Effect of Feedback on eBay Sellers’ Business Using Markov Chain

Effects of price, sold items, negative feedbacks, positive feedbacks, or no feedbacks are studied for online market enginesmainly through eBay. Random walk type model is established to measure the duration that sellers with business effected negatively in order to turn it around. This study was based on data from eBay where not only prices play a role in selling items but also the impact factorthat buyers depend on in general. This impact factorwas studied for five different types of sellers over the same duration selling the same commodity.