...Overivew of Alibaba’s Business Alibaba is the largest e-commerce (online and mobile) company in the world based on gross merchandise volume in 2014. It is also the biggest e-commerce company in China dominating more than 80% of the country’s e-commerce market share. Alibaba operates a similar business model to eBay by providing technology infrastructure and marketing reach in the form of online marketplaces for merchants to conduct online transactions with cosumers and businesses. Unlike Amazon, Alibaba does not hold or sell any merchandise. Instead, Alibaba plays the role of a middleman to connect buyers and sellers and facilitating the transactions between them (MarketWatch: Alibaba, 2015). Thus, purchase of the physical merchandise is made directly from the 3rd party businesses (eCommerceFuel: Alibaba vs Amazon, 2014). Supporting Alibaba’s business through maintaining buyer’s confidence is its secured online payment platform, Alipay that provides escrow services. Alipay manages the bulk of the transactions that take place on Alibaba’s China marketplaces. Alibaba operates both China and global marketplaces. Its China marketplaces include Taobao, Tmall and Juhuasuan whose presence continues to dominate China’s e-commerce marketshare. At the end of 2015, Gross Merchandise Volume (GMV) transacted on these retail marketplaces was RMB964 billion (US$149 billion), an increase of 23% over 2014. Alibaba’s global marketplaces include Tmall global –an extension of Tmall, Aliexpress...
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...Alibaba in the Emerging Chinese E-commerce Industry Yuexi Li1 Claremont McKenna College November 15, 2015 Abstract: Alibaba.com is one of the leading e-Commerce companies in China. It has grown admirably from its initial beginning as an e-Market connecting small suppliers and buyers to a giant emarketplace that has several operational platforms. Currently the heavy reliance on Chinese Economy, the counterfeit goods issues, and the competition from other emarketplace remain Alibaba’s greatest challenges. In this paper I evaluate Alibaba’s business model including its mission, vision, and values, revenue model, and its R&D structure. Alibaba’s strategy led to its competitive advantages in realizing network effect of scale and understanding the Chinese market. 1 yli17@cmc.edu 1. Introduction On November 11th, 2015, Alibaba Group Holding Ltd. (hereinafter, Alibaba) reported a record-breaking $14.3 billion in sales over just 24 hours during the “Singles Day”2, a shopping holiday. In recent years, Singles Day sales in China have out paced Cyber Monday sales in the US: According to the Reuters.com, on November 11th, 2014, Alibaba reported a $9.3 billion sales from 24 hours, which is $7.26 billion more than sum of US retail ecommerce on Cyber Monday 2014. The statistic shows the Chinese online shopping market’s power, as well as Alibaba’s leading position as the Chinese e-commerce giant. Reaching...
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...Alibaba Introduction Of Alibaba Alibaba is the world's leading e-commerce company, small business is alibaba group's flagship business. Alibaba n hangzhou city, founded in 1999 in China, through its three trading markets to help all over the world millions of buyers and suppliers engaged in online business. Three online trading market including: centralized service global import and export business of international trade market, focus on domestic trade in China market, as well as through a joint-venture company management, to promote Japan's export and sale in domestic market in Japan market. In addition, alibaba also on the international market has a global wholesale trading platform, for the smaller, need to small batch goods shipment the buyer to provide fast service. All form a trading market have come from more than 240 countries and regions more than 61 million registered users of online communities. To transition into online business for small businesses are more likely to establish and manage a comprehensive platform, alibaba also directly or through its acquisition of companies, including China nets and DaTong, the domestic traders to provide diversified business management software and Internet infrastructure services and export related services, and business management professionals and e-commerce specialist training services. Alibaba also has Vendio and Auctiva, the two companies are leading the third party e-commerce solutions...
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...Alibaba Group Management recommendations and preparation Company summary: Alibaba is one of the Chinese biggest e-commerce company, with hundreds of millions of customers buying products from three main sites: Taobao, Tmall and Alibaba.com. Since the development of Alibaba, the company has established a leading in the e-commerce, online payment, B2B online marketplace and cloud computing business. They provide a platform for small businesses and individual entrepreneurs to open online stores that mainly cater to consumers in China and abroad as well. I think they will grow over the next five or ten years with the 564 million Chines internet users. Furthermore, Alibaba is improving their business to comprehensive level. They have invested in some high-potential companies that could fuse well with its e-commerce business. To face the competitions from the companies in the same type, I agree with that they are going to make a virtual world to further reduce the competition. Moreover, while fighting to stay at the front line in Chinese e-commerce, Alibaba has ambitions of going international. Its initial strategy to bring Taobao abroad is clear: target Chinese users outside mainland China. As the mere description in Part 1, expanding to Korea with wholly owned model is the best way for a company like Alibaba. I think Alibaba’s main goal is maintaining their status in Asian by entering Korea. Alibaba’s intermediary model has replicability, which provides samples...
