Running head: ALIBABA AND BIG DATA

Alibaba and Big Data

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Recommendation system

Alibaba has built a program referred to as "E-commerce Brain" that uses real-time

internet data to forecast customer desires. The frameworks are continuously updated for each

person using Machine learning and artificial intelligence to take into account buying history,

browsing history, and online activities. This suggestion framework now operates through digital

kiosks and offline magic mirrors to provide a seamless user interface.

Sources of Data

Recommendation system makes use of matching algorithms that extracts data from users

that visits the site. For provisional filtering, the matching module is utilized. When user A enters

a website, the matching module chooses from a vast range of items that user A may be interested

in. For e.g., if the framework has 100,000 objects, the corresponding module would only display

500 of them to user A. The ranking module then assigns a ranking to these objects depending on

user A's interests. User IDs, object IDs, and activity data are the input data for the

recommendation system (Alibaba Clouder, 2021).

Potential Business Value

Alibaba has been able to build on its knowledge by serving as a coordinator for

international firms seeking to access the Chinese market, which, while broad and enticing, is still

tightly controlled and has traditionally discouraged proper entry. PepsiCo and

Mattel, respectively recently signed deals with the Chinese giant encouraging them to leverage

the vast amount of data it possesses, allowing the businesses to produce better and more tailored

offerings in return for a fee (Team and Trefis, 2017).

Alibaba’s Use of Data and Analytic Value Escalator

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Generally speaking, facilitating access to its services enables The Alibaba Group to

develop a network of unparalleled scale and revenue sources that are continuously expanding.

Given the increasingly advanced AI that now controls the organization's activities and system,

the utilization of data suits the final phase of the Analytic Value Escalator. The self-sufficient

architecture that has been developed now creates its own value, encouraging both of the

collaborators to create highly reliable prescriptive analytics to reach a broader spectrum of

consumers. Alibaba has announced growth in Japan, Australia, the Middle East, and Europe, in

addition to data centers in mainland China, Hong Kong, Singapore, and the United States' coasts,

enabling it to build an enormous network (Deputy et al., 2016).

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Reference

Trefis, T. (2017). Forbes. https://www.forbes.com/sites/greatspeculations/2017/05/16/heres-how-

alibaba-is-leveraging-its-data/?sh=5c47bd233292

Alibab Clouder. (2021). Real-World Implementation of Data Analytics with Alibaba Cloud:

Adding Value with DataWorks (Part 3). https://www.alibabacloud.com/blog/real-world-

implementation-of-data-analytics-with-alibaba-cloud-adding-value-with-dataworks-part-

3_597109

Deputy, James N., and Ellie B. (2016, November 11). Is big data Alibaba’s secret weapon in

global cloud race? Disruptive Tech Asean | Big Data News, Asia Big Data Jobs,

Employment, Events, Big Data Seminars. https://disruptivetechasean.com/big_news/data-

is-power-is-big-data-alibabas-secret-weapon-in-global-cloud-race/