The report is focused on the details and discussion about the ecommerce giant of China, Alibaba Group Holding Limited. Different strategies will be discussed like industrialization and differentiation in the market with the help of understanding the influence of macro and micro factors on the company. PESTEL analysis will be used to analyse the macro environment of the company and for the analysis of the micro environment different factors of the will be analysed to study its impact on the company and its operations.The company was founded in 1999 by Jack Ma and it is now the largest e commerce company in China which also has the strategies and plans to spread its business all over the world.
The company functions through B2C, C2C and B2C business models and recorded huge no. of profits in the recent years. The company’s financial information will be discussed in the report with the help of its market share, P/E ratio, profits, etc. The industry of retail and ecommerce is very competitive nowadays with lot of new emerging companies but Alibaba managed to expand its market share in such a competitive environment. The company is criticized by many regulatory bodies and the Chinese government due to its selling of fake and counterfeit products and cheating the consumers by its activities but Alibaba commented that it is focused for the betterment of consumers and is having good relationships with the government by providing such a strong support for the growth of the whole economy.
It increased the no. of jobs in the country and also took the industry to the high level.It is employing approximately 46,000 employees and the net income of Alibaba in June 2016 was CN¥101.143 billion. Its operating income as on June 2016 was CN¥29.102 billion and its total equity in June 2016 was CN¥249.539 billion. It is offering variety of services to its customers and is operating in an internet based industry as it is offering its services through internet.