Case 5 - Case 5 Alibaba in 2011 Competing in China Beyond 1 Critically analyze the factors that led to Alibaba sustaining its leadership position in the

Case 5 - Case 5 Alibaba in 2011 Competing in China Beyond 1...

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Case 5 Alibaba in 2011: Competing in China & Beyond 1. Critically analyze the factors that led to Alibaba sustaining its leadership position in the Chinese e-commerce market. Alibaba focused on differentiating itself from its competitors from a very early stage by providing better services to its customer. Offering their services free of charge to its customers, they were able to generate revenue from alternative streams and their users became willing to pay for their services overtime. The free business model and their knowledge of the local market was crucial for the company’s success; they were able to collaborate with the local banks and provide a payment system where their customers felt comfortable transacting. Alibaba’s approach to the market competition was effective and with an important sense of leadership in a market that needed innovation.
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  • Fall '12
  • KHOJA
  • Management, Auction, Alibaba, Online auction business model

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