CASE STUDY HOW TAOBAO BESTED EBAY IN CHINA

It was a smart attempt however the plan collapsed when facing with Chinese price sensitive consumers. Chinese practice of intermingling personal and business relationships is foreign to U. Taobao homepage with red and orangecolors and filled info Overall, the design is adapted to the Chinese spirit. The second thing is choosing nickname is giving an informal attitude, which is the key to allow people to feel welcoming and being a member of a community. It is important that business partners have an affective bond. Want to know more about Chinese e-market, click here. Consequently, they rarely conducted enough market research or developed content to suit the Chinese taste.

Help Center Find new research papers in: Applying this theory to this case, US is quite productive in high-tech and internet industries. However, for Western companies expanding to China, it is often also critical to align with the right local business partners. They can sacrifice their leisure time due to priority of the work and success. Click here to sign up. Thus, both buyers and sellers have to build and maintain a good reputation being honest if they want keep selling or buying on Taobao. By Maria Garbelli and dania Romagnoli.

Factor Conditions With regards to the factor conditions, China enjoy the advantages of their know-how on imitation business.

Rather than recruiting local talents for the senior management to adapt local conditions, Groupon hired only two Chinese employee for these positions. The internet cafe users have to show their ID and register so that the police are able to track their online experience.

case study how taobao bested ebay in china

According to him, there are six broad factors which are the key determinants of the competitiveness: The second thing is choosing nickname is giving an informal attitude, which is the key to allow people to feel welcoming and being a member of a community.

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Another reason for this ebah to ensure consumers their understanding of their behaviours and needs. They can sacrifice their leisure time due to priority of the work and success.

Why Taobao Succeeds in China Unlike eBay? – SAOS

Infrastructure is also sophisticated, that is one of the most crucial factor for the internet business. It is interesting financially, but more than that, the bargaining is a part of the trust building between seller and buyer in Chinese culture.

Their set of actions are restricted by societal norms. Because of the nature of their language, they do not like to type. Of course they need trusting the seller, as each people from any culture in the world, but the trust in China is much more than that.

By Maria Garbelli and dania Romagnoli. The managers of the American e-tailing platform considered that this Chinese version of eBay was not a danger for the company.

Moreover, Netflix had a lot of local competitors, some of them are popular with more than 10 million subscriptions and provide other services than providing digital content such as video gaming and online shopping.

AliWangWang interface — Taobao sellers have to use their national identity card and their bank account to do their registration on the site. Then, Chinese government did not allow to operate the supplementaries because of data storing and privacy reasons.

case study how taobao bested ebay in china

China is a global hub for manufacturing, and is the largest manufacturing economy in the world as well as the largest exporter of goods in the world. Why Taobao has achieved commercial success and not eBay? Hw Overview of China a.

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S, nearly a decade after. Consumers prefer cheaper made-in-China book-readers rather than paying Amazon Kindle. This service can be used for free. It is not in the occidental culture to create one separated navigation tab for men and women at all, even if differences of men and women thinks have been proved.

China became a member of the World Trade Organization in Hilal Yalman Summary Many case eba of global companies that wanted to enter in China market with big hopes end in a tragedy.

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Applying this theory to this case, US is quite productive in high-tech and internet industries. This tool has 2 main advantages. It was a smart attempt however the ebbay collapsed when facing with Chinese price sensitive consumers. Economy of China c. Chinese government constantly monitors, filters and limits the data which can be an alternative or opposite to the ideas of their own.

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In Marchafter doing a joint-venture with EachNet. Thus, both buyers and sellers have to build and maintain a good reputation being honest if they want keep selling or buying on Taobao. However Chinese government did not allow Google to operate as what Google actually was.

case study how taobao bested ebay in china

Amazon Comparing with big failures of U. Banning the autofill suggestion function was actually the last straw for Google who especially developed it for Chinese users refrained from typing so long.