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Business Case Analysis 'Electronic Payment Systems in Action ...

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Bank charges 70000<br />

Advertis<strong>in</strong>g 12000<br />

Postage meters 2000<br />

Adopt<strong>in</strong>g a standard<br />

Total ongo<strong>in</strong>g cost 157800<br />

<strong>Analysis</strong> of Figures<br />

The total estimated cost of cost of operation and ma<strong>in</strong>tenance for the Ecommerce for over<br />

two years is $346, 659. Out of this, $188, 859 is the <strong>in</strong>itial development cost and the rest;<br />

$157,800 will be spent over the two years for ma<strong>in</strong>tenance of the system.<br />

Fortunately for movie gallery, one of the EPS chosen (Papal) is very good and profitable;<br />

there is no <strong>in</strong>itial charge fee for papal implementation, the focus will be on the cost of<br />

hardware and implementation which has already be<strong>in</strong>g gotten <strong>in</strong> the first year. Charges are<br />

based on the percentage of sales made, mean<strong>in</strong>g that movie gallery will really make a lot of<br />

profit by the implementation of this payment system <strong>in</strong> the sense they make use of it without<br />

pay<strong>in</strong>g <strong>in</strong>itially. From the bus<strong>in</strong>ess background and motivation, it is observed that movie<br />

gallery is a very big and successful company, even the percentage charges by papal will not<br />

make any negative difference, rather more profit will be made <strong>in</strong> implement<strong>in</strong>g this payment<br />

system as customer trust has be<strong>in</strong>g won due to good <strong>in</strong>formation security system. The<br />

ongo<strong>in</strong>g cost for the system ma<strong>in</strong>tenance seems quite manageable, reason been that not<br />

everyth<strong>in</strong>g, (asset) that was used <strong>in</strong>itially are been bought aga<strong>in</strong>, the entire have to focus on is<br />

to ma<strong>in</strong>ta<strong>in</strong> what has already been bought and a few more items perhaps.<br />

The papal system is not only advantageous for movie gallery but to the customers alike,<br />

reason been that they do not have to worry about someone hav<strong>in</strong>g access to their credit card<br />

<strong>in</strong>formation because, movie gallery implements the secure socket layer (ssl) <strong>in</strong> their server,<br />

when they fill <strong>in</strong> their payment <strong>in</strong>formation, no one else knows it except Paypal, so this is<br />

really secured and confidential<br />

Codewit Global Network<br />

© Copyright 2006 All right Reserved<br />

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