During its more than 20 years of existence, the internet has become an essential "thing" in the society and daily life. The number of people worldwide using the internet has more than doubled from 2007 to 2013. While it was ca 1,3 billion people in 2009, it was ca 2,7 billion in 2013. Not only the access to internet got very easy, but also the demand for internet has increased a lot. Over the time as well e-payment systems has developed and are today a solid component of the Business-to-consumer sector.
They can be found in many different trends. Google, MasterCard, Ebay are all well known names who all made their part to bring e-payment to its present place. But how do they function? How important are they? And furthermore, why should they be important since the world kept on spinning before there invention? This paper will analyze the importance of e-payment systems in the daily life for individuals such as for the business sector. The main point and also the research question for this paper will be to find out "Why are e-payment systems important for us?".
For a better overview and understanding firstly the classic and modern payment systems are shortly presented and later shortly compared. Followed by description of how e-payment does influence the daily life of individuals in the society, such as the business/political area. It continuous with the analytical part, where the research question is tried to be answered by analyzing the findings. It ends with the conclusion, where the findings of the analysis are finally presented.
Table of Contents
E-payment 101
1. Introduction
2. Main Part
2.1 Classic payment systems
2.1.1 Prepaid
2.1.2 Debit
2.1.3 Cash on delivery
2.1.4 Pay by bill
2.1.5 Credit Card
2.2 Modern payment systems
2.2.1 Electronic wallet
2.2.1.1 PayPal
2.2.1.2 Google Wallet
2.2.2 Online-currency
2.2.3 iZettle
3. Influence on Society and Business
3.1 Society
3.2 Business
4. Analytical Part - The relevance and importance
4.1 Why are e-payment systems so important?
4.2 Conclusion
5. References
Objectives and Research Themes
This paper examines the evolution and impact of electronic payment systems, aiming to determine their necessity in modern daily life and the business sector by analyzing both classic and contemporary payment methods.
- Analysis of traditional payment methods (Prepaid, Debit, Credit Card).
- Evaluation of modern digital payment solutions (e-wallets, online currencies, iZettle).
- Assessment of the socioeconomic impact of transitioning to a cashless society.
- Investigation into how e-payment systems drive business efficiency and consumer convenience.
Excerpt from the Book
2.1 Classic payment systems
Prepaid is one of the most common payment method in the internet. This method requires that the customer transfers money to the sellers bank account before he sends the ordered product. This method can be done even by filling out a formula at the bank, or via online banking. After placing an order and choosing prepayment, the customer often gets transferred to another page were he can login with his online banking data. Prepaid is all over more an advantage for the retailer, since he receives the money, before he is sending away the order (ecckoeln.de, n.d.)
When placing an order, the customer types in his bank account information on the internet page of the retailer. At the same time he allows the retailer's bank to debit the required amount from his account. Also this payment method is more safe for the retailer (ecommerce-leitfaden.de, n.d.).
Cash on delivery means that the customer pays the amount cash to the delivery service at the door. The delivery service than transfers the amount to the retailer. Because the delivery service has some extra work with this method, cash on delivery does cost some extra. Only when the customer has the total amount in cash, he is able to receive his order (ecckoeln.de, n.d.)
Summary of Chapters
E-payment 101: Defines the fundamental concepts of e-payment and e-commerce, establishing the groundwork for understanding electronic financial transactions.
1. Introduction: Outlines the growing significance of the internet in society and introduces the research question regarding the importance of e-payment systems.
2. Main Part: Provides a comprehensive overview of both classic payment methods and modern, tech-driven alternatives used in today’s e-commerce landscape.
3. Influence on Society and Business: Analyzes the benefits and socioeconomic shifts caused by the adoption of e-payment, highlighting the trend toward a cashless society.
4. Analytical Part - The relevance and importance: Critically evaluates the findings to answer the core research question, weighing the efficiency of different payment systems.
5. References: Lists the academic and industry-related sources utilized throughout the research paper.
Keywords
E-payment, E-commerce, Digital Wallet, PayPal, Online Currency, Bitcoin, Cashless Society, Financial Transactions, Prepaid, Credit Card, Internet Commerce, Business Efficiency, Consumer Convenience, Digital Economy, Payment Strategy.
Frequently Asked Questions
What is the core subject of this paper?
The paper explores the role and significance of electronic payment systems in modern society and the digital business environment.
Which central themes are discussed?
The primary themes include the technological evolution of payment methods, the shift from traditional cash-based transactions to digital ones, and the resulting socioeconomic impacts.
What is the primary research question?
The study seeks to answer: "Why are e-payment systems important for us?"
Which methodology is employed?
The paper uses a descriptive and analytical approach, categorizing existing payment systems and evaluating their relevance and efficiency for both individuals and businesses.
What is covered in the main section?
The main section details various payment modalities, ranging from classic methods like bank transfers and credit cards to modern solutions like PayPal, Google Wallet, and Bitcoin.
Which keywords characterize this work?
Key terms include E-payment, Cashless Society, Digital Wallets, Online Commerce, and Financial Efficiency.
How does the author define the "cost of money"?
It is defined as the potential interest that could be earned if capital invested in a business or security were instead placed in government bonds or time deposits.
What role does iZettle play in small business?
iZettle is highlighted as a critical tool for small businesses, enabling them to accept card payments with low asset and operating costs, thereby increasing their competitiveness.
How do e-payment systems impact financial security?
The paper suggests that digital transactions leave "digital fingerprints," which may contribute to a reduction in financial crime and black market activities compared to cash-heavy economies.
- Arbeit zitieren
- Henrik Fürst (Autor:in), 2014, Why are E-payment systems important for us?, München, GRIN Verlag, https://www.grin.com/document/353531
