Article Review on Social Media Strategy Alibaba

Question: Write about theArticle Review on Social Media Strategyfor Alibaba. Answer: Article Review Alibaba was founded by Mr Ma, a teacher and it had formed a long history of using traditional methods of performing business operations and service provision. Ms Trudy Dai was one of the earliest employees of the organization and she used to spend all of her nights replying to the mails of the customers and carrying the connection link between the consumers and the suppliers. They were initially earning about 550 Yuan or $66 on a monthly basis (Economist.com, 2013). The operations of the organization shifted to social media with the help of technology and networking. The implementation of the e-commerce has been helpful for forming a deep analysis of the current market trends and improving the operations of the organization. The organization has moved to sell their products directly to public (Tmall) and the members of the public can sell among each other (Taobao) with the help of Internet as a platform. The overall sales increased surprisingly to 1.1 trillion Yuan or $ 170 billion a nd it crossed the combined overall sales of Amazon and eBay. Figure 1: Increase in revenues of Alibaba (Source: Alibaba Group, 2017) The deployment of the e-commerce system has resulted in assisting Alibaba for dominating the advent of internet retailing in China. Later on the operations of the organization reached to the world and the company started global operations. Presently the organization holds a total of over 24000 employees at its headquarter that is located at Hangzhou. The companies and brands like Adidas and Samsung are investing hugely in the Tmall as it has become the most convenient and exclusive way for online sales and purchases. Gunther Hake of Disney has pointed out that the use of Tmall has helped them for having a good experience in selling and promoting their products online. They had deployed a new theme park in Shanghai and their products have been largely sold on Tmall (online Alibaba). The growth of Chinas e-market has been largely grown to be approx 120% and the value has doubled since the last three years. Figure 2: Growth expectations of China with advent of Alibaba (Source: Alibaba Group, 2017) The writer of the article has provided an insight on how the development of e-commerce at Alibaba has helped in increasing the overall market penetration of China. The Internet has become the source for improving the functionality of the retail industries and developing better ways for doing their business. The implementation of the social media strategy has helped in manual promotion of the products to millions of people that would cost a huge sum of money by using broadcasting or social media. However, social media promotes the same products to over billions by expending very nominal sum of money. The social media page with 3-7 million followers charges $187,500, $93,750, and $75,000 for a post on YouTube, Facebook, and Instagram or Snapchat respectively (Economist.com, 2016). Alibaba has recently developed its own mobile application for promoting its sales and brand. References Alibaba Group. (2017).Alibabagroup.com. Retrieved 26 February 2017, from https://www.alibabagroup.com/en/global/home?spm=a2700.7860928.0.0.XFvnF9 Economist.com. (2013).Alibaba: The worlds greatest bazaar. Retrieved 26 February 2017, from https://www.economist.com/news/briefing/21573980-alibaba-trailblazing-chinese-internet-giant-will-soon-go-public-worlds-greatest-bazaar Economist.com. (2016). Celebrities endorsement earnings on social media. Retrieved 26 February 2017, from https://www.economist.com/blogs/graphicdetail/2016/10/daily-chart-9