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Technology Stocks : OnSale Inc.

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To: Apache Indian who wrote (2293)12/4/1998 1:40:00 PM
From: Lizzie Tudor  Read Replies (5) of 4903
 
Apache, TR etc.

I have a problem with Onsale and any company that specifically targets business to business commerce with this auction format. From reading various press releases etc it seems that is what onsl is attempting. Person to person auctions are worthwhile but applying the same model to business is not... if auctions are viable I see them as adjunct to the main internet commerce package that is a bolt on to ERP.

Raw Chemicals, electrical components, computer parts etc. etc. etc.

I dont believe its cost effective to buy components via auction for any complex manufacturing process, so this wont really work.

there are thousands of people in the US alone who make a living in blue markets and secondary dealerships, this would be a boon for them to do business,

I agree with you here.

Did you all know that Kaplan has had a problem with the business model for this company since inception. First, onsl was intended to develop software that companies could buy to hold liquidation auctions of their own merchandise (I dont even think it was an internet-only thing at that time, but Im not completely sure). Then phase II was Onsl used this software they developed to consign inventory and hold the auctions themselves. Then (after seeing the ebay business model, I believe), onsl decided to make themselves into another ebay. Im not knocking Kaplan, at least hes flexible but Im not sure this company really knows what they are trying to achieve.

Michelle
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