Virtual Organization E-Business Paper

Virtual Organization E-Business Paper

E-business is a popular trend that most businesses are turning to. Riordan Manufacturing is a global plastics manufacture and is a fortune 1000 enterprise with revenues in excess of $1 billion. Riordan has facilities in Hangzhou, china and across the United States. Riordan’s Mission is to have reasonable profitability for growth in there company and believe that E-business will allow them to increase sales and be more profitable. There are many pros and cons of having a business. The pros are that your business can grow, increase sales, and reach more customers. The cons are that there are many laws and regulations that e-business must follow and if not done right can cause many legal issues. Some legal issues that these business often come to is privacy, user agreements, contracts, and jurisdiction.

Privacy policy is very important when conducting an e-business because any company that receives any customer’s personal information must keep it safe. E-business usually does sales transaction over the internet, where the customer must enter personal and financial information in order to receive a product. If the company does not keep that information safe and secure they are liable to legal actions. Some ways that Riordan protects their customers are privacy policies, which tells the customer where the information is stored, how the user can delete or change the information and whom the information is disclosed and for what purpose. Riordan also does encodings which keeps customer information from being seen over the internet.

Having a user agreement or terms and conditions is another tool that can protect a company form legal issues. A user agreement requires each user to agree to be bound by a contract governing his or her use of the site by clicking “I agree”. It is important to have the user press the “I agree” button because it is an active step that seals the agreement. The user agreement allows a company to...