Globalization Strategy Of Alibaba
“Alibaba Online retail Ecommerce Company globalization strategy to enter Pakistan”
Table of Content
Introduction
Alibaba is Chinese company and world’s largest retailer with its operation in 190 countries and one of the largest and leading internet companies that provide consumer-to-consumer, business-to-business and business-to-business sales services through online portal. It provides electronic payment service, a shopping search engine and data centric cloud computing services all over the world.
Alibaba mission is to make it easy to do commerce anywhere and strategy to connect suppliers and buyers globally to become the World’s largest online market place in terms of turn over through innovative, integrated and
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Alibaba still have room to grow in china but they need to see another new market and think for next 10 to 20 years growth, so Alibaba has changed its strategy of competing and build presence in established market like U.S where company have to compete big players like Amazon and focus in embryonic market like South Asia where although the market for e-commerce is large but market is slow growing and still developing.
Alibaba main focus to change in its tactics was also due to increased number of smartphone user in developing or emerging
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Pakistan is expected to see a boom in e-commerce in the next two to five years.
This represents a huge opportunity for both start-ups and investors. The industry analysts predict this trend (rate) will continue during the next three to five years and help the sector surpass the $1 billion milestone in 2020.Given the country’s overall retail market is worth $40 billion, the industry experts believe e-commerce in Pakistan is still in its infancy – it is barely 0.2% of the overall market.
2. When to enter them
As Pakistan is inviting the foreign online company to establish their services, political stability and their relation between countries play a vital role for any business who is going for globalisation. In case of china and Pakistan both the countries has good political attachment and relationship as compared to India. Alibaba can expect that Pakistani government will provide support for the establishment of platform and entering as at current will provide the first mover advantage as the Pakistani e-commerce market is booming and marketing is growing in good
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