Publications
Publications
- February 1999 (Revised May 1999)
- HBS Case Collection
Onsale, Inc.
By: Youngme E. Moon
Abstract
Onsale has been a pioneer in electronic commerce, offering excess and refurbished goods using an online auction format. The company is now planning to become a player in the highly competitive world of first-run computer merchandise as well. However, unlike other computer resellers whose business models are based on gross margins, the new Onsale model is based on the idea of fixed commissions. The case poses a number of issues raised by the new model, including supplier relationships and brand image management.
Keywords
Business Model; Transformation; Customers; Brands and Branding; Auctions; Network Effects; Strategic Planning; Competitive Strategy; Internet and the Web; Retail Industry
Citation
Moon, Youngme E. "Onsale, Inc." Harvard Business School Case 599-091, February 1999. (Revised May 1999.)