The Alibaba is one of the online shopping stores opened in
the China in the late nineties. The company was
run close with the collaboration with the users. The company provided
the easy access to communication between the buyers and the sellers. The company was also running the risk because
the buyers and the seller had the direct communication and both the Chinese and
the foreign firms had knowledge regarding the products on the website.
The course of the company changed when e-bay entered the
Chinese market and started sharing the market with Alibaba. In 2003, Ma
launched the Taobao in the market to supply the products to the retailers. Unlike the previous firm,
Taobao had the free membership and late provided the multimedia messaging
service between the buyers and the sellers. Along with the maximization of the
profit companies, the company brought in the concept of the Alipay. The Alipay
was formed to build the trust between the buyers and the sellers. The Alipay
also made the policy that would benefit
both the buyers and the sellers.
In 2008, there was pressure from the branded companies for
selling their products in the Taobao. To counterfeit this issue, the Taobao launched the new merchandised the launch of the Small.
Small used to sell the branded and the
international products to the people ranging the commission between the 0.5%
and 5%. The popularity of the company was increasing. The Alipay alone handled
the 70% of the total China’s electronic payments. It leads to the establishment of the Yu’e Bao bank. The interest
rate of the bank helped the maximum flow of the deposits, which made the bank
the world fourth-largest money market fund in the year.
The company also went viral in the social media. Alibaba was
heavily investing in the social media. The application was designed as per the needs of the consumers. The maximum
transaction was done by the use of the smartphones and the tablets. The internet
service providers became one of the important stakeholders for the company.
In the later date,
there was an issue of the ownership of the company. During the previous days of
the establishment, the owner of the company had taken the aid from the various
person. One of the success factors that
lies behind the wide growth of the company is the philosophy behind the
partnership. The company had a strong belief that the partnership has helped in
managing the business of the company. The partnership strategy has helped in
enhancing the excellence, innovation and the sustainability of the
organization. There is also the provision to vote the founder member. This
method helps them in preserving the company cultures as set by the previous
founders. The company was initially working on
the small budget.
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