Article Sphere Logo
Ecommerce Article

Paypal!

By Expert Author: Ankit Talwar
Word Count: 506 words | Views: 394 view(s)
Paypal:

PayPal is an e-commerce business allowing payments and money transfers to be made through the internet. It serves as an electronic alternative to traditional paper methods such as checks and money orders. PayPal performs payment processing for online vendors, auction sites, and other corporate users, for which it charges a fee. In October 2002, PayPal became a wholly owned subsidiary of eBay. Their corporate headquarters is in San Jose, California.

PayPal account holders must be 16 or over with a debit/credit card or bank account and e-mail address.

Beginnings:

PayPal Corp, as it is known today, is the result of a March 2000 merger between Confinity and X.com[1]. Confinity was founded in December of 1998 by Peter Thiel and Max Levchin, initially as a Palm Pilot payments and cryptography company[2]. X.com was founded by Elon Musk in March of 1999, initially as an Internet financial services company. Both companies were located on University Avenue in Palo Alto. On the Confinity business side, many of its initial recruits were alumni of The Stanford Review, also founded by Peter Thiel, and most early engineers hailed from the University of Illinois at Urbana-Champaign, recruited by Max Levchin. On the X.com side, Elon Musk recruited a wide range of personnel, many of whom remain at PayPal today, such as the current head of product, Amy Klement [3] and several other members of the senior team.

Though growing rapidly, PayPal was losing $10 million a month and was fraught with internal turmoil that led to three CEO changes in its first year of operations. Foreign organized crime rings found ways to steal millions from the young company by automatically registering accounts using stolen identities. To block automated systems from using this form of fraud, PayPal devised a system (see Captcha) of making the user enter numbers from a blurry picture; according to Eric M. Jackson, author of the book The PayPal Wars, PayPal invented this system now in common use; though, there is evidence AltaVista used a captcha as early as 1997, before PayPal existed.

eBay watched the rise in volume of online payments, and realized its fit with online auctions. But rather than work with PayPal, eBay purchased a competing payment service named Billpoint. eBay made Billpoint the official payment system of eBay, dubbing it "eBay Payments", but cut the functionality of Billpoint by narrowing it to only payments made for eBay auctions.

For this reason PayPal was listed in several times as many auctions as Billpoint. In February of 2000 there were approximately an average of 200,000 daily auctions advertising the PayPal service while Billpoint (in beta) had only 4,000 auctions. By April of 2000 there were more than 1,000,000 auctions promoting the PayPal service. PayPal was able to turn the corner and become the first dot-com to IPO after the September 11 attacks.

Near the time when PayPal went public (first quarter 2002), it filed an anti-competition complaint against eBay on the grounds of using its auction venue to attempt to force PayPal off its site. However, the company eventually reconciled with its former rival.
Ankit Talwar

About the Author:

Ankit Talwar is the owner of http://www.Dead-Yahoo.com. He is a Web Designer.

Article Source: http://www.articlesphere.com/Article/Paypal-/52827

Article Tags: business, paypal, credit card
 This Article has been viewed 394 times.
  

Related Videos



 

Related Articles

 
 

Listed below are more articles related to the above article from the "Ecommerce" article category.

People interested in the above article "Paypal!" are also interested in the related articles listed below:

 
Prestashop is basically an open source ecommerce shopping cart software solution that is applicable in this Web 2.0 era. This software is written in PHP and it is free of cost. It is the best solution for those who prefer to do their business online. It is considered to be one of the speedy, lightweight solutions as a result downloading, installation can be done easily. Prestashop has appeared to be innovative and excellent solutions for all types of enterprises. There are certain technical requirements for Prestashop such as Apache web server 1.3, PHP 5, MySQL 5, Linux or Unix. Prestashop users can make benefit from this solution as it is reliable, flexible and can handle a large sum of order per day.
Ecommerce fraud is being a common phrase these days. Though introduction of Ecommerce brings a revolutionary change in the life of a businessman and customers, online trading also carries some unethical activities such as internet fraud and hackers attack. Merchants and consumers both can fall victim to fraudsters. Things on internet are not as easy as they seem.
E-commerce or Electronic commerce has given a new dimension to business activities, particularly in a developing country like India. It involves buying and selling of goods and services all around the world. Ecommerce solutions have paved the way for nurturing businessman craving for success and also helped customers across the world to buy products online without any apprehensions.
Online payment gateway is the method to electronically transfer money. Ecommerce websites has made online payment gateways a subject of major interest. With the aid of these gateways, online customers can make payments and transfer fund across the world. PayPal and Google Checkout are two popular online payment gateways that operate as a transfer mediator between a merchant and a buyer.
If you frequently order merchandise online, you may be exposed to the risk of becoming a victim of online fraud. This is especially true if you regularly buy at auction sites or independently-owned online marketplaces. While security procedures for online transactions are getting better all the time, crooks and con artists are getting more sophisticated in their approaches to fraud. They also have great ability in compromising new protective measures to dupe you into thinking your transaction is secure.
In the past, there were many difficulties for the people of different regions regarding the commerce. Long way back, the only medium which was the source of attaining the information about the particular things and it is the source of getting the knowledge about the different things which you would love to know. But with the passage of time, the scope of getting information has widen to many other facilities and today the internet is not only limited to get the information about the specific thing but there are also lots of ways of earning through the facility of internet.
The 4Ps of the marketing mix, according to the 1960s'marketer E. Jerome McCarthy are product, price, place and promotion. Of all of these vital elements, price has to be the most important as your pricing strategy will most likely have the biggest impact on your bottom line. Defining the right strategy for your products is no easy task though as there are many different factors to consider. Below is a pricing strategy designed to help you find the right price for your products...
Article Directory Home All Categories Internet And E-Business Ecommerce Paypal!
 

Can't find what you're looking for? Try Google Search!
 
Copyright © 2005 - by Larry Lim, Singapore - Article Search Engine Directory at ArticleSphere.com™
All Rights Reserved Worldwide. All Trademarks and Servicemarks are the property of the respective owners.