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Abstract

Founded in 2012, Lazada Group (Lazada) within a short period of time grew to become one of the largest e-Commerce participants in the Southeast Asia (SEA) region spanning across six countries - Indonesia, Malaysia, the Philippines, Singapore, Thailand, and Vietnam. Lazada connected the vast and diverse SEA region through its core pillars such as technology, logistics and payments capabilities. Since 2016, Lazada became part of the Chinese e-Commerce giant, Alibaba Group (Alibaba) and a regional flagship company. However, by 2020, Shopee an offshoot of gaming company Garena (later known as Sea Limited), which accounted for 57% of the entire SEA e-Commerce market's transaction volume, began to gain space as a leading e-Commerce platform. Lazada was also witnessing conflicts and differences within the business. Meanwhile, Alibaba, Lazada's parent company with an aim to target parts of Europe and South America formed international digital commerce unit (e-Commerce site) that included Lazada and AliExpress. Alibaba expected Lazada to serve more than 300 million users and achieve a USD100 billion gross merchandise value (GMV) by 2030, besides revive its global fortunes despite tough economic conditions and torrid competition back home as well as in target market.

Teaching and learning

This item is suitable for undergraduate, postgraduate and executive education courses.

Time period

The events covered by this case took place in 2022.

Geographical setting

Region:
Asia

Featured company

Lazada
Type:
Privately held
Industry:
e-Commerce

Featured protagonist

  • James Dong (male), CEO

About

Abstract

Founded in 2012, Lazada Group (Lazada) within a short period of time grew to become one of the largest e-Commerce participants in the Southeast Asia (SEA) region spanning across six countries - Indonesia, Malaysia, the Philippines, Singapore, Thailand, and Vietnam. Lazada connected the vast and diverse SEA region through its core pillars such as technology, logistics and payments capabilities. Since 2016, Lazada became part of the Chinese e-Commerce giant, Alibaba Group (Alibaba) and a regional flagship company. However, by 2020, Shopee an offshoot of gaming company Garena (later known as Sea Limited), which accounted for 57% of the entire SEA e-Commerce market's transaction volume, began to gain space as a leading e-Commerce platform. Lazada was also witnessing conflicts and differences within the business. Meanwhile, Alibaba, Lazada's parent company with an aim to target parts of Europe and South America formed international digital commerce unit (e-Commerce site) that included Lazada and AliExpress. Alibaba expected Lazada to serve more than 300 million users and achieve a USD100 billion gross merchandise value (GMV) by 2030, besides revive its global fortunes despite tough economic conditions and torrid competition back home as well as in target market.

Teaching and learning

This item is suitable for undergraduate, postgraduate and executive education courses.

Settings

Time period

The events covered by this case took place in 2022.

Geographical setting

Region:
Asia

Featured company

Lazada
Type:
Privately held
Industry:
e-Commerce

Featured protagonist

  • James Dong (male), CEO

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