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...! ! ! ALIBABA!VS.!AMAZON! Does!Amazon!need!to!worry!about!the!aspiring! Alibaba?! Fundamentals!of!Corporate!Finance! ZHONG!Ninghua! written!by!BOULANGER!Guillaume,!DAM!Thuy!Mi,!MAIKATH!Joline! October!09,!2015! Fundamentals!of!Corporate!Finance,!ZHONG!Ninghua! ! ! ! Alibaba!vs.!Amazon! Which%company%has%the%better%conditions%to%be%the%leader%of%the%electronic%commerce%market% in%the%world?%To%answer%this%question,%we%need%to%look%at%some%important%facts%about%those% two%companies%first.% This%report%will%compare%the%latest%financial%statement%from%the%annual%reports%of%Alibaba%Group% Holding% Ltd.% with% the% peer% company% Amazon.com.% In% order% to% understand% the% difference% or% similarity%between%these%two%companies,%we%will%introduce%their%main%business%model%and%of% course%the%financial%statements.%Subsequently,%the%report%is%closed%with%our%own%conclusion% and%the%appendix.%% % Introduction*of*Alibaba*and*Amazon* Alibaba%Group%Holding%Ltd.%was%founded%in%China,%Hangzhou%by%the%former%English%teacher% Jack%Ma%in%1999.%In%China's%eLcommerce%market,%Alibaba%with%its%many%network%platforms%is% already% the% dominant% company.% Its% business% model% consists% of% its% largest% platform% Taobao% which%is%a%customerLtoLcustomer%(C2C)%marketplace%cooperating%in%China%(brings%small%and% private%sellers%with%private%buyers%together%on%a%free%platform),%Tmall%L%a%businessLtoLcustomer% (B2C)%marketplace%in%China%for%larger%retailer%(Nike...
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...Alibaba Group is a Hangzhou-based e-commerce/e-auction company, specializing in global trading. It was founded in 1999 by Ma Yun (Jack Ma), and operates five e-commerce sub-companies which operate different aspects of trading. Employees 4,400 (June 30,2007). As of January 2009, the Alibaba Group is made up of 6 sub-companies: 1. Taobao.com: Online auctions web site for customers. 2. Alipay: Online payments web site, processing mainly payments within China. 3. Alisoft: Provider of web services to the Chinese Small and Medium-sized Enterprise market place. 4. Alimama: Online advertising exchange, which allows web publishers and advertisers to trade online advertising inventory. 5. China Yahoo ! As a powerful portal with excellent searching engine, it provides high- quality basic application services for internet users including email, IM, information services and so on. 6. Koubei.com: China's largest communities for exchanging basic life information such as that on clothes, food, housing and travel. In 2009, Alibaba Group employed nearly 17,000 people, 70% worked in Alibaba’s B2B business. CRITICAL SUCCESS FACTORS 1. Clear Strategy To be the best e-business website not only in China, but also all over the world is the mission of Alibaba Corporation. The clear strategy is the beginning of the team of Ma Yun and the highest demand of all the team members. The right strategy born with the right period of e-business development in...
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...Study: Should Alibaba Group Centralize? Jack Ma founded the technologically evolving and economically progressing business, Alibaba Group. Ma saw the potential of the Internet early on and created a multifaceted conglomerate, capturing a business market at its foundation. His goal was to provide a simple, efficient e-commerce platform and now holds half of the B2B in China. Wherever there was a need, Ma would adapt and create different business units to effectively provide the service. Alongside online trading, Ma provided a platform for retailers, individuals, payment services, management solutions, and an entertainment portal. Alibaba Group developed synergies within the units and subsidiaries to coordinate ideas, spread resources, and develop additional units to complement each other. He down streamed manufacturers provided a cheap storefront and added value services (such as keyword bidding and commission based sales). His model was unlike any other at the time. This kind of consolidation, led to competition among the subsidiaries. This kind of competition, however, has inspired efficiency and differentiation. Ma promoted collaboration and created cross-business and cross-functional teams. The business units also did not depend on large teams but rather channeled its focus on engineering and customer service. By the mid 2000’s, China had transitioned into a primarily private economy—which ultimately brought the nation to an economic boom. By 2009, 70% of Alibaba Groups business...
