Ali Baba case study

Thus Ali Baba has rapidly grown over a few years, and it has made Amazon to be dwarf. The good relationship that Ali Baba company has with the government of China has made it to grow over the years. It enables entrepreneurs to sell their products to consumers through a platform such as Toabao. com which helps small businesses to sell their products to consumers and Tmall. com which help customers to get products from the large business corporation. There is a wide variety of options that consumers can choose from. The price charged in products that are in Ali Baba is relatively lower as compared to other e-commerce such as Amazon and eBay that have fewer options of products that consumers can choose from.

The need for Chinese consumers is covered in Ali Baba through providing investment opportunities to consumers and high standard products. Describe what Factors had to develop for an Ali Baba to succeed, given that it does not own or distribute any of the merchandise exchanged on its site. For Ali Baba to thrive, there have to be some factors that had to develop since Ali Baba does not own or dispense any of the stock exchanged on its site. There should also be safety in a transaction where Ali Baba should hold the money until the consumer receives a product is when they can release the money. There should also be an easier way of payment. This will enable more people to have trust in the site, and thus more people will be willing to join Ali Baba because of transparency in the site iv) Offer free membership to its members By offering free membership, Ali Baba will attract more potential clients to its site.

Many members will mean more advertisement to its site hence they will get more advertising cost. iv) Connect business with consumers Ali Baba should provide more platform where business people can connect with the potential consumers. Ali Baba can work perfectly in developing countries outside China because in developing countries there are fewer competitions. This makes Ali Baba to work more perfectly because of the services they offer. Although Ali Baba can succeed in developing countries, They may face challenges in succeeding in countries such as the USA where people are more loyal to other forms of online shopping Amazon. Environmental changes that Ali Baba should be concerned with and how Ali Baba should face them Increase in competition The world is growing, and there is an advancement in technology, the technology will enable more people to venture into online shopping by creating more that can be used for buying and selling of different products.