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E Business Essay

2674 words - 11 pages

Contents1 Introduction2 Business model2.1 Target customer&CVP2.2 Value configuration2.3 Revenue model3 Site Functionalist4 E-marketing5 Potential ProblemsConclusionReferencesIntroductionDuring the past last decades, the e-commerce is developing dramatically due to global network technology penetration increasing. Refers to e-commerce, it could be assumed as all of electronically mediated transactions in an organization and any third part it deals with. (Chaffey, D, 2011) In other words, e-commerce is a new thinking which is how to create a unique value to customers, how to reduce costs and how to delivery good customer service, and earn profit simultaneously. For instance, the e-commerce giant Alibaba group, which operates extremely successful on diversified internet-based businesses, and there has a paper relevant to this company was published by The Economist (2013) claimed Alibaba group is "The world's greatest bazaar". The aim of this report is to analyze and discuss the unique business model implementation of Alibaba.com, which is one of e-commerce units under Alibaba group; Moreover, Alibaba.com is the initial and the most representative platform in the corporation.The paper is organized as follows: it will start with a description of the target customer and business model about this platform, followed by an illustration of site functionalities and e-marketing framework that be used. Further, a discussion of the potential problems in this corporation will be given, the corresponding solutions as well. Based on this, a general overview of this business model will be summarize, in addition, the future consideration for Alibaba.com will be given.2. Business ModelAs we know, an effective business model is the fundamental for every successful company. Johnson et al. (2008) concluded that three major elements: Customer value proposition (CVP), value configuration and revenue model. The business model of Alibaba is simple, which is to help sellers meet buyers. More specifically, it provides an Internet-based B2B platform where sellers (suppliers / manufactures) can meet buyers (outsourcers / wholesalers) on a global scale. The report focuses upon analyze business model in the Alibaba.com which in the following aspects:Customer value proposition (CVP)Value configurationRevenue model2.1 Target Customer & CVP- Target CustomerAs the most largest B2B e-commerce marketplace in the world, Alibaba .com has 57m users that operates in over 240 countries, more than 500 million customers and 800 million products on their website, which showcases products ranging from raw materials to finished goods in more than 40 industry categories. (BBC, 2013) Moreover, the company offers two e-commerce platforms, one in Chinese for domestic businesses, and another in English for the other international customers. The target customer of Alibaba are SME for both the sellers and the buyers, who are able to post "storefronts" to advertise their products or needs. The...

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