Tuesday, February 17, 2009

Ebay's Environments

Ebay's microenvironment is stabilized by ongoing growth throughout the companies services. Ebay constantly faces the challenges of finding new, innovative ways to promote their services to continuously offer a variety of items on the website. The ability for the company to find easier ways to provide selling and buying services to consumers is a constant task for the website developers, so that the site can stay competitive in price and promotions amongst other online trading sites. The most difficult task when it comes to Ebay's microenvironment is the ability to stay seamlessly connected to its customers while find a way to combine its' services with the reliability and security they offer. Based on growth throughout the website, since Ebay is already the largest online international trading website, the ability to stay competitive in all markets, whether international or within the U.S. and maintain an even flow of goods, a consistent marketing strategy and a advanced user friendly site are their biggest challenges.

Ebay's macroenvironment is challenging because they must continue to find ways to not only communicate their services to those within the U.S. but also buyers and sellers from other countries. The ability to make communication easy for U.S. based customers and international customers can be come difficult when dealing with different currencies, taxes and shipping services. The ability to sell items online is simple for a customer when dealing with a territory that they are familiar with, but when adding the element of an international trade, this can add complexity to the transaction that Ebay must have thorough and up to date knowledge in walking the customer through. Ebay must also constantly find ways to cater to international clients by continually being aware of not only their trade and sale policies but their country's economic background, so that Ebay can stay competitive amongst other companies in foreign countries as well. Since Ebay is worldwide, the issue for them to promote their services is not necessarily that they have to advocate themselves as a service to use, but to make sure their customers from all demographics understand how to use their services as it pertains to each individual circumstance and sale.

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