GLOBAL STRATEGY

Team 3Andrea Estremadoyro

Alejandro GaviriaCarlos Velasquez

Cristiano CasagrandeMario Isaac

Juan Diego Cordon

CONTEXT- E-commerce company providing C2C and B2C sales services via internet.- Founded by Pierre Omidyar in 1995, and became a success story of the dot-com

bubble.- Today it is a multibillion-dollar business with operations localized in over 30 countries.

2011 2012 2013 2014 2015

6.67.3

8.28.8 8.6

EBAY REVENUES (US$ Billion)

11% 12.3%7.3% -2.3%

HIGHEST ORDER STRATEGIC CHALLENGEThe traditional on-line P2P auction and market place business model is not prepared to meet the new requirements of the current e-commerce industry.

BUYER EXPERIENCE- Web site interface- Security issues- Reliability on the Shipments- Payment options

SELLER EXPERIENCE- Relationship management- Shipment

P2P Retail

+ Network Effect

- Network Effect

TWO SIDED MARKET - NETWORK EFFECT- First mover advantage 20 years ago (Auction / P2P Marketplace)- 160 million buyers- 25 million sellers

VALUE GRID- Auction / P2P Marketplace- Payments- Shipment

187 82 80%US$ Billion Million Users New ProductsTransactions Buyers & Sellers Pivot the Initial Idea

HOW CAN WE FIX THIS ISSUE?

RECOMMENDATION 1 - Intervene the web site - Solve security issues (Ethical hacking) - Modernize the interface (navigation and experience)- Improve search engine results (relevance)- Include new payment trends (venmo, Apple pay, etc)

RECOMMENDATION 2 – Logistic program with decentralized on demand intermediaries- Integrate the shipment service into the platform (trust and convenience)- Help to solve the issue of shipment costs higher than products value - Sharing economy advantages- Expand Shyp pilot globaly

RECOMMENDATION 3 – Implement eBay mentoring program- Using BI and big data- Help sellers to create better offerings and buyers to close better deals- Prepare for the swarm economy

BUYERSSELLERS

shipments

transactions

BUYERSSELLERS

THANK YOU

Team 3Andrea EstremadoyroAlejandro GaviriaCarlos VelasquezCristiano CasagrandeMario IsaacJuan Diego Cordon

TWO SIDED MARKET / NETWORK EFFECT- Difficult to measure- Difficult to benchmark

IMPROVE- Metrics

VALUE GRID CONCEPT- Subjective interpretation

IMPROVE- Framework to map

suppliers & stakeholders