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(Revised from original 2009 version)
Alibaba's Taobao (A)
Examines the decision of Alibaba Group to diversify from an international business-to-business (B2B) exchange (Alibaba.com) into a B2C and C2C exchange (Taobao.com) for Chinese retailers and consumers. In China, Taobao had managed to displace the once dominant eBay, the world's largest consumer marketplace. However, the company had little revenue because it offered services free of charge.
Keywords: Business Model;
Demand and Consumers;
Oberholzer-Gee, Felix, and Julie M. Wulf. "Alibaba's Taobao (A)." Harvard Business School Case 709-456, July 2009. (Revised from original January 2009 version.)