Question
I just came across this article about Jay Nelson, an eBay scammer, whose primary income source for about 5 years included selling goods on eBay. His profit margin was 100 percent since he didn't actually deliver the merchandise:
http://www.fastcompany.com/magazine/73/kirsner.html
<BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Catch Me If You Can
The hunt for an eBay scammer. Jay Nelson ripped off buyers on eBay and Yahoo until the Feds put him behind bars. We catch up with him in prison, where he'll be until 2007.<HR></BLOCKQUOTE>
Blanche
Answer
Blanche
If his profit margin was 100%, does that mean he did not pay eBay either?
Answer
Good question commentary. He could have used a stolen credit card but I think eBay would have noticed it after awhile? I don't really know the answer but I'm going to guess he paid eBay which makes his stated 100 percent profit margin untrue. Still, his margin wasn't too shabby. http://community.here.com/infopop/em.../icon_wink.gif
Blanche
Answer
Someone to inspire Ebay perhaps.... http://community.here.com/infopop/em.../icon_wink.gif
http://www.shareholder.com/ebay/news...724-114655.htm
<BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Gross profit as a percentage of net revenues was 81%, which was consistent with the 81% level reported in Q1-03, but down from the 83% level reported in Q2-02. The reported gross profit percentage reflects an improvement in US and International segments offset by an increased contribution of the PayPal business, which has a lower gross margin structure.<HR></BLOCKQUOTE>
Cheers, Kevin