Amazon came to china with its online store mentality designed for the american consumers, while the competitors studied the pioneer big names like amazon, ebay, buycom etc, and designed the shopping experience with the chinese market's unique need and limitation in mind. A report on ebay and taobao ebay v/s taobao critically evaluate ebay's chosen market entry strategies, into the chinese 'c2c' market, determining the shortcomings of the strategies deployed during the case study period. China was sold to alibaba ebay acquired eachnetcom, the largest c2c website, and spent few hundred million dollars on marketing, and successfully turned its market share from 90+% to less than 10%, and then sold it to tom online. Almost all us internet companies failed in china in the last 10 years yahoo entered china by acquiring 3721com (some argued it was a keyword based search engine that dominated the space before. Why ebay failed in china a report on ebay and taboo ebay v/s taboo critically evaluate ebay's chosen market entry strategies, into the chinese 'icc' market, determining the shortcomings of the strategies deployed during the case study period.
Why ebay failed in china myself, belgian, i saw the rise of ebay in europe and surely germany it's the deserved and only market leader but in china it didn't work. In 2002, ebay inc injected us$180 million to purchase 100% ownership of eachnet, then the leading ecommerce platform in china, capturing some 80% of the market within 3 years however, this. For best buy co, inc (bby), china was far from the best experience with its growing middle class and proximity to electronics manufacturers, china represented a huge growth opportunity for best.
Editor's note: this post is written by wang jianshuo, founder and ceo of baixing, one of the leading classifieds sites in china, and a former ebay china exec mr wang joined ebay china in 2005 to run its classifieds ads site which was renamed baixing in 2008 before ebay china he was an exec at. About a decade ago, ebay inc made a legendary retreat from the chinese auction business in the face of growing local competition it was a defeat so humiliating that it became a business school. Ebay had user reviews, but it lacked the personal connection that chinese shoppers were used to, so it failed there are numerous other examples of foreign companies making this mistake. Why ebay failed in china 2013-09-18 16:59:46 jiansuo wang,famous it critic,columnist and english blogger,ceo of baixingcom(ebay) let me give you some background information almost all us internet companies failed in china in the last 10 years. Why ebay failed in china researchers think they found the answer by analyzing sales data from taobao, an ebay-like operation that holds 96 percent market share in china paul a pavlou , professor of management information systems at temple's fox school of business, found that taobao had a better grasp of swift guanxi, a chinese concept.
China may be the world's biggest- and fastest-growing consumer market, but a handful of overseas retailers have continued to struggle in the market. Ebay bought a local company, eachnet, switched it to the ebay platform, and expected to sweep china in short order after all, they had dominated other countries' markets why not china's.
How ebay invested us$180 million to capture 80% of china's ecommerce market in 2002, only to see that shrunk to 36% by 2005 many international companies fall into the trap of cultural bigotry. Why ebay failed in china a report on ebay and taobaoebay v/s taobao critically evaluate ebay's chosen market entry strategies, into the chinese 'c2c' market, determining the shortcomings of the strategies deployed during the case study period. The beginning of the end on the day of the move, traffic (of ebay china) dropped by half, recalled shao what had been information flow within china now became traffic across borders and across the pacific ocean. Reasons why ebay failed in china background ebay is an american multinational corporation and e-commerce company, provide c2c& b2cservice via internet.
Why ebay failed in china successful in dozens of countries, the multi-billion dollar business was no match for china, where citizens place a premium on interpersonal relationships and high-quality social interactions. Ebay entered in chinese market in 2002 while acquiring eachnet when they launched the website in china, the owners expected the company to be successful the business model seems to be adapted however in reality they applied the same business model in china that they were using across the world. In 2004, ebay had just entered china and was planning to dominate the china market alibaba was a local chinese company that helped small- and medium-sized enterprises conducting business online.