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Now Ebay is hurt by Slow US economy
(6)Ebay announced to simplify thier operation to become more nimble. Ebay has announced to cut jobs by 10% which is about 1000 employee reductions.
The ongoing Credit crisis and Wall St turmoil is affecting businesses in the main st. Silicon Valley was so far not affected by this but a slowing economy gets everyone down. Investors are concerned that the US housing lump, rising commodity and fuel costs and credit crunch have started affecting the already slowing business of Ebay. Ebay is all set to keep its cost structure in control and offer value deals for the holiday season quarter to attract more of the traditional shopping time in the US.
Post bailout package, the market is still under panic and has not seen any move in the positive direction. So it will be clear in a few days, how the markets will play out and easing of credit through the banking system is felt.
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