The Organizational Tendencies Management Group Marketing Essay

In order to work cooperation the Organizational Habit Management group, this is actually the code of carry out. This can help each members work together better, and prevent the argument and disagreement, so each member should hint this agreement.

Everyone has to be present during the conferences and the conferences with lecturer.

Group meetings will be held weekly, these meetings will be slated on days when everyone can be present at.

If a member can't show up at the appointment, the member should advise the rest of the associates in advanced with a justification. This is done by text, email or a telephone call.

All group members need to be on time for a scheduled meeting.

If an organization member is not on time this should be point out to each group member in advanced with a justification. This is done by text message, email or a telephone call.

Every group member must finish their projects on time. Each assignment will have a deadline.

Each member must check the assignments of the other member and when necessary discuss improvements.

If the task is not sufficient, the group member is required to correct the task.

If a member fails to sign up for a group getting together with for 3 x without a valid reason, the member will be kicked out.

If a member fails to end their assignments before the deadline for 3 x without a justification, the member will be kicked out.

By signing this agreement you have previously read the agreements above and trust:

Yuexiang JI (0851271) Kechen ZHANG (0845838)

____________________________ ________________________________

Miao YU (0846088) Chenxi HUANG (0856093)

____________________________ _________________________________

Organizational Behavior

IBMS 203

Group member:

Yuexiang JI 0851271

Kechen ZHANG 0845838

Chenxi HUANG 0856093

Miao YU 0846088

Name of organization:

Taobao. com

Main route of gain access to:


Interview of the relevant staff

W1+2 Record Report

Main industry, countries of procedure, organisation size

The firm which we choose is Taobao. This is actually the biggest online retail shopping program in Asia. This business was established in 10th of May, 2003 by Alibaba Group. The founder of this organization is Jack MA who's the CEO of the Alibaba Group. The organization was registered in Cayman Islands, and any office was positioned in Hangzhou, Zhejiang province, China.

The main business of the group is offer an platform for retail shopping, so it's participate in the tertiary industry. This organization has dependent work team, plus they own more than 200 staffs in this corporation. Generally, this business size is medium size.

Nowadays, Taobao end up being the most popular online retail shopping program in China. You will find almost 500 million register users, and much more than 60 million fixed site visitors use their platform for shopping. As the website is so popular, and there are hundreds of thousands views upon this website. Internet marketing rental became the largest income of this organization.

The one of the primary incomes is from their advertising. This year 2010, Taobao receive 4 billion just from rent their advertising. In 2007, Taobao's purchase volumes tend to be more than 43. 3 billion RMB. Furthermore, total annual transaction volumes come to 208. 3 billion in 2009 2009. From the quantity of the purchase and the total amount seems Taobao has huge circulation of funds, we suppose the annual accounts are 10 million resolved assets, then it can be count at least periodically APR 2. 52%, meaning 25. 2 million twelve months income. This is another main income of this organization.

The main stakeholders of the organization


Taobao. com is made by Alibaba Group, which is the greatest corporation that builds a bridge between companies and sellers for Business to Online business in China. Nowadays, Alibaba Group not only targets B2B service, but also establishes Taobao. com to be able to provide Business to Customers and Customers to Customers service on the Internet. In addition, Alibaba Group is the main stockholder of Taobao. com, they make planning and operate Taobao. com, and Alibaba Group can obtain the benefits depending on the performance of Taobao. com in the Chinese language market.


Taobao. com already offered a whole lot of job opportunities for people after it had been founded. In Taobao. com, the employees can be split into three main department; customers service, strategy support and individual resource. At the moment, the network of Taobao. com has covered the whole region of China, there a wide range of branch in several locations, on the other hand, Taobao. com is bringing in more people to join into Taobao. com, you will see more people as their workers and acquire benefits from Taobao. com.


Due to Taobao. com is a terrace between retailers and clients on the Internet, customers absolutely are the most crucial factor affecting the development of Taobao. com. First of all, customers can simply purchase any type of goods through Taobao. com at home, which way is able to save customer's time because they need not go outside the house to buy goods. Secondly, because China is a sizable country round the world, there are variations on goods and products based on the various location, but Taobao. com provides the ability that customers can certainly buy un-local products.


