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Essay / Research Paper Abstract
This 3 page paper looks at the strategy and progress of eBay in China and considers whether eBay in China will be more successful than the doomed Japanese venture. The bibliography cites 4 sources.
Page Count:
3 pages (~225 words per page)
File: TS14_TEebaych.rtf
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Unformatted sample text from the term paper:
that was too late. The withdrawal from that market has rendered the 17 full time staff that the company had in the area unemployed and in place of this strategy
was a $9.5 million purchase of NeoCom to access the Taiwan market (Kary, 2002). This may lead to lessons that eBay may be able to learn from in their attempt
to become a success in the Chinese market. 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 interne ruse 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 internet users (Sellers, 2004). However,
this was still a market that had a long way to go to reach the potential and compared to the US it was still small, the US had 189 million
internet users (Sellers, 2004). However, this does appear to show that the strategy in China was better than the strategy used in Japan, the company had entered the Chinese internet
auction market at a much earlier stage of development and as such may avoid the problem of entering a mature market where the main advantage has been the name and
the first mover advantage in other markets and flowing the lessons in Japan has been more adaptive to the Chinese culture. EBay in China has managed to become the
second largest online auction company, so fears of poor performance may be exaggerated. At the current time eBay managed to get 31.5% of the Chinese auction market compared to the
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