Challenges of E-business and E-commerce: Alipay Case Study

Running head: IT INFRASTRUCTURE MANAGEMENT PG
IT Infrastructure Management PG: Part A
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IT INFRASTRUCTURE MANAGEMENT PG
Task A: Case Study: Alipay-Challenges created by E-business and E-commerce
The aim of the report is to discuss the challenges that is created by E-business and E-
commerce. The case study is mainly focused on Alipay, which is a platform for third party
mobile payment and online payment. The mechanism used, the benefits and the problems linked
with Alipay are discussed in the paragraphs below.
1. Detailed Mechanism Used
A product designed by Alibaba Affiliate Company, Alipay is considered to be the most
popular digital wallet of China (Payment and Tax Terms, 2019). The current user count of
Alipay is nearly 400 million people. This application is a digital wallet that is used by individuals
to pay for the goods and services.
Alipay has originated as a payment department of a B2C platform. Alipay could find a
tremendous growth opportunity on Taobao platform. The Alipay put a lot of emphasis on
designing an improved payment authorization rate (Guo & Bouwman, 2016). Alipay operates in
more than 65 financial institution that include Visa and Mastercard. The Alipay is mainly used in
smartphone. Like all other payments application, it provides the facility of QR code payment to
use in payments for local in-store. The application also provides the basic feature of credit card
bill payment, management of the bank account and P2P transfer. There are a number of
similarities and differences between Alipay and other payment platform, which are discussed in
the section below.
2. Difference and Similarities of Alipay with similar online payment systems