Taobao. com give attention to B2C and C2C service at the moment, it means that everyone can be a sellers to sell their products on Taobao. com, therefore, there are a great number of suppliers on taobao. com, it encourages that there surely is an optimistic competition between suppliers, the quality of goods can be guaranteed by Taobao. com. Alternatively, Taobao. com stimulates the development of logistics, specifically for some middle and small size logistics companies in China. All of the goods must be provided by these suppliers, because Taobao. com is a terrace, therefore, Logistics is necessary and critical, and Taobao. com can be assessed by customers predicated on Logistics so that affects business of Taobao. com.


At the moment, there are three main competitors of Taobao in China, first of all, Amazon, which is the greatest B2C company of online shopping in the world is their main competitors, second of all, E-bay, which is the largest C2C agency of online shopping on earth is their second competitors. However, Amazon and E-bay didn't get high market share in China credited for some factors on marketing, Logistics and Politics. Taobao found this good possibility to develop B2C and C2C serivce in line with the successful experience of Amazon and E-bay. Alternatively, Jingdong is their new competition in China recently, it is focusing on B2C service of online shopping in China and Taobao is confronting pressure and chanllenge when they contend with Jingdong on B2C aspect.

Describe in appreciable depth the organization's main market segments and customers / clients

Customer to Customer (C2C)

C2C: electronic business will involve the electronically facilitated transactions between consumers through some alternative party. A typical example is the online auction, in which a consumer posts something for sale and other consumers bid to get it; the third get together generally charges a set fee or commission rate.

Taobao is the most significant customers to customers' online platform in China.

Users of Taobao need not pay anything to start their business, they have a good chance to get started career for startups if they haven't any marketing plan.

Main markets

Before set up Taobao website, Taobao's mother company needed four months to analyze China's C2C market and decided to locate the 20 years old to 30 years old audience as marketplace. In 2005, Taobao start to consider the more aged masses as new aim for customers.

Compared with eBay targeted at the younger era, Taobao's marketplace is different. Certainly, eBay's main customers are some pros, while Taobao's focus on is dependant on more consumer and increased range's propose.

Taobao is based on the truth of China's culture and concentrate on meeting the needs of local customers and trading preferences.

The main target group is the youngsters people.

Business to Customer (B2C)

To meet the growing demand, Taobao launched a business-to-customer platform (called Tmall) from 2003. And a growing volume of offline retailers introducing e-commerce businesses on Taobao. Many brands have their own stores on Taobao.

From the commercial substance of view of the model, it serves for 3rd party individuals or small businessman seller. Indie individuals usually means the folks who like shopping online.

What are the key environmental factors that have an impact on the organization

Transacting environment and macro environment are important to this organization.

As a plat form of your transaction, economy is of course takes on a large part. Only when the domestic current economic climate keeping growing, people would spend their money on online shopping. Purchasing power is connected to the surroundings. Most of all, daily necessities aren't really sold on the internet but clothes, electronic devices and books. These kind of products are highly affected by the surroundings rather than foods and water. If a large tough economy happens, trading level of Taobao will decrease. Inversely, trading level would increase a whole lot if the united states economy is very favorably growing.

Competitors also affect this company a lot. The number of Taobao user directly influences the organization. As more competition enter the forex market (Like EBay), people may choose opponents' plat form.

Technology is quite important. How exactly to shortage the purchase time, how to secure the exchange, there are what users really care about. Also, the users might not be inclined that their personal information reveal from the web. Taobao built their own online bank operating system (ZhifuBao) to build up their own technology which provided them extra competitive ability than rivals.

Last however, not least, the clients. The customers are including both online stores and online customers. As it discussed earlier, the amount of Taobao users straight influence the business. That's why Taobao made a lot of advertising on TV and Internet to do their finest to draw in more users.

Taobao don't need suppliers on itself, geopolitics as well as regulators and society's culture are not those very important to a web shopping plat form.

