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    1. QUESTION

    I need two pages writing about ebay site

    the swot analyses for ebay and “educated” opinion regarding “gaps” in the market and trends at industry level
    I don’t want the writer draw the swot table and filling the page with table
    just write the items, I can add the table myself

    SWOT Table and explanation about it( just the items and contents not table) for eBay company and State “educated” opinion regarding “gaps” in the market and trends at industry level

    I have a sample for the same project for a different company that I need something like this for ebay, and I download some swot tables for my university site that the writer can use as a database( not copy & paste).
    As I mentioned I need the explanations and items not the table, I’ll make the table and will add to it.

 

Subject Business Pages 3 Style APA

Answer

EBay Inc is a multinational corporation that was established in 1995 in California by Pierre Omidyar. EBay deals in a variety of products and which are all transacted over the internet (E-Commerce Journal, 2010).  It is listed under NASDAQ and it has a market capitalization of 28.27 Billion as by the end of the year 2015.eBay Inc earned a total of $1.42 Per Share. Compared to Amazon Inc which has a market capitalization of 262.78 billion and Earnings Per Share amounting to $1.25.                 

In the year 2015, eBay made a Net profit amounting to $1.725 billion compared to a net profit of $46 million in 2014 However, the sales revenue 2015 were $8.592 billion compared to $8.79 billion in 2014 (Yahoo Finance, 2015). 

Internal Factors

EBay is able to trade with all the traders like single authors and other small scale traders to strengthen its revenue base while the weaknesses result in low product profit margins.

Marketing is one of the most effective practices that target the increment of e-commerce trade while other departments position themselves to benefit from effective advertisement (EBay Inc, 2014).

Improvement in personnel management increases the cost of sales but also improves the management of the business.

External Factors

The external factors that provided opportunities were the various payment systems that included PayPal that facilitated easier payment systems while the threats surfaced from threat posed by fraudsters, competition and existence of malwares (Diana, 2012). The competitive nature of e-commerce allowed eBay to establish various centers like EBay UK to extend its competitiveness while the threat posed were the extra cash flows that were required to finance the different projects (Stone, 2008).

The factors that facilitated the growth of EBay were the economic factors that increased customer confidence while reduced costs resulted in reduced sales.

Strengths

eBay has a strong platform in e-commerce globally which provides leverage against the other industry players. The company has efficient business models and brands that provide competitive advantage that offer improved and better services.

Weaknesses

The increasing cases of counterfeits products in the market have diluted the demand for original products that eBay distributes. The market is saturated by fake products that infiltrate the market and are available cheaply promoting dumping in the markets.

Threats

Increased taxes in the market result in low sales while internet fraud and malware increase the cost of conducting online transactions hence reduced revenues and profits. Prolonged litigation that is common in e-commerce business and intense competition create uncertainties and unprecedented risks.

Opportunities

The increasing popularity of e-commerce among online shoppers increases the market for more sales and profits. More advertisements and payment opportunities also increase more opportunities for more trade. 

The greatest threat to the existence of eBay is Amazon, an American e-commerce, cloud computing and online books and movie retailer that has extensive financial resources. The advertisements and unlimited promotional opportunities that Amazon has on its disposal is intimidating.

EBay expanded its operations and adopted competitive auctions together with fixed priced storefronts. Other foreign branches were also introduced like eBay UK and eBay US (BBC, 2008). While Amazon and eBay target their customers from the online networks it was clear that both firms had already segmented their products however some gaps were experienced in some markets. Other gaps were experienced when consumers were left unsatisfied with the products or lack of services or trade in some unique products like the sale of human organs. When making or receiving payments, eBay decided to purchase PayPal payment systems to improve its sales and profitability. However, more resources are required to improve some market gaps and also eBay continues to invest in more firms in bid to develop buyer and seller relationship.

References

BBC (2008) EBay to ban negative seller views” BBC News, February 5, Retrieved January 2, 2010.

Diana, S. (2012), “PayPal lays off 325 in effort to speed innovation”, San Jose Business Journal, bizjournals.com, retrieved October 30, 2012

EBay Inc (2014) Company Profile, Market Line retrieved March 1, 2016 from www.marketline.com

E-Commerce Journal (2010) “EBay’s history – know your roots!”. Ecommerce Journal. February 25, 2010.

Stone, B. (2008). “Court Clears eBay in Sale of Counterfeit Items”. The New York Times. Retrieved 2008-07-14.

Yahoo Finance (2015) Ebay retrieved from http://finance.yahoo.com/q/is?s=EBAY+Income+Statement&annual

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