As many companies adopting e-commerce found the successes of doing so, some companies however failed to sustain its competitive advantages. Probably the increasing of online threats and breakdowns created hostile environment to such organizations. As eBay emerged as best auctioning organization, there are controversies of why e-commerce failed to provide the best services to the company.Reported in June 10 to 11, 1999 eBay had to temporarily close the site for 22 hours due to web failure. Significant failures also experienced by eBay and several outages have since suffered which totaled up to more than 70 hours during the first seven months. During the crisis, the stock market plummeted making it suffered $5.7 billion loss of market capitalization.
When examined by the experts, it is revealed that the database were corrupted and needed rebuilding which causes the prolonged outages and eBay failure in provision of redundant and scallable web architecture. Besides, e-commerce requires more expertise and marking one of the failures is due to lack of experts in eBay to update and maintenance of the site to keep it running. With the complexity of the website due to geographical expansion, it is difficult to maintain well of the website and it is also a cause of several outages to occur.
Controversies also occur about the account stealing in eBay.com. Report shows that eBay was vulnerable to attacks such as SQL injections and IFrame code directing users to Trojan infected website. The attack known as phishing cannot be detected during electronic transaction and is proved to be failure to e-commerce. As a result, eBay have to increase the cost to shun those attacks from its website. Next, attack from hacker namely 'Valduz' from Romania to breach the security of eBay. Other problems occurred is due to online gambling services that are illegal was aided by eBay and other subsidiaries including PayPal. Result is, they have to pay $10 million fine. The bottom line is, no matter how develop the e-commerce is, due to its benefits, many are misusing it and it is agreeable that this is the failure of e-commerce to overcome such situations.
The conclusion is, no doubt e-commerce sees more of its benefits, but it requires many expertise to deal with and to provide security as more threats are reported nowadays. With the introduction of more viruses such as Malware, Adware and other cyber crimes by hackers to misuse the e-commerce system, it becomes a limitation to many organizations that adopted this method of business.
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