Exploring the Impact of Globalisation on the E-commerce Industry and Assess Success and Profitability of E-Commerce Retailers: A Comparative Study on Amazon and Alibaba

Research project
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TITLE: Exploring the Impact of Globalisation on the E-commerce Industry and Assess Success
and Profitability of E-Commerce Retailers: A Comparative Study on Amazon and Alibaba.........3
INTRODUCTION ..........................................................................................................................3
Background Rationale: ..........................................................................................................4
Limitation to study:................................................................................................................4
Research objectives..........................................................................................................................5
Research questions...........................................................................................................................6
Literature review..............................................................................................................................7
Research Methodology..................................................................................................................17
Data Findings ................................................................................................................................22
Recommendation..................................................................................................................25
REFERENCES .............................................................................................................................28
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TITLE: Exploring the Impact of Globalisation on the E-commerce Industry and Assess
Success and Profitability of E-Commerce Retailers: A Comparative Study on Amazon
and Alibaba.
INTRODUCTION
Globalization measure significantly made decrease in managerial hindrances to exchange, sharp
falls in the expenses of transportation and correspondence. Along with this, globalisation also
made advancement in data and correspondence innovation which framed reason for broadening
of assets, creation and improvement of new venture openings by opening up extra business
sectors, and getting to new crude materials and assets (Qi, Hu and Li, 2020). It has been
evaluated that globalisation make significant increase growth and development of e-commerce
industry that significantly enhance success and profitability of e-commerce retailers. Present
research analysis has been conducted on Amazon and Alibaba, both of these organisations are
performing their operations as e-commerce retailers on global scale. The objective of
globalisation is only arises on purpose to having procedure within international strategies which
is having aims to better expand business operations on world wide level. The facilities of global
way to communicate through technologies advancement, socio-economics within political and
environmental developing more product innovation and creativity towards gain competitive
advantages. E-commerce is electric platform in which it mainly generates buying and selling of
goods and services and further is transmitting of funds about data over electronic in authentic
network towards internet. These business related transication where it occurs either business way
to generates outcomes for having transication between business to busienss. Their business
transactions appears in terms of customer to customer or e-commerce and e-business are assort
mainly on used interchangeably. The term e-tail that somehow used in references for better
transition that occurs to conducting online shopping success fully. It creates high importance as
for companies global market that having potential for increased revenues where it is having
greater faces to challenges towards certain areas on business related. In this following research
report there is involves aims, objectives, background rational, limitation of study, Literature
review, research methodology along with Research findings that allows to comprise for
evaluating information in compliance oriented manner.
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Background Rationale:
The study which is emphasis that entitled for globalisation which is having decrease in
significantly exposure around to get attain competitive advantages. The agenda to conducting the
research in e-commerce about how they developed in industry that belongs to bring up more
productive advantages in e-commerce that background where many other e-commerce business
venture that allows more promoting of product and services (Cui and et. al ., 2019). Amazon and
Alibaba is generally that belong to allows more areas that creates impact to online business. As
in today's generation e-commerce business is more influence that having creates to conducting
their business in more specific manner that bring better outcomes. Some how to scrutinize
various form of stages that allows to access new culture which is easier to implement foreign
culture, that including regulations that related within globalisation which e-commerce business
need to follow to attain better competitive advantages (Deshmukh and Thadakamalla, 2019).
There is main way to having impact on e-commerce which will enhance affect towards economy
that in general it is comprising impact on productivity and inflation. It continued expansion of
electronic commerce that helps to leads towards generates more competitive through increased
competition that enables to get effectively measure within the perspective that enhance to change
behaviour for selling pricing behaviour. Amazon and Alibaba is one of more essential into online
service in which impact of globalisation is helps to assess about how companies get develop or
faces challenges in terms to compete within all objectives accomplished in productive way of
manner (Ibam, Boyinbode and Afolabi, 2018). For further analysation for major information that
get to information that allows to implies research methodology for assess towards in secondary
research base information that having importance to attain overall productive way of outcomes
that enables to get evaluate in systematic manner.
Limitation to study:
At the time of conducting this research is having many challenges to faces by researcher
that enhance to complete this research. There are some important guidelines that needed to
comprise for highlight main objectives achieve in effectively as Amazon and Alibaba is contains
strict policy which not allows to collect information as well as there is conflicts appears on
establishing better content, design, navigation all these criteria that allows to generates more
complexities that which require to accomplish better outcomes (Kareen and et. al, 2018). Internal
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information is restricted to not shared in research as it was needed to fulfil in research
requirement to get succeed.
Background of organisation
Alibaba and Amazon, are the huge name in the e-commerce business. Amazon laid the
foundation in 1995 as the online book seller, but in the present date, Amazon have beg as most
successful and renowned brand in the e-commerce business market. Besides online selling,
Amazon also indulge in web service like storage and data ranting computing by using cloud
computing system called Amazon Web Service(AWS) (Khan and Uwemi,, 2018). Their journey
started as the online book seller, presently Amazon's “Kindle” is market leading e-book seller
portal. Besides retailing Amazon enter on OTT platform by introducing Amazon Prime. Amazon
have created their brand image in a just span of time.
