Alibaba Case

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1.

Express 5 competitive strategies for Alibaba to overcome the competition


from it’s rivals.
Answer

Alibaba’s e-commerce marketing strategies have made it so successful in just a short period of
time.

Current Strategies of Alibaba

i. Trust

Alibaba.com will maintain an online trust rating for individuals to build confidence and
credibility with potential buyers.

ii. Market

Alibaba adhered to B2B and C2C for SMEs and help them to quickly find business
opportunities in a global market. Three websites were launched from 1999 to 2003.

iii. Search

Alibaba have made a series of adjustments to yahoo.com.cn with powerful search technology, E-
mail, IM tools, and PPC advertising business, though its future business model has not yet been
determined.

iv. Payment

Alibaba.com created the third-party payment platform (www.alipay.com). It is responsible for


the funds between parties to the transaction.

v. Tools

Alibaba established Alisoft.com in order to improve the levels of SMEs management.


Alisoft.com offer new SaaS (software as a service) model for the majority of SMEs to provide
full life cycle of software services.
5 competitive strategies for Alibaba to overcome the competition from it’s
rivals.

i. Changes in technological environments have exposed the company to other external


threats. The IT department should be highly innovative in terms of robust IT platform
developments and service improvement.

ii. Alibaba must also strive to acquire technology companies that can strengthen its IT
departments and operations. Alibaba requires massive IT resources to support its future
operations as new challenges and external threats emerge.
iii. Global promotion and marketing in new markets and developing differentiation
strategies. These options would allow Alibaba to grow in the global market and maintain
its competitive advantage.
iv. Alibaba should enhance its technology and R&D development for advance Internet
infrastructure to give the fastest speed and accuracy for online marketing.
v. Alibaba must communicate in real time by using advanced technology.

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