Yahoo Entering China

Yahoo was found in January 1994 by Jerry Yang and David Filo, but was incorporated in March 1995. Yahoo Inc. is an American multinational internet corporation with its headquarters in California. “Yahoo Inc. is a leading global Internet communications, commerce and media company that offers a comprehensive branded network of services to more than 345 million individuals each month worldwide. As the first online navigational guide to the Web, www.yahoo.com is the leading guide in terms of traffic, advertising, household and business user reach. Yahoo! is the No. 1 Internet brand globally and reaches the largest audience worldwide.

The company also provides online business and enterprise services designed to enhance the productivity and Web presence of Yahoo!’s clients. These services include Corporate Yahoo!, a popular customized enterprise portal solution; audio and video streaming; store hosting and management; and Web site tools and services.” The word “Yahoo” comes from the words, “Yet Another Hierarchical Officious Oracle”. Yahoo is provided in more the 20 languages as for a now. Timeline entering China

Yahoo enters the Chinese internet market in the year 1998, three years after Yahoo was incorporated. Its main purposed when entering China was to provide the service of a search engine. It was not very easy, and they had many troubles during these periods, until the year 2005. In October 2005, Yahoo China was acquired by Alibaba, but still running under the name of Yahoo. Yahoo had many troubles entering the Chinese internet due to the fact that internet in China is strictly controlled by the government.

This meant that Yahoo has to restructure many uncensored things that it provided to the public. In November 2005, former CEO of Alibaba Ma Yun, stated that Yahoo China meant in China search engine. This are heavy words to say, because basically what he wanted the people to understand is that Yahoo China was basically going to be the only search engine used in China. Financials in regards of entering China

Yahoo paid U$1 billion to Alibaba for the purposed to be invested in the search engine business. Later on in the year 2012 after Yahoo Inc. was having financial problems, Alibaba acquired one half of stake, with a value of U$7.1 billion. This transaction had the result of the balance ownership structure the gives the chance to Alibaba to take Yahoo to another level of a public company in the future. For Yahoo is has been difficult to make a profit of its investment since Alibaba is not publicity traded, even though it is the largest e-commerce market in China.

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