Alibaba Strengths And Weaknesses

Nowadays, high-speed development of the technology has changed the daily life and the computer and the Internet have become the mainstream in China markets. The expansion of the Internet rapidly leads the e-commence to develop and change the operation way of Chinese business. At present, there are many people who want to start-up a business on their own. Ma seizes the opportunity to establish a great stage ‘Alibaba’ for

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%

Read the case carefully and answer the following questions: 1.Till 2005, eBay EachNet was the leader in the Chinese e-commerce market, controlling more than half of it. But eBay EachNet soon lost its market leadership position to Taobao.com (Taobao). In this context, analyze the reasons that can be attributed to Taobao’s edge over eBay. 2.a. To enable people to trade with each other, Pierre Omidyar created a marketplace in September 1995 which was later called eBay. By mid 1997, eBay received one million page hits per

One major flaw built within the business model of Alibaba is its ability on controlling the merchants and their quality of goods. Since both Taobao and Tmall relied on third party sellers to provide goods and services, it lacks the ability to enforce strong quality control and eliminate counterfeit goods. In fact, consumers were well aware of it and this issue had already been damaging Alibaba’s reputation in online retailing markets. However, its major competitor, JD.com would be having much stronger abilities and incentives to eliminate these

Alibaba Group is one of the world’s most successful Chinese multinational corporations originally based in China. It is an e-commerce company that provides consumer-to-consumer, business-to-consumer and business-to-business services through web portals for both international and domestic China trade. Alibaba launched various sites including Alibaba.com which was the first China’s commercial website launched in 1999. The purpose of Alibaba.com site is not just to connect Chinese supplier

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.

In a hyper-competitive world economy and with increasingly rational buyers, the competitions among e-commerce businesses are becoming more and more intensive.

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

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.

As Zappos faces the challenge of determining next steps in regards to maintaining the existing business unit or to enter a new business venture, the SWOT analysis will provide clarity in the firms Strengths, Weaknesses, Opportunities, and Threats. This is an extremely suitable

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

the local competition. Most cases fail because those companies underestimate the local competitor. When the Alibaba found, they are goal is beat the companies like Amazon and Ebay. There is no one believe Alibaba will achieve their goal during that time and no one try to make some barrier to stop their expansion. This underestimation help Alibaba became one of the heavyweight company in the world and Ebay lost the entire market in China.

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

Therefore, eBay focuses on a large volume of produced output. In addition, it focuses on products which can effectively respond to the huge customers, better speed, stability and security of its website.

Before any company want to make a decision to formulate and implement on some strategies, they would have to evaluate and measure their current performance first. One of the alternative that can be used by the company is through the SWOT analysis. At the most basic step, gather information and conduct analysis about the internal characteristics of an organization and the condition of external market is needed. The SWOT analysis framework involves analysis the strengths (S) and weaknesses (W) of the internal factors of organization, and the opportunities (O) and threats (T) is analysis of its external factors. The weaknesses