Taobao vs. Ebay China Case Study Solution

By 2008, Jack Ma, CEO of Alibaba.com Inc., remained in a position to think about the best ways to strengthen Taobao's dominant position in China's online consumer-to-consumer (C2C) market. Ma and his business had actually come a long way because May 2003, when they initially released the Taobao site. At that time, eBay China controlled the recently established market, holding over 70 percent share. It had actually gotten in China with its acquisition of the start-up EachNet, and was actively building on that business's first-mover benefit. By 2006, Taobao surpassed eBay China, requiring eBay China to essentially leave the Chinese market. Though eBay would nominally remain to run in China, it was not an issue in Ma's prepare for Taobao ¯ which by 2008 held over 80 percent of the marketplace. How had this upstart business swamped the world's most powerful gamer in the online C2C area and how would Ma satisfy the consistent pressure to create profits?............................................................

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