Professional Documents
Culture Documents
1311140004
: Le Thuy Lien
1311140042
1317140062
1314140073
is
successful
E-Commerce
Business-to-Business
(B2B)
as
combination
of
Amazon,
PayPal,
and
eBay.
Market
Strategy,
Management
Development.
1. Value Proposition
1
Team
and
Organizational
based
therefor,
its
revenue
model
includes:
advertising,
are
also
generated
from
cloud
computing
and
Internet
which will lead to loss in profits. As well as, Tencent Holdings Ltd, a mobile
gaming and social media giant in China which also operates popular WeChat
mobile chat application. It competes against Alibaba's online platform with
its mobile platform in terms of e-commerce services.
5. Competitive Advantages
The firm possesses competitive advantage if it can consistently outperform
other players in the industry.
Language was not a barrier for Alibaba, unlike its major rivals. It offers
platforms in different languages to cater to different market segments, such
as 1688.com in Mandarin for Chinese businesses, Alibaba.com in English for
the international customers and alibaba.co.jp in Japanese for Japanese
customers. Therefore, Alibaba has first-mover advantage in the Chinese
market as compared to its USA rivals such as eBay and Amazon.
Alibaba also created a trusted online payment service called Alipay to ensure
smooth, secure and fair transactions for its customers. Revenue model is
based on revenue sharing rather than listing fees, makes it easier for
additional merchants to join the network and attracts a large volume of
customer traffic. Good relations with Chinese government is particularly
important as they are the gatekeeper of the economy.
6. Market Strategy
Market Strategy is the plan a company put together that details exactly how
you intend to enter a new market and attract new customers. Alibaba
functions as an intermediary third party platform between buyers and sellers,
5
where it is cost and time efficient to connect and do business anytime and
anywhere. Alibaba also established a third party online payment service
called Alipay so as to build trust and a reliable platform for its users to make
transaction safely, hence making Alibaba's e-platforms an attractive site to
do business. Discounts are also given to customers when they buy in bulk or
during festival seasons.
7. Organizational Development
Organizational development describes how the company will organize the
work that needs to be accomplished. In 2011, reorganized Taobao into three
separate companies Tmall.com, Taobao Marketplace and eTao to better
adapt to Chinas fast-growing B2C market for e-commerce in June.
In July 2012, reorganized into seven business groups: Alibaba B2B
International Operations, Alibaba B2B China Operations, Taobao Marketplace,
Tmall.com, Juhuasuan, eTao and Alibaba Cloud Computing. Alipay was
separated from Alibaba Group and became an affiliate of Alibaba Group.
In 2013, reorganized again into 25 business units. Alibaba Small and Micro
Financial Services Group which includes Alipay, insurance, loans and
guarantee services to small businesses was formally founded in March 2013.
Alibaba operates a collaborative ecosystem where all participants have an
opportunity to prosper, which includes consumers, merchants, third party
service providers and others. It is structured around six key elements:
teamwork, commitment, passion, integrity, and customer-first and to
Jack Yun MA
Brje E. EKHOLM
Independent Director
Joseph C. TSAI
J. Michael EVANS
Jonathan Zhaoxi LU
Vice Chairman
Independent Director
Jerry YANG
Independent Director
Independent Director
Masayoshi SON
Director