Ebay Case Study

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EBay is an on the internet public auction company that was established in 1995. It provides a safe home where consumers from all over the globe can come together to engage in business. There are two primary issues faced by eBay that it is trying to address. The first and most obvious of which are competitors. Just like practically every industry, there are other players that want a piece of that industry. The second issue has to do with the perception of risk in buying from sales. Because, for the most part, all the providers are unknown to the customers, they cannot be completely sure that the supplier is genuine. Although it is easy for opponents to enter the industry, because of eBay’s great item identification, it makes it difficult for these new newcomers to be effective. Because there are not many limitations to access, the risk of competitors is great. There are few opponents that have grown large enough to competing eBay but they do cause a risk. The risk from providers and customers is little because of the company structure that eBay uses. The risk of alternati...

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