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Opportunity Analysis for Developing a Micropayment System in Local Area Networks

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  • Cristian GEORGESCU

    ()
    (Faculty of Economics and Business Administration, Dunarea de Jos University of Galati, România)

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    Abstract

    Although transactions with small amounts of cash are simple and quick, they still present drawbacks. The main issue is to drastically reduce costs for very small electronic payments and solutions have already started to be identified. In this paper, the proposed solution implies aggregating payments into a privately owned local area network that operates at low costs and making only one transfer to the banking systems for each buyer. The equipment used has to be easy to operate and straightforward, security procedures have to be simple and based on the rapport between the cost of fraud and the expected value obtained through fraud and rapports with the bank have to be kept within profitability margins.

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    File URL: http://www.ann.ugal.ro/eco/Doc2012.1/CristianGeorgescu.pdf
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    Bibliographic Info

    Article provided by "Dunarea de Jos" University of Galati, Faculty of Economics and Business Administration in its journal Economics and Applied Informatics.

    Volume (Year): (2012)
    Issue (Month): 1 ()
    Pages: 107-112

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    Handle: RePEc:ddj:fseeai:y:2012:i:1:p:107-112

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    Related research

    Keywords: Electronic payments; Micro-payments; Electronic money; Digital wallet; Local Area Network; Traceability; Software system;

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