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Alibaba Still Shows Interest In Entering The US

2014/10/8 17:17:00 273

AlibabaUSAListed

Although the SEC document is very prudent, Alibaba still shows interest in entering the United States.

Earlier this year, the company launched a shopping website called 11Main.com for small sellers, and invested in a number of American start-up companies, including car rental service Lyft, mobile chat application TangoMe and e-commerce website ShopRunner.

"They are trying to understand more opportunities in the US market through these small-scale initiatives."

Walton, Professor of operations and information management, Kadik Hosanaga (Kartik Hosanagar) said, "but these measures seem to indicate that the company will invest heavily in the United States."

Hosanaga also pointed out that he suspected that websites such as 11Main.com could not achieve "great success, so I expect Alibaba to make major acquisitions in the United States."

EBay is one of the potential takeover targets.

Whether this rumor can be true, acquiring a large American company or co operating with it will help Alibaba shape its brand in the United States.

"In order to achieve this, they can cooperate with American companies, acquire American companies, jointly promote Alibaba brands, or slowly deploy grassroots promotion strategies."

Walton, Professor of marketing and marketing at Eric Bradlow, said: "taking into account the huge publicity effect of the recent Alibaba IPO, mergers and global expansion may bring new opportunities."

Even if it is possible to face cultural differences, the Alibaba may still better integrate into other markets than other Chinese companies, because they are more familiar with the environment of the United States.

"Ma Yun knows the us very well," Meijer said. "Alibaba is more likely to succeed."

If Alibaba does not buy

EBay

Or other American companies, but ready to compete directly with them, and the difficulty of success will increase.

"That will be a great challenge."

Meijer pointed out.

Amazon will become a strong opponent, after all, the latter can beat any opponent on the price with ultra-low profit margins.

In addition, Amazon has built up a strong logistics infrastructure.

"If I were, I wouldn't be tit for tat with Amazon."

He said, "there is not much room to compete with them on price."

Bradlow also admitted that Alibaba is unlikely to make much progress in the US market in the short term because "Amazon and eBay have strong brands" and distribution systems.

In addition, American consumers are accustomed to shopping on Amazon website, but they do not know enough about Alibaba brand.

Although Alibaba's IPO attracted widespread media coverage, "many people still don't know what Alibaba is."

Meijer said.

About 88% of the market research firm Ipsos surveyed before the Alibaba listing.

U.S.A

People haven't heard of Alibaba. After a week's listing, the figure is still down by 76%.

Shen Qiaowei said,

Alibaba

We must attract Americans to change their ideas through unique positioning.

But she pointed out that if Amazon is dominant, then Alibaba will have no reason to become another Amazon.

Walton John, a marketing professor at John, also said that in the face of the current competitive situation, Alibaba had better concentrate on developing the Chinese market. Zhang

"I can't find out why they can't maintain their outstanding performance in China."

He pointed out that "going abroad is another matter."

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