Nowadays, in the era of technology, countless companies strive to protect their online platforms and enhance the protection of their information. Firms that use technology frequently incorporate software systems to gather data on their customers and develop their services. While Amazon and eBay share similar information systems that are beneficial for collecting client data, their systems have certain disadvantages, such as the corruption of data.
It is essential to identify the systems used by both companies. In the case of Amazon, the primary information system is Amazon Web Service (AWS) (Prakash & Prakash, 2020). The company uses it since it enables efficient synchronization of all internal business activities for an improved customer experience. In contrast, eBay has incorporated an eBay management information system (MIS) (Prakash & Prakash, 2020). The firm prefers it for decision-making as well as for the organization, monitoring, interpretation, and presentation of data.
When it comes to data use, Amazon collects and manipulates data from three key sources. These include the information customers give, the facts that it discovers on its own, and data from other sources (Prakash & Prakash, 2020). The advantage of this approach is that the data can be manipulated to make offers to customers. EBay collects the data in a similar way but uses it for a variety of purposes, including measuring site performance and spotting fraud (Prakash & Prakash, 2020). Therefore, the similarities of the information systems involve a focus on customers and their safety. As for the competitive advantage, Amazon’s system gives it a competitive edge in terms of predicting customer desires. However, the system of eBay is concerned with identifying fraud. Still, it is noteworthy that there are disadvantages to information systems. Both Amazon’s and eBay’s systems have sensitive information about the firms that can be utilized for crime (Prakash & Prakash, 2020). Data corruption by hackers hurting company requires constant monitoring and filtration. Therefore, both services and products can be affected by a data breach since the information about purchases of products can be used by hackers.
Hence, Amazon and eBay use information systems beneficial for customer data but dangerous in terms of the data breach. However, they have drawbacks, such as data corruption. For Amazon, Amazon Web Service serves as the company’s central information system. An information management system for eBay has been implemented. The information systems of both companies focus on clients and their safety, which is one of their shared characteristics.
Reference
Prakash, N. & Prakash, D. (2020). Novel approaches to information systems design. IGI Global.