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analyzes a case study involving a small business, 'Colin and John,' facing challenges due to increased demand and outdated IT systems.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.