SHGLaw, since you willing to make a patient response to WhiteShoes on UBID's valuation, perhaps you would be willing to help me with this question. Why do people, including yourself, compare UBID & EBAY as though they shared the same business model? (I understand that linking the two could continue to be favorable to UBID as clearly the market confused the two when EBAY started its moonshot.) However, the customer-to-customer auction of EBAY is really nothing like the more traditional forms of auctions experienced through UBID, ONSL, EGGS, & others where the seller is the company, not another customer. Unlike EBAY, for this group there are inventory risks, supply concerns, and limited ranges of merchandise. Because of this difference, unlike EBAY, they do not have profits, and may not for a long time.
It strikes me that UBID's price has greatly benefited from the linking with EBAY that you and others have made. If that confusion were to end, or even if doesn't but the market were to finally recognize EBAY as simply a flea market for junk dealers, then how can UBID's price be maintained?
If you wish to set my thinking straight, please do. |
