Detailed Definition
eBay is an American multinational e-commerce corporation founded in 1995 by Pierre Omidyar. It offers a platform where individuals and businesses can engage in buying and selling a broad array of goods and services. The website operates both as an auction site and a shopping website, allowing for both auction and fixed-price sales. eBay’s primary function is to act as an intermediary, facilitating transactions between buyers and sellers.
Examples
- Auction: An individual lists a collectible item—for example, a vintage comic book—on eBay. Interested buyers place bids, and the highest bidder wins the item at the end of the auction period.
- Buy It Now: A business lists a new electronic gadget at a fixed price of $200.00. Consumers can purchase the item immediately without participating in an auction.
- Classified Ads: A local seller posts a classified ad to sell a used car, providing detailed information for potential buyers who wish to contact the seller directly.
Frequently Asked Questions
Q1: How do I list an item for sale on eBay?
To list an item for sale on eBay, you need to sign up for an account if you don’t already have one. After logging in, navigate to the “Sell” section, provide details about your item, set its starting price, or choose a fixed price, and then submit your listing.
Q2: What are the fees for selling on eBay?
eBay charges listing fees and a final value fee when an item sells. These fees can vary depending on factors like the item’s category, selling price, and the type of listing (auction or fixed price).
Q3: How does eBay protect buyers and sellers from fraud?
eBay has several measures in place to protect both buyers and sellers, including their Money Back Guarantee, which ensures buyers receive the item they ordered or a refund. Sellers are protected against fraudulent claims and chargebacks.
Related Terms
E-commerce
E-commerce, or electronic commerce, refers to buying and selling goods or services using the internet, as well as the transfer of money and data to execute these transactions.
Online Marketplace
An online marketplace is a type of e-commerce site where multiple third parties provide product or service information. Transactions are processed by the marketplace operator and later fulfilled by the retailers or wholesalers participating in the marketplace.
Digital Payment Systems
Digital payment systems are methods of transacting money online without the need for physical cash, using various platforms including credit/debit card processing, online banking, and other digital wallets.
Online References
Suggested Books for Further Studies
- “eBay For Dummies” by Marsha Collier - Comprehensive guide for buying and selling on eBay.
- “The eBay Business Handbook: How anyone can build a business and make big money on eBay.co.uk” by Robert Pugh - Step-by-step guide to starting and growing a business on eBay.
- “The Insider’s Guide to eBay” by Michael R. Miller - Practical advice and strategies for maximizing success on eBay.
Fundamentals of eBay: E-commerce Basics Quiz
Thank you for exploring the world of eBay. Good luck with your quizzes and continue enhancing your e-commerce knowledge!
