welcome to case studies with the biz doc
and this week I taking another request
from people who wanted to know about
Alibaba the giant ecommerce company in
China run by entrepreneur Jack Ma you
know I think is really interesting about
Alibaba is that he’s a self-made guy
didn’t come out of Harvard not a Harvard
dropout he’s a guy like you and me who
announced they’re to solve a problem as
an entrepreneur and struck gold
and we’re going to dive into it and this
week I’m calling this the rise of Jack
Ma and Alibaba we may come back in the
future and do another case study about
some of the many companies that they’ve
invested in along the way but today
let’s take that ride that Alibaba took
starting in 1999 along the way today
there will be two core points and the
first one is anyone can be an
entrepreneur just solve a problem solve
it well the second point is when
competition comes be fearless be
fearless and I’ll tell you why on that
second point because a minute ago you
didn’t have a business now you have a
business and it’s a minute from now you
don’t have the business anymore but you
have experience and a reputation for
boldness and going out there trying to
start something you’ve got more than you
started with I believe in that second
principle from my heart and anybody that
knows me knows this they will hear the
following statement many many times and
it’s I’d rather climb to the top of
Mount Everest and fall to my death one
foot from the summit then be sitting on
a park bench when I’m 80 years old
looking up at a mountain and wondering
why I never even tried to climb and
that’s what I feel about point number
two be fearless what have you got to
lose now let’s take a look at the
fearless guy named Jack mob so Jack mob
starts Alibaba in 1999 let’s step back
just a few years to 1995 here he is the
schoolteacher coming to the United
States for the very first time he has a
translation company that he had in China
and he was doing some work with that
taking advantage of some emerging trade
and acceleration in the
economy hasn’t been happening and he
come to the US and his friends showed
him the Internet he hadn’t seen it
before believe it or not and so he
searches for beer and to his surprise he
didn’t turn up any Chinese options and
he said this is weird because China does
have some good beer I mean beer is
hundreds and hundreds of years old and
China has got some great beer out there
why is it there any beer here and more
importantly why isn’t there much of
anything from China and he returned home
and he said you know what I’m going to
take it I’m going to take a shot and so
he forms a thing called China pages kind
of like yellow pages for China
this is 1995 as I mentioned and so he
gets off and running with that and he
wants to make it a place where the world
can find out about products that are in
China well it failed like most
businesses that strike out he didn’t
make it and as a matter of fact there
was a there was a little bit of a story
that was out but maybe he was forced
into doing a deal with China Telecom or
something and he lost control of the
company but whatever happened China
pages didn’t make it so here’s a guy who
again not a Harvard dropout as a matter
of fact he took the entrance exam for
the China University not once not twice
but three times he failed at the first
two times and he studied to be a teacher
and that’s what he did originally he was
a teacher making $12 a month that’s 12
US dollars per month being a teacher in
China and you can go on search on
YouTube right here on YouTube and find
some of those images of Jack in this
oversized really baggy shirt just
excited and being a teacher in front of
these these wonderful cute kids and you
can see the passion that he had for
teaching and the passion that he had for
life nonetheless that’s where he started
as a teacher so here is now a free agent
after China pages China but I can’t even
talk today sorry about that after China
pages folds up and he is in the midst of
the internet revolution that’s heating
up 1999 and he said to himself you know
what I’m going to take another swing
and this time he brings together a group
of his friends 17 people and that’s what
the 17 is here for 17 people in a little
apartment in China to form Alibaba and
get off and running they wanted to
basically make you know an e-commerce
solution aliy they didn’t call it that
they were just out to use the Internet
to conduct commerce and get something
going
it was interesting he said he got the
name Alibaba sitting in a coffee shop in
Malaysia and as the story goes and who
knows that this is folklore this which
gets repeated but as the story goes Jack
Ma had asked some people what do you
think of the name Alibaba and a few
