Ebay in China
eBay: How can eBay build its culture in China
I. Overview eBay is an online provider of marketplaces for the sale of goods and services. It also provides commerce, platforms, online payments services and online communications. It offers products and service to individuals and businesses. Established in 1995, the company operates in the US and other international markets with employs 16,400 people. eBay keeps its leadership position in the new industry – C2C (consumer to consumer) (Ou and Banerjee, 2005) market with the recorded revenue of $87 billion (datamonitor). It owns lots of websites including the auction websites and online payment websites under its brand name across the world.
In China, There are a lot of C2C platforms in the new emerged market, such as TaoBao, PaiPai and eBay (China). Taobao is a China based local C2C platform which Founded in 2003 by Alibaba Group after Ebay acquired Eachnet in China. It mainly caters to consumers in mainland China, Hong Kong, Macau and Taiwan. Within short 3 years, it has quickly developed the leadership position in the e-commerce industry in China. As described by Moss (2006), however, during the year of 2006, eBay quit its C2C market because of the pressure of local business competition. In China, in order to build a trustful relationship and a kind of confidence to take into the activities of online buying and transactions, C2C platforms encourage buyers to contact sellers. Also, buyers will negotiate the price and products detail with sellers through the communication.
China is a big population country with 1.3 billion people. It is a big source for the C2C e-commerce market. As one Beijing-based Western commentator has said: ”The road to internet riches in China is paved with corpses of American giants, and the body count continues to grow.” So in this research paper, I will address the problems that restrain eBay to develop in China and find the ways for eBay to make its success in China.
II. Problem
I. Overview eBay is an online provider of marketplaces for the sale of goods and services. It also provides commerce, platforms, online payments services and online communications. It offers products and service to individuals and businesses. Established in 1995, the company operates in the US and other international markets with employs 16,400 people. eBay keeps its leadership position in the new industry – C2C (consumer to consumer) (Ou and Banerjee, 2005) market with the recorded revenue of $87 billion (datamonitor). It owns lots of websites including the auction websites and online payment websites under its brand name across the world.
In China, There are a lot of C2C platforms in the new emerged market, such as TaoBao, PaiPai and eBay (China). Taobao is a China based local C2C platform which Founded in 2003 by Alibaba Group after Ebay acquired Eachnet in China. It mainly caters to consumers in mainland China, Hong Kong, Macau and Taiwan. Within short 3 years, it has quickly developed the leadership position in the e-commerce industry in China. As described by Moss (2006), however, during the year of 2006, eBay quit its C2C market because of the pressure of local business competition. In China, in order to build a trustful relationship and a kind of confidence to take into the activities of online buying and transactions, C2C platforms encourage buyers to contact sellers. Also, buyers will negotiate the price and products detail with sellers through the communication.
China is a big population country with 1.3 billion people. It is a big source for the C2C e-commerce market. As one Beijing-based Western commentator has said: ”The road to internet riches in China is paved with corpses of American giants, and the body count continues to grow.” So in this research paper, I will address the problems that restrain eBay to develop in China and find the ways for eBay to make its success in China.
II. Problem