W3+4 Organizational Report

The organization's main objective and vision

(Bloisi, W. , Make meals, C. W and Hunsaker, P, L, 2003)

As we said every firm has their had mission and eye-sight. From the definition on the booklet, we see the difference between mission and vision. The first one is quest which is generally expected to provide direction that exercises beyond the foreseeable future. However, eye-sight can be transformed more frequently, and it is often more detail, and could be specific to a programme or project. At the start of the Taobao. com founded, CEO Jack MA designed the quest of the business is usually to be the major trade platform in the world. At that time, the internet shopping is within the initial level. Jack MA found that EBay and Amazon are famous in that area, so he made a decision to set up an internet shopping system like EBay and Amazon. After he observed so very long, he found the running operation function from EBay. Then he set up the Taobao to offer a platform on the internet for people to sell products. In another of his interview, he acknowledge that the original idea to founded the Taobao is provide platform for people to sell their unused item as a second side online market. But soon he discovered that online shopping would be the trend in future. So he decided to change how big is the Taobao. From that time, Taobao do not only sell some unused products, but also sell different sorts of items. During the development of Taobao, Jack improved several times eyesight. First-time is move the emphasis from small size unused items to large size a myriad of products. Because of set up online store can save a lot of money, and with the internet development, there are a lot of small size business men to set up their shop on Taobao this system. Jack uses his relationship to propagandize his group to improve the reputation to be able to get more commercial opportunity. The second eye-sight change is to give attention to the security point. As internet security is very important to Taobao, Jack must improve the security work in order to protect the customers' right after a serious of pilferages, not only in personal information, but also in finical area. The third perspective change is to set up another brand which is Tmall. Once the Taobao has reached a certain level, Jack found this firm also can provide the system to company rather than only face to personal business. The third eye-sight is making the system offer service in C2C and B2C two methods at same times.

The Main goals and targets in Taobao

Main goals

According to Bloisi(2003) mentioned in Organizaional&Management Behavior, this is of goal is the reason what's their mission with their business in a firm. The most notable management of Taobao establish a goal that become the largest company of online shopping in China within five years when Taobao was established in 2003. In 2008, Taobao. com already achieved their goal; they started a fresh planning, which enter international market and contend with E-bay and Amazon in Eastern Asia and Southern-east Asia market, including Japan, South Korea, Thailand, Singapore and Malaysia in next 10 years. After that, Taobao. com needs that they can have the ability to enter other marketplaces in European countries, Africa and USA to be able to obtain additional market stocks and contend with E-bay and Amazon throughout the world.


According to Bloisi(2003), the definition of goal is the precise performance targets that may be assessed at designed items in time. Regarding to theory, the key goals can be divided two aspects; financial target and strategic purpose, the information is as following:

Financial aim in Taobao

In 2003, the very best management set objective that they will be able to obtain 1 million Chinese yuan normally daily income within three years. Taobao bought this purpose in 2005, the earnings was 1. 02 billion Chinese yuan in first three months 2005, and the income of their main competitor E-bay was 100 million US us dollars; this was the very first time that the earnings of Taobao over E-bay in Chinese market.

Strategic purpose in Taobao

The next step is to enter new market in East-Asia and South-East Asia when Taobao became the greatest firm of online shopping in China. Taobao will continue to offer Business to Customers and Customers to Customers service for local customers in oversea market. And there are three main objectives in Taobao to be able to obtain market talk about in these areas. To begin with, Taobao will build new website which is utilized for the clients who come from East-Asia and South-East Asia, moreover, the local dialect will be applied into their official website, thus the local customers could easily make use of it to buy goods from China, If indeed they need to communicate with sellers, English will be necessary.

Secondly, Taobao will cooperate with an increase of companies to build up their business in overseas markets. For instance, they cooperates with China Post and SF Express because of their own distribution channel in order to deliver goods from China to Japan, South Korea, Malaysia, Thailand, Singapore and so forth. If some private retailers want to develop their business in the new market, Taobao will bring in and present some suggestions on Logistics. Alternatively, Taobao will see more local companies on food, clothes and etc. , as their cooperative spouse to develop business, because the neighborhood customers not only need goods from oversea, also the most of goods which they will buy online will be from other country, therefore, it's important to attract more local companies and private retailers to establish web store on Taobao.

