Ebay as a business
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1. What does eBay's corporate or multibusiness strategy for the twenty-first century appear to be?
2. List the businesses eBay is emphasizing and deemphasizing.
3. Which framework; portfolio approach, leveraging core competencies, or parenting/patching-best helps explain what eBay is doing today in its corporate strategy?
4. What appears to be the major advantage of this new eBay strategy and the major disadvantage or risk?
5. What would you advise Meg Whitman to do differently, and why?
6. Do you agree with her/eBay's approach and the logic of eBay moving from being an online auction-based company to being a broader, Internet services-based company? Why?
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1. What does eBay's corporate or multi-business strategy for the twenty-first century appear to be?
Diversification seems to be eBay's corporate strategy. The strategy for twenty first century of eBay appears to be diversification. First, it was the stress on developing PayPal as the only means sellers can receive payment. On the other hand, it is increasing its fixed price sales through different strategies. Add to it the fact that eBay is making its search engine more powerful. It appears that the company wants to emerge as a general company providing website based services.
2. List the businesses eBay is emphasizing and deemphasizing.
eBay is emphasizing its to focus more on mass retailing of new goods rather than be an online auction site. The new strategy is that eBay wants to emerge as a shopping website rather than an auctioneering Website. Instead of set-time auctioning format; online retailing, online payment services, and selling overstock inventory are the businesses that it is emphasizing. It is deemphasizing online auctions, and free phone calls through Skype.
3. Which framework; portfolio approach, leveraging core competencies, or parenting/patching-best helps explain what eBay is doing today in its corporate strategy?
Leveraging core competencies explains what eBay is doing today in its corporate strategy. ...
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