Case Study On Ebay

Published Date: 02 Nov 2017

Business Skills for E-commerce

1. What is E-business? Analyze the advantage and disadvantage of consumer adoption to the internet?

1.1 E-business is the means through which all the business that are just started can be conducted throughout the world which also known as the use of internet which help the business can reach up to the people to and make them the customer and helps in the promotion and selling of their good and giving the costumer about the service and offers that are provided by the business. ( nb2bc, 2012)

1.2 It is a mechanism for information dissemination and a medium for collaborative interaction between individuals and their computers without regard for geographic limitation of space (Leiner et al., 2000; Singh, 2002). The word Internet is derived from two words: "international" and "network". The Internet therefore can be defined as an international computer network of information available to the public through modem links (Bassey, 2003). According to Lagos (2003), the Internet is a worldwide system of linked computers networks.

Use of internet helps making life easier by sopping online but we are unknown about the product quality because of which it’s hard to know about the product quality that would be delivered. With the use of internet people are able to know about the product they want to buy and are able to buy the same product online because of which they don’t have to go the places to find the products Consumers may benefit from the shopping process being faster in the market-space than in the marketplace as a result of the rapidity of the search process and the transactions (Wigand & Benjamin 1995, Krause 1998). In tangible product categories, any home-shopping method involves delivery times which means that the Internet is at a disadvantage to physical stores as it fails to meet the customers’ need for instant gratification (Vassos 1996) And it also takes more time for the delivery which cause the loss of time. Use of internet helps making life easier by sopping online as the product are bought online costumer cannot get interacted with the person from whom they are buying the product which may reduce in the personal service. (Kangis & Rankin, 1996)

With the help of internet life has become easier than it used to be people are able to get everything by siting inside the room although it has made everything much easier in other hand it is making indirect effect in their health. Use of internet has made people lazy which has made people inactive. Even-though the use of internet the costumer are able to know about the different brand because of which they can compare the product which helps them in choosing the best product(et al. 1995, Hart et al. 2000) Internet shopping enables us to do instant comparisons, view user ratings, read reviews and make uniform and rational buying decisions. It is otherwise hard to understand and predict whether a certain product is really worth buying. By doing quick comparisons, we get a chance to explore all the positives and negatives of a certain product or service. But in other hand there are lots of Incorrect Reviews on the Internet because of which we are unable to know the proper detail of the product or service we are going to buy. Uses of the internet helps the people to run their business worldwide which helps the in promotion of their business in fast and effective way but internet is also the medium through the negative things about the business which may even cause the losses in the company as people had made the concept that everything written on the internet are the truth.

Now-days internet is used for e-banking purpose which has made banking easier but there the risk of the account to be hacked because of which their money may not be safe. Now-days lots of children are using internet in one hand internet is helping to grow their knowledge but in other hand when children talk to others online, they do not realize they could actually be talking to a harmful person. Moreover, pornography is also a very serious issue concerning the Internet, especially when it comes to young children. We can even use internet to freely download innumerable, software like utilities, games, music, videos, movies, etc. from the Internet. But while downloading these kind of stuff virus can be transmitted to our computer which may cause the loss of our important data that are inside our computer. Computers attached to internet are more prone to virus attacks and they can end up into crashing your whole hard disk, causing you considerable headache. (Universal teacher publications, 2012)

2. What are the risk and challenges of conducting international business? How can eBay overcome risk management?

2.1 International Business is known for its strong emphasis on strategy, and for maintaining a tight integrated flow between chapters.(Charles W. L. Hill,2009) There are many risk and challenges of conducting international business among which economic risk is one of them While conducting international business there is the unstable foreign ex-change rate and the tax of the country varies from country to country which makes the international business hard to run which may cause the business to go to loss. In other hand Political Risk is another risk of the international business. Because of the different legal condition, strike, political instability make the international business are unable to run smoothly. Because of the business company may go to bear a large amount of loss. In other side Social Risk is also a threat for international business the culture of the countries are different and the employee that are working for the business may be from different society following different religion with social values and norms because of which it become hard to have interaction with the people. (Zinearticles, 2012)

2.2 E-bay and risk management: E bay is one of e-business site but there are other e-business site in use who are the competitor for e-bay. EBay can focus on getting proper and secure security services to assure customer security (Hosting, 2010). These days yahoo is the most famous site for e-business because of which the user number of e-bay has reduced. It is even said that e-bay has been pulled out of Japan. E-bay should think of going to the level of yahoo as yahoo have best services with gaining the trust of the people where as E-bay is the means through people buy product of different brand but E-bay is unaware whether the good that are delivered to the costumer is of good quality or not. There have been lots of fake services in E-bay as well. To overcome such problem e-bay should able to check if the goods are of good quality and give the costumer the brief detail of the product so they are able to top of their service in e-business (eHow.com, 2012)

3. What kind of marketing strategy has eBay undertaken? How can eBay overcome risk that need management? If you were a marketing officer for the company what marketing strategy would you take? And why?

3.1. Marketing Strategy of e-bay: E-Bay is mainly focusing to increase its market place. The detailed objectives are defined to archive aim, with strategies. E-bay should be able to provide with good facilities which help the costumer happy it is trying to increase the its relationship with the best company because of which the will be able to increase their marketplace but these day e-bay is focusing on increasing the number of seller but they are not focusing on expanding their business worldwide and increase the number of new user which help in the increment of the revenue. Because of same problem it has to lose its costumer of Japan as well and the company which are in relation with eBay should reduce their rate. Which helps eBay to gain more user and can acquire them for long period of time as well. (ebay.co.uk, 2012)

Ebay.com (2003)

3.2 If I was a marketing officer I would use the strategy that are the cost effective and cost efficient which help in gaining the objective of the company. Which even help in getting more user and retain them for the longer period if the cost are low than all the people will be able to use the service of with the less amount because of which more user get adopted to E-bay so that it can take better position in e-business which help in competition e-business site like yahoo with other competitor (Helium, 2012)

REFRENCES

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Krause, J (1998), Electronic Commerce: Geschätfsfelder der Zukunft heute nutzen. Carl Hanser Verlag, München.

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Kangis, P & Rankin, K (1996), ‘Interactive Services: How to Identify and Target the New Markets’. Journal of Marketing Practice: Applied Marketing Science, vol. 2, no. 3, pp. 44-67

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WEB

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The Advantages & Disadvantages of the Internet -- Pondered.org. (n.d.). Pondered.org - A Little Bit of Info about a Lot of Stuff.... Retrieved August 16, 2012, from http://www.pondered.org/the_internet.html\

Risks in International Business. (n.d.). EzineArticles Submission - Submit Your Best Quality Original Articles For Massive Exposure, Ezine Publishers Get 25 Free Article Reprints. Retrieved August 16, 2012, from http://ezinearticles.com/?Risks-in-International-Business&id=1331702

Internet, Advantages, Disadvantages. (n.d.). IGNOU, Assignments, MBA Projects, Ignou MCA, BCA, Project Report, Assignment. Retrieved August 11,2012,Fromhttp://www.universalteacherpublications.com/univ/freeasgn/2008/cs610/page4.htm#