Determine potential contracting problems

Assignment Help Business Management
Reference no: EM1378404

EBay is the world's largest online auction. In late 1999, the service listed over 2,000 categories of items from sports memorabilia to automobiles. In total, eBay hosted more than 2.5 million auctions a day. Sellers pay a few dollars to eBay to list their items. They provide a description of the item, photographs, the minimum acceptable bid, accepted forms of payment, and other relevant information. Bidders submit electronic bids over the Internet. After the auction closes (auction usually last several days), the high bidder receives an e-mail/ The high bidder must contact the seller within 3 business days to claim item as well as arrange for payment and delivery of the item. eBay provides other support services.

The Feedback Forum is a place where eBay users leave comments about each other's buying and selling experiences. If you're a bidder, you can check the seller's Feedback Profile easily before you place a bid to learn about the other person's experience with previous buyer's. If you're a seller, you can do the same with your bidders.

Every eBay users is covered by insurance at no additional charge under the terms of eBay's program. If a buyer pays for an item and never receives it (or receives the item, but it was less then expected), eBay reimburses the buyer up to $200, less a @25 deductible.

SafeHarbor, eBay's safety staff, investigates alleged misuses at eBay such as fraud, trading offenses, and illegally listed items. Potential resolutions include things like banning a person from future trading on eBay.

Buyers and sellers can use an escrow service in transactions involving expensive items. eBay's escrow partner, j-Escrow, holds a buyer's payment and sends it to the seller only after the buyer has inspected the merchandise and gives approval. Sellers have the same opportunity to inspect and approve a returned item before the buyer gets a refund.

1. How does eBay crate value?

2. What potential contracting problems exist on eBay?

3. How does eBay address these problems?

4. What are the contracting costs at eBay?

5. eBay claims that it has only a small problem with fraud and misuse of the system. Does this imply that it is overinvesting in addressing potential contracting problems? Under investing? Explain.

Reference no: EM1378404

Questions Cloud

Concepts of creating and capturing value : Discuss the different degrees of price discrimination. Provide one real world example for each and the concepts of creating and capturing value. Which is easier to accomplish?
Construct a short tutorial on consumer satisfaction : Construct a short tutorial on consumer satisfaction with suggestion as applied to your company in the manufacturing and services industries.
Calculate the expected returns on the stock market : What value would James estimate for this firm and what value would Bret assign to the Medtrans stock and calculate the expected returns on the stock market and on Chicago Gear stock.
House capacity versus outsourced capacity plan approach : Discuss similarities and differences in house capacity plan approach versus an outsourced capacity plan approach and what are the strengths and weaknesses of each approach?
Determine potential contracting problems : EBay is the world's largest online auction. In late 1999, the service listed over 2,000 categories of items from sports memorabilia to automobiles.
Evaluating the statement : Xerox sells both copiers and a toner for their copiers. While consumers are not required to purchase Xerox toner, most do because specified equipments use toner only for that machine.
Forecasting and business trend research : CoffeeTime is interested in coffee drinking habits of people in India. To obtain this data, we are needed to ask subjects: How many cups of coffee have you consumed in the past thirty days?
Managing earnings to meet goals : Firms often try to manage receiving through recognizing revenue before it is actually earned according to GAAP, or by deferring costs that have been incurred.
Creating a payoff matrix : Two basketball gamers, Barbara and Juanita, are best offensive players on the school's group. They know if they cooperate offensively by feeding the ball to each other,

Reviews

Write a Review

 

Business Management Questions & Answers

  Sexual harassment avoidance training

who asks you to come back with a strategy for dealing with the resistance to training. Develop your response and present it in your discussion forum.

  Show functional structure

Find at least one reason why you think that the company felt that functional structure was best given the issues that it deals with

  Disney organization

Analyze the degree of alignment between the organization's stated values and the organization's actual plans and actions.

  Explain the manager of a fashionable restaurant open

Explain The manager of a fashionable restaurant open Wednesday through Saturday says that the restaurant does about 32 percent of its business on Friday night

  Media promulgation of stereotypes

Many of the EEOC cases presented in Media Promulgation of Stereotypes,(television and movies) are egregious, offensive, and obviously illegal. provide a brief summary of it.

  Immigration policies and reform

Do you agree with this assessment and what considerations do policy makers need to keep in mind when developing an immigration policy?

  Describe different style of operation in different countries

Describe the different styles of operation in different countries and can you explain the different styles of operation in different countries?

  Describe how the study of consumer behaviour teaches

Describe how the study of consumer behaviour teaches us to become better consumers. In your explanation deliberate whether or not big box stores like Wal-Mart

  Explain what factors operate in the vdot''s general

Explain What factors operate in the VDOT's general and specific/internal environment and what impact did this have on the VDOT's effectiveness

  Describe the difference between markups and commissions

Describe the difference between markups and commissions and fees in the advertising business world

  Example of product improved on internet

Describe a product or service that is IMPROVED by being offered over the internet. Either it is improved because of price, service or qualit

  Food fare is a minor chain of restaurants

Food Fare is a minor chain of restaurants that has developed a loyal customer base by providing fast-food items with more choices

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd