alibaba case study and website review

1

AlibabaBUSINESS REVIEW AND CASE STUDY

Submitted by REZA HAMOULEHSchool of industrial engineeringIran University of Science and Technology2016

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

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

4History Founded in Dec 1999

ByJack Ma and 17 other founders

5History Founded in Dec 1999

inHangzhou, China

6History In Dec 2001, Alibaba.com achieved profitability

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%.

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

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

10Expand to new marketsE-Commerce Services

Alipay.com (online payment platform)

Etac.com (shopping search engine)

other businesses Aliyun.com Alitrip.com …

11Products of Alibaba.com

12Products of Alibaba.com

13Products of Alibaba.com

14Products of Alibaba.com

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.

16Discovery

17Discovery

18Discovery

They trying to convince you to Trust them!

19Discovery

20Discovery

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

22TRUST!

23Business cycle

24Business cycle

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

26Business cycle

27

Thank you :)hamouleh_r@ind.iust.ac.ir