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Alibaba.com
Global E-commerce
Open Sesame
• B2B e-commerce: Platform for facilitating e-commerce between buyers and sellers
• “The New Middle Man”
• Establishes a business presence online: standardized formats for profiles and catalogues
• “Storefronts”
• “Listings:
• Produces leads on potential trading partners
• 30 Industry Categories
• 5,000 product categories
• Keyword Searches
• Online Industry Directory
• Transaction Platform
• Community Features
• Interactive Communities
• TradeManager: IM
• Online Forums
• TrustPass
• Gold Supplier
• Alipay
• User Generated Content
• Alibaba.com holds 50% of China’s online E-Commerce
market
To make it easy to do business anywhere.
• *Multiple Languages: English, Korean, Simplified and Traditional Chinese
• Risk Management
• Advertising and Promotional Outlets and Services
• Financing Plans
• Ali-Advance: Pay for Performance keyword
bidding system
• *AliExpress: a wholesale outlet
• Ali-Institute: customer training and
e-commerce certification
• *Highest Traffic Site for B2B Marketplaces
• *Alisoft: business management software
Mǎ Yún = Jack Ma
• Visionary
• Outward Looking
• Charismatic
• Involved
• 1995: no Chinese Beer on the Internet
• China Pages: China’s First Internet-Based Company
• 1998: Head of China International Electronic
Commerce Center
• Started Alibaba Online
• Exit Strategy
• “ Take matters into your own hands and take action in the form of starting businesses to cope with the economic
downturn rather than waiting for government or business to help you” – Jack Ma, 2009, Annual Shareholders
Meeting
• “eBay may be a shark in the ocean, but I am a crocodile in the Yangtze River. If we fight in the ocean, we lose – but
if we fight in the river, we win.” –Jack Ma, 2005
Business Model
THE VALUE PROPOSITION
• SUPPLIERS
• Access
• Targeted marketing
• Customer service and
training
• Always online
• Budget certainty
• BUYERS
• Access
• Broad selection
• Access to high-quality,
organized information
• Easy-to-use interface
• Convenient, real-time
medium
• Authentication and
trust profiles of
suppliers
Organisational Structure
Global Vision, Local Win
• “Start Up” Mentality
• Embracing Change
• “small, flexible, tailor made”
• Developed Corporate Culture
• Smelling Employees
• Working to Help Others
Customer First The interests of our community of users and paying members must be our first priority.
Team work
We expect our employees to collaborate as a team. We encourage input from our employees in
the decision-making process, and expect every employee to commit to the team's objectives.
Embrace Change
We operate in a fast-evolving industry. We ask our employees to maintain flexibility, continue to
innovate and adapt to new business conditions and practice.
Integrity
Integrity is at the heart of our business as trust is an essential element of a marketplace. We
expect our employees to uphold the highest standards of integrity and to deliver on their
commitments.
Passion
Our employees are encouraged to act with passion whether it is serving customers or developing
new services and products.
Commitment
Our employees have a dedicated focus and commitment to understanding and delivering on the
needs of Chinese and global SMEs.
More than B2B
• Taobao: http://www.taobao.com/index_global.php
• “Searching for Treasure”
• C2C
• Largest Online Retail Platform
• Alipay: https://www.alipay.com/
• Online Payment Platform
• Yahoo! China: http://cn.yahoo.com/
• Search Engine
• Koubei.com: http://www.koubei.com/
• Classified Listings Platform
• Alimama.com: http://www.alimama.com/
• Advertising Exchange and Affiliate Network
• Alibaba Cloud Computing
• Ecommerce Data Mining
• Ecommerce Data Processing
Marketing Mix
Marketing Mix
International Strategy
International Strategy
International Strategy
International Strategy
Future Strategy
Future Strategy
Extending Mobile Business
Key Growth Strategies
Strategic Alliances
Major Challenge: Fragmentation
• Difficulties in finding and communicating with trade partners
• Culture of Connections
• Alibaba’s answer
• Online supplier and buyer directory
• Standardized and User friendly Storefronts and Listings
• Community Features
• TradeManager: IM
• 200 Online Forums
• 4.2 Million Registered Users by 2007
Major Challenge: Infrastructure
• Geographic disconnect between suppliers and buyers
• Low Internet Penetration: 12.3% online, 25.5% of users did e-
shopping, 4.3% of business did online sales and marketing
• Alibaba’s Answer:
• Internet breaks down
geographic barriers
• 3% annual Internet
Penetration Growth Rate
• iResearch: 2007 Chinese
online shopping market 
$1.5 billion
• Chinese infrastructure building
quickly
Major Challenge: Limited Communication and
Information Channels
• Difficulties finding
new markets and suppliers
• Alibaba’s Answer:
• Ali-Institute
• Tradeshows and Forums: online and offline
• Ali-Fest
• Network of Partners: Channel Sales Partners, Strategic Partnerships
Major Challenge: SME’s Small Operations
• Difficult for SME’s to find affordable marketing and promotional
channels.
• SME’s have limited resources for marketing and promotion
• Alibaba’s Answer:
• Key Word Sales
• Premium listing in directory
• Flat Yearly subscription costs (no ad-hoc costs)
• Financing: companies with limited assets or credit history secure financing for
expanding their business.
Major Challenge: Absence of a Credit Market
• Difficulty in establishing trust with buyers and suppliers.
• No widely used formal contract law within China
• No credit rating agencies
• Alibaba’s Answer:
• Gold Supplier
• Small Business Credit Ranking System
• Fair Play Fund
• http://news.alibaba.com/article/detail/safe-trading/100261595-1-fair-play-fund-fact-sheet.html
• China’s First Small Business Credit Rating System

