Alibaba Case Study and Website Review
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1
AlibabaBUSINESS REVIEW AND CASE STUDY
Submitted by REZA HAMOULEHSchool of industrial engineeringIran University of Science and Technology2016
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2A brief introduction Alibaba Group is an e-commerce company (not only a website) Alibaba Group is an e-commerce Ecosystem, like a mix of Amazon,
eBay and PayPal!
Alibaba.com is the flagship company of Alibaba Group, Is the world’s largest online B2B trading platform.
Act as a middleman (unlike amazon)
Global Rank
66Alibaba.com
Global Rank
12Taobao.com
Global Rank
33Tmall.com
Global Rank
50Aliexpress.com
According to Alexa.com
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3Income Annual net income (March 31 2015 - March 31 2016)
11.06 billion U.S. dollars Annual net income (March 31 2014 - March 31 2015): 3.9 billion $ Annual net income (March 31 2013 - March 31 2014): 3.2 billion $ Number of employees at Alibaba: 36,450 (Amazon: 230,000) Alibaba Group Brand Value: 49.3 billion U.S dollars
World Rank
18Brand value According to
Statista.com
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4History Founded in Dec 1999
ByJack Ma and 17 other founders
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5History Founded in Dec 1999
inHangzhou, China
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6History In Dec 2001, Alibaba.com achieved profitability
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7Some interesting facts about Alibaba It has 300m customers - just short of the entire US population. Alibaba boasts 81% of online business in China In 2014, Jim Tompkins estimates that U.S. e-commerce with reach
$475B, China will be at $540B, and Alibaba will be at $450B. Alibaba alone will nearly equal all e-commerce in the U.S. in 2014.
Alibaba is the fastest growing e-commerce company in the world in the fastest growing market. The company’s growth rate since 2003 has approached 120%/year and has grown at a rate of 70% between 2009 and 2013.
Jack Ma was an English teacher when he started the site from his one-bedroom apartment in Hangzhou, Zhejiang province, in 1999.
He set up Alibaba with $60,000 borrowed from 17 people. His shareholding in Alibaba is 8.9%.
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8Expand to new marketsE-commerce Markets
Alibaba.com (B2B)
AliExpress.com (B2B & B2C, international small businesses)
taobao.com (C2C)
1688.com (B2B, domestic small businesses)
Tmall.com (B2C)
Juhuasuan.com (Group buying)
buying
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9Expand to new marketsE-commerce Markets
Alibaba.com (B2B)
AliExpress.com (B2B & B2C, international small businesses)
taobao.com (C2C)
1688.com (B2B, domestic small businesses)
Tmall.com (B2C)
Juhuasuan.com (Group buying)
buying
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10Expand to new marketsE-Commerce Services
Alipay.com (online payment platform)
Etac.com (shopping search engine)
other businesses Aliyun.com Alitrip.com …
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11Products of Alibaba.com
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12Products of Alibaba.com
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13Products of Alibaba.com
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14Products of Alibaba.com
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15Search & Discovery
1-Type in a product name and you’ll get anything from 500 to 500 000 results. That’s a lot of products, but it doesn’t really say anything about the suppliers behind these products.
2- You still type in a product name, but instead of a list of products you’ll get a list of suppliers that make your product.
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16Discovery
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17Discovery
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18Discovery
They trying to convince you to Trust them!
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19Discovery
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20Discovery
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21Trust: verification business in Alibaba A&V Check
Third-party verification company Required for all Global Gold Suppliers
Onsite Check Alibaba.com personnel & third-party verification company Required for all Gold Suppliers in Mainland China, Taiwan Gold Suppliers and Hong Kong Gold
Suppliers
Assessed Supplier A third-party company, such as Bureau Veritas or TÜV Rheinland, carries out the inspection and
verification. Optional for all Gold Suppliers in Mainland China, Taiwan Gold Suppliers and Hong Kong Gold
Suppliers
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22TRUST!
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23Business cycle
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24Business cycle
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25Business cycle
Western Union
Risk Level For Buyer: Very Risky PayPal
Risk Level For Buyer: Fairly Safe
Upfront TT (Bank Transfer)
Risk Level For Buyer: Risky Letter of Credit
Risk Level For Buyer: Fairly Safe
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26Business cycle