ITEC321: Information Systems Strategy and Management Report

This report analyzes a case study involving a small business, 'Colin and John,' facing challenges due to increased demand and outdated IT systems. The report identifies issues such as difficulties in managing pricing, product details, customer communication, and time-consuming business functions. The core of the report focuses on proposing an e-commerce information system as a solution, emphasizing its benefits in terms of broader audience reach, efficient communication, cost-effectiveness, and enhanced services. Furthermore, the report delves into the ethical considerations of managing e-commerce, covering consumer privacy, information security, e-commerce trust, intellectual property, and global social responsibility. It highlights the importance of establishing a strong reputation, maintaining data security, protecting intellectual property rights, and considering the environmental impact of information technology. The report references several academic sources to support its arguments and recommendations.

Running head: INFORMATION SYSTEMS STRATEGY AND MANAGEMENT
Information Systems Strategy and Management
Name of the Student
Name of the University
Author Note

1INFORMATION SYSTEMS STRATEGY AND MANAGEMENT
Table of Contents
Case Study: Identification of Issues...........................................................................................2
Approach for Ethically Managing the E-Commerce Information Systems...............................3
 Consumer Privacy...........................................................................................................3
 Information Security.......................................................................................................3
 E-commerce Trust...........................................................................................................3
 Intellectual Property........................................................................................................4
References..................................................................................................................................5

2INFORMATION SYSTEMS STRATEGY AND MANAGEMENT
Case Study: Identification of Issues
Two Australian graduates run the business ‘Colin and John’ that deals with preparing
and supplying pre-packed home supplies. As the demand for home supplies has grown year
by year, so it is getting difficult for both of them to run their business operations smoothly
with their existing computer and the software. Some of the issues that are facing due to this
are as follows:
 Both of them are getting difficulty in managing the pricing information, as it was easy
earlier but facing problem due to the increase in demand.
 The growing product also increases the responsibility to maintain the details of the
home supplies.
 It gets difficult for them to communicate with their customers for requesting their
products from other regions as well as and few suppliers delivered from overseas.
 The business functions seem to be time-consuming with the existing PC and software.
 Apart from these issues, the company has recently lost some of its clients due to the
entrance of its competitors in the market.
The above issues can be solved by installing an advanced or e-commerce information
system into its business. It allows them to run an E-business that includes developing
different sites (Gorla, Chiravuri and Chinta 2017). E-commerce can help them to connect
with a broader audience that benefits them in easy communication, cost efficiency, faster
information, and enhanced services. The business can take the initiative to run its business
ethically, including global social responsibility work to maintain its good position in the
current market scenario.

3INFORMATION SYSTEMS STRATEGY AND MANAGEMENT
Approach for Ethically Managing the E-Commerce Information Systems
Doing business within an e-commerce system is likely to face several ethical
challenges that can cope up with considering the necessary approach for managing it
effectively and efficiently.
 Consumer Privacy
The privacy of the customer is the main issue with e-commerce as data is stored and
transacted electronically. Most of the e-commerce business transactions consist of access to
its website, giving personal information, product ordering, and payment mode through credit
or debit cards are held indirectly with the consumers (Lee et al. 2015). Thus, business
requires maintaining a framework of the privacy policy and adopting data security laws and
legislation to perform ethically.
 Information Security
E-commerce Security engaged with confidentiality that means to secure data,
ensuring the availability of timely, reliable way for the users to access their personal
information, integrity includes collecting data accurately, and truthfully, authentication to
confirm the organization as the claim for the data users and non-repudiation for not wrongly
denied for accessing data (Nguyen 2016). Any unethical practices related to security can lead
the business to face many negative consequences. Therefore, the business has to develop a
strong model for e-commerce security.
 E-commerce Trust
The business has to maintain the trust of the users in online trading and business
transactions. It can be evaluated in terms of good ethical performance if they initiate to
perform ethically resulting from developing a good customer relationship (Gupta and Dubey
2016). Thus, the business needs to establish a strong reputation with transparency and ethics

4INFORMATION SYSTEMS STRATEGY AND MANAGEMENT
that leads to satisfying the clients. The business must have a friendly appearance with both
content and design, also include privacy statements to their websites to gain consumer’s trust.
 Intellectual Property
The protection of Intellectual Property consists of three basics named copyright,
patent and trademark. The e-commerce business needs to function as per product licensing
and patent (Turban et al. 2015). This is because e-commerce develops its value in the
business by intellectual property ethics and laws withholding patent portfolios and
trademarks that ensure several benefits to their invention and web-based works.
 Subsidiarity and Global Social Responsibility
The business needs to conduct its business with proper steps that can reduce the functioning
of information technology's impact on the human as well as the environment such as reducing
energy usage (Hsu, Trappey and Trappey 2015), life cycled its products and so on.
Nowadays, businesses are expected to keep concern for environmental sustainability that
contributes to global social responsibility.

5INFORMATION SYSTEMS STRATEGY AND MANAGEMENT
References
Gupta, M.P. and Dubey, A., 2016. E-commerce-study of privacy, trust and security from
consumer’s perspective. transactions, 37, p.38.
Gorla, N., Chiravuri, A. and Chinta, R., 2017. Business-to-business e-commerce adoption:
An empirical investigation of business factors. Information Systems Frontiers, 19(3), pp.645-
667.
Hsu, A.P., Trappey, C.V. and Trappey, A.J., 2015, January. Using Ontology-Based Patent
Informatics to Describe the Intellectual Property Portfolio of an E-Commerce Order
Fulfillment Process. In ISPE CE (Vol. 2015, pp. 62-70).
Lee, S., Lee, Y., Lee, J.I. and Park, J., 2015. Personalized e-services: consumer privacy
concern and information sharing. Social Behavior and Personality: an international
journal, 43(5), pp.729-740.
Nguyen, K., 2016. Business Ethics in E-commerce.
Turban, E., King, D., Lee, J.K., Liang, T.P. and Turban, D.C., 2015. E-Commerce:
Regulatory, Ethical, and Social Environments. In Electronic Commerce (pp. 689-730).
Springer, Cham.