people said oh I’ve heard of Alibaba I
know the story you know Open Sesame Open
Sesame the magic and he thought wow Open
Sesame
open up a market and he claims that
that’s where he got the name
Alibaba from that simple encounter I’ve
been thinking about it and then talking
to some people in a coffee shop Malaysia
so he gets off and running with the 17
friends in 1999 and guess what they
struck gold
within one year based on their success
they raised five million dollars from
goldman sachs the bank the massive
international bank five million dollars
and then he raised shortly thereafter 20
million dollars from Softbank in China
and South Bank is a Chinese telecom
company with a very very active and
progressive technology investment group
damnit tops off banks in Japan you stay
there for a long time huh so here he’s
raised twenty five million dollars a
year after getting Alibaba off the
ground and they were off and running and
you know it was interesting because
right around this time in 2001 they’re
two years old when the tech bubble burst
now it’s a tough time in the United
States technology in the venture capital
market as a matter of fact at that time
I was running I was a venture capitalist
of sorts I was managing a corporate
venture capital effort called key
companies wire
and it was a joint venture that sprint
had invested in and I was the managing
partner from the sprint side and 2001 I
could tell you it was a tough time to be
starting a company especially you know
you’re just getting off the ground but
they kept working on it and with that
money that they had raised believe it or
not in 2001 Alibaba was profitable a
really incredible stuff now to make an
e-commerce solution in China a little
bit different than making it other
places of the world a giving example in
China not very many people had credit
cards in or did they have access to them
so Alibaba created a lipe which was kind
of like eBay for Kara like PayPal for
China and they built this the system so
that people could buy and sell things on
the internet because in China trust in a
retail transaction was very important
and people did not trust sending their
money in waiting for something to be
shipped to them so they liked the fact
that thanks to a leap a that the money
didn’t leave them until they actually
received what they ordered so it brought
trust and it enabled people to conduct
the e-commerce so there’s a cultural
element as well as the fact that this
infrastructure just didn’t exist he had
to build it well there you have it first
great innovation so a leap a was a
success in the Chinese market but along
comes a threat eBay acquires each net in
2003 and each net had 80 percent of
China’s small consumer commerce market
so small transactions small purchases
and this was a threat because this is
what they were out to do
as a sidenote regime Dutta was the on
Jem dad’s board company I was with at
the time and he was the CFO of eBay and
they were very aggressive and they were
looking very strongly to China and he
was a really smart guy unfortunately
cancer got him way too early in 2011 and
so I’m everyone that knew him misses him
that he was really sharp and they were
thinking broadly on a global market but
they ran into a buzzsaw in Jack Ma
because jazz MA was
really focused and armed with investment
and success he wasn’t going to back down
so he they launched Taobao which was
basically the eBay of China and he said
listen this is my market we’re going to
own this and Taobao it’s going to be
free for three years so he’s promising
that if you sold your you know whatever
it is you were selling on Taobao for
three years should be no fees paid to
him three years and that was a strong
guerilla move he also had some of his
Alibaba employees pummeling the message
boards in the internet bulletin boards
remember bulletin boards back in the day
had them pummeling them a positive
message about hey if you’re if you’re in
China you should be on Taobao not eBay
you should be on Taobao and absolutely
drove the awareness there’s a real
guerrilla marketing technique and if
you’ve read things like sunsoo the art
of war that’s a great book to read if
you’re an entrepreneur by the way many
people talk about that but there’s
another book in there – it’s called
guerrilla marketing by Jay Conrad
Levinson also a legendary book and
guerrilla marketing and that bulletin
board trick by Jack Ma was a guerrilla
trick and it worked
you had eBay you know coming up and
boldly saying they weren’t backing down
and the CEO Meg Whitman in 2004 with
Taobao moving up is saying nut nah you
know China is going to be our biggest
market in 10 to 15 years biggest market
ever well shortly thereafter 2005 you
know Alibaba announces that Yahoo China
