Amazon vs Ebay

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Executive summary Globally, E-commerce is a growing industry, with 2013 sales expected to be around $ 1 trillion, which is 20% higher than that in 2012. This represents about 5% of total retail sales value. North America has been the leading destination for E-commerce sales, but it is supposed to be overtaken by the Asia-Pacific in 2013. These are basically of 4 types depending on the kind of buyers and sellers: B2B, B2C, C2C and C2B. Amazon and eBay are 2 major players in this market. They were born around the same time, but had different visions. While Amazon had a vision to create an online replication of brick and mortar model, eBay envisioned creating an online ‘bazaar’, thus forming an online community. Despite their different visions, they have been competing with each other. Amazon competes on the dimension of better customer service via faster and high quality delivery while eBay focuses on providing the right match for each seller and buyer, and providing unique product assortment. While Amazon focused on spending on infrastructure and building a culture of technology, eBay has taken the route of acquisitions to gain technological advantage, specially through PayPal. Amazon lies much ahead of eBay in terms of size, due to its huge investments in infrastructure. However, ebay is also catching up by finding new pastures for growth like Mobile commerce. Both the firms want to serve their customers best. Investment in technology and innovation will be the way forward for these companies, specially when both are looking to capture emerging markets. Market Place Global E-Commerce Trends Globally, E-commerce is a growing industry, with 2013 sales expected to be around $ 1 trillion, which is 20% higher than that in 2012. This represents about 5% of total retail sales value.1 Thus, there is a huge potential for future growth too. North America has
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