Digital Payment and E-commerce Payment System

Running head: RESEARCH PROJECT
Digital Payment and E-commerce Payment System
Name of the Student
Name of the University
Author’s Note

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RESEARCH PROJECT
Table of Contents
1. Problem statement..................................................................................................................2
1.1 Background”....................................................................................................................2
1.2 Context in which problem arises......................................................................................2
1.3 Nature of the problem......................................................................................................2
1.4 Reason of research...........................................................................................................3
2. Research Question..................................................................................................................3
3. Research methodology...........................................................................................................4
3.1 Selected strategy or approach for the research.................................................................4
3.2 Individual steps involved in undertaking the research project.........................................4
3.3 Data collection method....................................................................................................5
3.4 Data analysis methodology..............................................................................................6
3.5 Estimation of resources needed for finishing the research...............................................6
4. Expected outcome..................................................................................................................7
4.1 Data analysis results with data sets..................................................................................7
4.2 Prototypes.......................................................................................................................14
4.3 Performance measures...................................................................................................14
4.4 Standards and guidelines................................................................................................15
5. New Knowledge...................................................................................................................15
References................................................................................................................................16
Appendices...............................................................................................................................18
Appendix 1- Reflective statement........................................................................................18

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RESEARCH PROJECT
1. Problem statement
1.1 Background
Manual payment system was used earlier in order to transfer money however the use
of a manual system creates a number of challenges. According to Grimes and Rodima-Taylor
(2017), utilization of manual payment system uses a paper journal as well as ledgers in order
to finish the task which is one of the time-consuming procedures and can be subject to
frequent errors due to the use of manual accounting information. Moreover, it is found that
the lack of security is another major disadvantage of using manual payment system (Kazan &
Damsgaard, 2016). In addition to this, it is found that the use of the manual payment system
also creates challenges including inconvenience, high cost of transaction as well as chances
of data duplication. In order to resolve the issues that are faced due to the use of the manual
system, the utilization of digital Payment and E-commerce Payment System was used.
1.2 Context in which problem arises
Traditionally, the utilization of manual payment system put pressure on the people to
be correct in context to the details related to work. It is found that the service that is provided
by the manual payment system is generally dependent on the individuals and it generally
creates a number of issues like data duplication, redundancy, inaccurate security as well as
time consumption. (Sumathy & Vipin, 2017). Moreover, it is found that when mistakes are
made and corrections are generally needed than manual transaction requires to be completely
redone rather than just updating. Thus, it is found that in order to resolve the issues and
challenges, it is a very much necessary move to digital Payment and E-commerce Payment
System as the services that are provided are very much convenient, highly secure as well as
assists in limiting the spending of the organizations.

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RESEARCH PROJECT
1.3 Nature of the problem
According to Pal et al. (2018), utilization of manual payment system generally needs
to understand the entire procedure of accounting in a proper way by unravelling the
difficulties as well as complexities of the financial records. It is identified that the utilization
of manual system for undertaking transaction is considered to be one of the unsecured
methods due to the security challenges as well as utilization of paper-based calculation for
completing the entire transaction. In addition to this, inaccuracy in financial records can also
occur due to the tedious manual calculation which further causes the bookkeepers to make
mistakes.
The problems that are created by the use of a manual payment system includes
technical problems, security issues as well as workplace related problems. It is analyzed that
as manual payment system needs much time in order to complete the calculation manually,
an organization needs to spend more amount of money on hiring human resources in order to
complete the work in a short period of time. Though, more amount of money was spent on
the human resources the chances of accuracy within the calculation is not high as there is a
high chance of error, inconveniency as well as security-related issues. (Kazan, 2015).
Moreover, the use of manual payment system is not considered as one of the safest methods
for payment due to the security associated problems.
1.4 Reason of research
It is found that it is quite necessary to resolve the problem by pinpointing the gaps by
using literature as a support for the argument is very much necessary (Geva, 2017). This is
generally necessary in order to determine the method that would be helpful in providing a
secure as well as convenient method of payment to the people by resolving the issues that are
related with the manual payment system. In addition to this, the research would also help in
identifying the role that the Digital Payment and E-commerce Payment System play.

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RESEARCH PROJECT
2. Research Question
The research question includes:
What are the benefits and challenges of using the digital Payment and E-commerce
Payment System?
The use of digital payment and E-commerce payment system helps in enabling the
businesses, individuals as well as governments to make cashless payment in context to goods
and services with the help of cards, mobile phones as well as internet. It presents a number of
advantages including time as well as cost savings, increased speed and convince as well as
helps in enhancing the sales of the organizations. It is found that nowadays digital payment
systems are utilizing secure socket layer as well as data encryption method in order to keep
the online payment safe and secure. In addition to this, Payment Fraud Prevention using
Cryptographic Algorithm TDES is also utilized for making a safe transaction. (Trautman,
2015). Moreover, in spite of the advantages that are provided by the digital Payment and E-
commerce Payment System, it is found that there are a number of challenges including
security concerns, disputed transactions, as well as enhanced cost of business. It is analyzed
that although stringent measures like encryption are used for making the digital payment
system much more secure and safe though they are vulnerable to hacking. Moreover, it is
found that if electronic money is utilized without the authorization of the person then one
could identify unfamiliar charge as, without sufficient details about the individuals who
performed the transaction, it is very much difficult to receive a refund. In addition to this, it is
analyzed that the digital or electronic payment system enhances the need to protect the
financial details that are generally stored.
It is found that this question will not be answered easily without having proper data
and information that proves that the utilization of digital and e-payment system provides both

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RESEARCH PROJECT
benefits as well as challenges. Thus, in order to answer the question, it is very much
necessary to undertake primary data analysis. It is found that primary data analysis method
would be helpful in determining the benefits and challenges that are associated with the use
of digital Payment and E-commerce Payment System.
3. Research methodology
3.1 Selected strategy or approach for the research
It is found that in order to undertake the research project on digital Payment and E-
commerce Payment System, inductive approach is mainly utilized as this approach is helpful
in analyzing the advantages as well as challenges of the digital payment and e-commerce
payment system with the help of online survey (Lewis, 2015). This approach is generally
selected for this research project as with the help of specific observations from the online
surveys, it would be quite easy to conclude that digital payment and e-commerce payment
system are quite beneficial as they are helpful in providing easy as well as a convenient
method of payment to the people.
3.2 Individual steps involved in undertaking the research project
The individual steps that are generally undertaken in order to finish the entire research
project are generally elaborated below:
Initial literature review: It is found that in this step, the problem for the research
project is identified so that proper review can be made in order to determine the solution that
would be helpful in resolving the problem that is associated with the manual payment system.
After reviewing it is found that the use of digital payment and e-commerce system are not
only helpful in resolving the issues and challenges but are helpful in providing easy as well as
a convenient method of payment to the people (Vaioleti, 2016).