had basically given up and Alibaba was
going to operate Yahoo China and Yahoo
was investing 1 billion dollars for 40%
of Alibaba huge so now he’s now he’s
really armed he’s got the Yahoo China
he’s armed with this extra capital a
billion dollars of it the relationship
with Yahoo was a little rocky Yahoo’s
looking for short-term you know results
and Jack Ma was focusing on the long
term
on the market and so I think that’s the
right thing for him to do focus on a
long-term play because yeah so in those
days was also scrambling they had they
were coming to a point where they were
really trying to figure out what they
were going to be and you know I think
Jack Ma really saw that saw the
opportunity so there’s a happy ending
that as for Yahoo a few years later you
know Alibaba
bought back half of the shares in
Alibaba that Yahoo owned they bought
them back for 7.1 billion dollars so
Yahoo bought something for a billion got
7.1 billion back and they still owned
half of what they had bought in the
first place that was huge you know if it
wasn’t for that kind of success that
they had the tally Baba
you know Yahoo would have died a long
time ago and as I mentioned previously
Yahoo was sold in the equivalent of a
garage sale here in 2017 to Verizon
Wireless for the lows of 4.8 billion or
something but that was it back at the
story so we have this big Yahoo
arrangement that happens in 2005 and in
2006 eBay gives up eBay basically turned
over its operation to a small local
partner and Alibaba had one they had
dominated in China and they had
literally chased eBay out of China with
a leap a and Taobao and the rest is
history in terms of the way they they
kept growing you know it was interesting
it bears in mind talking about the
culture of Alibaba and how they how they
grew they had this legendary you know
light heartedness about it which was
unusual because most people that work
for businesses in China they were very
stoic and very rigid and Jack Ma tried
to make it a lot of fun as a matter of
fact they used to have this annual
talent show where the executives would
dress up and do things that were
humorous and Jack Ma himself used to put
on makeup and wigs and sing pop songs
which people thought was really amazing
because you know most leader
in that culture we’re very dignified and
very proper and here’s Jack Ma just cut
and loose with his employees as a matter
of fact this led to something that was
called the alley fest where they would
actually do this talent show in a
stadium because there’s so many
employees to join the company they
needed to do it that way and you know
what that reminds me of a guy like
Richard Branson Richard Branson is
fearless and unafraid to do things for
his brand and for his people and if you
go out in Google there’s some very funny
pictures of where Richard Branson
dressed up in a wig lipstick and a
flight attendants uniform and promoted
his airline and promoted the fact that
he was not too proud to serve drinks
dressed as a flight attendant and there
is Jack Ma doing the same thing you know
just showing you a very human fun side
of him and so you see a lot about his
leadership I mean how can you not if you
lived in China how could you not want to
join a company like that to have a much
different experience it’s almost like a
capitalist experience they’re rigid
experience where they celebrated the
individual succeeding and driving
forward above it all so a way they went
you know along the way it was probably
thinking wow they’re so successful did
they go on the stock market at some
point we are they did from 2007 to 2011
they were actually on the Hong Kong
Stock Exchange and Jack Ma wanted to do
some structural things in 2011 wanted to
issue a couple different classes of
stock that would enable him to name
people to the board and have a little
bit more control as a leader but the
Hong Kong stock exchange said no we
don’t do that here and so he said really
well then I’ll delist and he delisted
from the Hong Kong stock exchange
you know it’s interesting to point out
he’s not the only leader that thought
about that
Zuckerberg over at Facebook he has such
different classes of stock and he
controls the voting and controls the
board in the future of Facebook so in
the US stock market you’re free to do
that in a capitalist system do what you
wish and so delisting
2011 from Hong Kong Jack Ma started
plans to go public on the greatest stock
exchange in the world the United States
and a way he went and when he ran that
IPO out that IPO at 25 billion dollars
in 2014
actually started out as 20 1.8 billion
dollars but it was so oversubscribed and
overheated as people came in it swelled
to a 25 billion dollar IPO making it the
largest IPO in history 25 billion dollar
