Research Paper (postgraduate) from the year 2003 in the subject Business
economics - Offline Marketing and Online Marketing, grade: 1.3 (A), The
University of Hong Kong (-), language: English, abstract: This paper
examines the concept of eCurrency and how it has been used globally, and
then highlights how this could be applied in Hong Kong. The situation in
Hong Kong was assessed, and it is believed that Octopus is able to take
advantage of its strong brand name and wide use taking its business
online to an extended business model, termed eOctopus. The eOctopus
model suggests that Octopus becomes an intermediary in online
transactions where the users will have the option to set up an online
Octopus account on the web. Money will be deducted for online and
offline transactions, and money can be added at current Octopus
terminals or via Internet banking. It will also allow users to shop and
pay bills online. Given the development concerning the introduction of a
smartcard (including an eCertificate function) to replace the existing
Hong Kong ID card, synergies are expected to exist if Octopus were to
work together with the government on this issue. Since every resident in
a Hong Kong is required to possess an ID card, Octopus would thus gain
in trust and overcome security issues, as expressed by respondents. The
Hong Kong government could benefit from this arrangement, since Octopus′
technology and know-how regarding smartcards is advanced. If the
eOctopus model is implemented in Hong Kong, it could then serve as a
global role-model to the rest of the world, making eOctopus a successful
eCurrency for online transactions possibly beyond the boundaries of HK.
