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Five Forces Analysis of Ebay
E-bay is one of the most recognized brand names in the field of e-retail. While
compared to Amazon, it has seen less growth, the brand has still maintained an
impressive presence in the e-retail business. In the recent years, E-bay seems to have
geared up to challenge Amazon. It has prepared a road-map for future years to find
quicker growth. Amid tough competition and changing market dynamics, the road to
a profitable future can be tough for E-bay. Here is a five forces analysis:
Bargaining power of buyers: High
Bargaining power of suppliers: Low
Threat of new entrants: Moderate
Threat of substitutes: low
Competitive rivalry in the industry: Medium to high
Recommendations:
This analysis shows that the three factors that E-bay must remain most concerned
with are the bargaining power of buyers, threat of the new entrants and the level of
competition. Managing the bargaining power of buyers will be difficult and E-bay
will need to focus upon marketing and prices to attract more customers and improve
its position.
Sources:
http://www.cheshnotes.com/ebay-five-forces-analysis/

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Five forces analysis of ebay

  • 1. Five Forces Analysis of Ebay E-bay is one of the most recognized brand names in the field of e-retail. While compared to Amazon, it has seen less growth, the brand has still maintained an impressive presence in the e-retail business. In the recent years, E-bay seems to have geared up to challenge Amazon. It has prepared a road-map for future years to find quicker growth. Amid tough competition and changing market dynamics, the road to a profitable future can be tough for E-bay. Here is a five forces analysis: Bargaining power of buyers: High Bargaining power of suppliers: Low Threat of new entrants: Moderate Threat of substitutes: low Competitive rivalry in the industry: Medium to high Recommendations: This analysis shows that the three factors that E-bay must remain most concerned with are the bargaining power of buyers, threat of the new entrants and the level of competition. Managing the bargaining power of buyers will be difficult and E-bay
  • 2. will need to focus upon marketing and prices to attract more customers and improve its position. Sources: http://www.cheshnotes.com/ebay-five-forces-analysis/