IPO the biggest in history there’s only
one word for that bad you go from being
a guy who three times had to try to get
into college in China and a teacher
loving life with enthusiasm all the way
to being a CEO 14 years later of the
biggest IPO in history and I think that
when you look at the ramp of what they
did as they became the PayPal and the
eBay in China it’s amazing I’ll share
some final stats with you which I think
you’ll probably find absolutely stunning
I find them stunning today Ali pay
accounts for half of the online payments
in China
Wow that’s pretty that’s very impressive
and it accounts for a part of excuse me
tell Bao accounts for 75% of the online
transactions sales in China and China
has a vent over there it’s called
singles day it’s like a big day for
shopping kind of like maybe Black Friday
in the United States and they set a
record for singles day in 2015 the one
day sales one day fourteen point three
two billion dollars in online sales in
one day that’s just amazing and that
just shows you what that just the power
and the momentum that Alibaba
generated so thank you for making the
suggestion I very much enjoyed taking
you through the growth and the origin of
Ali
Taobao and Alipay and the dynamic leader
that came with it Jack Ma well I promise
you will come back into another case
study diving into the intricacies with
what did they do with all that money and
what did they do from there but right
now we celebrate an entrepreneur and we
look back on those two points anyone can
be an entrepreneur just solve a basic
problem here’s a guy who fails in a
business trying to solve a problem why
can’t I search and find Chinese beer on
the internet failed with that company
but came right back and built a behemoth
and the second point when competition
comes be fearless eBay was Lord God king
of online auctions and they took him out
and chased him out of China what a
wonderful story what a fantastic role
model for all of us not a ha not a
Harvard dropout not a Harvard grad but a
guy like you and me that went out to
solve a problem and went from zero to
history well we need the pillow the
pillow the pillow thank you Paul
well thank you very much for watching
please subscribe to value tainment the
best channel on the internet for content
for entrepreneurs and until next time
I’m Tom Merritt and I hope I left you
better than I found you
and this week I taking another request
from people who wanted to know about
Alibaba the giant ecommerce company in
China run by entrepreneur Jack Ma you
know I think is really interesting about
Alibaba is that he’s a self-made guy
didn’t come out of Harvard not a Harvard
dropout he’s a guy like you and me who
announced they’re to solve a problem as
an entrepreneur and struck gold
and we’re going to dive into it and this
week I’m calling this the rise of Jack
Ma and Alibaba we may come back in the
future and do another case study about
some of the many companies that they’ve
invested in along the way but today
let’s take that ride that Alibaba took
starting in 1999 along the way today
there will be two core points and the
first one is anyone can be an
entrepreneur just solve a problem solve
it well the second point is when
competition comes be fearless be
fearless and I’ll tell you why on that
second point because a minute ago you
didn’t have a business now you have a
business and it’s a minute from now you
don’t have the business anymore but you
have experience and a reputation for
boldness and going out there trying to
start something you’ve got more than you
started with I believe in that second
principle from my heart and anybody that
knows me knows this they will hear the
following statement many many times and
it’s I’d rather climb to the top of
Mount Everest and fall to my death one
foot from the summit then be sitting on
a park bench when I’m 80 years old
looking up at a mountain and wondering
why I never even tried to climb and
that’s what I feel about point number
two be fearless what have you got to
lose now let’s take a look at the
fearless guy named Jack mob so Jack mob
starts Alibaba in 1999 let’s step back
just a few years to 1995 here he is the
schoolteacher coming to the United
States for the very first time he has a
translation company that he had in China
and he was doing some work with that
taking advantage of some emerging trade
and acceleration in the
economy hasn’t been happening and he
come to the US and his friends showed
him the Internet he hadn’t seen it
before believe it or not and so he
searches for beer and to his surprise he
didn’t turn up any Chinese options and
he said this is weird because China does
have some good beer I mean beer is
hundreds and hundreds of years old and
China has got some great beer out there
