Promoting without Hurting Supply Chain Performance: A Case Study of 11.11 Shopping Day in China
Lifang Wu and Haihao Jin
Xavier University, USA
Volume 8: 2014, pp. 5-30; ABSTRACT
Alibaba, the e-commerce giant in China, launched the annual 11/11 shopping day with deep discounts to energize the otherwise slow selling season in November 2009. It had ever since gained fanatic popularity in China. Alibaba logged $5.78 billion of online transactions on a single day of 11/11/2013 which represented 700 times growth over 2009. This case presents the 11/11 shopping day story as well as the developments of the e-commerce industry in China, highlighting the marketing success and operational inefficiencies associated with the huge promotion event.