Alibaba business values
- Situation analysis
- Company analysis
- Customer analysis
- Competitors analysis
- Climate (PEST)
- Marketing strategy
- Four Ps
- Porter five forces
On the 6th of last November, one week after its introduction, the Alibaba stockmarket was quoted for the first time: it acquired 190% of its introduction price .
Other than being a testimony that both China and the internet have a habit of going to the heads of investors, Alibaba was created from the increasing need of having a comprehensive and reliable base of information while sourcing and doing business particularly in China. It helps to skip the common barriers while trading with another country (E.g. language, knowledge of the market, reaching remote manufacturers with limited exposition or marketing resources).
Alibaba has increasingly become what eBay once was and created buzz in the B-to-B market.
At the beginning of the month, one week after its introduction in the stock market, the value of the stock increased by 190% after its first quote. We will attempt in this study to determinate whether this a translation of a strong enthusiasm of the investors in diversifying their portfolios (e.g. shifting from some ?cash flow dying' market such as the US) and investing in anything Chinese, or a real testimony of the strength of this new born company.
We will first analyze the situation of the company. Then we will determinate the segmentation of the market. Lastly we will look at their market strategy.
[...] The trust pass offers four advantages: As we said, an unlimited access to all buyers or suppliers It offers a priority listing in buyer searches Increased buyer confidence of buyers prefer to make business with the trust pass) Continuous promotion: you can display your company website and address According to the Alibaba website, the information lacks authenticity is the most considered fact. Alibaba offers another member pass, which is the gold member card. When you buy this card, it means that you have a high level of credibility. [...]
[...] Strengths Weaknesses Alibaba is a well-known company A large network: sometimes A large network of suppliers, difficult to check all the traders and buyers factories' capabilities Easy to use and free in order to The sales of counterfeits can give test the service (and then, you a bad image have to buy the gold member pass) Too much ?low' businessmen (want to Alibaba set up a new website in set up a company but they do not Japanese know where to find goods ) Cheaper than other sourcing ways Global Resources which is more Alibaba's introduction in the stock focused on quality than quantity market has been a success Opportunities Threats New merging countries such as India Alibaba facilitates the trade of or south America shark based products, legal More and more companies will want practice within Asia but mostly to use internet to increase their condemned in the west. [...]
[...] Alibaba has some problems to be sure that all its members are serious. Alibaba plays on the importance of its network. On the other hand, Global Resources takes care of the information on its website. The company tries to call every new member. Threat of substitute products The threat of substitute products is very limited. The company is principally focused on professional people. As we said, some companies like eBay can have a substitute product because they have a B-to-B access. [...]