The different theories of entrepreneurship give different explanations on how various business strategies can result in positive performances (Kuratko 11). For instance, the economic approach to entrepreneurship innovation focuses on the development of comprehensive supply chain processes and the demand side in the creation of value. Jack Ma’s strategies on market expansion were perfected base on this theory of entrepreneurship. In particular, Alibaba’s focus on the Chinese market provided a unique background for the implementation of exceptional supply chain networks. With a population of over 1 billion, the company established valuable experiences on businesses’ successes and derived motivation from the expanded markets. Jack Ma was able to model his business to represent the needs and desires of the expansive population.
Based on the entrepreneurship theory of motivation, Jack Ma has been successful in initiating successful technological inventions. He seized numerous opportunities by capitalizing on various forms of innovation developed by other individuals. The company focused on the substantial growth potentials in the Internet-based market. According to Jack Ma, consumer-driven changes could help the company to increase its market conditions. For instance, Alibaba developed the e-book platform to replace physical bookshops. Such developments increased the company’s presence in the Chinese and global markets.
Correspondingly, entrepreneurship theory focuses on the identification of consumer needs and the invention of essential strategies to incorporate the changing preferences in consumption patterns (Welter et al. 315). From this perspective, Jack Ma’s Alibaba Company continues to provide unique and creative solutions to different issues. The company’s inherent ability to implement various innovative practices has helped in the creation of loyal consumer bases. By seizing on the perceived advantages associated with internet-based businesses, Jack Ma is creating enhanced flexibility in the company’s business operations. The increase in market efficiency implies improved levels of satisfaction among the consumers and profitability. Additionally, Alibaba’s improved global market performances are creating massive advancement of growth opportunities.
Critical analysis of Jack Ma’s entrepreneurship skills reveals his innate ability to adapt and incorporate Alibaba’s business models into Chinese culture. For instance, the innovation and introduction of the Alipay model emanated from the Chinese culture of trust. Such aspects illustrate why Jack Ma has been hugely successful in the Chinese markets. Based on the theory of entrepreneurship, establishing trust and loyalty are vital components in the company’s expansive market operations. Moreover, based on the method, Jack Ma invested in unique customer services and experiences. Alibaba’s market reputation largely depends on the impressive quality of interaction with the company’s clients. The development and introduction of Taobao (real-time chat function) enhanced the company’s strategy of negotiated trading. Additionally, Jack emphasized the significance of developing positive and personal relationships with Alibaba’s suppliers and consumers further reflecting on the Chinese culture of goodwill.
Based on resource and opportunity-based theories of innovation, Jack Ma sourced most of its products and services from the local suppliers. In the process, the company created more job opportunities for the local populations. The stipulated style of entrepreneurship marketed Alibaba as a company with a keen interest in facilitating the promotion of the overall welfare of the local communities. Moreover, Jack hoped to attract all consumers from different socio-economic classes. As an entrepreneur, Jack Ma continues to depict caution and vision in his varied business operations (Zhao and Alan 15). However, most of the company’s strategies illustrate successful aspects of Jack Ma’s entrepreneurship acumen.
Kuratko, Donald F. Entrepreneurship: Theory, process, and practice. Cengage Learning, 2016.
Welter, Friederike, et al. “Everyday entrepreneurship—a call for entrepreneurship research to embrace entrepreneurial diversity.” (2017): 311-321.
Zhao, Fang, and Alan Collier. “Digital entrepreneurship: Research and practice.” 9th Annual conference of the EuroMed academy of business. 2016.