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eBay To Return This Summer
June 26, 2007 |
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eBay (EBAY), which had previously encountered great setbacks in China, will rejoin the country's online auction business this summer and plans to win consumers' trust through a third party escrow service.
eBay plans to realize its dream of returning to China market through Tom eBay, a joint venture company it set up with Tom Online (TOMO) last year. Before this, eBay carried out business in China through eBay Eachnet, which saw declining market share with the rise of local auction website Taobao.com. This resulted in the establishment of Tom eBay.
To win consumer's trust, TOM eBay will reportedly use an escrow service, where payments will be held until buyers are satisfied with their purchases. It will also work to assure the reliability of those holding the auctions and will institute restrictions on the number of luxury goods an individual can sell.
Meg Whitman, CEO of eBay, has said that eBay had been committed to improving their service reliability and security and they would devote more in this regard in China.
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