On the other hand, Alibaba is not far behind from Amazon. Alibaba , a Chinese based e-
commerce firm laid by the Jack Ma in 1999. Alibaba group have segmented into three
categorises Taobao for C2C, Alibaba for B2B and Tmall for B2C. Alike Amazon, Alibaba also
deals in the cloud computing and Ali pay for online payment, rather than this they also have
business operations in banking and logestic (Ali express).
Research aim
“To identify the impact of globalization on the e-commerce industry and to learn about the
factors behind the success of Amazon and Alibaba”.
Research objectives
 To examine and better understand the concept of globalisation and its impact on the e-
commerce industry.
 To examine factors influencing companies like Amazon and Alibaba to operate at global
level.
 To determine what specific factors have contributed and benefited Amazon and Alibaba
expanding its commercial activities at an international level.
 To make recommendations as to the ways through which Amazon and other established
or new market e-commerce companies can learn to further improve its international
global presence in markets, and its role in the social media industry.
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Research questions
 What is the concept of globalisation and its relevance to the e-commerce industry?
 What are the factors which influence a company like Amazon or Alibaba to operate
globally?
 What are the benefits for e-commerce retail companies expanding their commercial
activities internationally?
 What are the various ways through which companies like Amazon can improve their
global presence in markets and also sustain their influence and role in the E-commerce
industry?
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Literature review
Literature review can be understood as the review or analysis of the various article, they
are the secondary source for experimental data. In more simple words, literature review is the
analyses, interpretation, evaluation of the literature which had been already purpose in order to
throw light within a particular field of research.
Concept of globalisation and impact on E-commerce Industry
According to the view point of Nee and Xin, 2020 globalization has profoundly affected
the internet business industry (Kremez, Frazer and Thaichon., 2019). Throughout the most recent
couple of years, with the upgrades and progressions in broadband and versatile advancements,
the world is more associated than any other time. The impacts of globalization have implied that
organizations should adjust by making confined computerized content for their current and
possible worldwide business sectors. In addition to this, it has been evaluated that it has likewise
pushed organizations that typically sought after deals principally through their blocks and-mortar
stores and homegrown business sectors to make more easy to use sites that can oblige online
requests from individuals everywhere on the world. Another way the expanded globalization we
have been encountering has had on the web based business industry is how individuals are
presently buying. Furthermore, with web associations accessible on pretty much any handheld
gadget now, the quantity of online buys that start from one of these versatile handsets, be it a
tablet or a cell phone, has expanded to over half, everything being equal. That implies more
individuals are presently purchasing things through their cell phone or tablet as opposed to their
personal computer or PC. A further improvement that is come on account of globalization with
respect to web based business destinations is the requirement for them to run easily and rapidly
(Kulakov and Vinogradov, 2020). In addition to this, it has been determined that globalisation
has significant on E-commerce industry as an online business webpage provide secure,
regardless of whether it's being utilized by a client in a similar nation or most of the way across
the world.
Globalisation is one of the most prominent phenomenon of the 20th century and it shape
the world in a dramatic manner. The term globalisation process is followed by decline among
administrative barrier of trade. It also results that there is a sharp fall in cost of transportation and
communication. Production processes is fragmented and development of information
technology. This also define about formed basis of diversification related with resources. It states
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that globalisation generate competitive aspects due to which long term challenges faced by
management for presenting work according to investigation related with globalisation and e-
commerce (Lee, Chong and Sia, 2019). It evidence are present in study that aids e-commerce
aspects to perform work in broader way. Moreover, mutual relation is more important for a
business for enhancing their business size. It also investigate about level of technology by which
structure of country is improved through providing telecommunication aspects. It also define
main role of company define about direction of firms by which small business enter into
international market. Along with this by open up additional market this is accessed by
organisation that raw-materials and resources generate results that aids globalisation to make
long term access for market (Lestari., 2019). Along with this productivity and patterns of
company structure are designed with new approach. All evidence that are presented define about
areas that grow with rapid speed. Retailer sale their market in international level and it include
about development of areas through which opportunities are accomplished by generating
strategies that make adoption for managing longer perspective. E-commerce connects company
to manage all task at international level. With capture of high growth market this is analysed
person develop space through which long term strategies is generated for performing work at
global level.
From the perspective of Marc Bain, 2017 this is identified geopolitical lines perform their
work by engage of different fronts. According to professional or expert this is understand
management examine and implement perspective that demonstrate organisation and individuals
are entering into new phase that is globalisation. Digital connectivity and flow of data also aids
persons to generate global connectivity that shape industry to perform their work by identifying
place that grow persons to complete their task in international level. It results that the bandwidth
of market and area is increased (Longdale, 2019). This also results organisation location is
increased and this helps to hold market for further years. It also define connectivity means to
interact with other person by crossing order from multi-national market. Amazon, Alibaba and
many other E-commerce organisation perform work with use of international market. This define
individual forecast about all those task that make around individuals to perceive and understand
about national lines that make forecast about continued areas by which international level
partnership is generated to gain success in market. Partnership also sort about online connectivity
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