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Conceptual Design of an E-commerce System

Conceptual Design of an E-commerce System. Min Ding Smeal College of Business Administration Pennsylvania State University. Today’s Topics Major Design Issues to be considered for an E-Com site. Security Content Transaction Payment System Architecture and Available Tools.

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Conceptual Design of an E-commerce System

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  1. Conceptual Design of an E-commerce System Min Ding Smeal College of Business Administration Pennsylvania State University

  2. Today’s TopicsMajor Design Issues to be considered for an E-Com site • Security • Content • Transaction • Payment System • Architecture and Available Tools

  3. Security Issues in E-Commerce • System security • Communication security • Data security • Authentication and authorization

  4. Maintain Security Online • Security Socket Layer (SSL) • Secure HTTP (S-HTTP) SSL and S-HTTP could be implemented together (not mutually exclusive) • SHEN (similar to S-HTTP, avoid US export restrictions)

  5. Creating and Managing ContentContent Formats • Text • Lists • Images • Forms • Tables • Frames • Image Maps • Cascading Style Sheets (CSS) • …

  6. Creating and Managing ContentTools Available • Desktop Publishing Tools (WYSIWYG) • Database Connectors (used to define a language for writing page templates) • Authoring Environments (complete package)

  7. 3 Steps in Personalizing E-Commerce Site • Authentication and identity • User Profiles • User supplied information and browsing information • Storing profiles in browser cookie, database • Custom Content • Personal newspaper, custom catalog

  8. Transaction ProcessingFour essential characteristics (ACID) • Atomicity • Consistency • Isolation • Durability

  9. Types of money • Token • e.g., • Notational • e.g., • Most e-commerce systems today use notational money.

  10. E-Commerce Payment Systems • Token Based Payment Systems • Notational Based Payment Systems

  11. Electronic Cash • Trying to capture the characteristics of cash: • How does it work: • Deposit money with an e-cash provider; • Download digitally signed e-cash to your computer; • When you purchase, the e-cash will be upload to the merchant;

  12. Electronic Cash (continued) • An example: • Digicash  sold to eCash in 1999 • Potential Issues: • Double spending (easy to make copies of the e-cash)

  13. Smart Cards • Cards with a chip • Example: • PSU ID card (online?) • VISA cash (accessed via a terminal on the side of your computer)

  14. Electronic Check • Works exactly like regular checks; • Need a third party account server for each transaction; • Example: • NetCheque

  15. Online Credit Card Payment • Secure Transmission • Secure HTTP and Secure Sockets Layer (SSL) • Encryption and authentication • Secure Electronic Transaction (SET) • Developed jointly by VISA and MasterCard

  16. Handling Micropayments • Micropayments are small payments (relatively speaking) • e.g., 50 cents • Technical Solution – Software Systems: • Millicent (via a broker) • NetBill • Business Solution – Aggregation • Taxi meter approach • Parking meter approach

  17. E-Commerce System Architecture • Content Server • Transaction Server • Secure link between content server and transaction server

  18. Benefits of Modular Architecture • A small business (e.g., us) could develop the content server (relatively easier) and point to a transaction server to handle the transaction on a fee basis; • Easy to scale, upgrade; • Efficient (multiple divisions of a firm could use one transaction server).

  19. E-commerce Application Tools • License Model: • BroadVision (major player) • Vignette • Open Market’s LiveCommerce • iCat’s Electronic Commerce Suite • Open Source and Free License Model • OpenSales • ArsDigita

  20. Things to remember … • How security is handled; • Payment systems used in E-commerce; • Software needed to setup an e-commerce site is either free or could be bought.

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