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...Alibaba.com Feasibility Study and Business Plan M21-A Kevin Paul Julia CONTENT 1. INTRODUCTION................................................................... 2 2. BUSINESS MODEL ............................................................... 3 3. FIVE FORCES ANALYSIS ................................................... 4 4. PRESENT THE CORPORATION NOW ............................. 5 5. ENVIRONMENT .................................................................... 6 6. FINANCIAL ANALYSIS........................................................ 7 7. SWOT ANALYSIS ................................................................ 10 1 1. Introduction 1.1. Alibaba Group Alibaba (SEHK: 1688) (Chinese: 阿 里 巴 巴 ; pinyin: ā lǐ bā bā) is a Hangzhou-based e-commerce/e-auction company, specializing in global trading. It was founded in 1999 by Ma Yun (Jack Ma), and operates five e-commerce sub-companies which operate different aspects of trading. 1.2. Business profile The English-language web site alibaba.com specializes in business-to-business trades, especially for international buyers trying to contact Chinese sellers. The Chinese-language web site china.alibaba.com focuses on business-to-business trades within China, while www.taobao.com is a consumer-to-consumer trade site for Chinese customers. The Japanese language website "Japan.alibaba.com" is for Japanese customers. Alibaba Group Type e-commerce Founded Hangzhou, China (1999) 6/F Chuangye Mansion, East...
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...Pivot of Supporting The Loan th The 17 “Hanju” Cup Financial Case Analysis Contest Analysis Report FINANCING ALIBABA’S BUYOUT： Case Report Name： Title： SYNDICATED LOAN IN ASIA PIVOT OF SUPPORTING THE LOAN Team Name： WINNERS DATE: 2014/10/20 1 Pivot of Supporting The Loan Context Abstract ..................................................................................................................................................3 1. Macro and Industry Analysis .....................................................................................................4 1.1 PEST Analysis Macro Environment .................................................................... 4 1.1.1 Political Environment ......................................................................................... 4 1.1.2 Economic Environment ...................................................................................... 5 1.1.3 Social Environment ............................................................................................. 7 1.1.4 Technological Environment ................................................................................ 8 1.2 Industry Analysis – SWOT Analysis .................................................................. 10 1.2.1 Strength ............................................................................................................. 10 1.2.2 Weakness ...................................
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...sg/content/edb/en/news-and-events/news/singapore-business- news/Industry/Taobao-marketplace-arrives-in-Singapore.html Taobao fake problem http://www.scmp.com/news/china/article/1694077/state-commerce-regulator-releases-damming- account-tabaocom-day-alibaba http://www.straitstimes.com/news/opinion/more-opinion-stories/story/taobao-the-king-fakes- china-e-commerce-20150202 Taobao cooperate with sgshop n mbb http://www.aspirantsg.com/maybank-sgshop-brings-china-taobao-bargains-to-singapore/ Wiki Taobao http://en.wikipedia.org/wiki/Taobao https://www.techinasia.com/tag/taobao/ Taobao team up with signpost https://sg.news.yahoo.com/taobao-teams-singpost-pore-shoppers-030023580.html http://www.chinainternetwatch.com/tag/taobao/ https://www.crunchbase.com/organization/taobao http://www.bomodagroup.com/differences-tmall-taobao/ CNBC news http://www.cnbc.com/id/102007039#. http://english.cntv.cn/2015/01/29/VIDE1422462360357940.shtml taobao lawsuit http://english.cntv.cn/2015/01/29/VIDE1422462360528952.shtml https://www.google.com.sg/search? biw=1249&bih=675&noj=1&tbs=qdr%3Ay&q=taobao+business+disadvantage&oq=taobao+busines s+disadvantage&gs_l=serp.3...31549.65805.0.66050.33.23.1.0.0.1.580.2011.0j4j2j0j1j1.8.0.msedr.. .0...1c.1.61.serp..28.5.1061.Uaz9VrHSf1s http://www.alibabagroup.com/en/news/press Taobao Sale report http://www.chinainternetwatch.com/7276/a-glimpse-at-chinese-internet-giants-2013-financial- statements/ http://www.alizila.com/alipay-report-shows-mobile-commerce-booming-china ...
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...alibaba By snoworb | Studymode.com xecutive Summary 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 commerce, and also, industries beyond, the report then ends with suggestions for future possibilities that the Group could explore. Outline of Alibaba Group Set in a fast moving, highly pragmatic e-commerce sector, Alibaba Group has never been shy of its ambition which comprises to top Walmart to become the largest retail company worldwide within the next 3 years (Hong, 2013). Alibaba Group has stakes in not only e-commerce platforms but also in cloud computing, group purchasing, payment processing, cloud computing, and even instant messaging. With its strategic position in a developing China, strong presence in the e-commerce sector and far looking management strategies, Alibaba Group might just be able to achieve its ambitious goals. ...
