Alibaba's strategic drift

It is fundamental in both a theoretical and practical sense, to analyse the strategies of successful e-businesses who were formulated and operated alongside incumbent competitors. Thus, there have been an array of strategic arguments concerning the rapidly-burgeoning virtual powerhouse Alibaba, who amidst a sea of fortified competitors, found their ground to become one of the most prominent e-businesses of the decade. At the commencing stages, Alibaba lacked a specific strategic goal, aside from the ethnic-originated ecology scheme. Further mishaps arose even after the take-off stage, when Alibaba opted to adhere to the diversification strategy, an evidently unusual phase for a virtual firm. Hence, it is the subject of common debate as to whether Alibaba cited a definitive strategic goal which guided their progress, or whether they were merely the product of a breakneck growth in the Chinese economy. This research will show how a leading e-Commerce company Alibaba has built B2B/C2C business portal Taobao/TMall and has transformed its transaction system from zhifubao into yuerbao and how it propelled Alipay to become a leading financial institution in the thriving digital market. In addition, strategic diversification on Chinese digital business will be examined through Alibaba case.