| Sample
Comparative Advantage Table |
| |
XYZ Company |
eBay |
Ubid |
| Location |
Hong Kong |
United States and Many other countries |
US Based |
| Advantage |
Hong Kong is business friendly, easy government
policy and internationally attractive |
Started Early, One of the earliest shopping business
model |
Auction of branded and well known goods and services |
| |
Largest Factory, XYZ Company explores the indigenous
industry for sales hence products are lower in cost
for buyers |
None |
None |
| |
Efficient communication in Hong Kong due to efficient
, low cost telecom and postal services |
None |
None |
| Selling |
Fixed Price |
Auction, along with buy It now and Other Listings |
Auctions |
| Registration for Buyers |
Free |
Free |
Free |
| Product Shipping |
Free |
Cost depends on location |
Cost depends on location |
| Sale Type |
B2B, B2C |
B2C |
B2C |
| Sellers |
No Fees |
Listing Fees and transaction fees |
Listing is Free; Transaction fee on sale |
| |
No other fees |
Transaction fee depends on the listing type |
The amount depends upon the price of the product
listed |
| |
Advertisement and promotion fees |
Advertisement and promotion fees |
Advertisement and promotion fees |
| |
Profit share between XYZ and sellers |
None |
None |
| |
Backend development of entrepreneurs, with the
help of sales representatives |
None |
None |
| |
Local products with international markets to be
highlighted |
None |
None |
| |
Quality of products sold scrutinized |
None |
None |
| Approach |
Bottom Up |
Top Down |
Top Down |
| Niche' |
Local area advantage highlighted |
None |
None |
| Difference |
Integration of local markets with international
markets |
Though done to some extent the business model
for each country remains the same |
Brand and certified sellers Only |