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Alibaba Vision and Mission - Jack Ma: The Entrepreneur of 21st Century
Alibaba Group
An Unlikely Story

Tea House
Hangzhou, China
The Alibaba Story
The beginning was just a dream. . . . .
•  Established in 1999
•  18 founders
•  A “Band of brothers (and
sisters)”

•  Big hopes, big dreams
•  Charismatic leader
Alibaba Group: A Time-tested Team

. . . And a decade later, Alibaba Group has become the largest e-commerce
company in China and a family of Internet-based businesses

1999

2011

Employees: 18
Office: Jack Ma’s Hangzhou apartment

Employees: About 22,000
Offices: Corporate campus in Hangzhou
plus more than 60 offices in mainland
China, Hong Kong, Taiwan, Korea, India,
Silicon Valley and London
An E-commerce Ecosystem

Alibaba.com Limited
(HK stock code: 1688)

Taobao
One-stop platform for shopping, socializing
and information sharing

Alipay
Third-party online payment platform

Alibaba Cloud
Computing
Data-centric cloud computing services

B2B marketplaces

China Yahoo!
Chinese Internet portal
Alibaba.com
What Is Alibaba.com?
Alibaba.com is a global leader in business-to-business e-commerce
Suppliers

Buyers
International Marketplace
14.9 million members*

• 

• 

• 

Typically
small
businesses
Ten to a few
thousand
employees
10,500+
product
categories in
40+ industries

Mission
* Company data as of September 30, 2010

• 

• 

China Marketplace
41.8 million members*
• 

Companies of
all sizes
Entrepreneurs,
e-retailers,
buying agents,
MNCs, etc.
Diverse end
markets

Japan Marketplace

To make it easy for small companies to do business anywhere
Alibaba.com Mission and Vision
Mission
To make it easy to do business anywhere
(让天下没有难做的生意)
Vision
To solve the challenges of small businesses in
procurement, sales and marketing, management and
financing through information technology.
SMEs: Engine of Growth of Any Economy
  Big SME market:
~42 million SMEs in China
~22 million SMEs in the U.S.
~13 million SMEs in India
~4 million in Japan
  Critical to global economy and trade
China

U.S.

Japan

India

~ 60% of GDP

~ 50% of GDP

~ 55% of industrial
production

~ 17% of GDP

~ 70% of Import/Export
Volume

~ 70% of Export Volume

~25% of Export volume

~ 40% of manufacturing
output

~ 80% of employment

~ 70% of employment

~70% of employment

~50% of employment
Key Operating Data
Total registered users
No. of registered users (million)

53.44

Total storefronts
No. of storefronts (million)

7.81

8.20

Q3'10

Q3'09

712,867

750,937

Q2'10

Q3'10

578,901

6.07

Q2'10

No. of paying members

56.72

45.28

Q3'09

Total paying members

Q2'10

Q3'10

Q3'09
A Truly Global Marketplace
Alibaba.com’s 14.9 million international registered users come from
more than 240 different countries and regions

* Company data as of September 30, 2010
Business Model

Our Business Model =
Membership Subscription
+
VAS
Global Expansion Strategy
Build

Partner

Build – Invest in building our team globally

•  China – Hong Kong
•  Santa Clara, California – U.S.
•  U.K. – London
•  India – Mumbai, Delhi, Chennai, Amenabad

Buy
Global Expansion Strategy
Build

Partner

Buy

Partner – Associated company and resellers

•  Alibaba Japan (Associated company formed in
collaboration with Softbank)

• 
• 
• 
• 
• 

Korea: eSang
Turkey: The LOGO Group
Vietnam: OSB
Malaysia: Infodata Group
Brazil: Ludatrade
Global Expansion Strategy
Build

Partner

Buy

Partner – Government collaboration

•  Korea: KOTRA and SMBA
•  Turkey: IGEME
•  Vietnam: VITIC
•  Taiwan: TAITRA
Export promotion leads to job creation!!
Global Expansion Strategy
Build

