global strategy - alibaba's expansion in the u.s. market
TRANSCRIPT
TEAM 1
Stanley Igwedibia Panchito Daskalov Diana WangSumei Zheng Teja Reddy Yan HuangJiao Cui
TEAM 1
Stanley Igwedibia
Panchito Daskalov
Diana Wang
Sumei Zheng
Teja Reddy
Yan Huang
Jiao Cui
Agenda
1
A Chinese Group of various
online shopping sites
Jack MaFounder and
Executive Chairman of
Alibaba Group
The initial public offering in the US could
raise up to $25bn
What we don’t know about Alibaba?2
To last at least 102
years
MissionMake it easy to do business anywhere
GoalPlanning a full-scale e-commerce expansion in to the U.S. market
Alibaba’s Vision3
ChallengeWhat we want
ObjectiveWhat we gain
OpportunityWhat we aim at
AdvantagesWhy we win
ActivitiesHow we win
Choice Carousel
ESS Framework4
167.3
87.7
572.5
E-commerce Sales from 2010 (Billion Dol-lars)
U.S. China Rest of the World
1.13
2.1
3.47
2020 E-commerce Market forecast (Trillion Dollars)
Challenge – What we want? 5
Challenge – What we want?6
Rivalry
HIGHBargaining power of Suppliers
LOWBargaining power of Buyers
HIGH
Threat of new entrants
HIGH
HIGHThreat of Substitute products
Challenge – What we face?7
Low Brand Awareness Convenience
Quality Delivery Time
Payment Assurance
Trade Regulations
Local Market
Challenge – What we face? 8
Strengths
• Billions in Cash Reserves• Industry Expertise• Low cost leader for B2B• Strong relationship with
suppliers and Customers through Premium option services
Opportunities
• Sales have seen double digit growth each of the past 8 years
• Sell products globally • Growing business
technology sector• Gaining U.S suppliers
Weakness
• Lack regional knowledge• Only 67% response to
customer enquires
Threats
• Competitive markets with intense competition
• Government Regulations on imports and exports
Internal External
Opportunity – What we aim at?9
Revenue
Market share
Customer Satisfaction
Reduce Costs-Volume
Portfolio Built
Reputation-High profile
Objectives – What we gain?10
Billions in Cash Reserves
Industry Expertise
Low cost leader for B2B
Powerful networking effect
Suppliers CustomersAlibaba
Advantages – Why we win?11
TRUST
Value–added e-market
MARKET
PAYMENT
TRUST
TOOLS
o Reliable Inspectorso Trade Assurance
o The insight of datao The confidence of coverageo The power of influence
o Verification Statuso Quality Check Assurances
o Promotional Eventso Affordable Serviceso Acquisitions of new
companies
o Doing training programs for suppliers
o Ranking product searcho Providing success stories
o Secure Paymento Credit line services for
the first time
B2B SEGMENT
Activities – Red Ocean Strategy12
Stanley Igwedibia
Panchito Daskalov
Diana Wang
Sumei Zheng
Teja Reddy
Yan Huang
Jiao Cui
2020 2030
Win U.S. market ?
Exercising Foresight 13
Supplier Delivery warehouseWebsite Order
Customs Shipping Customs Transportation Customers
Quality Time (Tracking) Convenience
14 Alibaba’s Future Value Chain
Stanley Igwedibia Panchito Daskalov Diana WangSumei Zheng Teja Reddy Yan HuangJiao Cui
TEAM 1
Stanley Igwedibia
Panchito Daskalov
Diana Wang
Sumei Zheng
Teja Reddy
Yan Huang
Jiao Cui
TH
AN
K Y
OU
!
Act Local …
Think Global …