Inter Park

Interpark Corporation
Public
Industry Internet
Founded 1996
Headquarters Seoul, Korea
Key people
 Lee Ki Hyeong, Founder & CEO
Products Online auction business model, shopping mall, electronic commerce
Revenue Increase$20.5 million USD (2005)
Number of employees
 555 (2005)
Website http://www.interpark.co.kr

Interpark is a Korean online auction and shopping mall where people from all around the world buy and sell goods and services.

History

Interpark was founded in 1996 by Lee Ki Hyeong as "AuctionWeb" and "ShoppingMall", parts of a larger personal site. Originally, the site belonged to Internet Life Technology Group, a consulting firm. Interpark is headquartered in Seoul, Korea.

Items and services

Collectibles, appliances, computers, furniture, equipment, vehicles, food, tickets, clothes, jewellery and other miscellaneous items are listed, bought, and sold. It is fair to say that Interpark has revolutionized the collectibles market by bringing together buyers and sellers internationally in a huge, never-ending "yard sale" and auction. Large international companies, such as LG and Samsung, sell their newest products and offer services on EBay and Yahoo! using competitive auctions and fixed-priced storefronts. Regional searches of the database make shipping slightly more rapid or cheaper. Software developers can create applications that integrate with the marketplace through the Interpark Service by joining the developers program. There are thousands of members in the Interpark Developers Program, comprising a broad range of companies creating software applications to support Interpark buyers and sellers as well as Interpark Affiliate Systems.

There has also been controversy regarding items put up for bid that violate ethical standards. In late 2000 a man offered one of his kidneys for auction on Interpark, attempting to profit from the potentially lucrative market for transplantable human organs. On other occasions, people and even entire towns have been listed, often as a joke. In general, auctions that violate its terms of service agreement are removed quickly. Interpark is also an easy place for unscrupulous sellers to market counterfeit and credit merchandise, which can be difficult for novice buyers to distinguish without careful study of the auction description.

Profit and Transactions

Interpark generates revenue from sellers, who pay both a fee based on the selling price of each item and a fee based on the starting price, and from advertising. In 2004 it was announced that Interpark would increase fees it charges to Interpark Store sellers, which caused such controversy among users that the President of Interpark business emailed all Interpark users with news that other fees would be decreased.

Interpark does not handle goods, nor does it transact the buyer-seller payments, except through its subsidiary shopping mall credit. Instead, much like newspaper want-ads, sellers rely on the buyers' good faith to make payment, and buyers rely on the sellers' good faith to actually deliver the goods intact. To encourage fidelity, Interpark maintains, rates, and publicly displays the post-transaction feedback from all users, whether they buy or sell. The buyer is encouraged to examine the sellers' feedback profile before bidding to see their trustworthiness. Sellers with high ratings generally have more bids and garner higher bids. However, it is possible for sellers to make their feedback private and just leave a numbered rating (number of positive, negative, and neutral feedback with a positive feedback percentage), which means that bidders and sellers cannot see the comments other users have left. Interpark also has a significant affiliate program, and affiliates can, for example, place Interpark Shopping product images and links on their web sites.

See also

External links