eBay Takes On Amazon discussion
Visit and explore the websites of eBay, GSI Commerce, and Amazon.com. Read the required Steigrad article. Respond to the following:
a. Consider the article’s statement, “The deal will take eBay one step further away from its decelerating auction model while strengthening the company’s fulfillment and customer service operations, two of Amazon’s strengths.”
• Why might eBay’s auction model be “decelerating”?
• How will the acquisition of GSI “strengthen eBay’s fulfillment and customer service operations”?
b. Was the acquisition of GSI a complementary or supplementary fit into eBay’s strategic portfolio of products? Why?
c. According to the article, analysts estimated Amazon’s 2010 revenues to be $44.93 billion, while eBay’s was only $10.47 billion. How effective might this acquisition be to achieve the goal of “chipping away at rival Amazon.com Inc.’s lofty online retailing business.”
d. Was this acquisition a good strategic decision? Why or why not?
Explain your rationale. Respond to at least two of your classmates’ postings.
MUST USE OWN WORDS NO PLAGIARISM!!!!
here is the link for the discussion
Here is the article for the discussion
Ebay Buys GSI For $2.4B To Close Gap With Amazon
20140724032414proquestdocuments_2014_07_23
……………..Answer Preview…………..
The eBay’s auction model is decelerating since it involves risks and uncertainties where the actual results may differ from the ones that are discussed. The risk mitigation procedures may not be enough to manage the risks that the enterprise which seems to be a leading provider of commerce technologies and marketing solutions face. There is a possibility that things might be difficult than expected by the management. The eBay enterprise has also experienced a global economic down town resulting from a very competitive…
APA
344 words
