eBay, apparently is looking to get out of China, long after the so called “giant opportunity” became a thorn in auction company’s side. There was that pesky user rebellion. Just wondering how much did the China plan cost the company?
They had acquired EachNet for around $180 million over a period of time. In June 2003 Ebay paid $150 million to buy 67% of EachNet. Add to this operational and capital expenditures, and the time CEO Meg Whitman spent in China, my guess is that China cost eBay over $500 million. What do you think? As a footnote, I think this could be a good lesson for US-based start-ups trying to go to China and capture that market.