EBay Coursework Example | Topics and Well Written Essays - 250 words

EBay - Coursework Example Sellers are also able to list any of their products though they have to observe the rules and policies of the company (Nagle & Holden 2002, p. 84). EBay’s fee structure is in such a way that it improved the profitability of the online sales. The fee structure could be improved as the company uses value based pricing and therefore once the value is increased the price could also be increased (Philip & Gary 2010, p. 293). As eBay earns money through the collection of fees, the fee structure could be in a way that for the first $25 the value should move from 8.75 percent to 10 percent and for the remaining it should be improved to 5 percent. This increase should however go hand in hand with the improvement of the value of selling and finding products from the internet. Once this is effective, buyers will be willing to pay for any amount as long as their services are effectively conducted (Kent 2003, p. 41). EBay should continue using a price strategy that attracts the high-volume sellers and discourages sellers with low prices products. This method has been effective and has increased demand of using the eBay online services is influenced by price inelasticity. Carolin (2001, p. 16) describes that the continued growth will come from improved efficiency such as improved services, investments and partnerships. The developed social sites could also help eBay in getting new customers and new ways