Thirdly, Taobao feel that good reputation and feedback from customers is most crucial feature to enter into new market and contend with Amazon and E-Bay in East-Asia and South-East Asia in order to dominate the neighborhood market when they design and make planning of technique for development. Therefore, the 3rd objective is to monitor all vendors' behaviour and improve their system of customer's satisfaction. Taobao designs some guidelines to supervise seller's behavior in order to avoid fraud happened on Taobao and protect customer's profit and right. Every store has customer's reviews based on the product's quality, service and time of delivery. Taobao and every customer could know that, when there is fraudulence or other negative things happened, Taobao gives a serious consequence for sellers. Because, Taobao still assume that they can buy more market show based on more and more positive feedbacks and more impressive range of customer's satisfaction.

The organization's strategy What plan of action is the organization pursuing?

A strategy is an idea of actions to attain a favourable position within the competitive industry by strengthening the relationship between an organisation's capacities and its own changing environment regarding:

Choice of technologies˜Taobao chooses to build up their online banking systems as well as security technology. The bank operating system (ZhiFuBao) allow company free from endless coping with banking companies. Consumers put their money through banking companies into this system and the procedure is inside this system. ZhiFuBao also created an opportunity to the mom company plus they do no need loan from banks to do further investment but they can use the money from ZhiFuBao. It's such as a bank without interest to the mother company.

Development of services and services: Tmall is a fresh product developed by Taobao, this is a plat form of companies to market their product online. For example, Philips Company wants to sell their products online and they can use this plat form instead of building their own one. That can keep your charges down for companies also create earnings to Taobao because Taobao charges fees for Tmall company. Also, the new services of Taobao cover all sorts of things from happen to be lottery. It offers people a communication system to meet all kind of needs.

The marketing strategy: Their main online marketing strategy is to market TaoBao online. As on online shopping plat form this is an excellent strategy because we can only expect that only the people who do use internet are shopping on the internet. Their strategy is quite success because we will get their advert on every portal websites and main websites. TaoBao. com is one of the most famous website in China for their advertising.

Responding to rivals: Taobao company has more than half of the online shopping users, they will be the defender of market. However, they main competitive strategy is to keep their users, make an effort to grab their center. They built a spot system that the old users can have significantly more "advantages" like some small gift ideas to prevent the running off.

To what magnitude do company studies and information obtained from the interviews concur?

Firstly, we need do a good marketing research, and make an effort to gain more accurate information from TaoBao Company. Utilize the clinical method and a systematic manner to get more TaoBao company's information.

Using gained information to specific analysis the tactical qualifications and marketing reality of TaoBao Company on the base of exploration of its interior and external environment. Based on the present situation of TaoBao Company, we forecast the TaoBao company craze of development in next couple years.

Secondly, we need to research to determine who the best people for our interviews will be. Because of we gained research information, we decided to interview marketing administrator of TaoBao Company. With reason not only is the company main business rely on marketing departments to increase, but also marketing team decided the pattern of development in TaoBao company. Marketing division know more about marketing proper information and inside and exterior environment of TaoBao company. We are able to more easily and obviously get useful information by interview marketing administrator.

Thirdly, we have to desigh a good questionnaire. Choose some key questions to interview. Like "Do you consider Taobao will occupy a huge market size in the world in future?"

Then, Due to physical and time limits, we give up in person interview method and choose calling interview method for more convenient to communication.

Finally, summation all gather information by interview, and choose key information to more evaluation the TaoBao company inside and exterior environment to write report.

What types of information would you require to get ready a SWOT research? How do you collect these kind of information?

SWOT research is a organized planning method, A SWOT examination focuses on the four elements of the acronym: Power, Weakness, Opportunity and Danger.

First of all, we need the marketplace talk about of Taobao. We already experienced this information, that Tmall has 46. 9% while Taobao's is still unknown. This information could be come to online.

Secondly, we are in need of the milestones of Taobao. Once we know the milestones that they had done, then we realize why they did that and the results of these decision. That helps us to have a direct judgment of these decision board. This is also available online.

For the Threat, we need to gather information about their opponents and their market stocks. That is somewhat difficult to find, we will find somebody who works in the company to find out the information we need.

For the chance, we will study the truth of amazon and EBay to find out what these companies did to get success. The items EBay and Amazon performed and TaoBao didn't, might be the opportunity to TaoBao. Many cases are online or written in e book.

We also need Taobao's Annual Report if it's available to have a full analysis towards their operation and management.

