This report delves into the critical privacy issues prevalent in e-commerce systems, highlighting their negative impact on the industry's growth and development. The report explores the lack of privacy protection for consumers on e-commerce websites and applications, emphasizing the importance of robust privacy measures. It examines the ethical dimensions of data collection, storage, and usage, as well as the impact of privacy concerns on consumer trust and online sales. The report discusses the rise of behavioral advertising and the use of cookies for tracking user activities, and the potential risks associated with these practices. Furthermore, it outlines practical solutions, such as developing customer-oriented privacy practices and implementing P3P systems, to mitigate privacy risks and foster a secure online environment. The report emphasizes the need for organizations to understand consumer needs and implement systems that ensure the security and privacy of personal information to build trust and expand their potential in the e-commerce landscape.