Merchant choices

Merchant choices

The Internet merchant must take great care in setting up electronic payments. The simplest option is to have someone else manage a secure web server and set up shop there. This is to set up store in electronic mall or paying an Internet service provider to manage our website for us. But there are many choices at this level. There are literally hundreds of electronic malls active on the Internet, on which a merchant can set up shop. On the other hand, large businesses may be willing to spend a lot to get a commercial processes and settles the payment information and can be integrated into a corporate fulfillment system environment that securely accepts orders,.

In addition to secure or commerce servers, which support credit card payment, the merchant can also elect to support less familiar payment methods. Choosing functions and features

· Reliability
· Security
· Simplicity
· Acceptability

Consumers have come to rely on their credit and charge card companies not just to extend credit, but to extend protection against unscrupulous vendors(providing recourse when improper charges are made), thieves(minimizing liability when a card is lost or stolen), and the vicissitudes of daily life (offering protection plans which replace lost or stolen goods).

The security issue is one that will never go away. Even if the strongest possible encryption is used to send payment information, there are still many security holes. A security chain is only as strong as its weakest link, and companies engaging in this business can be exposed through any number of non-Internet attacks:

o The disgruntled employee with access to payment information
o Storage of payment information with insufficient security
o Improper disposal of printed material

Electronic commerce schemes must be simple to achieve widespread appeal. Consumers prefer to use a single, multipurpose credit card such as Visa or MasterCard rather than set up credit accounts with every different retailer they purchase from.

Electronic commerce schemes should offer widespread acceptability. A scheme that is accepted only by a few merchants will not be attractive to consumers who don’t do business with those merchants; a scheme that few consumers have chosen will be one that few merchants seek out.