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    Facing market entry challenges in Asia

    Asia represents a very important and profitable market for many companies. It is not unusual for many companies to draw major profits from their overseas operations.

    After reading the assigned articles write a report on eBay, the principal company in those articles. Be sure to explain what problems that company had when entering Asian markets and how they managed those market entry problems.

    Also visit the about e-Bay website (accessed 11/10/2010) at:


    Note: There may be bandwidth restrictions on use of eBay's website. You can complete this assignment without it.


    Why does E-Bay have problems in its Asian Markets?

    Please write a paper answering this question.

    Please read the following four articles about E-Bay in China and South Korea:

    Mangalindan, M. (2006) China May Be eBay's Latest Challenge as Local Rivals Eat Into Market Share, Wall Street Journal, New York, N.Y.; October 12, 2006.


    Moon Ihlwan and R. Hof (2006) Out-eBaying eBay in Korea, Business Week, New York: July 17, 2006, p.74, Issue 3993 abstract only.


    Ihlwan, Moon (2006) "Gmarket eclipses eBay in Asia", 28 June 2006, internet, Business Week.


    Chan, Isabelle (2007) "EBay Has Its Eye on Southeast Asia ", 29 Oct 2007, e-commerce, Business Week.


    Helpful Tips:

    Please first read in-depth the background materials.

    Identify key concepts (of Global marketing, such as Four P's, Entry, Time to Entry), write a list, and study them

    Read the case in-depth and conduct additional research, if necessary

    Apply concepts of global marketing to E-Bay in Asia (Identify facts about E-Bay in Asia in the case articles matching concepts of Global Marketing).

    Develop arguments by applying the concepts of global marketing to E-Bay facts.

    Please also visit http://www.ebay.com at eBay's Website and conduct additional research.

    Assignment Expectations:

    Write a report on the following:
    Clearly state the problem presented in the e-Bay case and materials.
    Discuss the key international market entry issues in the case and draw conclusions (use the 4 P's).
    List supporting references and cite sources.
    Use appropriate writing style in essay form (organization, grammar, & spelling- see Writing Guidelines).

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    Solution Preview

    Clearly state the problem presented in the e-Bay case and materials.

    Discuss the key international market entry issues in the case and draw conclusions (use the 4 P's)

    The problem faced by e-Bay in Asian Countries is that new upstart competitors have eaten into its market share and competing fiercely with e-bay. The main competitor in Korea is Gmarket which has drawn customers away from e-bay. Similarly, in China, Gmarket has made serous inroads into the market of e-bay. Finally, in case of Japan, Alibaba.com has emerged as major competitor to e-bay and has gnawed into the market share of eBay (Moon Ihlwan and R. Hof 2006).

    The strategy followed by Gmarket is selling very attractive products at low prices. Gmarket does not encouraging waiting for auctions to take place, but offers a large quantity of goods at fixed prices with an option to negotiate the price with the seller. The advantage of this is that buyers of Gmarket quickly concludes the deal and does not have to wait till different deals are received. It is estimated that 90% of its deals are concluded using this method alone. Great satisfaction is created for the customers. They feel that they have got a terrific deal and so they keep on returning to Gmarket. . (Mangalindan, M2006)

    Even the sellers feel satisfied w ...

    Solution Summary

    This answer provides you an excellent discussion on Global Marketing issues