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| Enhancing Business Activities Essay

The introduction of the internet and personal computers has continued to enhance business activities and especially financial transactions across the globe. With this in mind, there is an increasing number of online communities that is concerned or rather involved in online transactions. In essence, different sectors of the economy have ventured into business using the internet as a tool of financial communication. For this purpose, Sporting Publication, an online cricket magazine has an opportunity to venture into online trading as a way of dealing with financial transaction from its |er across the United States and the globe in general. However, it is important for Sporting Publication management to understand that there are three major risks that could be posed to the security of the subscribers’ details held online by the third party finance organization. These include fraud and hackers.


Fraud remains as one of the greatest challenges in regard to online trading especially when the issues of financial trading are held or rather provided by a third party financial organization. In this respect, it is important for one to understand that whenever a third part financial organization is contracted to provide financial services that involves online trading, one would be passing on the ability to control the financial data that belongs to their clients to this organization. With this in mind, if there are no appropriate measures in place, most of these |ers would be at risk of being defrauded. There are different ways under which these |ers could be defrauded (Tipton & Krause, 2007).

To begin with, since buying of the E-Zine would involve submission of a client’s financial information that regard their credit cards, this information could easily be used by people in these organization to buy their own products without prior permission from these clients. This can occur in cases whereby the third party financial organization has no appropriate security measures in place to ensure that the clients’ details are secure.

There are different ways that this could be dealt with. First, Sporting Publication has a responsibility of ensuring that the third party financial organization has met all the requirements that pertains to the security standards that need to be maintained in order to guarantee that the |ers’ detail will not land in unsafe hand thus face the risk of fraud. In addition, there is need to develop an appropriate code of conduct that will be followed by the employees and the management of these companies that deters the use of clients’ information for purposes other than what was intended by the |er. More important is the fact that an organization’s reputation would play a key role helping Sporting Publication to select an appropriate financial organization (Tipton & Krause, 2007).

System Breakdown

Another threat that could be posed to the security of the subscribers’ details held online by the third party finance organization may result from that the fact that the system that is used to store the information of subscriber may crash due to information overload. If this happens, there is a possibility of losing all the data that had earlier on been entered by |er while at the same time interfering completely with their orders (Tipton & Krause, 2007). For instance, when a client has ordered the Sporting Magazine, he or she may fail to get this Magazine due to the fact that there is a system crash that leads to loss of track of the flow of information.

On the other hand, |ers may be forced to subscribe a second time as a result of the fact that their initial information has been tampered with after the breakdown. Some system crash may result in swapping of information leading to wrong completion of orders. In such a case, a client may receive goods that he or she may not have order. Similarly, this may lead to slow processing of clients’ orders.

There are various security measures that could be put in place to deal with such problem. As a result of the fact that Sporting Magazine deals with a wide array of clients, it is necessary for them to focus on creating a system that is crash-proof. Theoretically, this is possible. However, it is impossible to create such a system practically due to the fact that no one can foretell the kind of risk that he or she would face in future. One can only speculate. Therefore, to deal with such a challenge there is need to develop a backup system that would be housed in a different location to assist or rather activated in case of a breakdown of the mother system. This would protect clients from losing important information in regard to their subscription while at the same time creating room for processing of their orders in a timely manner (Tipton & Krause, 2007).


Hackers also continue to pose a major challenge to internet user and online financial providers. In this respect, there are many systems that belong to businesses and organization that have been accessed illegally by hackers. Following this point, an authorization of a third party financial organization to provide service to Sporting Publications magazine would mean that they have to examine the ability to hack the system of the financial provider. Notably, most hackers have been found to focus on accessing personal information of clients from a particular company. This information can then be used for fraudulent and other illegal activities. It is important for Sporting Publications to understand that hackers can access personal information of their clients and thus violate their privacy requirements (Tipton & Krause, 2007).

With this in mind, there are security standards that need to be put in place to ensure that hackers are unable to access these systems and thus access personal information and data of Sporting Publications’ clients. To begin with, basic security measures include the installation of appropriate and reliable antivirus that would lock out every form of malwares, worms and viruses that tries to access the data that is store in these systems. Remarkably, some hackers have been known to use viruses, worms and malwares to access information that is stored in high security systems (Tipton & Krause, 2007). In line with this, it is important for Sporting Publications to understand the security measures of their third party financial providers.

On the other hand, client information could be encrypted into forms that cannot be read by hackers. With this in place, when hackers have accessed this information, it would be obsolete in their possession thus protecting the clients’ privacy. In addition, there is need for timely and frequent upgrade of the information systems that have been put in place. In line with this, hackers have it easier to hack older systems than newer systems due to security protocols that are integrated in newer systems.


It is important to note that any security breach that leads to violation of privacy of the clients in regard to their personal data could be detrimental to Sporting Publications. To begin with, such violations could easily attract the implementation of the law against Sporting Publication whereby clients sue this magazine for violation of their privacy by failing to maintain privacy standards (Tipton & Krause, 2007). This could attract a huge fine paid to compensate these clients. On the other hand, the government can easily chip in and close down Sporting Publications leading to a total loss of |ers.

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