Is Ebay Vulnerable to Assaults

Topics: EBay, Classified advertising, Online auction business model Pages: 2 (763 words) Published: October 8, 2011
Do you agree with Google and Microsoft that eBay is now vulnerable to their assaults via Google Base and Windows Live Expo? Why / Why not?

I do not agree with those contentions. I believe that eBay had already established a firm hold of the online auction and classified ads via the net to be seriously threatened by Google and Microsoft. eBay is the leading global brand for online auctions and it has manifested this leadership over the years since its establishment in 1995. The company is a giant marketplace used by more than 100 million people to buy and sell all manner of things to each other. Pierre Omidyar, a French entrepreneur, was just 28 when he sat down over a long holiday weekend to write the original computer code for what eventually became an Internet megabrand. The brand has grown tremendously over the decade or so since its conception and even if there are serious attempts to rock it from its dominant position in the industry, it is safe to say that the company can weather the competition. The company exploits the benefits of Customer Relationship Management (CRM). Buyers and sellers register with the company and data is collected by eBay on individuals. This is the Business-to- Consumer (B2C) side of the business. However the strong customer relationships are founded on a Consumer-to-Consumer (C2C) business model, where strong interrelationships occurs, for example where buyers and sellers leave feedback for each other, and whereby awards are given to the most genuine of users of the service. A testament to the strength of the company can be gleaned from the fact that the term 'eBay' has become a generic term for online auctions. Today it is common to hear that someone is 'ebaying' or is an 'eBayer,' or that someone is going 'to eBay. And while it is true that the emerging competitors try to give a good contest to eBay, it should be noted that the company was able to make full use of this as an opportunity to...
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