EBay Australia Opportunities and Challenges

Document Type:Thesis

Subject Area:Business

Document 1

com. com, eBay. com. au, Alibaba, OLX, and others are the most talked about stores in connection to E-commerce industry based on their ranks and share in the E-commerce market. This proposal will propose a method of examining the challenges and opportunities facing eBay. au online services in Australia by considering pressing issues that it undergoes while operating as an online platform for B2B and C2C in the Australian business industry. Challenges such as competition from Amazon. com, hurdle in fulfilling client demands, and cases such as security breach, system failure, delays in product delay, and unreasonable tax rates will be analyzed. The study will as well investigate a number of opportunities that eBay. com. Literature Review The previous research settled that eBay has had a good record in the Australia E-commerce market for a period of eight years favorable.

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Regardless of its humble fright, today, eBay. com. au now relishes prosperity and manages around eleven million online shoppers, thus exposing Austria to the E-commerce world according to the outcomes from earlier research. The study concluded that the company catalogs 8. New technologies as well as advanced ways of transacting online shopping has introduced a new wave on shopping practices, and it is for this reason that Austrians prefer online shopping due to its effectiveness in service provision. Information from previous research put forward that eBay is a notorious podium in Austria that acts as a stopover whenever customers need online shopping. The study claims that in 2016, eBay reported a total of 7. 8 million Austrians shoppers aged 14 and above outpacing the number of visits made in Amazon.

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com Australia and thus, presenting a dramatic market gain for the company. com venturing into the Austrian market with an ambition of filling customer breaches that eBay has been struggling to live up to. However, according to Chief Marketing Officer Tim MacKinnon, the decision cannot impact the market share that eBay subjugates in Austria and thus, Amazon. com will have a difficult time trying to match the time and experience eBay has had in the Australian online market. The greatest challenge eBay encounters is the corporation with Parcel Point, and research from previous study points out that this corporation continues to limit eBay’s development and customer reachability (Resnicket et al. , p. Thus, as per information from previous study, these are among the foremost opportunities as well as tests that eBay faces as an online shopping platform in Australia while upholding its position in the online market as the prominent podium for most online shopping activities in Australia.

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Research Questions 1. What are the opportunities and challenges that eBay is likely to linger experiencing in Australia as an online shopping platform following the fact that Australians do a lot of online transaction? 2. Why eBay is the most favorite online shopping store in Australia and how has its technology subsidized to its attractiveness in its service delivery? 3. In relation to the various challenges that the company runs into in the Australian market, how has eBay retorted to some of its challenges that might impact its business maneuvers? 4. Also, data collected through “Break-Even Analysis” intends to examine how through its payment system has attracted massive customers to the site since it is a common system of payment it applies (Jurevicius, par. The study will also examine current research through SWOT analysis of the organization, to understand its brand and competitive advantage over other companies such as Alibaba, Amazon.

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com, and others who are yet to prove their trustworthy in the Australian online shopping industry. In an attempt to understand its exchange rates, “Break-Even Analysis” method is crucial as it will help explain the problem eBay must face in the process of converting part of its income that comes from foreign operations to dollars and compare its sales volume and the production of the business (Jurevicius, par. The aim of applying these techniques is to understand why most Australians shop at eBay, its business model and technology based, and how it offers a unique customer experience forum that allows interaction between sellers and buyers through examining various research (Eghoff and Mabey, pg. Some of the opportunities that eBay continues to enjoy as an online podium for most Australian online shopping include; application of smartphones to shop, the introduction of various innovations that are customer based, large customer base, advanced technology such as artificial intelligence as part of its customer service deliver.

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However, some of the challenges that might have a profound impact on the eBay business operation in Australia include scenario such as competitive nature from Amazon. com as it plans to venture in the Australian market, exaggerated tax rates, delivery delays, security breach, and the failure of their shopping system on a regular basis. The study will apply “SWOT and Break-even analysis techniques” to address research questions regarding eBay’s online operations in Australia by exploring mainly the strengths as well as weakness this organization encounters. Work Cited Bajari, P. User perceptions of end user license agreements in the smartphone environment , 2011. Hasker, K. & Sickles, R. EBay in the economic literature: Analysis of an auction marketplace.  Review of Industrial Organization, 37(1), 2010.  Experimental economics, 9(2), 2006.

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