WTO OMC SYMPOSION “Why Trade Facilitation is Important”

Hanne Melin

Legislative Counsel Europe

An eBay Perspective on Today’s Trade and Opportunities

eBay Inc.

What is “world trade” today?

2

eBay Inc.

SNAPSHOT OF THE NEW TRADE

3

inclusiveness

local

visibility

global

find & be found

trust

technology tools

digital

software as service

platforms

search

applications

mobile

‘anywhere, anytime’

intermediaries

eBay Inc.

Using technology to “shrink” the world...

4

Distance matters less online Distance is “dying” faster online

eBay Inc.

... making global markets reachable ...

5

A remarkable high share of online sellers engage in export

eBay Inc.

... and making exporting a reality...

6

Contrasting online and offline behaviour

eBay Inc.

... for both small and large firms...

7

Exporting online is as easy for small sellers as for large sellers

eBay Inc.

Moving in the direction of open, technology-enabled trade benefits the world economy

8

OPPORTUNITIES IDENTIFIED

eBay Inc.

Capturing market shares faster ...

9

Combined market shares of new entrants:

eBay Inc.

... and growing successfully over time

10

Reaching market shares close to established firms within a few years:

eBay Inc.

Welfare gains from trade liberalisation

11

Welfare gains moving from a “closed” to an “open economy”:

eBay Inc.

Welfare gains from trading at lower online costs

12

Welfare losses if offline trade costs are applied to eBay transactions:

eBay Inc. 13

CONCLUSION

We call the new world trade Commerce 3.0

Benefits accrue also to small firms and consumers

Correlation between low GDP and significant welfare gains from opening up the economy to online trade

Using technology to connect markets, businesses and individuals