eBay Analysis Essay -- Case Study SWOT Business Model, solution

I. eBays VisionII. eBays Business ModelIII. Industry abbreviation Background Porters five forces SWOT analysisIV. eBay FinancialsV. Summary and RecommendationsI. eBays Vision eBay was founded in the San Jose living room of Pierre Omidyar back in September 1995. The basic vision Omidyar had when he founded what became eBay was to create a person to person trading confederacy based on democratic market place principles these principles allowed for a free flow of information, communication and ultimately transaction on tens of millions of items finished the internet. Along with the help of Meg Whitman, a skilled branding manager, and a of age(p) staff from such heavily branded companies as PepsiCo and Disney, they established a strong mission for the company- that eBay be a company that is in the business of connecting people, not selling them things. This founding vision set the course for eBays explosive growth, making it the worlds online marketplace for the sale of goo ds and services by a diverse community of individuals and businesses. II. eBays Business ModelSince its inception in 1995, eBay has fabricate the market leader and innovator in the online auction industry and its brand has accordingly become synonymous with e-commerce. Rapid growth and being the first to market served eBays competitive strategy of differentiation well there was really nothing give care it out there unique service, broad range of products and global reach. In addition, their target audience was quite diverse-on the buyer side you had everyone from hobbyists and collectors to the bargain hunters on the marketer side you had antique dealers, casual sellers, mom-and-pop businesses selling unique items and finally large well-known corporations liquidating their inventory. Buyers and sellers are brought together in a manner where sellers are permitted to come items for sale, buyers to bid on items of interest and all eBay users to browse through listed items in a full y automated way. The items are arranged by topics, where each figure of auction has its own category.In terms of its core compentencies, eBay has both streamlined and globalized traditional person-to-person trading in the national and international arena, which had typically been conducted through such forms as garage sales, collectibles shows, flea markets and more, with their web interfac... ...ompetition. eBay has proven itself successful as the first to market-it should use its experience to be the first to market in places wish well India or Poland. Exhibit 1. SWOT analysis of eBayStrengthsBrand imageAbility to sell unique products/product diversitySheer volume of transactions connection and feedback forumSafety featuresKeen acumen in managing the value chainSenior managementStrong financials-revenue growth, profit margin, stock price, etc.First to marketWeaknessesInability to sell at high volumesSlower response to infrastructure overloadFraud cases/nonpayment to sellersOppo rtunitiesValue chain partners/alliances/acquisitionsDeveloping nations going online Their wider debate of market penetrationFixed price transactionThreatsTechnology threats such as viruses, power outages, system overloadLoss of market share in online auction industryRevenue/market share loss due to fixed price auctionsHigh profile fraud cases/security breachesPolitical unrest, capital volatility in developing markets