why is it there any beer here and more
importantly why isn’t there much of
anything from China and he returned home
and he said you know what I’m going to
take it I’m going to take a shot and so
he forms a thing called China pages kind
of like yellow pages for China
this is 1995 as I mentioned and so he
gets off and running with that and he
wants to make it a place where the world
can find out about products that are in
China well it failed like most
businesses that strike out he didn’t
make it and as a matter of fact there
was a there was a little bit of a story
that was out but maybe he was forced
into doing a deal with China Telecom or
something and he lost control of the
company but whatever happened China
pages didn’t make it so here’s a guy who
again not a Harvard dropout as a matter
of fact he took the entrance exam for
the China University not once not twice
but three times he failed at the first
two times and he studied to be a teacher
and that’s what he did originally he was
a teacher making $12 a month that’s 12
US dollars per month being a teacher in
China and you can go on search on
YouTube right here on YouTube and find
some of those images of Jack in this
oversized really baggy shirt just
excited and being a teacher in front of
these these wonderful cute kids and you
can see the passion that he had for
teaching and the passion that he had for
life nonetheless that’s where he started
as a teacher so here is now a free agent
after China pages China but I can’t even
talk today sorry about that after China
pages folds up and he is in the midst of
the internet revolution that’s heating
up 1999 and he said to himself you know
what I’m going to take another swing
and this time he brings together a group
of his friends 17 people and that’s what
the 17 is here for 17 people in a little
apartment in China to form Alibaba and
get off and running they wanted to
basically make you know an e-commerce
solution aliy they didn’t call it that
they were just out to use the Internet
to conduct commerce and get something
going
it was interesting he said he got the
name Alibaba sitting in a coffee shop in
Malaysia and as the story goes and who
knows that this is folklore this which
gets repeated but as the story goes Jack
Ma had asked some people what do you
think of the name Alibaba and a few
people said oh I’ve heard of Alibaba I
know the story you know Open Sesame Open
Sesame the magic and he thought wow Open
Sesame
open up a market and he claims that
that’s where he got the name
Alibaba from that simple encounter I’ve
been thinking about it and then talking
to some people in a coffee shop Malaysia
so he gets off and running with the 17
friends in 1999 and guess what they
struck gold
within one year based on their success
they raised five million dollars from
goldman sachs the bank the massive
international bank five million dollars
and then he raised shortly thereafter 20
million dollars from Softbank in China
and South Bank is a Chinese telecom
company with a very very active and
progressive technology investment group
damnit tops off banks in Japan you stay
there for a long time huh so here he’s
raised twenty five million dollars a
year after getting Alibaba off the
ground and they were off and running and
you know it was interesting because
right around this time in 2001 they’re
two years old when the tech bubble burst
now it’s a tough time in the United
States technology in the venture capital
market as a matter of fact at that time
I was running I was a venture capitalist
of sorts I was managing a corporate
venture capital effort called key
companies wire
and it was a joint venture that sprint
had invested in and I was the managing
partner from the sprint side and 2001 I
could tell you it was a tough time to be
starting a company especially you know
you’re just getting off the ground but
they kept working on it and with that
money that they had raised believe it or
not in 2001 Alibaba was profitable a
really incredible stuff now to make an
e-commerce solution in China a little
bit different than making it other
places of the world a giving example in
China not very many people had credit
cards in or did they have access to them
so Alibaba created a lipe which was kind
of like eBay for Kara like PayPal for
China and they built this the system so
that people could buy and sell things on
the internet because in China trust in a
retail transaction was very important
and people did not trust sending their
money in waiting for something to be
shipped to them so they liked the fact
that thanks to a leap a that the money
didn’t leave them until they actually
received what they ordered so it brought
trust and it enabled people to conduct
the e-commerce so there’s a cultural
