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In what
ways is he a revolutionary?
Jack Ma was different from other company because he challenges the status-quo in
China. He can be said as a good entrepreneur and strong man due to he successfully faced all
risk. After the discussion with group members, we found that Jack Ma has used some
Besides, Jack Ma is different from other company leaders because he has used
Scientific Management Theory by Taylor. W.F. There are three elements of sciencetific
management, the study of work using scientific methods and time measurements to increase
productivity, the standardization equipment for workmen and the improvement of working
personnel departmen. Jack Ma is able to developed he’s own revolutionary that means act
with conventional wisdom and longstanding by their own creativity to manage the company
although there are major cultural, technical and economic changes in this era globalization.
Jack Ma also has fulfilled one of the principle of this theory is he has scientifically teach,
train and develop his workers. For example, Jack Ma told his workers need to put more time
than others and out-innovate competitor to reach the maximum level of proficiency while
other companies employees might prefer work as normally office hours from 9am to5 pm on
working place. This is an efficient for the entrepreneurs to do the innovation that enable the
company can compete with others. A systematic study about the relationships among people
and tasks is needed during redesigning the work process for the efficiency purpose.
Besides that, based on our group members’ opinion, Jack Ma also uses Administrative
of authority is one of the important elements in this theory and Jack Ma has the
said like that because Alibaba company was controlled the Chinese e-commerce market by
controlling the platform of the Tmall. He also manages the online setting and indexing of
Taobao retail website. It has showed the power on how to hold accountable for their actions
company revolutionary. This theory has implemented well by Jack Ma because he able to
motivate his employees and encourage them to commit at high level. According to Anthea
Yan Zhang, professor from Jones Graduate School of Business at Rice University in Houston
said that Jack Ma is the spiritual leader for his staffs and always with lots of energy and ideas.
Ma’s company get the critic during his leading but he is not shirk but face immediately. So,
the decision that he has took is open New York Stock Exchange (Baram, 2014)(NYSE)
through the aggressive competition after getting despise from others. An excellent leader
Lastly, we also think that Jack Ma uses the Fayol’s Principles of Management
(Fayol,H.). There are 14 principle in this theory and Jack Ma able to fulfill it. It is because he
always be honest and direct to challenge the old standards which that ability to act on one’s
own without the direction from a superior when conducting the company. Also, sometime we
think that Jack Ma has showed autocratic practices in certain incidents during the
Alibaba company by making the all major decision. What has Jack Ma said will be an order?
For example, Jack Ma announced in February there is no any person in Alibaba company will
get the Spring Festival bonus and a hiring freeze was implemented with the motive to
wisdom can be defined as the opinion that more people will consider to be usual, normal and
right, and it might sometime showed to be wrong. The public are generally can accept certain
ideas, opinions or understanding common sense that also can be consider as conventional
wisdom.
increase of quality output able be produced. Alibaba company gave the best example of
challenging the conventional wisdom. First, Jack Ma has challenged the status quo in China
and the innovation and successful was achieved by him. For example, Jack Ma priority the
major owner and customers and the third are shareholders that shows obviously difference
with other companies or organizations. It’s hard to imagine the company founder put limited
investors above those who started the enterprise and putting customers first might not be the
best thing a company can do for its shareholders. Despite of challenging the status quo need
taking the high risk, but still need to do because without trying we will never know the
outcome will be. So, the careful planning and the solutions need to be considered clearly in
Conventional wisdom sometime might be good because enable people to satisfy with
the status quo but sometime it should be challenge because it might stopped people from
being creative and inovative. For example, Jack Ma is able to become Alibaba company
reach a new level of success. That can be seen when his company initial public offering price
$68 and initial value of $167 billion, which grow to over $ 200 billion in less than two weeks,
exceeding that even Facebook . Despite his management style is controversial. On the other
hand, wisdom can be developed by ourselves in nature but we might need to not agree or
follow with certain conventional wisdom due to our personal thinking and behavior. For
example, Jack Ma showed unexpected action by open the New York Stock Exchange (NYSE)
after failure to reach the deal with Hong Kong exchange and this drew gasps of surprise. This
showed that the conventional wisdom not necessarily definitely correct and we need to take
Apart from this, conventional wisdom needs to be challenge for the benefits of public.
Nowadays, many companies caught in the scandals, bankruptcy and taxpayer-funded bailouts
management and the governance status quo policy. The main motive of challenging the
company. The trustworthy from public is an important key to the success of a company.
