Managing Design and eBusiness

1. VDIS10026 Managing
Design and eBusiness
SANGEETA JAIN

2. Points to
consider in an
online business

3. Online Transactions
 The development of the internet and the World Wide Web has provided the
mechanism for a new type of commercial transaction done online which has
raised a number of legal issues. In traditional marketplaces, a business comes
into force when the sale of a good or service is agreed by the buyer and seller.
Once the price has been negotiated and agreed upon, then the transaction
takes place.
 However, in e-business transactions the legal position is often ambiguous. Sales
via the internet may be based on out-of-date information since there is no legal
requirement for firms to update the information they provide on any universally
agreed timescale. Should a buyer purchase an item based on out-of-date
information posted on a website it is likely that courts would employ the caveat
emptor principle – let the buyer beware. However, courts in different countries
may interpret the law differently.

4. Intellectual property
 E-business and e-commerce are information driven. Consequently,
the main legal framework affecting the online business community is
that of intellectual property rights. Most countries are signatories to
the World Intellectual Property Organization that sets internationally
recognized standards for protecting intellectual property (IP).
 IP is legislation that protects the investment in time, money and
creative input that developers expend on the production of a good
or service. IP covers innovation in forms of media, branding, design,
products and services, or processes. The main instruments used for
protecting IP include patents and trademarks for industrial products,
and copyright for literary, musical and artistic works.

5. Intellectual property (IP) is the property of your
mind or proprietary knowledge. It is a productive
new idea you create. This can be an invention,
trade mark, design, brand or even the application
of your idea.
IP Explained:
https://www.ipaustralia.gov.au/understanding-ip

6. Trademarks
 Trademarks offer protection to signs, brand names, and commercial
logos and labels. An organisation must be able to protect its brand
since this may be a source of value and competitive advantage.
An infringement of branding may damage the customers’
perception of the quality of a product, the reputation of an
organisation or the efficiency with which the organisation carries out
its business. For these reasons organisations will usually register a
trademark with a designated government body.
 Trademarks are important to e-businesses because they protect the
name and image of the organisation. High profile firms with web
content such as Amazon.com, Disney and Fedex need to ensure
that customers are accessing their authentic website and not one
generated from outside the organisation.

7. Copyright
 Copyright laws differ between countries but all are designed to offer
protection to literary, artistic and musical works, media and
software, cable services and recordings. However, copyright does
not cover ‘ideas’ until such time as they are conveyed on paper or
computer or have been copied. Since copyright is automatic,
producers of the types of works outlined above need only insert a
copyright symbol (normally a small ‘c’ within a circle) to protect
their asset from being copied. In the case of the internet, website
owners can include fictitious information or insert software bugs to
enable proof of infringement of copyright. To copy legally requires
the copier to gain permission from the Copyright Licensing Agency.

8. Privacy
 Privacy refers to the rights of individuals to control the information
held about them by third parties. The growth of the information
economy has led to increasing interest in the issue of privacy. To
improve privacy standards requires the co-operation of firms and an
underpinning legal framework to protect individuals. There have
been a number of efforts made to bolster consumer confidence in
matters of privacy.
 Companies participate in initiatives designed to set standards and
formalise codes of conduct. Membership of organisations that
oversee standards and codes of conduct receive a seal of
assurance that informs customers of the reliability of the organisation
in meeting its obligations in relation to privacy.

9. Privacy
 In Australia, the Australian Privacy Act 1998 (Cwlth) is the legislation
through which privacy safeguards are protected. Privacy protection
was extended to cover private sector use of personal information
through the Privacy Amendment (Private Sector) Act 2000.
 Of the ten National Privacy Principles (NNPs) that are outlined in the
Act the most important is an individual’s right to access information
to check for correctness. Private companies in Australia are given
scope to adopt their own principles, however, they must be
compliant with the principle of allowing individuals access to
information held. The Australian government has signalled their
determination to set guidelines on internet privacy and security
issues by putting in place the Australian Federal Privacy
Commissioner who sets privacy boundaries for companies.

