Subject category:
Economics, Politics and Business Environment
Published by:
IBS Case Development Center
Length: 7 pages
Data source: Published sources
Abstract
Credit cards has been one of the most important revolutions in the way people pay for goods and services through the ages. Credit cards were first employed in the 1950s in the US and within half-a- century they were used in almost every country in the world. Despite high consumer debts, credit cards were encouraged in most countries as it was believed to spur consumer demand and boost economic growth. However, with the increase in the use of credit cards across the world, credit card thefts and personal bankruptcies also increased at a rapid rate. By the early 21st century, a new method of payment service called ''pay by touch'' was conceptualised that could completely eliminate the need to carry cash and cards. This case enables the reader to understand the impact of credit cards on global business growth and the inherent risks underlying the rampant usage of credit cards.
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Abstract
Credit cards has been one of the most important revolutions in the way people pay for goods and services through the ages. Credit cards were first employed in the 1950s in the US and within half-a- century they were used in almost every country in the world. Despite high consumer debts, credit cards were encouraged in most countries as it was believed to spur consumer demand and boost economic growth. However, with the increase in the use of credit cards across the world, credit card thefts and personal bankruptcies also increased at a rapid rate. By the early 21st century, a new method of payment service called ''pay by touch'' was conceptualised that could completely eliminate the need to carry cash and cards. This case enables the reader to understand the impact of credit cards on global business growth and the inherent risks underlying the rampant usage of credit cards.