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How does an online store work?
How does a typical transaction at a retail store work? You select the items you wish to purchase and put them in your shopping cart. When you're ready to checkout, you take them to a sales clerk at the cash register where you are given the option to pay by cash, check or credit card. The cash register used to process your payment is actually referred to as a Point-of-Sale (POS terminal). The cash register (POS terminal) is connected to the retail store's bank processing network where the credit card and/or check is verified as valid either with available credit and/or a valid banking institution. You are then given a receipt and the transaction is complete.
E-commerce services are very similar and operate just as stated above, only without a sales clerk. Just think of your computer as your sales staff.
E-mail receipts are sent after a transaction is processed giving your customer an instantaneous online verification that the transaction was completed.
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