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Business System Analysis: ERD Entities and Relationships

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Abstract

This paper examines the design of a business system for Petrie's Electronics through the lens of entity-relationship diagram (ERD) development. It identifies and describes six core entities — customer, transaction, product, promotion, coupon, and services — and outlines the attributes associated with each. The paper explains which attributes serve as identifier keys and why certain entities require them while others do not. Finally, it explores the relationships between entity types, including those linking customers to transactions, products, promotions, and coupons. The discussion illustrates how a well-structured ERD supports efficient data management and business decision-making.

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What makes this paper effective

  • The paper systematically addresses each of the six entities in turn, giving the discussion a clear and predictable structure that is easy to follow.
  • It connects abstract ERD concepts (identifier keys, entity relationships) to concrete business functions, such as age-gating purchases and authenticating transactions via server records.
  • The relationships section builds logically on the attributes and identifiers sections, showing how the earlier analysis supports the later relational model.

Key academic technique demonstrated

The paper demonstrates applied systems analysis by decomposing a real-world business scenario (Petrie's Electronics) into formal data-modeling components. Rather than describing ERD theory in the abstract, the author grounds each concept — attributes, identifier keys, and entity relationships — in specific business use cases, which is a core technique in information systems coursework.

Structure breakdown

The paper opens with a brief introduction contextualizing business systems within technological advancement. The body is divided into three analytical sections: the first catalogs attributes for all six entities; the second evaluates which attributes qualify as identifier keys; and the third maps the relationships between entity types. A short conclusion ties the discussion back to the ERD's practical purpose. This structure mirrors standard system-design documentation.

Introduction

In the wake of technological advancements, there has been remarkable development and progression across all sectors of life. Education, political, social, and business systems are among the areas most affected by growth in the technology sector. The business sector in particular reaps immense benefits from these developments, creating a vast market for system developers who work to build tools that perform a wide variety of functions. Business analysis systems establish working and management environments that are simple and convenient to operate, helping organizations manage and analyze the data and information that concern them. The preliminary development of the entity-relationship diagram (ERD) discussed here aims to produce such a system for business management.

Attributes of Each Entity

The business system relating to Petrie's Electronics has six sets of entities that govern the range of data the system can hold. These entities have different types of attributes that help collect the required information. The entities include the customer, transaction, product, promotion, coupon, and services. Together, they direct the attributes present in the data flow diagrams for the system.

The customer entity can take various attributes, including customer ID, customer name, age, sex, and time of arrival, among others. The customer name attribute is useful because it identifies who purchased which item. The age attribute serves control and security purposes, as some items cannot lawfully be sold to people below a certain age — for instance, adult products cannot be sold to minors. The sex attribute can help maintain a database to determine which demographic has greater purchasing power, thereby influencing stocking decisions for the business. Finally, the time attribute records when an item was purchased, which supports security by limiting opportunities for theft and also protects customers, who can identify the time of purchase when reclaiming a product.

The transaction entity describes the process of each transaction and can hold several attributes, including the time of transaction, the form of transaction, and the server of the transaction. The time of transaction records when the transaction occurs, ensuring clean record-keeping of all purchases. The form of transaction records the terms of payment — whether the exchange involves goods-for-goods, a visa card, or cash. The server of the transaction records the person serving the customer at the counter, which serves authentication purposes.

The product entity consists of the following attributes: product name, product ID, serial number, price, and quantity. The product ID, serial number, and name together identify the product in question. The price and quantity attributes guide customers in making purchasing decisions and help the business deliver value. The quantity attribute is particularly useful in stock management and pricing strategy.

The promotion entity is governed by a set of conditions; the specific settings of the business help determine promotional criteria. The purchasing behavior of customers also influences the promotion aspect of the product. This entity is designed to reflect quality products and additional service incentives that encourage customers to return.

The coupon entity is useful for customers who do not wish to complete transactions entirely in cash. A business that offers coupon services helps customers achieve more purchasing power within a limited budget. Finally, the services entity holds attributes related to recording and reporting. Although this entity can be costly to develop, a well-built services component helps determine which products customers wish to purchase and supports the overall operation of the system.

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The Identifier Attribute · 190 words

"Which attributes serve as unique identifier keys"

Relationships Between Entity Types · 180 words

"How the six entities relate to each other"

Conclusion

The six entities of Petrie's Electronics business system — customer, transaction, product, promotion, coupon, and services — each carry distinct attributes and identifier keys that together enable a coherent relational data model. By clearly defining these entities and mapping their relationships, the ERD provides a strong foundation for a business management system that supports efficient data handling, secure transactions, and informed decision-making.

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Key Concepts in This Paper
Entity-Relationship Diagram Customer Entity Transaction Entity Product Attributes Identifier Key Promotion Entity Coupon Entity Data Management System Design Petrie's Electronics
Cite This Paper
PaperDue. (2026). Business System Analysis: ERD Entities and Relationships. PaperDue. https://paperdue.com/study-guide/business-system-analysis-erd-entities-relationships-91416

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