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Swot Analysis of Ebay

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Date : May 9, 2013
Strategic Management
SWOT analysis of eBay
Company : eBay Inc.

Introduction

eBay is an international online marketplace with a global customer base of 233 million. It is a multibillion business operating in 37 countries. There are millions of items listed on eBay, including antiques, toys, books, computers, sports and electronics, amongst many others.
In this assignment, I will perform a SWOT analysis of the company, then I will outline the strategies pursued by eBay.

Company background (sources : ebay – wikipedia)

|Name |eBay Inc. |
|Industries served …show more content…

No matter how many precautions eBay takes computer hackers and thieves will find new ways to trick honest shoppers.

2. Increasing numbers of online trading sites and competitors : eBay already has many competitors including Amazon.com, Online shopping is becoming more and more common. Stores such as Target and JC Penny have developed sites where people can shop from home. This poses a large threat to eBay. It is now not only competing with other online auction sites but also online retailers.

Analysis of eBay’s Strategies and business model

1. Business Level Strategy
Broad differentiation eBay competes in the online auction industry using a broad differentiation strategy. eBay may not be the most inexpensive online auction site, they have the largest variety of products offered. They also appeal to a larger group of consumers that include individual sellers, small entrepreneurs, and corporations all over the world. eBay achieves broad differentiation through their strong eBay community, a global reach not matched by any competitor, and a category span of 27,000.
The main ways that eBay differentiates themselves is through:

a) Variety of products offered • eBay boasts a category variety not matched by any competitor with over 27,000.

b) The eBay Community • eBay wants their customers to feel like they are a part

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