Alibaba Essay

Naturally, when there are great gains to be had, there are great risks. A lack of understanding in cultural protocol is a commonly occurring pitfall for foreign, new to market business endeavors. Also, even positives such as China’s size, can commonly be a double edge sword. It is imperative for companies considering international expansion to create a solid entry to market strategy, which evaluates if the firm has any potential in achieve gains in a foreign marketplace.

For most multinational corporations, one common challenge goes with the business expansion into other countries – the localization effort to enable implementation of their business strategy and value proposition into targeted country. Amazon is no exception while trying to enter the China market. Attracted by the outstanding 1.3 billion populations, stronger consumption ability, and increasing acceptability of online shopping, China has become the most potential market in the world. The key to achieve international e-commerce success lies in understanding the critical factors that affect customers’ decision of whether to adopt the services. Generally speaking, they are product selection, service

The trend toward shopping using the Internet is growing faster than expected (Cramer, 2014). Since Internet has become popular medium for people to shop, more companies then launched online shopping platform. With this new platform, they were able to do sales directly to their customer.

However, most consumers of China do not trust e-commercial retailers since e-commerce market still has a rather shorter history in China. Most researchers found out that prices of most Dotcoms

Success for a business in a large market such as china can be a very difficult thing to achieve; there are many factors that can affect the success or failure of a business that decides to merge into China’s markets. Most people would assume that due to the very large population of china (roughly 1.35 billion/1,363,496,913) operating a business there would not be a problem, this however is incorrect, just because there is lots of people there doesn’t for a minute make it any easier to set u-p and run a successful business.

For the legality of online shopping websites, Chinese people usually shop on Taobao so that they don’t get cheated on the fake websites, and this makes Taobao a gigantic flatform and it’s like a monopoly. People shop on Taobao and the stores get franchised to put their products on Taobao.

Many market opportunities have helped the Alibaba Group thrive in the recent years. The location is the first advantage because China has over 560 million users of internet spending over 20 hours online a week. China is the biggest internet market globally (Bhasin, 2016). This is twice the size of internet users in United States of America. China is gradually shifting the traditional retailing in favor of latest trend of e-tailing. The good relationship with the government of China has enabled it to carry its operations so well in the market. For example, Alibaba Group was among the companies selected by the government of China to join the Internet banking. This is a huge opportunity especially where banks are state owned (Shiying & Avery, 2009). The cost cutting associated with the huge volume of sales. For example, Tmall and Taobao accounted for over 50 percent of all the Chinese delivered parcels. Tmall’s and Taobao’s combined transaction volume in 2012 was about one trillion yuan. This figure was more than eBay and Amazon transaction volumes combined.

The Alibaba group has thrived in the Chinese e-commerce sector from its inception in 1998. They currently account for over 70% of online shopping in China and delivered annual revenues of $636 million in the 12month period ending June 2009 (case p1-2). Alibaba’s successes are due to multiple factors that have allowed them to create corporate advantage, and thus establish market leadership in China (Case p1). The configuration and coordination of Alibaba’s

Founded just before the turn of the millennium in Hangzhou, China, Alibaba Group has to date become the largest online retail website worldwide in the planet, its total transactions surpassing the sum of both Amazon and eBay’s (Erickson, 2013). The report explains its business and operation model and market strategy, before moving to explore the reasons for Alibaba Group’s success such as its established market share in the large market of Mainland China and its efforts to promote the perception of the reliability and security of e-commerce. Comprising of its future plans in logistics improvement, expansion into developing nations, integration with social networks, venture into mobile

In this report I will examine the case “Alibaba: Competing in China and Beyond.” Alibaba under the leadership of Jack Ma, its founder has transformed into one of the most successful e-commerce companies in China. In the 2000s Alibaba had emerged as the largest e-commerce company in China. The company tailored its strategies to meet the needs of the customers and made a mark because of its understanding of the Chinese language and culture. However, some

Alibaba.com was launched in 4 of April in year 1999 in Hangzhou, Zhejiang in China. There are few phase that affected Alibaba’s growth. In year 1998 to year 2001, This is the period that Alibaba starts to recruit suppliers by providing them information and platform for entering the global market. Free online information and services were provided to the suppliers during that period. Jack Ma even hired experts from foreign country to assist the company to go into globalization. (Yazdanifard, 2014)

Alibaba Group Company Limited in June 28, 1999 was incorporated in the Cayman Islands. Alibaba as a tripartite platform operators, not directly involved in sales, not to compete with the business, and no inventory. Alibaba provides basic technical infrastructure and marketing reach to help businesses take advantage of the power of the Internet to establish online business in the middle of consumers and businesses, e-commerce. Alibaba is China development of online market (including consumer protection plan, market rules, businesses eligibility criteria and rating system for buyers and sellers) leader

Alibaba Group Holding Limited is a publicly traded in HangZhou, China. It start operate from 4 April 1999. Alibaba.com Limited, primary company of Alibaba Group, is the world’s largest online business-to-business trading platform for small businesses. Alibaba Group is a HangZhou-based group of Internet-based e-commerce businesses, including business-to-business online web portals, online retail and payment services, a shopping search engine and data-centric cloud computing services. Alibaba.com is a global website for members to find suppliers and buyers. Consumers can both sell and buy products on Alibaba.com. The company began in 1999 when Jack Ma founded the website Alibaba.com, a business-to-business portal to connect Chinese manufacturers

To compete with Amazon in the U.S. market, Alibaba has to understand the environmental factors that can impact their short and long term plan. On the economic scale, U.S. market is still in the process of recovering from the financial crisis. The consumer and business still reluctant to spend. Additionally, the U.S. Stock market has been sluggish; the investor is constantly on a watch. Computer and retails industry reported a slow growth and dropped in their revenue. Job market reported slightly improve this year. However, the employment income level remains constant. Although the U.S. economy may not be in the best shape, it is still more promising compared to the slowdown of China’s economy. With more Chinese investor buying U.S. companies, it benefits Alibaba as the company can expand its network in U.S.

Alibaba Group is the world's outstanding business-to-business e-commerce service company, which provides an efficient online trading platform for buyers and suppliers all over the world. It is China's largest e-commerce group which was founded by Jack Ma in 1999, and has developed into seven affiliated groups, namely Alibaba International Business Operations, Alibaba Small Business Operations, Taobao Marketplace, Tmall.com, Juhuasuan, e-Tao and Alibaba Cloud Computing (News, 2012). Besides, Alibaba Group has more than 24,000 employees in 70 cities which scattered in China, India, Japan, Korea, the United Kingdom and the United States (News, 2012).