Saturday, October 12, 2013

Alibaba Leads $206 Million Investment in ShopRunner

The article named “Alibaba Leads $206 Million Investment in ShopRunner” tells about the large e-commerce company Alibaba, which is located in China and operating in the world market. This company is a major rival for the popular e-commerce brand Amazon.com, which is also engaged in the worldwide Internet commerce. In order to expand and gain chances to catch up with Amazon, Alibaba invested over $206 million in the company ShopRunner. Such expansion can bring Alibaba around $10 billion in coming months since it provides the opportunity to be presented in the U.S. market. Chinese market is very different from the American one. For this reason, Alibaba needed a representative from the U.S. As currently Amazon is the largest company at this market, Alibaba strives to take part in it, as well. This way, with time, as the article states, this will make it possible for Alibaba to compete and be equal with this giant in e-commerce.
This article describes the situation that can be theoretically applicable to any organization going global, which is especially relevant in the Internet sphere. Through applying such a marketing strategy, the organization will gain an opportunity to expand and to capture new markets. Such global strategy is one of the most popular in the modern marketing, and that it was it catches attention. The popularity of this strategy is due to its success in connection with the fact it is taking in consideration different factors that are relevant for global marketing, such as umbrella brands, attention to cultural differences, influence of strengths and weaknesses for finding opportunities and avoiding threats, developing the global strategy in accordance with the changing market needs, etc.

://online.wsj.com/news/articles/SB10001424052702304500404579127750508042392

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