Selling Experiment in eBay
Essentially, a trading is an activity when two parties do some exchanges of goods or services on value that had been agreed by both sides. In the past, barter was the famous method to do trading. Over the times, money and currency were discovered, and then barter is not popular anymore. Nowadays, while the Internet technology has advanced rapidly and reliable, electronic trading has started to replace the physical trading market in over the world (Massimb & Phelps, 1994, p.39). This phenomenal has led many businesses to change their traditional business model to be more adaptable with electronic trading environment, from physical shop to be virtual shop. A company or seller is not only have to show their existence in real world, but also in the online networks. However, there are some differences between strategy in traditional market and online market place, eBay as an example.. Therefore, this essay will discuss any critical aspects that need to be considered to start online business in online market such as eBay.
eBay is an online platform which works as market place. On eBay, people can do both selling and buy at the same time. Also, there are many variations of item that can be sold and buy as well. The way eBay works is letting users do a C2C business model on their platform. They provide features that ease the users to do trading activities. Some powerful features of eBay are secure payment gateway, product listing and categories, search engines, bid and buy now method, and also user’s reputation. To experience the reliability of eBay from seller perspective, an experiment have been done. The experiment is regarding of how a user selling products in eBay, including the strategy to selling it fast with a good price. For this case, we tried to sell tennis racket in eBay UK market place.
Before proceed to formulate business strategy in eBay, it is suggested to scan the eBay’s environment and do online market analysis first. As Dave Chaffey (2009, p. 52) says in his book, E-Business and E-Commerce Management Strategies, to be familiar with any opportunities and threats is critical for anyone, which involve in business, marketing and information system strategy.
eBay’s Environment Analysis
Environment analysis or environment scanning of is a method to analyze the situation and condition of the environment itself. On this case, we analyze the eBays Environment in a broader perspective using SLEPT framework. SLEPT stands for social, legal, economic, politic, and technology. The following section will discuss the SLEPT elements on selling the second-hand tennis racket in eBay market.
Social element covers the analysis of defining who are the people that would go to eBay for buying things. Analyzing their behavior, do they trust eBay platform or the seller, the psychology of users, and also define what the current trends and cultures are. In eBay, there are wide types of users. However, for selling a...