eBay's Blue Ocean Strategy Strategic Sequence


 
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eBay's Blue Ocean Strategy Strategic Sequence
Chris Wiggins, Student (University), United States, Member
eBay operates in a Blue Ocean today due to their ability to capitalize on their first mover advantage and immense popularity. The BOS sequencing for eBay is:
- Buyer utility: eBay innovated a convenient way for sellers to list, and buyers to bid on and purchase, items online. The utility is clear for both buyers and sellers: buyers get the chance to purchase items at extremely attractive prices due to the buyer-driven market, and sellers are offered the exposure of a global marketplace in which to sell their items—all done with the excitement of an auction-style sale.
- Pricing: since eBay was only a sales broker of sorts, pricing was free for buyers and only a percentage of total sale price for sellers—and in its most basic format, sellers were only charged if the item sold. The online auction model was untested, and would be fairly easy to imitate by a competitor, so strategic pricing was set very low since volume was the...Sign up
 

 
BOS eBay Strategic Sequence - Adoption
Caroline Pittman, Student (University), United States, Member
eBay also eliminated risk by partnering with PayPal to handle their transactions. This was necessary as purchasing on the internet was not considered ...Sign up
 

 
Local Markets not Served Well
E. von Ammon, Business Consultant, Switzerland, Member
But eBay does not serve local and regional markets well. A Swiss competitor named Ricardo is the trusted platform to people in a small country who lov...Sign up
 

 
BOS EBay and Local Markets
Eva Niklaus, Business Consultant, Member
@E. von Ammon: it´s exactly what I try to tell to my Swedish colleagues. As a Swiss do I experience differences bet...Sign up
 

 
EBay BOS and PayPal Acquisition
Chris Wiggins, Student (University), United States, Member
Caroline: I agree, enabling PayPal was an extremely beneficial move on eBay's part.
This allowed all their users to pay with credit cards which...Sign up
 

 
Blue Oceans versus Golden Ponds
david walters, Professor, Australia, Member
Surely the eBay has been an example of looking for a compromise between competitive advantage and acceptable levels or risk. They as did Amazon and ma...Sign up
 

 
EBay and Regional Markets
Chris Wiggins, Student (University), United States, Member
@E. von Ammon: thank you for your feedback. I agree, eBay does not do much to foster regional trade. It is one of t...Sign up
 

 
Trade Barriers and Behaviour
E. von Ammon, Business Consultant, Switzerland, Member
@Chris Wiggins: you are right - more visibility is fine. But eBay still depicts a world of customs and trade barrie...Sign up
 

 
EBay and the Reality
Eva Niklaus, Business Consultant, Member
@E. von Ammon: I agree with you! I am living in Sweden for some years but I'm originally Swiss. All you tell is exa...Sign up
 

 
 


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