Implementing Digital Signature Technology - Essay Example

The business sector is by no means an exemption from internet mania. Since, with time, the online business is turning out to be an exhortation. The online business means that people can purchase and pay from home and even while sitting in their bedroom through an internet-equipped PC or laptop. The global wave of information technologies (ITs) development and implementation has turned out to be a driving force in approximately every part of the human job. In this scenario, the internet that is a main element of this global wave has been transformed into a double-edged weapon providing a lot of opportunities, facilities, tools, and capabilities to individuals and corporations, on the other hand as well bringing with it a considerably increased information security and privacy risks (Salifu, 2008). As electronic methods of business expand rapidly throughout the world, security and integrity concerns turn out to be sensitive. Moreover, at present, customer satisfaction and trust in Internet transactions and the security measures implemented by online businesses are considered to be insignificant and perhaps the main limit in the acceptance of Internet business practices (Dandapani, 2008).

Electronic commerce or e-commerce refers to conducting both internal and external business activities over the Internet, intranets, and extranets. In addition, e-commerce consists of the selling and buying of services, products, and goods, the transfer of funds, and the simplification of everyday business activities through communications. Since e-commerce encompasses so many critical activities, thus customers’ and venders’ trust is a critical factor of successful e-commerce (Lumsden & MacKay, 2006; Whitten et al., 2000, p.23; Laudon & Laudon, 1999, p.25). Convenience and simplicity are the key reasons why more and more people like to adopt and use e-commerce and avoid traditional business practices. Since, the use of the Internet is growing in the USA, rapidly. Thus, organizations also like to present the option of online business for the reason that they can save on service costs. On the other hand, throughout the attractiveness of e-commerce or internet business, almost 2 million U.S. citizens experienced deceptive business activities in 2004. And this figure further rose in the next years. Furthermore, several market researchers outlined that the ratio of frauds is increasing in Internet banking (Spam Laws, 2009). Thus, there was a need to develop some security measures to avoid internet fraud and digital signature is one of the best tools to help provide information privacy.

The vendors and customers equally understand the value, handiness, usefulness, and low expenditure of carrying out business activities over the Internet. Additionally, e-commerce is rapidly improving or substituting other ways of usual business activities in both business-to-consumer and business-to-business transactions and communications. By using the facilities of e-commerce, individuals and corporations can buy office supplies, airline tickets, and sports memorabilia devoid of human communication. In addition, the customer frequently takes delivery of the ordered products within 24 hours. Thus, with the development of technology, the sheer amount of such business dealings as well augments radically. Moreover, up till now, U.S. e-commerce has reached up to $5 trillion this year. Also, corporations and individuals, whether playing the role of the purchaser, vendor, or any other associated role, require protecting their interests (e.g. data and information) in these electronic commerce communications. In this scenario, customary agreement law undoubtedly offered the measures that were essential to designate a written agreement and to implement its conditions. However, the emergence of the technology (e-commerce) has created a lot of lawful challenges about when an electronic signature is fulfilled the customers need to “sign on the dotted line” to stand for the reception of the agreement conditions. President Clinton signed the electronic signatures in the Global and National Commerce Act (E-Sign) on 30 June 2000. Thus, the e-sign offers electronic signatures the equal official rank as signatures and contracts written on paper that an agreement cannot be canceled for the reason that the signatures were sent electronically. Moreover, the e-sign also defends customers in opposition to some of the risks of electronic commerce (Edward H. Freeman, 2004; Downing, 2001).