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Research On Marketing Operation Strategy Of EBay China

Posted on:2006-09-11Degree:MasterType:Thesis
Country:ChinaCandidate:L XunFull Text:PDF
GTID:2166360155454752Subject:Business management
Abstract/Summary:PDF Full Text Request
Founded in 1999 eBay China, the courageous explorer in the vast of China's C2C e-commerce module, was the online exchange platform of the biggest scale, generated the largest exchange volume, and stood in the market most recognized. Mr.Shao Xiao Bo, one of the founder of eBay China, has accomplished the cycle of enterprising by cloning eBay's business module and by practicing C2C with the operation of risk-capital, which ultimately led eBay China into a new era in the international market after being brought in at high price by eBay. As the pioneer of China's C2C e-commerce, eBay China born the double tasks of developing market on one hand, and educating it on the other, at an inevitable cost and took the responsibility of becoming a pioneer in its industry. However, with the advantages of being the first, eBay China failed to tackle the changes of entering the fierce war-era of C2C e-commerce and stood itself at the crossroad of the business embarrassingly. There are both achievements and hidden worries in eachnet's market development status quo. After 6 years'cultivation and exploiter by eachnet, broad and reliable brand recognition has been built up, and a swarm in a mass scale of clients to has been solidified. Eachnet's high quality exchange platform attracted stunning exchange volume, and hence cultivated the very first mature C2C business module in China. What's cannot be taken optimistically is that facing strong challenges from mighty opponents eachnet gained little after several unprepared fighting, which postponed the profit earning schedule of eachnet. The market environment eachnet is now in is tightly connected with the national condition of China. There are both attractive opportunities and threats from immature environment. As China's e-commerce is still in its preliminary stage, logistic system is not up to modern standards, payment methods are not sophisticated enough, and the on-line exchange institutional environment and credit mechanism are far from complete, on-line consumers'conception and behavior of consumption are not consistent. However, we see bigger opportunity than threat and also see the immense potential for e-commerce in China. Taobao.com and 1pai.com joined the battle for the substantive capital bonus in this industry as the major opponents to eachnet and form a situation of tripartite confrontation. Away form eachnet, these new comers take quite a portion of market share as well as new clients. In such a competitive market, eachnet keeps its advantages but at the same time is surrounded by challenges and threats. Taobao.com, appears as an aggressive challenger, attacks adopting the strategies of offering low-price products and intensive advertisements coverage, which creates really some hard times for eachnet. Relies on its outstanding heritage, solid capital base and sophisticated market experience come with the birth of 1pai.com that processes huge potential by working only on what is necessary. The live and let die battle between eBay China and taobao.com is confrontation between two profiting modules of two market players at two different positions. There pushed eBay China into unstable and embarrassing situation. In the face of competition, eBay China has to hold its stand. Making reactions or counter strikes to what opponents have done is not a proper operation strategy for itself as a market leader. The right approach is to create new operation modules or methods so as to enlarge the overall capacity of market needs, and to increase its market share consistently by earning more new clients and greater exchange volume. EBay China users'consuming behavior shows more imitativeness, which guides eBay China to imply customized services to fulfill their distinct needs. And such customized services enabled eBay China to more easily introduce the users to the convenience and fun throughout their online exchanges. The immense inclusiveness of Internet and the infinitely expendable client base offer easy solutions to eBay China's market subdivision. Being the one who's on the edge of industry, eBay China grabbed the chance and designed differentmarketing strategies for campus, newly-formed family and online games etc. respectively by starting with product planning, distribution channels, pricing policy and promotion methods. This has greatly enhanced eBay China's competitiveness on market details. The orientation of eBay China is to be an "online exchange engine", to be a bridge connecting small and medium sized enterprises, individual sellers and buyers, and exert itself to be consumers'first choice in China's C2C area. The marketing strategies of eBay China always root from clients'actual needs. With the harmonious network community installed, the clear, good-looking and user friendly interface for the exchange platform, the quality "product", enables the building of solid and lasting relationship between eBay China and its clients, and brings touches of warm colors to the cold business process. Also, a couple of special channels were found quite suitable for eBay China. However, there is much room for improvement in respect of customer services, since eBay China 100% copied eBay model on pricing policy. Idealism in the face of the "free"weapon from competitors can do little to fight back. Although target groups are locked on in its expensively invested marketing activities the expected outcome was not reached and that was jut one thing. The other was that triggered another collective deviation of some existing clients. EBay China's operational strategies provides great experience for local C2C industry. EBay China has done a lot of experiments on personal credit system in China when there is none beforehand. An efficient credit management system for enterprise clients was set up. This system, with Chinese characteristic integrating advance experience of international counterparts, has not only offered eBay China safeguard, but also becomes a model that its competitors anxiously imitate. By adopting after-sale mutual evaluation both from buyers and sellers, the system build up users'credit records to limit the risks exchanging online and hence increases the volume continuously. However, the credit system of eBay China was shaken under attacks from competitors. By eliminating the credit limitation for buyers, the exchange volume was boosted but at the cost of its advantage of enjoying a good credit...
Keywords/Search Tags:Marketing
PDF Full Text Request
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