For both companies and consumers that participate in online business, security concerns are very
important. Many consumers are hesitant to buy items over the Internet because they do not trust that
their personal information will remain private. Recently, some companies that do business online have
been caught giving away or selling information about their customers. Several of these companies have
guarantees on their websites, claiming customer information will be private. By selling customer
information, these companies are breaking their own, publicized policy. Some companies that buy customer
information offer the option for individuals to have their information removed from the database (known
as opting out). However, many customers are unaware that their information is being shared and are
unable to stop the transfer of their information between companies.
Security concerns are of great importance and online companies have been working hard to create
solutions. Encryption is one of the main methods for dealing with privacy and security concerns on the
Internet. Encryption is defined as the conversion of data into a form called a cipher. This cipher
cannot be easily intercepted unless an individual is authorized by the program or company that completed
the encryption. In general, the stronger the cipher, the better protected the data is. However, the
stronger the cipher, the more expensive encryption becomes.
Effects on industries
Internet marketing has had a large impact on several industries including music, banking, and flea
markets - not to mention the advertising industry itself.