Essays on Organizational Challenges in Alibaba Group and Strategies to Curb These Challenges Assignment

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The paper "Organizational Challenges in Alibaba Group and Strategies to Curb These Challenges" is a perfect example of a business assignment. Jack ma the founder of Alibaba was first quoted in a video shot rallying his friends on a cemented floor in china. In this footage, he said that their great completion did not lie in China but in Silicon Valley where technology development was at its best. This meant that Jack ma had an innovative spirit that led him far and beyond (So and Westland, 2010, pg. 83).

This innovative spirit led him to many challenges in establishing and running the company. One challenge Alibaba met was when developing the e-commerce. Their western counterparts were not in support of this and this, therefore, posed a threat to its smooth continuation. Nevertheless, he did not give up and continued with developing Alipay. At the time, few Chinese used credit cards for paying for purchases made. The Alipay came not only as a relief and as security to their money but also provided a platform where the customers would get value for their money, as they would pay after the goods had been released to them.

They also collaborated with shippers to help in the reliability of their trade. This was a step to encouraging people to shop online and these created a wide base for their market and win the trust of their western counterparts. Alibaba becomes the first person to create e-commerce in China (So and Westland, 2010, pg. 83). Another challenge was the internet bubble burst in 2000. This came as a threat to the internet company because many companies started to offer services that Alipay previously offered.

This led to the loss of many customers by Alipay. This meant that Alipay had to stop some innovative services they had started and stretch it to overcome the threat it was faced with. A huge blow came in 2002when EachNet, a company that had a bigger percentage of China’ s small consumer in the e-commerce market was acquired by eBay. Ma had to use many resources in fighting back to create Taobao and Alipay. Taobao was made free for three years.


Liu, S., & Avery, M. (2009). Alibaba: the inside story behind Jack Ma and the creation of the world's biggest online marketplace. New York: HarperBusiness, pg. 45-54.

Nonaka, I., & Zhu, Z. (2012). Pragmatic Strategy Eastern Wisdom, Global Success.. Cambridge: Cambridge University Press, pg. 112.

Schepp, D., & Schepp, B. (2010). The official success guide: insider tips and strategies for sourcing products from the world's largest B2B marketplace. Hoboken, N.J.: John Wiley & Sons, pg. 98.

So, S., & Westland, J. C. (2010). Red wired China's Internet revolution. London: Marshall Cavendish Business. Pg. 83.

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