1. 3.3 Internet Services

2. Overview Demonstrate knowledge and understanding of the following internet services and describe the advantages and disadvantages to both the customer and the vendor: – shopping (including the identification and use of secure retail websites and encryption measures) – banking

3. Online Shopping Advantages to the customer Can shop from the comfort of their own home Can track orders Sometimes more variety available than in a shop Comparison of prices A wide variety of information available on the product Can shop 24/7 Can visit virtual shops Disadvantages to the customer Too much choice now available Unsure of the reliability of information Unsure of quality until delivery Could be hidden postal etc. costs Worry about stealing credit card details Need a credit/debit card A variety of currencies Possibility of hacking into credit card details

4. Online Shopping Advantages to the seller Wider customer base Less overheads in terms of storage space for goods or business premises, staffing Competitive marketing Better communication with the customer Cheaper marketing Disadvantages to the seller Foreign language barriers Worldwide distribution Updating web site Various foreign currencies No personal contact with customer Needs monetary security measures in place

5. Online Banking Advantages to the customer 24/7 banking Can process transactions from comfort of own house Itemised statements as required Transfer of money between accounts Can only be done on computer systems chosen by the customer Immediate stopping of bank cards Disadvantages to the customer Bank charges Not all transactions such as withdrawing cash can be carried out Credit card details theft Can only be carried out on specified computers - those with the ‘key’ installed

6. Online Banking Advantages to the bank Less overheads in terms of staff Customers can only work with the money showing in their account Customers can manage their own accounts Transactions are processed immediately Disadvantages to the bank Less control of the customers’ transactions

7. How to identify a secure website Padlock symbol at the bottom of most browsers https displayed in the address bar Verisign

8. Methods of securing a website Use an Internet protocol called Secure Socket Layers (SSL) Encryption Use the protocol Secure Electronic Transaction (SET) which uses digital signatures Passwords

9. A unique user name which allows the user access to specified files.

10. Digital signature An electronic identification method that confirms that the user is who he/she says he/she is. Issued by a company to the customer.

11. Encryption A mathematical process which uses formula to scramble data. At the receiving end the user needs the decrypting key to unscramble the data.

12. Acronyms SET Secure Electronic Transaction SSLSecure Socket Layer https Hypertext Protocol Secure