ipl-logo

Five Forces Of Ebay

815 Words4 Pages

Abstract In 2008 announced that its long-time president and CEO, Meg Whitman was to retire and pass on her responsibility to a new president and CEO, John Donahue. After the transition, Donahue faced several significant challenges, including much slower growth in eBay's core online auction business. Competitive advantage is important role in developing sustain strategies. Using porter’s five forces, this paper analyses the five factors which affect eBay strategies. These factors are major in helping the company to identify the key issues and ways of coping with complexity and change. Finally this analysis looks into problems that top management of eBay is facing. With acquisition of other companies that support the company’s core business …show more content…

In the aspect of buyers, if the buyers are finding prices to be outrageous or equal to what they would pay if they went to a department store than eBay will be losing customers. The majority of eBay buyers are wanting bargains and/or collectable items without having to pay too much. So the buyers have an immediate impact on eBay and their strategies. With that being said, adding auction to the buyers shopping experience tends to make things a little more interesting for the buyer and seller. With substitutes, there are plenty of other places that people can take their business, like auctions, retailers, using the almighty “google” or search engine, and doing price comparisons, which all will have an impact. Since eBay sells a lot of products they are exposed to being substituted. eBay seems to be booming with information technology and even with its competitors like, Amazon and Craigslist, they still don’t compare to eBay’s auctioning interface, even though they list the same products with similar prices. EBay also has brand recognition unlike their competitors which works to their …show more content…

(1) EBay should pay more attention and work to improve attention to all of their subsidiaries. By improving these subsidiaries and bringing them all together will create a powerful cooperation that will surely improve the eBay business. (2) EBay needs to address its online auctions and business so that they can bring the company more market shares. By addressing this they would need to look into the acquisitions that would be relevant to the company’s business and the individuals that can help with this can aid the company in helping to achieve this financial goal. (3) EBay feedback forum is another thing that can be improved. By eBay organizing and reevaluating it would be helpful to eBay and customers in many ways. Issues that are critical for the eBay business and should be a priority is so that their operations for customer and seller will increase. They should continue expanding globally and merge into more markets and should also redefine the company’s strategy so they can incorporate the acquisitions and expand to more things besides just

Show More
Related

  • Tootsie Roll Financial Analysis

    668 Words  | 3 Pages

    At present the organization serves over 200 countries providing “goods, dollars, and know-how” (UPS, n.D., 1). Usahas a few stores located in these countries, together with the USA, the place people cannot best have their applications sent, however they can additionally buy supply merchandise from them as good. On September 5, 1995, Piere Omidyar situated eBay sitting in his residing room. EBay acquired it first begin with a lie declaring “that it used to be situated to support Omidyars finacee trade Pez sweet dispensers and that lie was once again with the aid of a public family members supervisor in 1997.

    Read More

  • Summary Of The Science Of Shopping Paco Underhill

    778 Words  | 4 Pages

    The thought of being observed without consent is quite troubling, disturbing even. Those who intrude on other’s privacy are seen as outcasts in society; spying is socially unacceptable. These individuals are often referred to as ‘voyeurs’, or most commonly, ‘creeps’. Malcolm Gladwell’s article, “The Science of Shopping” discusses the research that Paco Underhill collects as a ‘retail anthropologist’; which is obtained through hidden cameras.

    Read More

  • Art Rooney And Joined The National Football Team

    1643 Words  | 7 Pages

    After doing research for this assignment, it helped me to understand that, first various teams and organizations run and do things differently from one another. It showed the variety of positions and the responsibilities that each one holds. It gave me a more defined insight of the corporate structure of the

    Read More

  • Trader Joe's Case

    1669 Words  | 7 Pages

    Introduction Re-invention and targeted approach towards achieving competitive advantage were the key strategic actions taken to make Trader Joe’s (TJ) from a glorified regional convenience store to a nationwide specialty retailer, and that might just be the most important thing in the supermarket business. The footprint of this success lies in the efficient utilization of the company’s resources and their unique capacity to deploy its resource and capabilities(BB835). The result of such unique circumstances helped TJ to stay far ahead of its competitors in terms of customer satisfaction and brand loyalty. This TMA proposes that, through a company’s resources and capabilities TJ managed to imitate Key Success Factors (KSF) that created value,

    Read More

  • Dick Smith Failure Case Study

    1023 Words  | 5 Pages

    The first section of this essay focuses on the possible causes of corporate failures, including dominant CEO, poor strategic decisions and the failure of internal control.

