Evaluation of Apple Incs decision about launched product Apple Pay, Essay

Evaluation of Apple Incs decision about launched product Apple Pay, based on your analysis of the external environment (PEST factors and competition) and of the market - Essay Example However, companies such as Apple are helping to make that dream turn into reality. The growth in mobile commerce is seen to be quick with more of smart phone users. The current paper aims to analyze the mobile payments industry of the U.S emphasising upon its trends, growth rates, environmental factors and competition aspects. Apple Pay is a mobile payments solutions product developed by Apple Inc. The system allows the users of iPhone 5, iPhone 6, iPhone 6 plus, iPad mini3, iPad Air 2 and Apple Watch to make direct payments. The service was launched on October 20, 2014 in the U.S. The system currently exists only in the U.S, with the company’s plans of expanding the same into other nations in the near future (Apple Inc., 2014). The contactless payment system enables users to pay for different types of purchases in a safe and a highly secure manner. The solutions payment systems are a part of the electronic payments industry. The purpose of service providers in this industry is to develop an easy method of transacting business and transferring money without having to carry or use cards every time a purchase in made. Users can store their banking information in their mobiles in a secure way and can use the same whenever purchases are made. When consumers store their debit or credit card information in their iPhones, Apple generates a unique encrypted code called the device account numbers. These codes get saved within the mobile chip and is never accessed or stored in the Apple servers. Whenever any transaction is made, these device account numbers along with transaction specific security code is used. In this manner the actual debit or credit card information is not used by Apple for transmitting the payment (Heggestuen, J., 2014). The mobile payments and online payment solutions industry is seen to have grown rapidly in the last few years in the U.S. The industry is seen to be in its booming phase with new types of