PESTEL Analysis of Alibaba and the Usefulness of its Network Sociogram

Activity 1.1 Case study

Table of Contents
INTRODUCTION ..........................................................................................................................1
MAIN BODY...................................................................................................................................1
PESTEL Analysis of Ali baba................................................................................................1
2.Using Alibaba’s network sociogram below, explain why this network is useful...............2
CONCLUSION................................................................................................................................3
REFERENCES ...............................................................................................................................4
Online ....................................................................................................................................4

INTRODUCTION
The present report basically focuses on PESTEL analysis of the organization “Alibaba”
based on the case study “Alibaba- The Yangtze River Crocodile”. The company is a known
Chinese Multinational technology enterprise who has its specialization in technology, e-
commerce, internet and retail. The present report involves the PESTEL Analysis of the company
and how the company uses Sociogram.
MAIN BODY
PESTEL Analysis of Ali baba
The PESTEL Analysis of Alibaba basically examines the different external factors which
basically impacts or affects the operations of the organization.
Political Factors: In case of Alibaba, the foreign investors cannot directly own stakes in the
Alibaba Group. Also the government of China, could close loophole of the different foreign
investors anytime when it comes to performance of the company (Jean and et.al, 2021).
Economic Factors: In reference to Organization, there are various opportunities which
comprises of combination of government, cultural and linguistic factors who has basically kept
the western internet firms at the arm length when it comes to Chinese Market. According to these
factors, the organization developed its own websites such as Taobao and Tmall.
Social Factors: In case of China, the major problem basically involves Population aging. Factors
such as One child per family rule in 2013 and the drying traditional supply of young labour was
falling by three million workers a year. All such social factors resulted in leading to a destructive
reduction of company's able-bodies employees.
Technological Factors: With their competition with the JD.com organization, the company
began to engage in the introduction of smartphones e-commerce which offered the organization
with huge profits (Schlegelmilch, 2022).
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