3. Why did so many people criticize Ma and Alibaba?
Jack Ma and Ali Baba have the onslaught of criticism from competitors, analysis and
academics Alibaba’s founder, Jack Ma who defied conventional wisdom and longstanding
corporate governance practice to clear a new path for creative, innovative entrepreneurs .
People criticize Jack Ma and Alibaba because he remarked that the shareholders are his third
concern after partners and customers. Many people said that customers are tertiary status and
should not be on the top of an organization. It is because customers will have public relation
Other than that, based on the report from a Chinese regulatory agency said that most
of the goods sold on Alibaba’s website are counterfeit. Pirate problem also an issue to be
critised. Alibaba company claimed that all the goods sold on their website like handbags,
shoes and other goods are all made by the company itself. But after the report had been carry
out by customers claimed that Alibaba company had cheated them. They criticized that Jack
Jack Ma and Alibaba got another critic when China’s State Administration of Industry
and Commerce (SAIC) said that the Alibaba company has not done enough to stop the
Internet for the sales of illegal goods by it was denies by Jack Ma. According to SAIC, there
are some employees of Alibaba company accept bribes that permitted merchants to sell goods
such as illegal wine, handbag and others without getting the required license. Many of the
samples that showed in the Taobao retail website has not licensed products through the
investigation.
Besides, Alibaba company had offered stock shares to the public on the New York
Stock Exchange (NYSE) . There is added by the critism from American analyst as they said
that it is do not fair for another company when Alibaba shares be on the NYSE as it is a
Chinese-based company. In addition , people said that Alibaba company do not deserve to be
in the NYSE as before this they sold goods that do not belong to them .
The other reason is Alibaba’s website, Taobao which had violated marketing rules
and had a poor consumer rating system. So, the westerns accused the Alibaba company for
stealing intellectual property and selling illegal product to their customers. This is unfair and
will give an impact to the company that produce the product because the buyer can get the
In addition, Jack Ma and Alibaba have been criticized by saying that he is challenging
the corporate governance status quo .It is said like that because lots of models of corporate
governance failed to uphold the trust that society or even their investors put in them . The
scandals, bankruptcies, and taxpayer-funded bailouts of recent years have only brought into
public view a system of corporate governance that has been long characterized by secrecy ,
Jack Ma and Alibaba company hold on the principles building trust with customer ,
partners and shareholders . This makes people criticize Alibaba Company as the governance
age-old paradigm does not apply this principle in their companies on doing business. Ma does
Another critic come when people said Jack Ma only own about ten percent of the
shares. They said it could bring Ma and Alibaba company down the line, in other word
instable. People always look down on what Alibaba done and what they had achieved as they
felt the competition in doing business would become too great between Chinese-based
company. It is hard to get into American business and Jack Ma able to do it. SAIC report that
had been carried out created more critic on Jack Ma and Alibaba as they do not want another
its latest earnings in late January , the good news was that profits better than expectation but
the sales missed estimates. So, another critic of Alibaba is that like Amazon. People said that
Alibaba are a company for Amazon. This is because Alibaba has stakes in soccer team and
movie studio in addition to a mobile video game. The company is also looking to expand
beyond China and United States is definitely one of Jack Ma’s big target.
Alibaba company also had been accused by U.S. government and others for allowing
sales of counterfeit goods but Wednesday’s report was the first time Chinese government has
criticized a company that is leading star in an Internet industry communist leaders are eager
to develop. So, people criticized Alibaba when Alibaba.com and Taobao were named in the
“notorious markets” each year from 2008 to 2011 but noted that the marketplaces had been
lots of other business leaders likely to follow his example, and challenge the status quo?
Jack Ma’s sudden emergence “rocked the boat” in China and around the globe. Are
lots of other business leaders likely to follow his example, and challenge the status quo?
