Blogonomics

What makes EBay special?

Being a pioneer in an industry flooded with fraud and short term survival rates can have its advantages. For EBay, it proved to be critical. I give you a hint; it’s all about its customers.

Review EBay’s business model and perform a SWOT analysis by identifying the company’s STRENGTHS, WEAKNESSES, OPPORTUNITIES and THREATS. Remember, the first two are internal factors affecting the organization while the last two are external factors affecting the company’s business environment. Feel free to point out errors in someone else’s comment if you feel the author has identified external factors as internal or vice-versa.

As a company that began during the internet bubble and saw most of its peers disappear in an industry based on future profits and unsound business models; Amazon is much more than a survivor, it’s an industry leader that has refuted analysts’ expectations. A bit of luck and destiny coupled with a great business model led to survival, leadership and eventually, profits!

If you are in my Marketing class, research Amazon’s promotion in terms of sales promotion and advertising. Make sure to point out the elements and how effective you think they are and why.

If you are in my Intro to Business class, find or compute Amazon’s EPS for the last 3 years. Compare these ratios to at least one of Amazon’s competitor’s EPS and determine whether Amazon has performed better or worst than its competitor(s).

Have fun!