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Summary
• What is Alibaba.com? • What is the structure of the company?• Business model, how it works?• Going international.• Going International• Future online strategy
What is Alibaba ?
• Electronically oriented business e-commerce– global reach, universal standards, information richness,
interactivity, information density, personalization/customization, social technology
• Largest Business-to-Business marketplace for global trade
• Link between buyers and customers• 2.3 + million members• 200 + countries and territories• 32 categories
Who is Alibaba
• Established 1999• Office locations: Hangzhou, China(HQ),USA
(Silicon Valley),Europe (Geneva), major cities in China
• Number of employees: 4000 +• Number 17 top site in the world• World’s Top-Ranked Import and Export Site• World’s Top International Business and Trade
site
Alibaba and others
• Alibaba Chinas leading e-commerce company, operating world’s largest online marketplaces both international and domestic China trade
• Taobao.com Chinas largest C2C auction site• Alipay.com Chinas largest online payment
gateway• Yahoo! China – leading search engine
Why E-commerce?
-Ubiquity -Global reach -Universal standards -Information richness-Interactivity -Information density -Personalization/customization -Social technology.
Alibaba Mission & Values
– Make doing business easy trough E-commerce– Customer comes first-(Customers are everything)
– Teamwork and cooperation-(Team interests are always ahead of individual interests)
– Embrace changes-(Go beyond yourself and welcome changes)
– Integrity-(Honest and upright, honoring commitments)
– Passion-(Never give up and stay optimistic)
– Honoring your job-(Perform the extraordinary with a professional attitude and an ordinary mind )
How they managed it?
• Their business model is simple• Sellers (suppliers / manufactures) can meet
buyers (outsourcers / wholesalers) • Acting as a mediator• Free and payable services • Priority services as an income generator• Users pay to advertise as the sellers
Business Model
• Emergence of virtual service companies • Traditional business model has a need for
change• No production and sale• Technology as the most important thing• The concept of inputs, operations and outputs
as a model (picture)
Good for every one
• For sellers – because Alibaba is making them visible to the buyers
• The sellers top method of marketing is their presence on Alibaba
• For buyers – because Alibaba is matching them with the seller based on their needs
• For Alibaba – because their make profit from each side
Both ways
• Alibaba’s customers are on either the inbound or outbound side of the manufacturing process.
Future strategies
• Making the business to a lower user level like ebay or amazon
• Keeping up with the technology• Better customer service• Expand to new developing countries
Some interesting facts
• By June of 2007, Alibaba had over 19.8 million registered users, with 16.6 within its Chinese marketplace. 219,098 of these 19.8 users where paying members.
• Expected surge in e-commerce amongst SMEs, which had risen from 4.5% in 2002 to 28% in 2006, and is estimated to climb to 82% by 2012