Analysis hypothesis
Step 1
This experiment is based on two hypotheses which include an analysis of the various internet marketing companies, which are involved in provision of international internet business. This is in competition with eBay which is a fast growing internet business provider. The other hypothesis is the factors which increases the bidding of the coffee grinders after the need of the auction period in the market. In a bid to answer this hypothesis it is essential to collect data regarding the bidding process and processes of the Krups 203-70 Fast Touch Coffee Grinder which has different versions in the market (Ina).
An observation of the trends in the eBay auction of the products was essential to collect sufficient data regarding the movement and demand of the products. There were different versions of the coffee grinder which are differentiated by their qualities and features thus different prices. It was also notable that the prices of these products differed during the auction period. This led to a difference in the number of customers demanding the products as the prices varied. Internet marketing is a fast process which involves the customers placing a bid on their desired products for the analysis of the sellers (Bailey, 99). An agreement on the bid prices leads to the sellers making contracts to ship the goods to the buyers thus this process is speedy and depends on the current prices in the market. The difference in feedbacks from the customers to the auction prices in the markets as notable due to the forces of demand and supply for the coffee grinder.
Step 3
Internet marketing has attracted many companies due to the increased demand of its services by consumers. This has led to the establishment of other internet businesses such as amazon.com, atomic mal, online auction.com which have increased competition for eBay.com. Analysis of the collected data indicates that there are different factors, which determine the products sold on in the internet market. Variance in the price of the products is the major contributor of these variances as an increase in demand by the customers leads to an increase in price by the suppliers. This increased demand can be caused by the quality of the products or the features, which attracts the customers to these products. The coffee grinder costing $11 was noted to have the highest feedback from customers and sellers as its price was considerable and features were relevant to the customers (Thomas). This is in comparison to the one costing $14 as the customers complained that it had the same features with the latter and a change in color was not sufficient to lead to that rise in price.
It was notable that there was further bidding of the products after the closure of the auction due to increased demand of the products. Initially customers had limited information regarding the grinders but as the auction increased and this information was spread, demand increased. The service provider, eBay.com which was also involved in shipping of the products was very reliable increasing the customers shifting from other internet marketers. Some of the products such as item number 4 had limited sales due to its high prices in the market, which were not favorable to the customers. This was not surprising rather it was expected from the beginning as most customers sent their feedback complaining of the high prices of the item. The shipping cost attributed to the item was also high and the customers were expected to bear this cost.
Data collected
Work cited
Bailey, Matt. Internet Marketing: An Hour a Day. Indianapolis, Ind: Wiley Pub, 2011. Internet resource.
Ina, Steiner "Seller's Choice: Merchants Rate Ecommerce Marketplaces" (January 24, 2010). . Auctionbytes.com. Web. Viewed on June 9, 2013 from http://www.ecommercebytes.com/cab/abu/y210/m01/abu0255/s02
Thomas, Owen. "eBay founder fact-checks John McCain".Valleywag (October 8, 2009), Gawker Media. Web. Viewed on June 9, 2013 from http://gawker.com/5060675/ebay-founder-factchecks-john-mccain
