Case Study 2

Poonam placed an order for some branded shoes from a freshly launched online shopping site during a festival sale. After she received the product, she realised it was just a fake copy of the original brand. Poonam called up the helpline number of the online shopping site but was told that there is a no-returns policy for shoes. Poonam realises that she should have taken precautions before placing an order for a product online.

Based on the given information, answer the questions given below. Attempt any four questions.

a. Which type of cybercrime is Poonam a victim of?

b. Why is there an increase in online frauds?

c. State at least two precautions that Poonam should have taken to prevent the fraud.

d. Name any two types of frauds that take place while shopping online.

e. Mention any two ways to prevent frauds while shopping online.

a. Poonam is a victim of Counterfeit Product Fraud, which involves receiving fake or imitation goods instead of genuine products as advertised.

b. There is an increase in online frauds because of the following reasons:

1. Ambiguity — Since the transaction does not happen face-to-face, the identity of the parties is easily concealed and is hard to verify.
2. Hacking — It is relatively easy for hackers to steal information and fraudsters to buy that information in the online black market.
3. Legal Loophole — The law has been unable to keep up with online crimes. It is relatively difficult to track, identify, and prove the crime and the identity of the criminal.

c. Two precautions that Poonam should have taken to prevent the fraud are as follows:

1. Poonam should have thoroughly researched the online shopping site and the seller's reputation by checking for customer reviews, ratings, and any negative feedback.
2. She should have reviewed the return and refund policy of the website before making a purchase to ensure she could return or exchange the product if it didn't meet her expectations.

d. Two types of frauds that take place while shopping online are:

1. Misleading Product Listing.
2. Unfriendly Return Policy.

e. Two ways to prevent frauds while shopping online are:

1. Shop from Reputable Websites — Stick to well-known and trusted online retailers to reduce the risk of receiving counterfeit or fake products.
2. Use Secure Payment Methods — Opt for secure payment options like credit cards, PayPal, or digital wallets, which often provide fraud protection.