element as well as the fact that this
infrastructure just didn’t exist he had
to build it well there you have it first
great innovation so a leap a was a
success in the Chinese market but along
comes a threat eBay acquires each net in
2003 and each net had 80 percent of
China’s small consumer commerce market
so small transactions small purchases
and this was a threat because this is
what they were out to do
as a sidenote regime Dutta was the on
Jem dad’s board company I was with at
the time and he was the CFO of eBay and
they were very aggressive and they were
looking very strongly to China and he
was a really smart guy unfortunately
cancer got him way too early in 2011 and
so I’m everyone that knew him misses him
that he was really sharp and they were
thinking broadly on a global market but
they ran into a buzzsaw in Jack Ma
because jazz MA was
really focused and armed with investment
and success he wasn’t going to back down
so he they launched Taobao which was
basically the eBay of China and he said
listen this is my market we’re going to
own this and Taobao it’s going to be
free for three years so he’s promising
that if you sold your you know whatever
it is you were selling on Taobao for
three years should be no fees paid to
him three years and that was a strong
guerilla move he also had some of his
Alibaba employees pummeling the message
boards in the internet bulletin boards
remember bulletin boards back in the day
had them pummeling them a positive
message about hey if you’re if you’re in
China you should be on Taobao not eBay
you should be on Taobao and absolutely
drove the awareness there’s a real
guerrilla marketing technique and if
you’ve read things like sunsoo the art
of war that’s a great book to read if
you’re an entrepreneur by the way many
people talk about that but there’s
another book in there – it’s called
guerrilla marketing by Jay Conrad
Levinson also a legendary book and
guerrilla marketing and that bulletin
board trick by Jack Ma was a guerrilla
trick and it worked
you had eBay you know coming up and
boldly saying they weren’t backing down
and the CEO Meg Whitman in 2004 with
Taobao moving up is saying nut nah you
know China is going to be our biggest
market in 10 to 15 years biggest market
ever well shortly thereafter 2005 you
know Alibaba announces that Yahoo China
had basically given up and Alibaba was
going to operate Yahoo China and Yahoo
was investing 1 billion dollars for 40%
of Alibaba huge so now he’s now he’s
really armed he’s got the Yahoo China
he’s armed with this extra capital a
billion dollars of it the relationship
with Yahoo was a little rocky Yahoo’s
looking for short-term you know results
and Jack Ma was focusing on the long
term
on the market and so I think that’s the
right thing for him to do focus on a
long-term play because yeah so in those
days was also scrambling they had they
were coming to a point where they were
really trying to figure out what they
were going to be and you know I think
Jack Ma really saw that saw the
opportunity so there’s a happy ending
that as for Yahoo a few years later you
know Alibaba
bought back half of the shares in
Alibaba that Yahoo owned they bought
them back for 7.1 billion dollars so
Yahoo bought something for a billion got
7.1 billion back and they still owned
half of what they had bought in the
first place that was huge you know if it
wasn’t for that kind of success that
they had the tally Baba
you know Yahoo would have died a long
time ago and as I mentioned previously
Yahoo was sold in the equivalent of a
garage sale here in 2017 to Verizon
Wireless for the lows of 4.8 billion or
something but that was it back at the
story so we have this big Yahoo
arrangement that happens in 2005 and in
2006 eBay gives up eBay basically turned
over its operation to a small local
partner and Alibaba had one they had
dominated in China and they had
literally chased eBay out of China with
a leap a and Taobao and the rest is
history in terms of the way they they
kept growing you know it was interesting
it bears in mind talking about the
culture of Alibaba and how they how they
grew they had this legendary you know
light heartedness about it which was
unusual because most people that work
for businesses in China they were very
stoic and very rigid and Jack Ma tried
to make it a lot of fun as a matter of
fact they used to have this annual
talent show where the executives would
dress up and do things that were
humorous and Jack Ma himself used to put
on makeup and wigs and sing pop songs
which people thought was really amazing
because you know most leader
in that culture we’re very dignified and
very proper and here’s Jack Ma just cut
and loose with his employees as a matter
of fact this led to something that was
