SWOT

The company Ebay has strengths, weaknesses, opportunities and threats. The purpose of a SWOT analysis is taken into account in the strategy, internal and external factors, maximizing the potential of strengths and opportunities, and minimizing the effects of weaknesses and threats.

Strengths:

- Ebay is the world’s largest online auction website. It is a giant marketplace used by millions of people all over the world to buy and sell all things.

- The company uses the power of customer relationship management by collecting data of buyers and sellers registered with the company.

- Ebay has made a very powerful platform for both sellers and buyers by being seamless and invisible but at the same time facilitating Customer to Customer relationship.

- Ebay chose to diversify not only its products but also its market, by branching and localizing in countries like China etc.

- Ebay acquisition Paypal to support its online auction with a robust payment method. Ebay has a mode of payment very secure.

Weaknesses:

- Ebay has a very bad job of controlling fake or illegal auctions. There are numerous auctions still out there whose main purpose is to scam the buyers or are illegal auctions.

- The sellers being able to enforce the payment method of their choice. Indeed, if the buyers choose a payment method like money, he is not protecting from losing his money.

- Sellers charge prices for products and then they increase the price of shipping as much as twice the price of the product.

- service less convenient than the flea markets (no relation buyers sellers)

- No area of expertise (knowledge of the value objects)

Opportunities:

- popularity of second-hand market

- Possible establishment of franchises

- Changing attitudes favorable to the Internet, thus Ebay

- Ebay has always believed in diversifying in every possible way so using its diversifying techniques, Ebay has