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How Does Alibaba Make Money?

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How Does Alibaba Make Money?
Research on how information System Technology give it competitive advantage.

Done By: Neo Lai Shun
FTDICT216
Page Number
1. What Are Information Systems (IS)? Page 2
2. Introduction to Business information System Page 2
3. How Does Alibaba Make Money?

Page 4,5
4. Advantages and Disadvantages of B2B and B2C Page 5
5. Conclusion Page 5
6. References Page 6

What Are Information Systems (IS)?
A lot of organizations work with large great amounts of data. Data are basic values or facts and are organized in a database. A lot of people think that data it is associated together with information; But, information do include of data that been organized to provide answers to questions in order to solve problems. Information system …show more content…
It is a business-related platform associating Chinese businesses via international businesses which necessary Chinese inventory or manufacturers. It is similar to Amazon.com which balances buyers in addition to sellers. Nothing like Amazon, Alibaba.com don t grasp inventory or take part in logistics corresponding toward sourcing, storage, or shipping. Alibaba.com makes money through accepting commission from transaction in addition to charging subscription fees from sellers who manage storefronts from the marketplace. The website addition contain 1688.com, which network home Chinese business, and AliExpress, It is intended for smaller foreign business buyers. (INVESTOPEDIA, 2016)

• Taobao is Alibaba Group’s biggest business. It is a consumer-to-consumer(C2C) marketplace suchlike eBay.com. Coming far from eBay, Taobao do not charge a commission from transactions. It some what, makes money through selling advertisement. (such as to Google). Merchants are able to make purchase and put their products above fit in priority, gaining toward visibility for their products, or reaching toward extra customers via search advertisement.
• Tmall.com netted off coming from Taobao as a High Class business-to-consumer(B2C) marketplace intended to be a homesteading middle class. It features Larger, international brands and charges its tradespersons fees every years. (INVESTOPEDIA, …show more content…
It could generate flow from many distinct business lines and pricing structures. Even though the company dominates online business in China, it residue to be seen if it can re-form these successes into the world market. (INVESTOPEDIA, 2016)
Advantages and Disadvantages of B2B and
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