Alibaba-The Biggest Merchant
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Alibaba-The Biggest Merchant
- 2. E-COMMERCE-B2B E-BUSINESS • ANY ECONOMIC TRANSACTION WHERE BUYER & SELLER COMES TOGETHER THROUGH INTERNET FORMING A CONTRACTUAL AGREEMENT. • YEAR 1990DEVELOPMENT OF WWW. • YEAR 1993-100 COUNTRIES ONLINE PRESENCE. ADVANTAGES OF B2B ECOMMERCE • ELIMINATION OF COSTLY TASKS IS POSSIBLE. • BETTER DECISION MAKING WITH EASE & LESS EXPENSE. • BETTER INFORMATION ABOUT BUYER & SELLER. • GLOBAL ACCESS TO MARKETS.
- 3. CHINA B2B MARKET-PROBLEMS PROBLEMS BIRD CAGE THEORY • POOR TECHNICAL INFRASTRUCTURE. • LACK OF SECURITY • LACK OF A SYSTEM TO MONITOR. • CREDIBILITY OF BUYER & SUPPLIER . • INEFFICIENT DELIVERY SYSTEM. • LEGAL SYSTEM TO PROTECT RIGHTS OF BOTH THE PARTIES. • HIGH START-UP COSTS & FINDING THE QUALIFIED PEOPLE. • CONTROL INTERNET INFORMATION. • FLOW. • ECONOMICS. • BUREAUCRATIC HASSLES FOR BUSINESS.
- 4. ALIBABA.COM PROFILE FEATURES • STARTED IN 1999 BY JACK MA. • 2007-WORLD’S LARGEST B2B GLOBAL TRADING MARKET PLACE. • OPENS THE DOOR TO BUSINESS. • INTRODUCES ALL SMALL COMPANIES. • SHRIMPS FROM ACROSS THE WORLD. • THREE DISTINCT TARGET MARKETS: ALIBABA.COM-B2B ALIBABA CHINA-CHINA TAOBOA-C2C • 25 MILLION REGISTERED USERS &2.5 LAC PAYING MEMBERS GLOBALLY. • 16 REGIONAL SALES OFFICE,MORE THAN 5000 EMPLOYEES.
- 5. ALIBABA.COM & STRATEGIES • US$60,000-PERSONAL SAVINGS OF JACK. • GOLDMAN SACHS-US$5 MILLION. • SOFTBANK’S –US$20 MILLION. TAOBAO STRATEGIES TO CAPTURE MARKET SHARE • 67% OF MARKET SHARE. • 26 MILLION GOODS ONLINE & 110 MILLION TIMES WEB PAGES CLICKED PER MONTH. • WAIVING THE TRANSACTION FEES OF ALL SELLERS WAS A KEY TO SUCCESS. FEEDBACK FROM B2B CUSTOMERS OVERCOMING THE CULTURAL DIFFERENCES INITIAL INVESTORS • E-COMMERCE IS SO EASY THAT COMPANY CAN BECOME LAZY AND LOOSE CUSTOMERS. • TAOBAO GIVES THE DISCOUNTS AND AUCTIONS TO MEET CUSTOMERS DEMAND.
- 6. ALIBABA.COM & INNOVATION INNOVATION STRATEGIES TO PROMOTE • HAS GIVEN OPTIONS ON TAOBOA TO SEND THE MESSAGES TO SELLERS INSTANTLY. • EBAY AS COMPETITOR ALSO COPIED THE SAME STRATEGY AND BOUGHT SKYPE. • HAVING A B2B RELATIONSHIPS WITH DIFFERENT BANKS THROUGH THEIR PORTAL ALIPAY.COM. • PROVIDES SECURED WAY OF TRANSACTION. • PARTNERING WITH CHINA POST FOR DELIVERING OF GOODS WITH FULL COMPENSATION IN CASE OF DAMAGE & EVEN CASH ON DELIVERY SERVICE.
- 7. FUTURE OF ALIBABA.COM NEW STRATEGIES CHINA & ALIBABA • VALUE ADDED SERVICE. • TRANSPARENCY IN THE PROCESS. • COST CUTTING BY AWARING MORE AND MORE B2B PARTNERS GOING FOR ONLINE TRADING. • PUSHING CHINESE GOVT TO FOR GREATER INTERNET REFORMS TO SPUR B2B ECOMMERCE. • RECOGNIZING MORE & MORE SME’S.