Ebay in China
- Ebay in China
There is no doubt about the huge current business potential in China and up until recently Ebay have had to concede to the fact that they were just not getting their fair market share of the business that was out there is China.
Ebay have a bad history with business in China as back in 2003 Ebay made a successful bid for EachNet which at the time was the biggest e-commerce website in China. Ebay paid over $150 million for the site but failed to fully capitalise on its potential eventually losing out to local rival Taobao. Ebay then went on to fold EachNet as a direct result of it not having enough success with business in the China market. Taoboa continued to go from strength to strength as one of its major features was that it does not charge selling commissions.
However it seems now that Ebay may be betting back into China again. China is traditionally nervous about foreign influences on its internet and has recently banned Twitter and YouTube. But Ebay has found a way in by linking Chinese sellers with foreign buyers in the West and elsewhere in the world. It has now provided a way for buyers from the UK, the US and other countries to track items that they have purchased from China. By giving small individual exporters in China the chance to reach global consumers it has opened a new market that it had yet to tap into. Sales over Ebay from China to other countries have surged and the government in China are unlikely to put up any obstacles in the way of Ebay as this fits in with their export goals.
Ebay is bulking up its business in China and with over 457 million people on line in China it looks like a great opportunity.