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E Bay

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Submitted By vaibhav
Words 513
Pages 3
Name: Nirupam Kulkarni

Roll No. 31

Case: eBay

Company Background:

1. Started by Pierre Omidyar in 1995, in the year of its boom it had recorded 2 million transactions

2. Mostly antique items, but covers items ranging from toys, gardening equipment, restaurant equipments to cars, Traded $9 Billion worth of merchandise in 2001.

3. In 2002 it had 37 million customers and $129 million profits

4. Just a mediator between sellers and buyers hailing from diverse social and economic background.

Community and Customer Involvement:

1. Contention that eBay was started as an open market between good people, which prefer honest dealings.

2. The whole business depended on trust between buyers and sellers who have not even seen each other.

3. Even with an extremely low fraud rate, the company insured its auctions up to $200 for an auction. Strict disciplinary action was often taken against consistent defaulters.

4. The website was built as a community of individuals according to their own preferences, so that it will reflect what the community of traders on the site believed the trading platform should be rather than the developer community.

5. The technical issues and website appearances, packaging and shipping policies, categories are decided by the customers and the company together, through community help boards for the community user’s issues and opinions, discussion forums and category specific chat-rooms.

6. The company knows it must change with its members and thus is continuously expanding and evolving the scope of its operations e.g. new categories added every month.

7. Managers across geographies are responsible more for understanding the views and opinions of the customers as they were rather than conditioning them.

New Developments:

1. Launch of fixed price internet retail sales

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