A Case Study of Alibaba: “Control Your Destiny or Someone Else Will”

Abstract

Founded in China, Alibaba has emerged as one of the leading e-commerce companies in the world. The gross merchandise volume of Alibaba is greater than those of Amazon and eBay combined. Jack Ma, the founder of Alibaba, has become one of the most respected Chinese business leaders. How did Alibaba turn its humble start into such great success? The main objective of this case study is to examine key success factors of Alibaba and to provide valuable implications. To make the analysis more formal and objective, the five stages of competition model (Kim 2005, 2011) was adopted for the study. The great success of Alibaba can be mainly attributed to its foresight and preparation for future opportunities from paradigm shift and its strategic intent to seize the opportunities. Jack Ma foresaw the impact of internet development and the flourishing potential for SMEs (small and medium-sized enterprises) in China and developed core competence with strategic intent before he launched Alibaba. This case study of Alibaba provides significant implications for companies and business leaders who seek to turn their small starts or hardships into successes or turning points.