PayPal is planning to expand its presence in India. Your Story reports that post its break-up from eBay, the online money transfer company is interested to work with different merchants. The company is planning to enter the domestic market. This is a change from PayPal’s current cross border support outside India.
PayPal was started in 1998 as security software for handheld device. The money transfer facility was started in 1999. As of today, PayPal is one of the largest online payment companies in the world. The company carries out electronic monetary transactions for its commercial customer base for a fee. PayPal allows its users to be paid in roughly hundred currencies, withdraw funds in fifty seven currencies, and hold balances in about twenty six currencies across the world.
In 2002, when PayPal went public, eBay acquired it. As a result, a majority of transactions on eBay were transacted through PayPal. eBay’s business was used to leverage the growth of PayPal’s business. Initially, PayPal was popularised among US based eBay users, which worked out to the convenience of several small businesses that were eBay users. Slowly this feature was expanded to other countries as well. Eventually, PayPal was developed as a standalone service, outside of eBay.
In as early as September 2014, talks began to initiate the separation of eBay and PayPal. In July 2015, the process of establishing PayPal as a publicly traded company was complete, with PayPal’s president Dan Schulman taking charge as CEO.
According to PayPal, the separation ‘makes it easier for both PayPal and eBay to grow their own businesses and provides each company with new market and partnership opportunities that would have been more difficult to pursue while part of the combined corporate family’. PayPal also maintains that eBay and PayPal will continue to work together for the latter’s payments, refunds, and holds in the same manner as in the past.
So the reason behind the decision to continue as two independent companies appears to be for purely business purposes. The Your Story report says that PayPal is eager to work with eBay’s competitors.
This story in Wired.com says that PayPal’s popularity cannot dip. Despite being among the older companies (read old fashioned), having started operations in the late ‘90s, the fact that its transactions are close to $235 billion continues to makes it an attractive option.
PayPal is planning to bring its entire suite of financial services to the Indian market. The company is not deterred by the fierce competition in the Indian e-payment sphere. MD and country manager of PayPal, Vikram Narayan told ET that there are many Indian merchants using PayPal, and millions of consumers. He appears confident on PayPal’s Indian innings.
Editor team is specialized in introducing the marketplace content targeting the Indian online sellers. They plan and coordinate to bring the appealing content for the small businesses on how to partner with the e-commerce sites like Amazon and Flipkart and strategies for improving their online business.
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