Question

Identify from the following a disadvantage of e-business.

• A. Lower barriers to entry
• B. Online shopping
• C. Security issues
• D. Lower costs

Hint:

While e-business reduces costs and increases reach, security concerns remain a major challenge that must be addressed.

Answer 1

The Correct Option is C

E-business presents numerous benefits including reduced operational expenses, simplified market entry, and enhanced convenience. Conversely, a notable drawback is the prevalence of cybersecurity vulnerabilities. These encompass:

• Exposure to malicious software, unauthorized access attempts, and deceptive online schemes.
• Instances of unauthorized data access leading to the compromise of client and corporate data.
• Exposure to fraudulent online transactions and the appropriation of personal identification.

Analysis of Alternative Choices:

• (A) Reduced barriers to market entry: This is an advantage, facilitating online business operations with minimal initial investment.
• (B) Digital commerce: This offers convenience and advantages to shoppers; it is not a disadvantage.
• (D) Diminished expenses: A primary advantage associated with e-business operations.