Partner

Buy

Buy – Strategic acquisitions to accelerate growth

• 

• 
A Value-based Company

Customer First

Teamwork

Embrace Change

Integrity
Passion

Commitment

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Alibaba Vision and Mission - Jack Ma: The Entrepreneur of 21st Century

  • 3. An Unlikely Story Tea House Hangzhou, China
  • 4. The Alibaba Story The beginning was just a dream. . . . . •  Established in 1999 •  18 founders •  A “Band of brothers (and sisters)” •  Big hopes, big dreams •  Charismatic leader
  • 5. Alibaba Group: A Time-tested Team . . . And a decade later, Alibaba Group has become the largest e-commerce company in China and a family of Internet-based businesses 1999 2011 Employees: 18 Office: Jack Ma’s Hangzhou apartment Employees: About 22,000 Offices: Corporate campus in Hangzhou plus more than 60 offices in mainland China, Hong Kong, Taiwan, Korea, India, Silicon Valley and London
  • 6. An E-commerce Ecosystem Alibaba.com Limited (HK stock code: 1688) Taobao One-stop platform for shopping, socializing and information sharing Alipay Third-party online payment platform Alibaba Cloud Computing Data-centric cloud computing services B2B marketplaces China Yahoo! Chinese Internet portal
  • 8. What Is Alibaba.com? Alibaba.com is a global leader in business-to-business e-commerce Suppliers Buyers International Marketplace 14.9 million members* •  •  •  Typically small businesses Ten to a few thousand employees 10,500+ product categories in 40+ industries Mission * Company data as of September 30, 2010 •  •  China Marketplace 41.8 million members* •  Companies of all sizes Entrepreneurs, e-retailers, buying agents, MNCs, etc. Diverse end markets Japan Marketplace To make it easy for small companies to do business anywhere
  • 9. Alibaba.com Mission and Vision Mission To make it easy to do business anywhere (让天下没有难做的生意) Vision To solve the challenges of small businesses in procurement, sales and marketing, management and financing through information technology.
  • 10. SMEs: Engine of Growth of Any Economy   Big SME market: ~42 million SMEs in China ~22 million SMEs in the U.S. ~13 million SMEs in India ~4 million in Japan   Critical to global economy and trade China U.S. Japan India ~ 60% of GDP ~ 50% of GDP ~ 55% of industrial production ~ 17% of GDP ~ 70% of Import/Export Volume ~ 70% of Export Volume ~25% of Export volume ~ 40% of manufacturing output ~ 80% of employment ~ 70% of employment ~70% of employment ~50% of employment
  • 11. Key Operating Data Total registered users No. of registered users (million) 53.44 Total storefronts No. of storefronts (million) 7.81 8.20 Q3'10 Q3'09 712,867 750,937 Q2'10 Q3'10 578,901 6.07 Q2'10 No. of paying members 56.72 45.28 Q3'09 Total paying members Q2'10 Q3'10 Q3'09
  • 12. A Truly Global Marketplace Alibaba.com’s 14.9 million international registered users come from more than 240 different countries and regions * Company data as of September 30, 2010
  • 13. Business Model Our Business Model = Membership Subscription + VAS
  • 14. Global Expansion Strategy Build Partner Build – Invest in building our team globally •  China – Hong Kong •  Santa Clara, California – U.S. •  U.K. – London •  India – Mumbai, Delhi, Chennai, Amenabad Buy
  • 15. Global Expansion Strategy Build Partner Buy Partner – Associated company and resellers •  Alibaba Japan (Associated company formed in collaboration with Softbank) •  •  •  •  •  Korea: eSang Turkey: The LOGO Group Vietnam: OSB Malaysia: Infodata Group Brazil: Ludatrade
  • 16. Global Expansion Strategy Build Partner Buy Partner – Government collaboration •  Korea: KOTRA and SMBA •  Turkey: IGEME •  Vietnam: VITIC •  Taiwan: TAITRA Export promotion leads to job creation!!
  • 17. Global Expansion Strategy Build Partner Buy Buy – Strategic acquisitions to accelerate growth •  • 
  • 18. A Value-based Company Customer First Teamwork Embrace Change Integrity Passion Commitment