Different types of seals with different guarantees could be created. The Internet makes possible numerous international sales to consumers because it lowers advertising and ordering costs. The same technology that lowers these costs, however, prevents the non-electronically sophisticated consumer from verifying the location, identity, and reputability of the merchant involved. Unless consumers feel comfortable, ecommerce will never bloom Despite hoopla to the contrary, small and medium sized businesses are disadvantaged by a government hands-off attitude to ecommerce. In the absence of government regulation, consumers will shop by reputation.
International reputation costs money, even more money than nationwide reputation.
Yes, certification organizations are springing up, but it costs money to join one that consumers will trust. The type of reputation needed, furthermore, is not easily acquired by a non-governmental actor. Consumers should trust only organizations who can impose harsh sanctions. So far, only the government qualifies. While some commentators have suggested credit card companies, VISA's comment announces such companies' inability to handle the job of processing a multiplicity of international consumer complaints.