Abstract

The case describes the business model of PayPal.com (PayPal), the market leader in e-payment services. It discusses in detail the transaction process involved in sending money electronically. The case explains the types of user accounts of PayPal, the funds transfer mechanism, the user charges and the security systems employed by the company. The case also briefly discusses the marketing initiatives of PayPal, the benefits of its business model and the challenges faced by the company.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Online payment systems and their benefits.

Keywords

Case, PayPal.com, Electronic Payment System, Transaction Model, Automated Clearing House Network, Fee Structure of PayPal, Internet Security, Privacy Policy