Suggestions from individuals are also important to learn the weakness points that TaoBao could improve

W5+6 Organizational Report

We made an interview with the marketing supervisor of Taobao, Longfei Wang. He has been inside the company from 2005. He's an experienced director who leads 20 employees in his department. Another method we use to get the information concerning this company is a questionnaire for employees about their motivation.

The type of functioning job and identify in detail the main types of activities that require to be performed in this job.

Marketing director is one the most crucial job within an online shopping company. As an internet shopping plat form, amounts of users is the massive part for the company to concern. Marketing manager needs to analysis the all sorts of products marketing information (because Taobao Company is the program for all kinds of products) and also their competitor's information. Sales examination may give him the info about the sales of different product categories, the Mr. Wang has employment to handle a report about how to maintain the high-sales-product market and improve low-sales-product market. The daily job for him is to lead his visitors to acquire information and design marketing promotion technique for the platform. After he gets the info that gathered by subordinates, he analyses the data and bears out studies.

Marketing manager performed much work because the work is changing extremely fast in China, one authorities coverage may change a whole product's market. To create an positively and quickly respond, he must be focus and decisive to handle some issues that just jump out.

Staff management is something he needs to focus on as well because his team is quite complicated and he needs his staff working with enthusiasm and determination.

He also needs to attend quite a bit board meeting to make statement. Taobao among the biggest online shopping platform, board conferences is most significant method for the managers to deliver their idea to the staffs.

Describe the main instrument the business uses to decide whether this "operative" must improve performance.

(Bloisi, W. , Make, C. W and Hunsaker, P, L, 2003)

Behavior recognition should follow an ABC collection. Management applications of reinforcement theory snooze on the assumption that people in positions of power can be taught to work with environmental implications to activate and condition the habits of others. That is also the primary tool which Taobao uses to identify whether is necessary to improve performance of "operative" needs.

According to Bloisi(2003) mentioned in Management&Organizational Behaviour that we now have three models in ABC sequence that are antecedent, tendencies and result respectively. A symbolizes the antecedent condition or cue that precedes a couple of behavior alternatives- the stimulus or circumstance that invites a desired patterns. B is the habit in response to the antecedent circumstances. C symbolizes an environmental result that is contingent on an appropriate patterns. In Taobao, every supervisor of office would acknowledge what is positive habit and negative tendencies by their brainstorm and their experience. And, they will know very well what the actual behavior of their subordinates is through the process according for some research, such as 360 degree evaluation, responses from employees and performance analysis etc. , from then on, the managers would be able to identify whether this is essential to improve performance immediately according to the result looking at with Antecedent and Patterns.

In addition, if this is necessary to boost performance in Taobao, they might establish baseline data and analyses current behavioral contingencies predicated on the concepts of behavior changes. To begin with, they will identify and acknowledge what is general problems and dissatisfaction within employees, and then, they will analyze and know what are the specific problems, such as romantic relationship with employees, salary problem and subordinate's capacity problem etc. From then on, they'll develop reinforcement strategy and use the reinforcement and chart results based on the different problems they may have.

For example, some of employees were dissatisfied their salary in Taobao so the negative atmosphere was expended within employees, and then increasingly more employees visited other companies, Taobao loss some skills. The HR administrator of Taobao acknowledged this problem plus they does research which compare salary with other same business companies, once they got consequence of research; they might analyze and consult with top management. Finally, they made a decision with top management of Taobao to enhance the common salary for their employees, in addition, they made a new policy, which obviously introduces the level of salary and what level of salary employees can buy, simultaneously, HR division also made benefit policy to provide extra money for their employees according to their performance annually to be able to stimulate those to work hard and get more talents to become listed on in Taobao.

Evaluate the effectiveness of these instruments?

ABC series is not success as a tool in TaoBao Company. However, the method Organizational Behaviour Changes is effective. (Bloisi, W. , Make, C. W and Hunsaker, P, L, 2003) It is a deliberate management program of the ABC sequence to condition desired staff behaviours. The theory is by using contingent reinforcement to form behaviour. Company give rewards and punishments for the staffs predicated on their performance. Therefore, staffs will put all their effort into work to accomplish rewards.

