AliBaba Overview

By | February 15, 2024

According to politicsezine, Alibaba Group is a Chinese e -commerce company headquartered in Hangzhou.

Founded in 1999 by Ma Yun, better known as Jack Ma, it offers retail and wholesale services and person-to-person transactions through a system of websites. With a sales volume of more than 3.7 billion dollars (2015), Alibaba is among the largest companies in the sector worldwide, although the main part of its activity is concentrated in China.

Alibaba over the years

  • The company’s CEO is Jack Ma.
  • Ma created the Alibaba platform in his apartment in Hangzhou. Then it starts working, but not as an online store, but as a digital place for business meetings.
  • Goldman Sachsand Masayoshi Con, who is the chairman of the Japanese SoftBank, are among the first investors in the company.
  • In 2002, Jack Ma proposed that Alibaba’s operations be changed to compete with eWave’s Chinese partner, EachNet. Then the company received financing from SoftBank to open the online retailer Taobao.
  • Two years later, 250 million users use Alibaba’s services, with the company’s orders accounting for 60% of all online purchases.
  • In 2005, Yahoo! acquired 43% of the company’s shares, but on September 18, 2012, Alibaba Group completed the buyback of 20% of the shares that became the property of Yahoo!.
  • In November 2007, the shares were listed on the Hong Kong Stock Exchange, but in 2012 the company delisted them.
  • As of March 31, 2011, the number of registered users exceeded 65 million from 240 countries and regions.
  • In 2014, the corporation went public on the New York Stock Exchange, where it raised $20 billion in capital. Thus, its market share reaches 231 billion dollars.
  • For the fiscal year that ended at the end of March 2016, Alibaba reported transactions through its platform for a record $463 billion .

Group structure

The group owns its own electronic payment system ( Alipay, which is also used for payments in the subsidiary structure Taobao.com ), uses uniform enterprise management software for all structures, as well as databases for goods and enterprises sorted by region and industry.

Alibaba Group operates several structures :

  • com (Alibaba China, Alibaba International) – the main asset of the company, a trading platform for organizations.
  • Alibaba Pictures (Alibaba Pictures Group) – Chinese film company.
  • AliExpress.com – an online store for the sale of retail and wholesale goods. Free shipping from China is available; product information is automatically translated into different languages. The main function of the site is a service (store) for sale by various merchants to the whole world. Sellers receive the money only after the goods are delivered to the customer.
  • com- online retail marketplace, online store and online auction (most products are also available through AliExpress)
  • com
  • Juhuasuan
  • eTao
  • Alibaba Cloud Computing – a cloud computing service for online businesses
  • Yahoo! China
  • Alipay- own platform for online electronic payments
  • com – online wholesale platform
  • Tmall – a platform for selling original goods from official brands
  • me – online food delivery service.

IPO

On September 5, 2014, the group – in a regulatory filing with the US Securities and Exchange Commission – set a price of US$ 60 to US$ 66 per share for a designated initial public offering ( IPO ). The final share price will determine the level of investor interest in the group’s shares.

On September 18, 2014, Alibaba Group’s IPO price reached US $ 68, bringing the value of the group’s shares to US$ 21.8 billion. Alibaba has become the owner of the largest IPO in the history of the United States. On September 19, 2014, Alibaba (BABA) shares began trading on the New York Stock Exchange at an opening price of $92.70 at 11:55 EST.

On September 22, 2014, Alibaba’s writers announced that they had exercised their greenshoe option to sell 15% more shares than originally planned, boosting the total offering amount to $25 billion.

Jack Ma

In September 2018, Chinese billionaire businessman and company co-founder Jack Ma announced that he would step down as president within one year so that he could focus on philanthropy. The Economist newspaper later stated that Jack Ma had a great influence not only in China but in all countries of the world.

AliBaba Overview