    Read More

  • Target Expansion In Canada Case Study

    655 Words  | 3 Pages

    Adoption of e-commerce would also help market Target stores on the internet, an area in which the discount store has really

    Read More

  • Business Case Study: Porter's Competitive Rivalry: Julia Juice '

    902 Words  | 4 Pages

    CASE STUDY 2 INTRODUCTION Julia Juice, one of the world’s largest juice retailers who owns 1200+ stores in whole UK and USA. As it grows by year 2005 the growth becomes three times. Porter’s 5 Forces Porter 's competitive analysis will help us to understand the competitiveness of JJ business environment, and identify their strategy 's potential profitability.

    Read More

  • Apple's Competitive Advantage Strategy

    704 Words  | 3 Pages

    Often media points to Apple’s massive cash reserve as a key strength that the company could leverage to become even more successful (Ferrell & Hartline, 2014). If Apple asked, what should Apple do with the cash (Ferrell & Hartline, 2014)? Apple could better meet the consumer's needs and wants by strategically investing that cash for the company’s future by developing and leveraging a competitive advantage strategy (Ferrell & Hartline, 2014). A competitive advantage stems from strengths the organization possesses and weakness the competitor possesses (Ferrell & Hartline, 2014). Having a competitive advantage over their competitors can also be based on perception rather than reality (Ferrell & Hartline, 2014).

    Read More

  • Porter's Five Forces Of Twitter

    903 Words  | 4 Pages

    This theory is based on the concept that there are five forces that determine the competitive intensity and attractiveness of a market. Porter 's five forces help to identify where power lies in a business situation. This is useful both in understanding the strength of an organization 's current competitive position, and the strength of a position that an organization may look to move into. Strategic analysts often use Porter’s five forces to understand whether new products or services are potentially profitable. By understanding where power lies, the theory can also be used to identify areas of strength, to improve weaknesses and to avoid mistakes.

    Read More

  • Walt Disney Porter's Five Forces Analysis

    1089 Words  | 5 Pages

    3 Porter’s Five-Forces Model Analysis Different factors can be combined together in a simple business model. This is known as Porter’s Five-Forces Model and competitive circumstances of an industry can be analyze through this model. These five forces are critical forces that they determine the attractiveness and competitiveness of an enterprise and have influence on a firm’s profitability in its industry. The five-forces analysis can not only show how Walt Disney company builds a sustainable competitive advantage in Entertainment-Diversified industry but also can seize business opportunities in future development.

    Read More

  • Holiday Inn: Porter's Five Forces Of Industry

    1384 Words  | 6 Pages

    This model is considered as the most potent and useful tool and is widely used by organisations. This model deals with external factors that influence the nature of completion and internal factors how firms compete effectively to be more profitable. Porter’s 5 forces is used. Industry Rivalry : Porter (1980) reiterated that intensity of rivalry is dependent on number and size of direct competitors as numerous and/or equally balanced competitors may lead to intense competition. The rivalry for market share becomes intense when product differentiation and switching costs are

    Read More

  • What Is Amazon Using The Competitive Forces And Value Chain Model

    879 Words  | 4 Pages

    Analyze Amazon.com using the competitive forces and value chain models. How has it responded to pressures from its competitive environment? How does it provide value to its customers? a) Competitive forces analysis i) Entry of competitors It is easy for competitors to enter the market by establishing an e-shop and Amazon laid the groundwork for competitors (Flat World Business, n.d).

    Read More

  • Five Forces Of Walmart

    989 Words  | 4 Pages

    Walmart has succeeded in achieving the leading position in the retail industry. Walmart now stands as the biggest retailer in the world. However, the external factors constitute pressure on the company that must be address carefully. By analyzing the five forces of external factors we will define the nature and power of our rival power in the market. The five factors are competitors from rival, potential new entrants, substitute products, supplier bargaining power and customer bargaining power all of these competitive forces affecting Walmart position.

    Read More

  • Hup Seng Industry Analysis

    1304 Words  | 6 Pages

    The increasing level of competition decrease the profitability. Moreover, this tool provides a foundation to formulate strategy and recognize the competitive landscape in the same industry of the company ("Industry Analysis | Porter’s Five Forces | Competition,"

    Read More

  • The Cause And Causes Of Online Shopping On The Internet

    996 Words  | 4 Pages

    Users have more opportunity to choose and compare products they want to purchase or easily find and select specialized products. This kind of open market place would increase competition, provide benefit for industrial buyers as it will promote better quality and more variety of goods. Nowadays, the desires to shop and buy through the Internet become a trend to the people. Usually, the rate when people use to online shopping is during the festival season such as Hari Raya Aidilfitri.

    Read More

More about Five Forces Of Ebay

Open Document