Ebay in China - Case Study

Information system is analyzed as the parity. The reason is lack of a customer service hotline on eBay´s websites. But on the other side they try to meet needs their customer, e.g. facilitate payment system. eBay´s executives do not adopt the management style to Chinese conditions. For the majority of population was the only option to pay by cash, because of non-users of credit cards. Also there are problems with the system of auction, because Chinese people like face to face purchases and they are used to deal the lowest price and in auction- selling format usually the prices went up. These issues caused the evaluation of marketing and customer service as the parity. E-Bay had adopted various expansion strategies, both locally in the US and globally in new international markets. It builds a brand image in the US as an industry leader and tries to expand to other foreign countries. Additional temporary advantage related to the purchase protection because respondents extremely agreed that eBay did the best job in monitoring and protecting its users from purchasing counterfeit items from its site.

Amazon and Ebay are two well-known brands of online shopping sites. They have evolved and grown from small firms to the giants of e-commerce today. In this essay, a comparison would be made between the two firms.

This use case begins when a potential buyer visits the Ebay website to login or register with the intent of buying something.

EBay is an American transnational corporation that utilizes an online interface to transmit its business globally. To become a transnational corporation your business must facilitate its operations in more than one country. EBay hosts an online marketplace where consumers and merchants can trade new and used goods for discounted prices. EBay has made it easier to shop from other countries through the process of deterritorialization. The website is also a good example of globalizing culture; which will be discussed later in the paper. EBay has not only transformed the online marketplace, but has been especially successful doing so. In an interview conducted with Entrepreneur.com, a former Fortune 500 company IT consultant stated that, “EBay became a $10 billion company selling something used cheaper than new,” (Girard, 2011.) This emphasizes how successful this business has become and what the future may hold for EBay as well as companies alike.

eBay first entered the Chinese market in 2002 by acquiring a 33% stake in its local counterpart, EachNet, followed by a full acquisition a year later in 2003. Critically assess eBay.s choice of market entry strategy for China (use Key Country Matrix), listing both the advantages and disadvantages of its acquisition strategy (use Drivers (YIP) -CAGE Matrix). 30%

With the development of latest IT technologies, it started heavily focusing on information & communication technology (ICT). Among other technologies it focused especially on Big Data. This had a major role in making this company what it is today. They also used big data to improve its relationship with its customers and to give them more relevant search results which was far superior then its peers. They focused on collecting its consumer surfing habits to evolve a very predictive and relevant user experience. Finally, it can be said that ebay.com owe its success

Read the case carefully and answer the following questions: 1.Till 2005, eBay EachNet was the leader in the Chinese e-commerce market, controlling more than half of it. But eBay EachNet soon lost its market leadership position to Taobao.com (Taobao). In this context, analyze the reasons that can be attributed to Taobao’s edge over eBay. 2.a. To enable people to trade with each other, Pierre Omidyar created a marketplace in September 1995 which was later called eBay. By mid 1997, eBay received one million page hits per

This shows an unexpected approach in comparison to different US retailers that utilize E-Commerce passages in China to start their development of the organization (Bailey,

The website eBay is the perfect shopping destination for people who don’t like to leave the comfort of their comfy couch, and for people who enjoy taking advantage of some awesome deals! No matter how big of an online shopping fanatic you consider yourself to be, there is still so much that most people don’t know about this intriguing shopping destination. To find out all that there is to know, all you have to do is explore our article- still from the comfort of your comfy couch! Don’t forget to check back soon for our part two article, where we reveal the top eight lesser-known tricks about eBay!

Weakness: First, the most important issue in China is “Localization.” There are some services or products are useless in the Chinese market. For instance, most Chinese people don’t have

The Alibaba group has thrived in the Chinese e-commerce sector from its inception in 1998. They currently account for over 70% of online shopping in China and delivered annual revenues of $636 million in the 12month period ending June 2009 (case p1-2). Alibaba’s successes are due to multiple factors that have allowed them to create corporate advantage, and thus establish market leadership in China (Case p1). The configuration and coordination of Alibaba’s

Founded just before the turn of the millennium in Hangzhou, China, Alibaba Group has to date become the largest online retail website worldwide in the planet, its total transactions surpassing the sum of both Amazon and eBay’s (Erickson, 2013). The report explains its business and operation model and market strategy, before moving to explore the reasons for Alibaba Group’s success such as its established market share in the large market of Mainland China and its efforts to promote the perception of the reliability and security of e-commerce. Comprising of its future plans in logistics improvement, expansion into developing nations, integration with social networks, venture into mobile

As Tencent announced to take 15% stake of JD.com[1], which is the largest online retailer of China, in March 2014, it also implicated the failure of Tencent’s previous e-commerce strategy. In the

The e-commerce and online auctions industry is highly fragmented, with a large number of independent players occupying 78.2% of the market. With a low concentration, the two major players, Amazon and eBay, account for only 21.8% of the e-commerce and online auctions market. This indicates low barriers to entry as it not difficult for prospective competitors to establish an online shopping platform. Additionally, there are few specific skills required to participate in the market. Existing operators possess a number of competitive advantages over new entrants, such as reputation of product quality and consumer loyalty, while providing secure payment methods that have been enhanced for years. Furthermore, they also

The fact that eBay does have some successful competition means that its strategic capability has become less unique. There is a hint in their competitor profile that innovation and perhaps adaptability to different cultures as they innovate is not core to eBay and something which has been developed more successfully by others working within their own national culture. Indeed, eBay rules in its own territory of North America and in Europe. The search capability of eBay also means that niche players do not really make sense, whereas the consumer trust that comes from being a big player is worth everything when trading on-line, as is the notion that whatever you want it will be on eBay because of its size. Thus, the so-called network effects of eBay (the bigger the company, the more successful it will be) and its first mover advantage that has led to this level are key to its success.