Managers identify behaviour to be revised then gauge the baseline level. After that, they analyse its antecedents and effects to intervene their behaviour. At last, evaluation and maintenance are essential for the behavior to become habit.

We say that this instrument is purchased first then do something which works more effectively than taking action first. After a full analysis, professionals can have a deep view for the behavior.

How could these performance management systems be advanced?

The manager might use other mode to boost these performance management systems. The supervisor can through goal setting to enhance the performance. Goal setting techniques can enhance the staff motivation on work, to find out the type of things they need. Further, as mentioned before, if Taobao want to boost performance, they must first set up baseline data and analyses current behavioral contingencies based on the rules of behavior adjustment. Then placed different goals help them to improve. If the problem is related with staff, the target could be like employees' expected salary or relationship with employees. If the problem is about the enterprise development, the goal could be related to the whole organization or the surroundings.

W7 SWOT report



good reputation

Full of experience

Free service for attract further customers


Lack of competitive technology

Losing their competitive ability in important area


Enter a fresh market

B2B B2C can meet different requirements

Private distribution channel


Several similar competitors

Uncertain financial development

Shopping habits

This SWOT is merely used for Taobao's administrator to research when they are establishing their objective and their perspective in the future development. This SWOT form concludes the organization's current format and the threats which they are facing just lately.


Nowadays, Taobao offers a high level progress on the market, does mean it got an extremely well reputation in the Chinese language market. Among the features of Taobao is it possesses a well-known brand on the market, almost everyone know it in China. Another benefits is Taobao provide a great deal of free service, which is another gain to fight with its rivals, at the same times can appeal to further customers. Together with the technology development, online shopping will occupy a sizable part in the shopping model, and Taobao has a lot of experience to run this platform also to meet customers need. This is also its advantages.


Recently, online shopping became more and more popular, there are a great number of new online system seem every day. Because Taobao offer free service for their customer to create online shop, so their opponents copy Taobao's operating style. As we all know that internet technology is transparent, so their opponents can get their running model easily. Which means Taobao lacks competitive technology to dominate on the market.

Second, as their competitors copy Taobao's jogging style, and almost all the web shopping program company use the same strategy in this field, Taobao is dropping their market show continuously now. Furthermore, Taobao is sacrificing their competitive potential in important area to overcome their competitor. Such as their competitors poach their staff, and copy their website design.


Nowadays, Taobao has recently become the largest firm of online shopping in China, their current goal is the fact that enter East-Asia and South-east Asia market within five years and compete with Amazon and E-bay in these areas in order to obtain additional market share. There are three advantages of Taobao. First of all, there are a lot of makes in China, the retailers is more than Amazon and E-bay and the types of goods is more than Amazon and E-bay, all together the price is lower than them. Therefore, Taobao can simply penetrate and dominate the new markets. Secondly, Taobao both has Business to Customers and Customers to Customers service for their client, customers have significantly more choices to select their goods in Taobao. There is no such big level of organization of online shopping in overseas countries, once Taobao enters into other countries, it will attract increasingly more customers. Finally, Taobao has their own circulation channel and still cooperates with some 3PLS, they can assure the providing quality, and the price is lower than some multinational companies, such as UPS and DHL. To conclude, the market probable is positive and strong. This is only the first step, which enter East-Asia and South-east Asia market, Taobao will have greater opportunity which enter Europe, Australian and American market after they efficiently obtain market talk about in East-Asia and South-east Asia.


The first menace originates from the rivals. Ebay, DangDang and Paipai are the primary competitors Taobao company face. Each of them have their own strategy to grab the market show, for example Paipai, it uses the largest online chatting software to market itself.

The second risk comes from the economy. We are able to imagine that if big recession happens in China, Taobao's income would reduce sharply. Recession is often possible to happen in economy progress.

The last hazard comes from the shopping behavior of consumers. Online shopping is very popular just lately; however, new method can always replace online shopping. Taobao should always keep an eye on the changing of shopping behavior.


The next version of Taobao in the recent five years is to get into the Asia market, expends its business in the Asia. Recently the web shopping area is imperfection, so Taobao should catch this possibility to type in the new market, enhance their platform continually in order to meet the different requirements. Taobao can use their advantages like free program service and their good reputation to develop the new market and combat with their competition.

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