Based in the UK, Calco Communications is a mobile phone selling company. The company
has plans to begin using the Internet to further achieve its business goals. Included in these
goals are plans for creating a corporate Internet marketing presence, including an online
catalogue. The company also wants to use the Internet to transmit sensitive information from
remote sites to the corporate office. Eventually, the company wants to allow customers to use
their website for direct online purchasing. You should consider potential security risks for
these activities and what security measures the company should use to minimise these risks.
The goals of this increased Internet presence are as follows:
• Promote corporate image and presence as part of an overall marketing campaign.
• Provide an online product catalogue for customers and sales staff.
• Improve customer service.
The company decides to purchase and use a firewall product to provide network level
protection. The firewall will shield their internal network from many potential Internet-related
risks. As the company develops more advanced public applications (such as an e-commerce
website or extranet access), your input toward advanced security measures would be vital.
The management want to know how e-commerce and e-business technologies could be used
to improve the company’s operations alongside sales-growth. You need to produce a report
on the new e-business project to help the Board of Directors make a decision on this project.
Additionally, you have to present a proposed website template of the company to the Board of
Directors. Discuss the environment in which e-business is conducted and describe various
e-business transaction types. (AC1.1)
Guidance: In this question, you are expected to describe the environment in
which ‘Calco Communications’ should conduct its e-business and give examples
of at least two business transaction types that you are familiar with.
b) Explain the benefits and barriers to a business considering its online presence.
(AC1.2)
Guidance: You have been asked to explain the benefits and barriers faced by
‘Calco Communications’. Your answer will be more effective if you can outline
and discuss the possible benefits and challenges likely to be faced by the
company.
c) Assess the security and legislative issues facing the online business of ‘Calco
Communications’. (AC1.3)
Guidance: In this question, you are expected to write what can be expected
during online transactions and how legislations and various security measures
attempt to minimise risks.
d) State different modes of communication available to an e-business and their
applications. (AC1.4)
Guidance: Your answer to this question should identify different ways that can
be used by ‘Calco Communications’ to communicate with customers, staff and
other stakeholders, when carrying out a business online. Your answer may
include examples such as the role of shopping carts, FAQs and email etc. while
making e-business and e-commerce transactions