called the alley fest where they would
actually do this talent show in a
stadium because there’s so many
employees to join the company they
needed to do it that way and you know
what that reminds me of a guy like
Richard Branson Richard Branson is
fearless and unafraid to do things for
his brand and for his people and if you
go out in Google there’s some very funny
pictures of where Richard Branson
dressed up in a wig lipstick and a
flight attendants uniform and promoted
his airline and promoted the fact that
he was not too proud to serve drinks
dressed as a flight attendant and there
is Jack Ma doing the same thing you know
just showing you a very human fun side
of him and so you see a lot about his
leadership I mean how can you not if you
lived in China how could you not want to
join a company like that to have a much
different experience it’s almost like a
capitalist experience they’re rigid
experience where they celebrated the
individual succeeding and driving
forward above it all so a way they went
you know along the way it was probably
thinking wow they’re so successful did
they go on the stock market at some
point we are they did from 2007 to 2011
they were actually on the Hong Kong
Stock Exchange and Jack Ma wanted to do
some structural things in 2011 wanted to
issue a couple different classes of
stock that would enable him to name
people to the board and have a little
bit more control as a leader but the
Hong Kong stock exchange said no we
don’t do that here and so he said really
well then I’ll delist and he delisted
from the Hong Kong stock exchange
you know it’s interesting to point out
he’s not the only leader that thought
about that
Zuckerberg over at Facebook he has such
different classes of stock and he
controls the voting and controls the
board in the future of Facebook so in
the US stock market you’re free to do
that in a capitalist system do what you
wish and so delisting
2011 from Hong Kong Jack Ma started
plans to go public on the greatest stock
exchange in the world the United States
and a way he went and when he ran that
IPO out that IPO at 25 billion dollars
in 2014
actually started out as 20 1.8 billion
dollars but it was so oversubscribed and
overheated as people came in it swelled
to a 25 billion dollar IPO making it the
largest IPO in history 25 billion dollar
IPO the biggest in history there’s only
one word for that bad you go from being
a guy who three times had to try to get
into college in China and a teacher
loving life with enthusiasm all the way
to being a CEO 14 years later of the
biggest IPO in history and I think that
when you look at the ramp of what they
did as they became the PayPal and the
eBay in China it’s amazing I’ll share
some final stats with you which I think
you’ll probably find absolutely stunning
I find them stunning today Ali pay
accounts for half of the online payments
in China
Wow that’s pretty that’s very impressive
and it accounts for a part of excuse me
tell Bao accounts for 75% of the online
transactions sales in China and China
has a vent over there it’s called
singles day it’s like a big day for
shopping kind of like maybe Black Friday
in the United States and they set a
record for singles day in 2015 the one
day sales one day fourteen point three
two billion dollars in online sales in
one day that’s just amazing and that
just shows you what that just the power
and the momentum that Alibaba
generated so thank you for making the
suggestion I very much enjoyed taking
you through the growth and the origin of
Ali
Taobao and Alipay and the dynamic leader
that came with it Jack Ma well I promise
you will come back into another case
study diving into the intricacies with
what did they do with all that money and
what did they do from there but right
now we celebrate an entrepreneur and we
look back on those two points anyone can
be an entrepreneur just solve a basic
problem here’s a guy who fails in a
business trying to solve a problem why
can’t I search and find Chinese beer on
the internet failed with that company
but came right back and built a behemoth
and the second point when competition
comes be fearless eBay was Lord God king
of online auctions and they took him out
and chased him out of China what a
wonderful story what a fantastic role
model for all of us not a ha not a
Harvard dropout not a Harvard grad but a
guy like you and me that went out to
solve a problem and went from zero to
history well we need the pillow the
pillow the pillow thank you Paul
well thank you very much for watching
please subscribe to value tainment the
best channel on the internet for content
for entrepreneurs and until next time
I’m Tom Merritt and I hope I left you
better than I found you
Please follow and like us: