Research On The Value Creation Effect Of Alibaba Health Internet Medical Business Model

At present,China’s economic development is setting off a technological and industrial revolution with digital technology as the core driving force,and the fourth industrial revolution with the rapid development of digital economy as the main content,which has become a key point for China’s economy to overtake other countries in the world.In this context,digital technology continues to empower traditional industries,new models,new industries and new formats of digitalization are blooming,and the medical industry is also innovating business models with digital technology,giving birth to "Internet medicine",which aims to solve the pain points of the traditional model.The emergence of Internet medical treatment has a positive impact on the public,but also aroused the attention of the practical and theoretical circles.As the first to enter the Internet medical industry,Ali Health,with the advantage of Alibaba Group in digital technology,has created a value-based Internet medical business model,with a unique business model ranked at the top of the industry.However,as an emerging industry,the business model innovation of the Internet medical industry has attracted little attention from the outside world,and there are still few in-depth discussions and researches in the practical and theoretical circles.Therefore,this thesis takes Ali Health as the case study object,analyzes the value creation path and value creation effect of its Internet medical business model from the financial perspective,and supplements the research field of business model and value creation of Internet medical industry.First of all,this thesis defines the resource-based theory and value co-creation theory,which lays a solid theoretical foundation for the study of the whole thesis.Secondly,it introduces the pain points of the traditional medical industry,highlights the development of the Internet medical industry,and then describes the current situation of ali Health’s business model,and further compares it with yifeng Pharmacy,the leading enterprise in the traditional medicine retail industry,analyzes the advantages and disadvantages of its Internet medical business model.Thirdly,based on the financial perspective,this thesis analyzes the value creation path and value creation effect of its Internet medical business model by following the value creation logical framework of "business model → corporate strategy→ investment activities → financial results" and "resource allocation → profit-driven →value creation".It is found that the value diversion plate of the business model drives the resource allocation of the enterprise and makes the book value of its assets present the characteristic of "light financial resources".The income increasing segment affects the profitability drive of the enterprise,forming its profit characteristics of "high gross margin and low net margin".Driven by resource allocation and profits,the book value and corporate performance of the enterprise are promoted.However,ali Health’s business model is also found to have problems such as immature drainage plate and insufficient stability and growth of income increasing plate.Finally,the thesis reviews the process of deconstructing its business model from the perspective of finance,and concludes that in the design of its business model,the revenue increasing part drives the resource allocation of the enterprise,and the value drainage part affects the profit drive of the enterprise,and the resource allocation and profit drive work together to create value.At the same time,it verifies the mechanism that business affects enterprise’s financial result and financial result adversely affects business in business model construction.On this basis,it also reveals that other enterprises in the Internet medical industry must implement the development path of user value,pay attention to the construction of corporate image and value diversion in the process of building business models.At the same time,the government should adhere to the leading position to ensure the sustainable development of the Internet medical industry.