Case Study On Alibaba

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Question 1 (a) Why Jim thinks that in year 2020, in china they will do more E-commerce business compare to any other countries around the globe? There are 302 million online shoppers in china and 231 million of them shop in Alibaba. In year 2020 in china there will be twice as many E-Commerce customers as there are Americans. In 2013 Alibaba delivered 70% of packages around china which is around 5 billion packages. Alibaba sees that they need to make an investment in China logistics the first stage of the investment will be 16 billion dollars and the second stage with 32 billion dollar. Jim believes by 2024 that we will see China will be delivering 200 million E-commerce packages every single day. Question 1 (b) Alibaba has the most online…show more content…
Alibaba is the largest Chinese e-commerce company. In fact, the company is really a collection of smaller companies cobbled together into a holding company. For example, one of Alibaba’s most important constituents is Taobao, a consumer e-retailer often thought of as the eBay. Taobao was created in 2003 which is C2C, Taobao has 8 million sellers, and 900 million product listings. Another example is Tmall which was created in 2008 which is also B2C and it has over 70 thousand sellers that have more than 2000 foreign brands. At the same time Alibaba also has technologies that they bought recently which is AutoNavi which they bought in 2013 and is an online map company. They also bought Weibo which was created in 2013 and is a microblogging site. They also have the facilitation market place transactions such as: Alipay which was created in 2004 which is an online payment escrow service they handled 519 billion dollars of payments in year 2013. You maybe be wondering how they made 519 billion dollars when they only sold 420 billion dollars how did they handle 519 billion dollars it is because they are the biggest escrow payment service in all of China doing 420 of their own and then 99 billion from payments from others. They also have Chinas smart logistics network (CSN) which was created in 2013 to deliver orders to

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