Jack Ma’s make the decision sudden emergence “rocked the boat” in China and
around the globe because he challenges the status quo. It would said like that because Jack
Ma put the customers and his employees as priority compared to the shareholders that show
his management style is different with other company. Nowadays, Jack Ma becomes one of
the richest and successful people in China despite there are many people critic and disagree
High returns require high risks. So, not as many company leaders as braver like Jack
Ma to take high risk in challenge the status quo. Based on our group member opinion, we
cannot deny by saying that Jack Ma is really success in his business but it too risky to put the
shareholders as the third important category after his customers and employees. While, as
commonly known normally a company or organization priority is to maximize the profit for
shareholders. So, his company might lead to public relations issue with outside world if they
After the discussion, we found that The CEO of the Yahoo! Inc., Bartz is the best
example of leader who does not satisfied with the management of Jack Ma. It is because the
previous CEO of Yahoo! Inc., Jerry Yang who held nearly 39% shares of the Alibaba but
only 25% voting right and it showed unfair. She also critics Jack Ma about he lost part of the
social capital from Yahoo! Inc. Bartz was not satisfied with Jack Ma’s job in Yahoo! Inc.
China. According to Bartz, she has claimed that Yahoo! Inc. may execute its majority
shareholder right in October 2010 and expressed her intention to join the board of directors of
Alibaba. This decision is giving the rise to corporate the conflict between Yahoo! Inc and
Jack Ma (Kong, 2014). So, by putting the shareholders as the third important people will
make the shareholders feel do not satisfy and the conflict between two parties may occur. It is
because shareholders have the mindset by thinking themselves are more important that
customers and employees because they are the person who invest to the company and should
While from the other side, many business leaders or entrepreneurs are started to
accept and believe nothing is impossible in the management field after seeing the success of
Jack Ma and his company. Jack Ma has become the role model for other companies and
motivate them to make the innovation by likely to take risks and challenge the status quo
despite do not follow Jack Ma style in their management. Also, in this recent years people
who involve in the entrepreneurship have showed significant increased that includes
Malaysia. These kinds of new entrepreneurship are more likely to challenge the status quo
Through the Jack Ma and Alibaba case study, we have learnt that every business have
its own risky. Also, a good leader should not be afraid of the risky and problems. We learnt
from mistakes even Jack Ma also failed many times before getting success. According to Ma,
he failed twice in his study due to weak in Math because but he able to manage such big
company-Alibaba nowadays. Also, Ma rejected by three other institutions that were the
police force, Harvard University and Kentucky Fried Chicken (Leung, 2015). These are the
In short, most of the other business leaders do not fully agree and follow the
management style like Jack Ma did, but Jack Ma has become their motivation for them to
Mark Zuckerberg, the founder of Facebook is one of the best example which get the critic but
still uses his own management style in organization operation. According to Hisdustan Times,
the India’s Save The Internet coalition has criticized Mark project-Internet .org. The reason
is it might bring confusing to the whole emerging market users through this project by
thinking that internet and Facebook are one and the same. But Mark argued with his view by
saying that Internet .org is a free service basically and emphasis that all web services should
be accessible equally.
with Jack Ma. Both of them priority human skill in their company management that mean
they are able to work well with other partners and people both individually or in a group.It is
because both of them also the person who play important role in decision making process.
Otherwise, both of them often encourage employees to express their views and opinions that
is not same like some conservatism organization. For example, Mark Zuckerberg use an hour
to have a public question and answer meeting for his company on every Friday in his own
company management that can increase the motivation of his staffs. In short, the other
business leaders do not follow the management style like Jack Ma did, but Jack Ma has
become their motivation for them to take risk in the business and challenge the status quo.
Mark Zuckerberg, the founder of Facebook is one of the best example which get the
critic but still uses his own management style in organization operation. According to
Hisdustan Times, the India’s Save The Internet coalition has criticized Mark project-
Internet .org. The reason is it might bring confusing to the whole emerging market users
through this project by thinking that internet and Facebook are one and the same. But Mark
argued with his view by saying that Internet .org is a free service basically and emphasis that
Based on our discussion, sometime Mark Zuckerberg’s management way is same with
Jack Ma. Both of them priority human skill in their company management that mean they are
able to work well with other partners and people both individually or in a group.It is because
both of them also the person who play important role in decision making process. Otherwise,
both of them often encourage employees to express their views and opinions that is not same
like some conservatism organization. For example, Mark Zuckerberg use an hour to have a
public question and answer meeting for his company on every Friday in his own company
However , that still something that business leader acceptable and likely to follow
from Jack Ma’s and Alibaba’s IPO. According to Jack Ma , a business leader should Be
innovative ,Build in trust and passion ,Cut revenues today to have benefits in the long run,
Keep trying and trying, Never stop learning, Empower your employees, Challenge yourself
and your team . This 7 things are likely to follow from Jack Ma’s and Alibaba’s IPO from
time to time .