Electronic Commerce & Prosper.com

Your book does not go in-depth about the C2C based business models. These business models facillitate various transactions between two individuals (e.g. eBay, Half.com, Amazon Marketplaces). In late 1990s and early 2000s, many people were not fully convinced that a business model where two strangers trade the items using eBay could be successful. Now, eBay is a successful phenomenon. One other C2C model which has passed its infancy stage, and still surviving, is Prosper.com. It allows lending and borrowing money between two strangers.

Evaluate this C2C based electronic commerce business model and provide your insights into how, if at all, it can potentially impact traditional lending/borrowing businesses like Credit cards for example.