Pros and cons Some of the advantages that are usually associated with the copyright law include; through the provision of the property right by a state, in general for a certain period greatly motivates the creative workers to continue with their artwork. However, on the other hand, the disadvantages that are associated with the copyright law include; the legal rights always exclude other people from benefiting since it prohibits them from making use of the IP rights in various commercial activities. Some of the IP rights are; the utility models, the trade secrets and also the patents trademark. 4. Explain some of the economic justifications for granting copyright and protection to other types of intellectual property. In this context, explain what is the “Fair Use” doctrine in Australian Copyright Law, and how does it protect the interest of the public and the owners of copyright? Protection of the copyrights and intellectual property is economically justified because of its benefits to businesses that are innovative and creative. Some examples of the economic justifications under which the copyright can be granted include; the acceptance of compensation for the people who have incurred costs as well as risks in the creation of knowledge. Another economic justification is the establishment of a balance between the personal interests and the community interests through the provision of the incentives to the individuals to share their knowledge and also protect various secrets of their society. Moreover, the IP law usually accomplishes these goals by providing legal rights to the creative workers pertaining their creations. The main aim of the legal rights is to enable the private markets to allocate resources in the creation of knowledge properly. However, sometimes the legal rights are also known as the negative rights since they usually deter other individuals from taking certain actions. In the Australian copyright law, “fair use” doctrine entails the protection of copyrights of companies to ensure fair competition in the market. The copyright law defines the legal rights which are granted to the creative workers and also the artists within the framework of the Australian law. Moreover, from the year 2007, both the creative workers and the artists were granted the moral rights for recording their work. In addition, the Australian Copyright Law restricted the publication of the creative work of an author who has already died. However, the Australian legislation of the copyright law is usually based on Section 51 of its constitution (Gary, 2011). The copyright law is just similar to the federal law, and it is always implemented by the Australian parliament. In accordance with the history, the copyright law acted as per the international standards of the artistic works 2. Critically discuss some of the issues a government should consider and implement to promote global electronic commerce. There are various issues that government should put into consideration and implement in the process of promoting the global electronic commerce. However, the government has to ensure proper consideration of the factors affecting the global electronic commerce. Targeting the Online Audience: The global electronic commerce revolves around the establishment of a site and also designing how the site will target the audience who has a similar interest. Therefore, the government should put into consideration the implementation of the micro-target to reach the audience. Personalize electronic commerce: The government should consider the implementation of a personalized alternative of the electronic commerce since the majority of the business people demand the alternative which they have got experience in and also that is appropriate for satisfying their needs as well as their interests. Building stickiness: The global electronic commerce should have the crowd-sourced content to make the site more attractive to the potential buyers. Therefore, the government should implement various ways through which it can motivate a large number of customers to engage themselves in the electronic commerce (Gary, 2011). Integrating across channels: The government should put into consideration the establishment of multi-channel provisions, to enable the customers to experience the aspect of consistency in the electronic commerce. However, the products which are sold through different electronic channels in most cases differ in terms of the prices. Investing in Mobile Commerce: The government should consider the implementation of the mobile commerce since the mobile assets are common in all various parts of the world and also they are readily available because they are cheap. Therefore, to make the global electronic commerce to be more competitive, the mobile accessible services should be provided to the customers. Reference Gary P. Schneider. (2011). E-business. Cengage Learning. Read More