Strategic Analysis of Ebay Essay Example | Topics and Well Written Essays - 1750 words

Strategic Analysis of Ebay - Essay Example Internal Analysis eBay has a strong base of 30 million subscribers (Hill and Jones, 2011: 123) and this include buyers and sellers who spend a lot of time and resources buying and/or selling on the website. Ebay is always listed amongst the pioneering entities and they started putting the internet to economic use in 1995 alongside the biggest names like Yahoo and Amazon (Hill and Jones, 2011: 122). This puts them in the category of the largest entities with the biggest brand recognition. According to Haberberg and Rieple (2010: 182), eBay has the most competent public relations officials and they come up with strong strategies to ensure that consumers are interested in their services. Ebay also has niche markets in different parts of the world and this is quite specialised and enables the company to get important returns and results in different areas. For instance, in 2005, eBay claimed that in an average day, according to their sales per minute, they trade one comic book in France, one mobile phone in China and one car in the United States (Haberberg and Rieple, 2010: 182). This shows the power of their technological capabilities and strengths. The company also aims at continuous improvement of their capabilities (Singh, 2009: 311). eBay spends significant sections of their income towards the acquisition of new companies like the acquisition of PayPal to support in e-commerce (Campos, 2007: 19). This kind of horizontal integration provides important competitive advantage in the industry.