Ingenious step Alibaba in acquisition Lazada
The latest news from the realm of international ecommerce, raises a fairly shocking information i.e. step company Alibaba who acquires a large network of ecommerce, Lazada. As it known that Alibaba now to become a great player for the ecommerce industry in the Asian region. Not only for the State of China as a land of birth, in fact ecommerce Alibaba also constantly working to expanding business in a number of countries in the Asian region.
And the latest, Alibaba are aiming for Southeast Asian market as the next targets. To smooth these steps, the company hosts Jack Ma has been the acquisition of one of the largest ecommerce Network Southeast Asia namely Lazada. No joke, the successful acquisition of ditoreh value reaches $ 1 billion dollars or about Rp13,2 trillion.
More information about the acquisition, mega can be listened through the article below.
Alibaba Aggressive Ahold Asia
In some business estimates, indicated that Alibaba is now a key player in Asia-ecommerce industry with nearly 50% of the total market share. In addition to the local area of China as the parent of such companies, Alibaba has also established its dominance as an online shopping service provider most interested for several years later.
But who would have thought that with the huge attainment does not make developer Alibaba feel enough for expanding business. In an official description, Alibaba recalled that the existence of a stagnation in business expansion can be a barrier to even trigger the decline of business to the future.
This is the main reason why Alibaba is so vigorous business expansion especially in Asia. In addition, do not want overtaken by competitors that exist in American and European markets, Alibaba would prefer the strategy of “parking the bus” in some strategic areas in this Southeast Asia does have a potential big ecommerce business.
This strategy is evidenced by step ecommerce network acquires Lazada Alibaba. The decision that suck funds “mahar” that not a few of these, certainly based on a mature with the calculation by the developers. Currently Lazada arguably does have a potential market in Southeast Asia. Some countries that have been accosted by Lazada, among others, Indonesia, Malaysia, the Philippines, Thailand and Viet Nam.
By doing the acquisition of a majority stake in Lazada, obviously it becomes a profit while investment to retain dominance Alibaba not only in China but throughout Asia.
“With investment in Alibaba Lazada, adding access to a platform that has a huge consumer base and continue to grow outside of China. This is evidence of the management team and a solid foundation, “said Alibaba President Michael Evans.
Alibaba’s Acquisition Mechanism Against Lazada
The decision came after the company’s Lazada acquisition by Alibaba, appears also detailed an agreement about the mega project. Submitted that the current stocks of companies that constitute the business wing Lazada from Germany Internet Rocket group, still owned by several parties.
After the acquisition of a majority stake in Alibaba thoroughly Lazada, then have the option to purchase the entire stock left over from several parties i.e. Rocket Internet amounting to 8.8 per cent, Tesco of 8.3% and 3.6% stake by Kinnevik. The deadline is the purchase of remaining shares, restricted in the next 12 to 18 months.
Then what exactly is the advantage that can be exploited by Alibaba in connection with this acquisition process? an analyst RHB Research Institute Sdn, Li Yujie stated that, in a simple to build a new business unit in this ecommerce in a country certainly requires many large funds in addition to also take a long time. With annexed the Lazada that already have “land” in several Southeast Asian countries, certainly the Alibaba did not have to pay costs more to do business expansion.
The next step, China is known as the country’s manufacturers to various products, the later can be used to supply the barns-barn ecommerce that is in each of these countries. Coupled with the price of the product which is relatively oblique, will be many advantages that can be gained by Alibaba in the business turnaround.
“What is Alibaba could do is integrate business and introducing existing salespeople to Lazada for exporting products to overseas merchandise,” explains Yujie.