The Alibaba IPO
 
		
		
		
		
        
        
        
        
   
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        Introduction
    
        
        
	
		On Friday, September 19, 2014, the Alibaba Group Holding Limited (Alibaba), China’s largest e-commerce company, came up with largest ever Initial Public Offer (IPO) in human history and started trading on the New York Stock Exchange (NYSE). Alibaba raised US$25 billion though the IPO. This IPO surpassed the Agricultural Bank of China’s  IPO of 2010, which till then had been the largest and had raised  US$22.1 billion.  
  
        After Alibaba’s IPO, the top three  largest IPOs in the world belonged to mainland Chinese companies. In an interview to CNBC , Jack Ma (Ma), founder of Alibaba, said, “Today (on issue day) what we got is not money. What we got is the trust from the people.”   
        
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  The electronic commerce industry or e-commerce industry referred to either the industry which used the World Wide Web (WWW) for its full business cycle or for one part of it. There were various types of e-commerce business models. The most common were B2B (business-to-business), B2C (business-to-consumer), and C2C (consumer-to-consumer) e-commerce. The e-commerce industry was a relatively new industry, in 2014, when compared to other industries such as the automobile industry and steel.     
				
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