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...E-Commerce Ecosystem Connecting Half of China; Initiate at Buy Key Takeaway China's changing Internet user demographics and mobile development support our favorable view on e-Commerce for the next decade. Alibaba is the largest Chinese ecommerce player, with 80%+ GMV market share, but is only selling to less than 25% of the population now. We estimate well over half of Chinese population will be shopping on Alibaba’s platforms in 10 years. Initiate with Buy; PT USD118. Changing demographics & mobile support ecommerce in the next decade. As discussed in our sector note, "A Taste of Domestic Consumption: The Unleashing of China's E-Commerce Power" published on Sept 19, 2014, China’s e-Commerce growth for the next decade benefit from: 1) changing Internet user demographics towards 30+ year old age groups; 2) accelerating structural shift to online from traditional retail; 3) Chinese government’s massive support for urbanization and domestic consumption; 4) proliferation of affordable smart devices; 5) improving wireless and transport infrastructures in lower tier and rural markets, and 6) rising consumer demand for better quality, design & fashion, authenticity and timely delivery. Growth driven by mix shift towards Tmall, and improving mobile monetization. We expect Alibaba, as the largest e-Commerce player, to sell to well over half of the Chinese population in 10 years, up from less than 25% now. We estimate FY14-17E revenue CAGR of 36%, driven by continued commission...
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...B2B案例研習 <<Alibaba>> 課程:電子化採購與B2B 課程序號:09070300 任課老師: 宋培建老師 學生姓名:朱家爵 學號:138354032 Contents * Definition pg.3 * Company Introduction pg.4 * Companies and affiliated entities pg.5-pg.7 * The Growth of Alibaba pg.8-pg.10 * Alibaba Business Model pg.11 * Five Forces Analysis pg.12-pg.13 * Present the Corporation Now pg.13 * Business Environment pg.14-pg.15 * The Financial Analysis pg.17-pg.18 * SWOT Analysis pg.19 * Recommendation for Alibaba pg.20 * Conclusion pg.20 * References pg.21 Definition * E-commerce Electronic commerce, commonly known as e-commerce or eCommerce, is a type of industry where the buying and selling of products or services is conducted over electronic systems such as the Internet and other computer networks. Electronic commerce draws on technologies such as mobile commerce, electronic funds transfer, supply chain management, Internet marketing, online transaction processing, electronic data interchange (EDI), inventory management systems, and automated data collection systems. Modern electronic commerce typically uses the World Wide Web at least at one point in the transaction’s life-cycle, although it may encompass a wider range of technologies such as e-mail, mobile devices, social media...
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...make it easy to do business anywhere” is the core value proposition of Alibaba.com, a leading B2B online market place in China with 53.8% market share. Founded in Dec. 1999, Alibaba provides both suppliers and buyers an easy to use online interface where they can match their needs. The report team considered this as an innovation because other than those typical challenges faced by innovative companies; Alibaba also faced specific challenges such as the lack of credit system in China when it was first founded, the severe pressure from capital investors due to the burst of dotcom bubble shortly after its inception, as well as the strong incumbent, eBay, entering China in 2003. By focusing on its core business of B2B online market place, continuously building its IT capability and integrating third-parties to establish a local credit rating system, Alibaba was able to stand out amongst the many players in the early dotcom age in China. At the same time, Alibaba successfully defended its B2B business by proactively entering into the C2C space and compete head to head with eBay. This report explores in specific details of actions undertaken by Alibaba, particularly by its founder Jack Ma, analyzes the impact of those actions, and finally presents an outlook for Alibaba’s business with our recommendations. Background Overview The Business Model of Alibaba Most of Alibaba’s customers nowadays still use a traditional supply chain; the business model of Alibaba is unique because...
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...make is easy to do business anywhere” is the core value proposition of Alibaba.com, a leading B2B online market place in China with 53.8% market share. Founded in Dec. 1999, Alibaba provides both suppliers and buyers an easy to use online interface where they can match their needs. The report team considered this as an innovation because other than those typical challenges faced by innovative companies; Alibaba also faced specific challenges such as the lack of credit system in China when it was first founded, the severe pressure from capital investors due to the burst of dotcom bubble shortly after its inception, as well as the strong incumbent, eBay, entering China in 2003. By focusing on its core business of B2B online market place, continuously building its IT capability and integrating third-parties to establish a local credit rating system, Alibaba was able to stand out amongst the many players in the early dotcom age in China. At the same time, Alibaba successfully defended its B2B business by proactively entering into the C2C space and compete head to head with eBay. This report explores in specific details of actions undertaken by Alibaba, particularly by its founder Jack Ma, analyzes the impact of those actions, and finally presents an outlook for Alibaba’s business with our recommendations. Background Overview The Business Model of Alibaba Most of Alibaba’s customers nowadays still use a traditional supply chain; the business model of Alibaba is unique because...
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