Taobao's Growth and Challenges

This assignment analyzes the case of Taobao, focusing on its transition from an intermediary platform to an ecosystem enabler. It examines the challenges and opportunities facing Taobao in maintaining its dominance amidst competition and a rapidly evolving e-commerce landscape. The analysis delves into the role of Alibaba's senior executive team in developing strategies for revenue growth and ensuring Taobao's continued success.

Running head: CASE NOTES ANALYSIS OF TAOBAO 1
Case Notes Analysis of Taobao
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CASE NOTES ANALYSIS OF TAOBAO 2
1. In the article “Alibaba Group's Taobao: From Intermediary to Ecosystem Enabler”, it is
evident the decision maker is the Alibaba Group’s senior executive team, led by Jack Ma
who is the Executive chairman. This team is tasked with analyzing the progress of
Taobao and Tmall.com, by looking at past and present experiences, as well as generating
new systems to make the ecosystem more efficient.
2. The main issue of concern is the progress of Taobao and Tmall.com, especially with its
new role as an ecosystem enabler, which is significant in establishing a development and
growth plan.
3. As Taobao had changed its role and approach to business from intermediary to ecosystem
enabler, it was important to review the progress of the company. The executive team is
responsible for developing a growth plan given their vast expertise and knowledge of the
situation.
4. The senior executive committee needs to urgently develop a progress report analyzing the
revenue generated as well as customer feedback, since the implementation of the new
business model. With this, it will be possible to develop a growth plan and strategize on
how to beat competitors.
5. Due to the rapidly evolving nature of e-commerce, the executive team needs to regularly
assess the progress and effectiveness of the models in place and develop strategies to
ensure they remain the highest market shareholders. Even with significant growth and
presence in the Chinese market, there is also competition from other companies such as
Jingdong.com (McDonald, 2014). Given this, Taobao cannot be complacent and needs to
constantly review its progress and effectiveness and adopt new strategies as required.

CASE NOTES ANALYSIS OF TAOBAO 3
6. Taobao and Tmall.com were launched as Alibaba’s Consumer-to-Consumer and
Business-to-Business sectors in 2003 and 2008 respectively. These sectors offer a
platform for buyers and sellers to meet in real time and transact. Alipay is a payment
method offered by Alibaba, where the payment is held onto, until confirmation of
delivery of services or goods to the buyer. There have also been partnerships with other
service providers to ensure the system of buying, selling, paying, and advertising is
efficient and convenient (Chen, 2017)
7. The main area of interest is garnering more revenue by ensuring the systems in place are
efficient and that Taobao effectively plays the role of ecosystem enabler.
8. It is of vital importance that the senior executive team urgently decides on the
effectiveness of the new approach model, as well as how to remain the top player given
stiff competition from other e-business sites. This is however to an extent guided by the
dynamic ecosystem which Alibaba has limited control over.
9. The executive committee has options to explore such as introducing more services on
Taobao and Tmall.com, partnering with complimentary service providers as well as
providing a channel for customer feedback.
10. The case clearly outlines the background of Taobao and Tmall.com, how they have
grown, the strategies and models that catalyzed that growth. In addition, the challenges
and threats to the business and areas of opportunity have been discussed.

CASE NOTES ANALYSIS OF TAOBAO 4
References
Chen, L. (2017). Alibaba Takes Control of Delivery Business at Center of U.S. Probe.
McDonald, J. (2014). Here's The Story of Alibaba's Rise. Business Insider.