How Big a Deal Is the EBay, PayPal Split?

How Big a Deal Is the EBay, PayPal Split?

Assessment

Interactive Video

Business

University

Hard

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The video discusses the significant rise in eBay's stock, largely influenced by Carl Icahn's push for the separation of eBay and PayPal. Despite initial resistance from eBay's CEO, the separation is seen as beneficial, particularly for PayPal, which can now operate more independently in a competitive market. The video also explores the changing competitive landscape with the entry of big tech companies like Apple. The separation is expected to allow PayPal to be more agile and potentially make strategic acquisitions, while eBay aims to maintain a strong relationship with PayPal.

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5 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What was Carl Icahn's role in the separation of eBay and PayPal?

He was indifferent to the separation.

He initiated the campaign for separation.

He opposed the separation.

He supported eBay's CEO against the separation.

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Why is the separation of PayPal from eBay considered beneficial for PayPal?

It limits PayPal's market reach.

It allows PayPal to focus on its core business.

It reduces PayPal's competition.

It increases PayPal's dependency on eBay.

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How has the competitive landscape changed since eBay acquired PayPal?

It has become more competitive with new entrants like Apple.

It has remained the same.

It has become less competitive.

It has become dominated by eBay.

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What strategic advantage does PayPal gain from being a standalone company?

Stronger ties with eBay.

Increased dependency on eBay.

Ability to make independent acquisitions.

Reduced market competition.

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is a key consideration for eBay after the separation from PayPal?

To acquire new payment services.

To focus solely on physical marketplaces.

To maintain a strong relationship with PayPal.

To completely sever ties with PayPal.