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Putting the SPARK into Virtual Training.pptx
 

Alibaba Global E-commerce

  • 2. Open Sesame • B2B e-commerce: Platform for facilitating e-commerce between buyers and sellers • “The New Middle Man” • Establishes a business presence online: standardized formats for profiles and catalogues • “Storefronts” • “Listings: • Produces leads on potential trading partners • 30 Industry Categories • 5,000 product categories • Keyword Searches • Online Industry Directory • Transaction Platform • Community Features • Interactive Communities • TradeManager: IM • Online Forums • TrustPass • Gold Supplier • Alipay • User Generated Content • Alibaba.com holds 50% of China’s online E-Commerce market
  • 3. To make it easy to do business anywhere. • *Multiple Languages: English, Korean, Simplified and Traditional Chinese • Risk Management • Advertising and Promotional Outlets and Services • Financing Plans • Ali-Advance: Pay for Performance keyword bidding system • *AliExpress: a wholesale outlet • Ali-Institute: customer training and e-commerce certification • *Highest Traffic Site for B2B Marketplaces • *Alisoft: business management software
  • 4. Mǎ Yún = Jack Ma • Visionary • Outward Looking • Charismatic • Involved • 1995: no Chinese Beer on the Internet • China Pages: China’s First Internet-Based Company • 1998: Head of China International Electronic Commerce Center • Started Alibaba Online • Exit Strategy • “ Take matters into your own hands and take action in the form of starting businesses to cope with the economic downturn rather than waiting for government or business to help you” – Jack Ma, 2009, Annual Shareholders Meeting • “eBay may be a shark in the ocean, but I am a crocodile in the Yangtze River. If we fight in the ocean, we lose – but if we fight in the river, we win.” –Jack Ma, 2005
  • 6. THE VALUE PROPOSITION • SUPPLIERS • Access • Targeted marketing • Customer service and training • Always online • Budget certainty • BUYERS • Access • Broad selection • Access to high-quality, organized information • Easy-to-use interface • Convenient, real-time medium • Authentication and trust profiles of suppliers
  • 8. Global Vision, Local Win • “Start Up” Mentality • Embracing Change • “small, flexible, tailor made” • Developed Corporate Culture • Smelling Employees • Working to Help Others Customer First The interests of our community of users and paying members must be our first priority. Team work We expect our employees to collaborate as a team. We encourage input from our employees in the decision-making process, and expect every employee to commit to the team's objectives. Embrace Change We operate in a fast-evolving industry. We ask our employees to maintain flexibility, continue to innovate and adapt to new business conditions and practice. Integrity Integrity is at the heart of our business as trust is an essential element of a marketplace. We expect our employees to uphold the highest standards of integrity and to deliver on their commitments. Passion Our employees are encouraged to act with passion whether it is serving customers or developing new services and products. Commitment Our employees have a dedicated focus and commitment to understanding and delivering on the needs of Chinese and global SMEs.
  • 9. More than B2B • Taobao: http://www.taobao.com/index_global.php • “Searching for Treasure” • C2C • Largest Online Retail Platform • Alipay: https://www.alipay.com/ • Online Payment Platform • Yahoo! China: http://cn.yahoo.com/ • Search Engine • Koubei.com: http://www.koubei.com/ • Classified Listings Platform • Alimama.com: http://www.alimama.com/ • Advertising Exchange and Affiliate Network • Alibaba Cloud Computing • Ecommerce Data Mining • Ecommerce Data Processing
  • 21. Major Challenge: Fragmentation • Difficulties in finding and communicating with trade partners • Culture of Connections • Alibaba’s answer • Online supplier and buyer directory • Standardized and User friendly Storefronts and Listings • Community Features • TradeManager: IM • 200 Online Forums • 4.2 Million Registered Users by 2007
  • 22. Major Challenge: Infrastructure • Geographic disconnect between suppliers and buyers • Low Internet Penetration: 12.3% online, 25.5% of users did e- shopping, 4.3% of business did online sales and marketing • Alibaba’s Answer: • Internet breaks down geographic barriers • 3% annual Internet Penetration Growth Rate • iResearch: 2007 Chinese online shopping market  $1.5 billion • Chinese infrastructure building quickly
  • 23. Major Challenge: Limited Communication and Information Channels • Difficulties finding new markets and suppliers • Alibaba’s Answer: • Ali-Institute • Tradeshows and Forums: online and offline • Ali-Fest • Network of Partners: Channel Sales Partners, Strategic Partnerships
  • 24. Major Challenge: SME’s Small Operations • Difficult for SME’s to find affordable marketing and promotional channels. • SME’s have limited resources for marketing and promotion • Alibaba’s Answer: • Key Word Sales • Premium listing in directory • Flat Yearly subscription costs (no ad-hoc costs) • Financing: companies with limited assets or credit history secure financing for expanding their business.
  • 25. Major Challenge: Absence of a Credit Market • Difficulty in establishing trust with buyers and suppliers. • No widely used formal contract law within China • No credit rating agencies • Alibaba’s Answer: • Gold Supplier • Small Business Credit Ranking System • Fair Play Fund • http://news.alibaba.com/article/detail/safe-trading/100261595-1-fair-play-fund-fact-sheet.html • China’s First Small Business Credit Rating System