Global Operation Management: Alibaba

There are many businesses that have expanded their business internationally in order to benefit in some sort of way rather it revenue or a better market for their product. In this thesis, I will research a multination company and its international strategy over the last 10 years. I will elaborate on it international orientation and rather it etho-, poly-, or geocentric. I than explain why the company decided on expanding to the chosen locations. Then I will clarify if they had core capability to succeed in those markets, along with its

There are countless considerations for any company to evaluate when considering which international markets to consider for expansion. Industry specifics aside, two countries which are experiencing a rapid increase in American business partnerships are China and India. Both China and India boast exceedingly large population, in fact, they are the first, and second most populous

Let us consider China for our example. China is the largest market in Asia and as such, it is an object of great interest for expanding companies. Many companies have already taken advantage of the opportunities afforded by dealing with China and many more will surely

According to Moosa (2002), “Hymer (1976) organized the industrial organization hypothesis. Kindleberger (1969), Caves (1982) and Dunning (1988) further explained the hypothesis. This theory assumes that the firms when it establishes an enterprizes in another country it suffers from many disadvantages in comparison to local investors. The cultural aspects, languages, legal system and other factors play an important role in determining FDI. But there is increase in FDI. The theory explains about why firms invest in foreign countries. But the theory fails to explain the motivation for choosing the locations. This theory explains the expansion of FDI is due to capital, management, technology, marketing, and access to raw materials, economies of

eBay first entered the Chinese market in 2002 by acquiring a 33% stake in its local counterpart, EachNet, followed by a full acquisition a year later in 2003. Critically assess eBay.s choice of market entry strategy for China (use Key Country Matrix), listing both the advantages and disadvantages of its acquisition strategy (use Drivers (YIP) -CAGE Matrix). 30%

Although infrastructure is one of the major components to a thriving economy, you must also take into consideration technology and the productivity of the people. If technology is not improving, it’s harder to improve the quality of goods and services provided. If a person in the work field is not productive in their work or undereducated in their work, the quality of the goods and services they are creating will not benefit the buyer and therefore goods and services will not be purchased. Therefore, technology and human productivity go hand in hand with infrastructure

Alibaba.com shows great traffic and consisting 50% market share in China. The launching of Alibaba.com has enabled the SMEs in China to do their business, where the site can even help them more, as they can trade domestically and internationally. The amount of global buyers has increased to 7 million and 1.6 million in both U.S and U.K respectively. [30] Recent statistic shows that there is more than 10,000 orders per day, placed by global buyers on Alibaba.com [30]

Our company will be allowed to access better technology across the world since it will be much cheaper.

The barriers to enter these industries are quite high. It seems very difficult for potential competitors to implement themselves in these markets because there are already many big companies offering large range of products all over the world and these companies benefit from very strong brand image.

Companies across the United States do business in other countries regularly and for various reasons. Some organizations move in to international markets to take advantage of other countries strengths and resources which allows companies to expand and grow their business, revenue, and international presence. The other reason that U.S. organizations move into international markets is to take advantage of the human resource talent, innovation, and technologies. For instance, some U.S. companies have expanded into Asian markets to leverage the technological expertise of local populations, which not only boosts business and capabilities, but also helps to expand their client base (Kokemuller, 2016).

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

Alibaba Company is the largest online business in the consumer e-commerce with online payments, cloud computing, and business-to-business market places that reach to users of the internet in countries and regions not less than two hundred and forty. The company culture is based on the shared vision, mission, and value system. These act as the subsidiaries and the cornerstone of the Alibaba Company. The company focuses much on its core values that are the customers, cooperation and teamwork, passion, integrity, change embracing and employees honoring their job.

The media has to look for everyday business operations at global market. International business develops different outcomes that not only meet the requirements but also elaborate the performance of business. Different drivers of globalization can basically

The world offers significant business opportunities for every company, however, opportunities are accompanied by significant challenges for managers. Managing global operations across diverse cultures and markets represents a big challenge and opportunity for companies. To compete in the global market and be successful, companies must learn the strategies, policies, norms and technology necessary to conduct international business. The opportunities for global expansion are numerous, and attaining success is a matter of developing the right strategy to win local markets and its consumers.