System Analysis of Ebay

1 January 2017

The term Ebay shouldn’t be a stranger to most people that have access to a working computer and internet connection. But for those who are not familiar with the corporation, Ebay Inc is an American multinational company that conducts its business mainly over the internet. Founded in 1995, Ebay Inc. tarted off serving as an online auction house for anyone that wants to sell something to anyone that wants to buy something. The company has been fast growing and reported net revenue of just over US$11. 65 billion for the year 2011. US$68. 6 billion was the total value of goods and products sold over Ebay worldwide by over 100 million active users in the last year (Ebay 2012).

According to the companies website, to complement its core business of helping millions of users buy and sell safely over the internet, Paypal was acquired by Ebay in year 2002 for US$1. billion (2012). Later in 2008, Ebay also acquired Fraud Sciences, an Israeli company that deals with online risk tools to strengthen Ebay and Paypal’s fraud detection. Keeping up with current trends, Ebay also launched the Ebay app in 2008, helping many sellers and buyers to keep track of the items that they are interested in while on the go. Instead of having to stay by the computer while waiting for an auction on an item to end before going out, buyers can now watch the items from their smartphones and put in last minute bids. The app also syncs with the pc on all activity.

For example, if you viewed an item on the computer, it will also turn up on your smart phone in the recently viewed section. There is also a barcode reader function that can help the user make a better, more informed purchase decision by searching for the product on the Ebay database to see if there are any better deals online. Formal Systems Model Inputs ? Staff ? Server ? Customer Support Sellers Receive Orders Check InventoryCheck Payment Organize Shipment Buyer Receives FeedbackExamine Feedback Conflict Resolution Maintain/Update Website & Server

Output ? Shipped product ? Customer satisfaction As mentioned above, Ebay provides a platform for sellers and buyers from all over the world to come together to conduct a business transaction all from the comfort of their own homes. Therefore, Ebay isn’t really the party that is conducting the sales; they are more of a referee whereby sellers or buyers can contact Ebay in the event of conflict. For that reason, Ebay does not play an active role within the entire buying/selling process, it merely provides its hosting services and maintaining the website.

There are however certain guidelines that users of the website have to adhere to, these include prohibited sales of tobacco, alcohol, firearms, live animals and many more. The site also has certain regulations regarding payment terms and timeframe. The site also encourages that buyers and sellers attempt to settle all differences among themselves before approaching Ebay. In consequence, the site management will only interfere or act in the event of an unresolved conflict between the two parties. Ebay tries to prevent fraud and buyers remorse by implementing a compulsory feedback system.

Every buyer is required to rate the user that sold the item to them on a few categories using a 5 star rating system; 1 being the lowest and 5 being the highest. The 4 criteria’s are * Items as described * Communication * Postage time * Postage and handling charges Other than that, users are required to leave a short 70 characters comment about the transaction in general. Feedback will then be registered by the system and added to the individual buyers or sellers page, allowing other users to identify with sellers or buyers that are not so easy or nice to deal with.

This use case begins when a potential buyer visits the Ebay website to login or register with the intent of buying something. 2. Validates login details of the buyer or registers the new user. 3. Buyer searches site for all listings fulfilling his/her search terms for an item that he/she may wish to bid on. 4. The buyer selects the item that he/she wishes to place a bid on from all the listings and places a bid. 5. Registers the buyers’ bid and informs the seller that someone has placed a bid on the item that he/she has listed. More than one buyer may bid for the same item during the auction period.

The system registers all biddings and informs other buyers that the item that they have been outbid. Finally, the system closes on an auction and notifies the buyer with the highest bid that he/she has won the auction. The system also informs the seller about this as well. 6. Buyer then selects the payment and delivery option. 7. The system will sum up the total amount payable by the buyer. 8. Buyer confirms the sales total and enters credit card details or Paypal details and confirms delivery address. 9. Confirms payment and delivery and sends out a confirmation email to the registered email address.

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