This business segment participates in the competition against the competitors on the basis of services intended for the online payments as well as offline payments processes. Cash, check, credit card and debit card trading processes and many other payment methods come under this segment. Extra amount of revenues are generated by ebay through contracts for revenue sharing as well as with the help of advertisement by coalition with the third parties. These third parties are responsible for offering top level of transaction services in relation to ebay, as a result of which the number of account users related to companies, like- PayPal are increasing day to day. Among all of the high-flying payment services, PayPal is considered as the leading service with impressive online payment system (Boons & Lüdeke-Freund, 2013). This company is well-known in the industry of online money transaction by establishing more than seventy million accounts that are currently active. In addition to this, the company is renowned for its impressive net volume of payment which was calculated around sixty billion dollars in the year of 2008. 27% of increase in the net payment volume figure was identified during this year in comparison to 2007 (Kiron et al., 2012).
According to the annual business results of ebay in the year of 2009, a substantial amount of growth was perceived in case of its business segments related to PayPal as well as Skype and this approach of business segment counterbalanced the effects of declination of business segment like-marketplaces in case of ebay (Thomas, 2013).
Comparative Analysis on the basis of 1st business segment- marketplaces
Here in case of this comparative analysis, several key variables have been taken into consideration and these variables have been categorized under opportunity or threat according to the nature of support or risk towards the sustainability of ebay.