Summarize the case study given - Admission/Application Essay Example

Case Summary Enabling Global Payment At PayPal In the case d “Enabling Global Payments At PayPal” the author discusses the history of the online money transfer tool called PayPal (Valacich 49). The case states that PayPal has replaced traditional ways of making payments while buying and selling goods and services at online markets such as eBay. The company was founded by a manager of hedge funds along with internet security officer and the founders wanted to develop an internet based currency exchange which was not governed by government’s rules and regulations.

The company faced a major issue of being attacked by hackers but the company implemented a very stringent security system which helped in countering this problem. PayPal was able to satisfy the need for digital money used to buy and sell goods and services but initially the vendors were quite reluctant in accepting this form of money. Later PayPal gained acceptance and its customers increased and they started opening account with PayPal and these accounts were credited with money through credit card payments.

The company was taken over by eBay during the period of 2002 and it earned money by charging service free from buyers and sellers and the fees they were charging was much less than the fee charged by credit card companies. PayPal even experienced immense competition which it was able to overcome and it has even gained acceptability throughout the world. Now PayPal has joined hands with social media networks and users can purchase apps on Facebook through their PayPal accounts. It has even entered the market of mobile payments where mobile users use PayPal to pay for apps.

Works CitedValacich, Joseph S, Christoph Schneider, and Leonard M Jessup. Information Systems Today. 1st ed. Print.