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PESTLE ANALYSIS ON EBAY.CO.UK
Transcript of PESTLE ANALYSIS ON EBAY.CO.UK
Recognises the forces in external environment that are presently affecting and are likely affect business in future
(Jobber and Fahy, 2012)
Businesses must keep up with changing technologies to be competitive
Safer environment with higher pay due to skilled manpower required to operate.
upcoming 2015 general election: Labour planning to increase 50 p tax rate on earning over 150,000 and Conservative is planning to cut headline rate of corporate tax to 25 p. (News.bbc.co.uk,2014)
The personal allowance will be raised from £10,000 to £10,500 and
40p income tax threshold to rise from £41,450 to £41,865 in April, and another 1pc to £42,285. (Oxlade, 2014)
Business is linked to politics- as it is to economics
Government censorship (legislation.gov.uk, 2014)
Sale of goods act 1974
Distance selling regulation 2000.
The Consumer Protection from Unfair Trading Regulations 2008.
Data protection act 1998.
Privacy a human right (Europa.eu, 2014)
Turkey moves to block access to youtube (BBC News, 2014)
PESTLE Analysis Based on ebay.com as on 28/03/2014
Technology is constantly changing
Distribution channels have changed as e-bay can sell its products worldwide.
E-bay can sell products cheaper due to low overheads, no need to showcase in high street shops, etc
Latest and Future technological trends for E-bay
Multichannel also called as ‘omnichannel’ or ‘integrated marketing’ referring to
a megatrend in technology
Real-time meaning as always on and agile technology. This is a RTB or real-time
Technologies will be more Responsive. as all Digital experiences will be responsive so they adapt to the screen and context of use.
Personalisation, Marketing Automation, Geo-targeting, Wearable's, Sensors, Payments, etc are further advancement in technologies affecting online marketing like e-bay and all.
Fahy, J. and Jobber, D. 2012. Foundations of marketing. Maidenhead: McGraw-Hill Education.
Legislation.gov.uk. 2014. Sale of Goods Act 1979. [online] Available at: http://www.legislation.gov.uk/ukpga/1979/54 [Accessed: 28 Mar 2014].
News.bbc.co.uk. 2014. BBC News - Where They Stand: Guide to party election policies. [online] Available at: http://news.bbc.co.uk/1/hi/8515961.stm#subject=economy&undefined&undefined&undefined [Accessed: 28 Mar 2014].
Oxlade, A. 2014. Tables: How the Budget 2014 changes affect your income - Telegraph. [online] Available at: http://www.telegraph.co.uk/finance/personalfinance/how-budget-affect-me/10709850/Tables-How-the-Budget-2014-changes-affect-your-income.html [Accessed: 28 Mar 2014].
Europa.eu. 2014. EUROPA - Find legislation. [online] Available at: http://europa.eu/eu-law/legislation/index_en.htm [Accessed: 28 Mar 2014].
BBC News. 2014. Turkey moves to block YouTube access. [online] Available at: http://www.bbc.co.uk/news/world-europe-26781455 [Accessed: 28 Mar 2014].
Siliconindia.com. 2014. India Has The Potential To Increase Its Economic Welfare By 67 Percent: Ebay India. [online] Available at: http://www.siliconindia.com/news/business/India-Has-The-Potential-To-Increase-Its-Economic-Welfare-By-67-Percent-Ebay-India-nid-163598-cid-3.html [Accessed: 28 Mar 2014].
Toscano, P. 2013. Strong dollar biggest contributor to cautious guidance: eBay CEO. [online] Available at: http://www.cnbc.com/id/100896585 [Accessed: 28 Mar 2014].
Ebay India has the potential to increase its economic welfare by 67percent with the impact of internet enable trade in the country nationally and internationally.
Confederation on all india traders(CAIT) wants to improve modern business nationwide at the same time opposing entry of FDI in online shopping.(Siliconindia.com, 2014)
According to John Donahoe, eBays president and CEO, the
revenue has rose 14% increasing the value of share
from 56 cents to 63 cents. Although Korea is not doing
well because of political and economical uncertainty, there is a
slow growth for e-commerce overall and little weaker in Europe
Emerging markets are driving ebays revenue:
Although EBay is an American company, more than
one-quarter of therevenue was from large market of US,
UK and Germany.
Ebay has a strong position on mobile markets from
countriessuch as India, Kenya, Nigeria, SouthAfrica and
the philippines representing more than 20% of worlds
Another success factor of ebay is it only works as a intermediary which does not
have to manage delivery, building or logistics required and labour and cost intensive
activities, unlike rivals such as Amazon who sells directly to costumers and make
profit solely from commission on sales.
Borgen. 2013. How Emerging Markets are Driving eBay Revenues - THE BORGEN PROJECT. [online] Available at: http://www.borgenmagazine.com/how-emerging-markets-are-driving-ebay-revenues/ [Accessed: 28 Mar 2014].
Gov.uk. 2014. Environment - Topics - GOV.UK. [online] Available at: https://www.gov.uk/government/topics/environment [Accessed: 28 Mar 2014].
Environment-agency.gov.uk. 2014. Environment Agency - Business and industry. [online] Available at: http://www.environment-agency.gov.uk/business/default.aspx [Accessed: 28 Mar 2014].
Environmental factor for eBay
EBay green team
Attitudes towards green
(Gov.uk, 2014;Environment-agency.gov.uk, 2014)