Stakeholder Analysis of Alibaba | Report

BUSINESS
STAKEHOLDERS

ALIBABA 1
Executive Summary
 The report is based on stakeholder analysis of Alibaba to analyse their roles, interest
and level of influence. Alibaba is one of the leading e-commerce platform founded in
1999.
 Alibaba various important functional areas has also been elaborated help the business
to achieve its strategic goals.
 Alibaba stakeholder matrix has been drawn based on power and interest.
 Stakeholder analysis helps Alibaba to develop various strategies proactively to reach
near to the vision.

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Table of Contents
Background information............................................................................................................3
Alibaba functional areas.............................................................................................................3
Internal and External stakeholders and their roles.....................................................................5
Internal Stakeholders and their roles......................................................................................5
External Stakeholders and their roles.....................................................................................6
Nature and degree of main stakeholder’s interest and implications of conflicting interests.....7
Level of stakeholder influence...................................................................................................8
Alibaba Stakeholder Matrix.......................................................................................................9
Comparison with industry........................................................................................................10
Summary..................................................................................................................................11
References................................................................................................................................12

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Background information
The e-commerce market is undoubtedly one of the most rapidly growing industries
globally. In addition, with the implementation of new mobile technology, the number of
online buyers are also increasing. As per research based in 2019, user penetration is 52.3 %
and it is expected to hit 61.1% by 2023 (statista.com, 2019). It is difficult to measure scope of
e-commerce market. One of the biggest segment of e-commerce is online retail sector, which
is ruled by sales of consumer apparel, electronics and accessories. With the increase in
competition, digital advertising also becomes a part of e-commerce segment as it allows
companies to build a strong presence online and to increase brand awareness.
Alibaba Group is known to be Chinese e-commerce company offers wide array of
online and mobile services. Jack Ma incorporated the company in 1999 as an online
marketplace to purchase from Chinese producers. The company dominates internet retailing
in China where it powers 80% of online commerce (Jung, Ugboma & Liow, 2015). In
addition, Alibaba Group also operates all around the world with having its operation in more
than 200 countries. In 2019, the company revenue stood around US$56. 152 billion
(campaignasia.com, 2019). The company vision is to build the future infrastructure of
commerce, and their mission is to make it easy to do business anywhere. In relation to this,
recently Alibaba Group launches “A100”, a strategic partnership program that provides
business a holistic one-stop solution to boost their digital transformation (businesswire.com,
2019). Their corporate value encompasses passion, integrity, commitment, teamwork and
putting customer first.
Alibaba functional areas
To support for their business and services, various functional areas of Alibaba are stated
below –
 Marketing and Promotion – To increase profitability and sales, this functional area
of the company aid in supporting Alibaba strategic decisions. In 2017, Chinese e-
commerce company Alibaba invested 8.8 billion Yuan in promotional and advertising
activities (statista.com, 2019b).