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Making Ebay Work

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Making Ebay Work
Table of Contents
Introduction: 2
PART A: Chapter Summary 3
PART B: Background and Case summary 5 EBay’s Background 5 Case Summary: Making eBay work 6
PART C: Case Questions 7 Case Question #1: 7 Case Question #2: 10 Case Question #3 10
PART D: Implications and Recommendation 12 Implications 12 Recommendations 13

Introduction:

Strategic capabilities have become a source of competitive advantage for both small and large organization. Organizations that wish to survive and compete in today’s dynamic business world need to implement unique and high-value strategic capabilities. This paper takes you through in depth analysis of strategic capabilities and how it relates to the business environment. The organization in focus is eBay, an online sales company. EBay is one of the largest online sales and auction company with branches in over two dozen countries. Its unique resources and key competences are paramount to its ever-growing success in the industry.

The first part of this paper will take you through the concept of strategic capability. This is the summary of the chapter 3 from the textbook, Exploring Corporate Strategy. This part will focus on definition of strategic capability, the importance of resources and competencies to achieving strategic capabilities, cost efficiency, and how strategic capabilities can lead to sustainable development. The second part focuses on the background of the case study company, eBay. There is a brief background about the company and summary of the case study.

Part three seeks to answer the case questions. The questions are divided into three; the first talking about the analytical framework for analyzing eBay’s strategic capability. There are several analytical frameworks in the textbook, for in-depth and better understanding, the SWOT analysis was used. The second question seeks to know what kind of capabilities have provided eBay with competitive advantage. The last questions deals with



Bibliography: Johnson, G., Scholes, K., & Whittington, R. (2008). Exploring Corporate Strategy. Essex: Prentice Hall. SWOT Analysis: Lesson. (2008, February 12). Retrieved March 23, 2009, from Strength, Weaknesses, Opportunities and Threats (SWOT): http://www.marketingteacher.com/Lessons/lesson_swot.htm ----------------------- Experience Supply cost Product/process design Economies of Scale Cost Efficiency

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