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Essay / Research Paper Abstract
EBay have been very successful in the US and Europe, but they seem to be having a number of problems in with the Asian markets. This 3 page paper examines eBay in Asia in order to identify the cause of the problems. Specific attention is paid to Japan and China. The bibliography cites 6 sources.
Page Count:
3 pages (~225 words per page)
File: TS14_TEebasia.rtf
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Unformatted sample text from the term paper:
withdrew again in 2002; China has also given the firm difficulties. It was believed that the initial failure in Japan was the late entry which went against the business model
that relied on eBay being an early entrant and gaining the first mover advantages (Belson et al, 2002). In Japan Yahoo had already been established and there was difficulty
catching up, in addition to this as well as being a follower eBay were charging commissions on sales, a move that was not competitive with the way that the competition
was operating, in addition to this there was also an interesting choice of CEO; Merle Okawara, who had been a successful business executive and turned around a failing company that
sold frozen pizzas into a multi million dollar company, but at the age of 60 it may be argued she did not have the knowledge and understanding of the
internet that would have been needed. There were mistakes in this entrance, and lessons learned may be applied to the later strategies as well as the reentrance into these
difficult markets. Despite these lessons there have been ongoing problems, which are indicative of a greater problems in the way that eBay is dealing with the Asian markets. When
looking at China as an example some of these problems may be easier to assess. The strategy to enter the Chinese market was made in 2001 following a tour of
Asia. China was first considered when eBay was entering Germany, but at the time Germany had 4 million internet users compared to Chinas 1 million (Sellers, 2004). However, the prediction
that the internet use would increase and that China would be a market worth the long term investment appears to be have been correct, by 2004 there were 84 million
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