10. The Privacy Act 1988 (Privacy Act) is an Australian
law which regulates the handling of personal
information about individuals. Personal information is
information or an opinion about an identified
individual, or an individual who is reasonably
identifiable.
Read More:
https://www.oaic.gov.au/privacy-law/

11. Trust
 Trust can be described as the willingness to accept a level of
insecurity for the realization of future benefits. The virtual element of
e-business is not conducive to fostering human relations where
judgements on trust are invariably made. Consequently, it has taken
much longer for trust to be built up in the e-business environment.
There are four important trust factors that e-businesses and
consumers have to consider when forming relationships online.
These include trust involving:
 Product quality
 Authenticity of information
 Authenticity of the business or consumer
 Integrity of the business or consumer

12. Security
 Security is one of the most important issues affecting e-business. Secure
transactions are of high value to customers. There are a number of ways internet
security can be breached. The most common is the spreading of computer
viruses. Other security breaches include unauthorised network entry, denial of
service, data loss, information loss, manipulation of software applications or
systems programs, fraud, trafficking in illegal materials, theft and piracy.
Malicious code is a particularly prevalent and damaging.
 Authenticity ensures that the parties to a transaction are who they say they are.
Digital certificates, or keys, consist of encrypted numbers that are used to
identify users. Data integrity ensures that data has not been modified or altered
or interfered with during transmission over the internet. Encryption technology
facilitates secure communication in open systems and ensures that only the
intended recipient can view the material. Secure systems also ensure continuity
and accessibility to internet services.

13. Protecting yourself online – What everyone needs to know.
Brings together information and advice from a range of Australian Government
departments and agencies, in one handy booklet, to help all Australians stay safe and
secure when using the internet – whether dealing with scams, spam, banking or bullying.
Download Now:
https://www.ag.gov.au/RightsAndProtections/CyberSecurity/Documents/PDF%20-
%20Protecting%20Yourself%20Online%20-%20Second%20Edition%20-%20Booklet.pdf

14. Setting up an
online business

15. Setting up an Online Business
 Online business - also referred to as e-business - is any kind of
business activity that happens online (over the internet). Anyone
can start an online business. If you have a unique product or idea,
you can find a way to sell or trade it online. It's just like a traditional
'bricks-and-mortar' business, except your office or shop is online, so
you have to decide how it will look and appeal to customers.
 Know More:
 https://www.business.gov.au/info/plan-and-start/start-your-
business/online-business/

16. business.gov.au
https://www.business.gov.au/
Offers you simple and convenient access to all the
government information, forms and services you need.
It provides essential information on planning, starting
and growing your business.

17. Setting up an Online Business
 Choose your business structures and types
 Apply for an Australian Business Number (ABN)
 Register your business name and trade mark
 Register a website name
 What taxes do I need to register for
 Registration and licences to start a business
 Buy or lease a business premises
 Arrange insurance for your business
https://www.business.gov.au/info/plan-and-start/start-your-business

18. Setting up an Online Business
 Register your business or company
When you're starting a new business it's important to find out what
registrations and licences apply to your business. Having the correct
licences and registrations is fundamental to your business. They
allow you to operate without fear of closure from non-compliance
and are the foundation to successful business.
 http://www.asic.gov.au/for-business/registering-a-business-name/

19. Setting up an Online Business
 Register for an Australian Business Number (ABN)
An Australian Business Number (ABN) is a unique 11 digit number
that identifies your business to the government and community. An
ABN doesn't replace your tax file number, but it is used for various
tax and other business purposes.
 https://abr.gov.au/For-Business%2c-Super-funds---
Charities/Applying-for-an-ABN/

20. Setting up an Online Business
 Taxation
Ensuring you're registered for the correct taxes is an essential step to
opening your business. The taxes you must register for depend on the
type of business you're starting. Some tax registrations apply to all
businesses and others may be compulsory depending on your business'
size and type. Some registrations are entirely optional, but can make life
easier if you have them.
 https://www.business.gov.au/Info/Run/Tax/What-taxes-do-I-need-to-
register-for

21. Setting up an Online Business
 WHS (Workplace health and safety)
Business owners have responsibilities regarding health and safety in
the workplace. This page links to information on WHS/OH&S Acts,
regulations and codes of practice and workers' compensation
requirements.
 https://www.business.gov.au/info/run/workplace-health-and-safety