Lazada’s success is premeditated

There is a huge reason behind Lazada PH ‘s unmitigated success and that kind of success was premeditated and did not just happen by accident. The reason behind it is of course the unwavering support of a great internet company called Rocket-Internet. Take a peek at the most prestigious, fastest and largest internet venture builder in the world. But first, what is Rocket-Internet? What are they doing and why the support that they provide start-up companies is of paramount importance to profitability, success, sustainability and overall stability of a company. To start off,   Rocket-Internet is an online venture builder, business incubator. They build companies and they are good at it. They are particularly focused on building online companies and e-commerce companies. You probably already have gotten the hint when I dropped off the term incubator, which of course is defined as something or an entity that facilitates incubation. Applying that term to Rocket-Internet, it simply means that Rocket-Internet incubates companies until they become ripe or are able to stand on their own. That is the most basic definition of Rocket-Internet’s business concept. Going into it deeper, a business incubator is a support setup intended to back the progress of a business venture by employing entrepreneurial support logistics and amenities that are created by the management of the incubator company and distributed in both inside the incubator and through its wide network. There are a plethora of business incubators based on the methods of delivery of service, the client segments that they provide their services to and organizational structure. 

Here is a very quick history of this famed online venture building company for reference. Rocket-Internet is an online venture builder that started in Berlin Germany. It was an idea from the Samwer brothers, and it actually started way back 1999 under a different name that was not disclosed. It did not start using the company name Rocket-Internet until the 2007. However, it has been creating and launching successful online ventures in as early as the year 2000. The company’s business concept is the cloning of highly successful online shopping and e-commerce websites. The websites where the ideas are usually coming from are mostly coming from the United States then they rebrand them and launch them in another country usually in countries where there are emerging markets. One prime example of the company’s early success is Citydeal. If you have heard of it and thinking why it has a very eerie similarity to Groupon well your suspicion is well-founded because Citydeal is one of the cloned e-commerce websites that rocket-internet replicated from the company Groupon.  The usual scenario that follows the success of a portfolio company that rocket-internet creates is merger and acquisition. During the early goings of the business, it has profited off the companies that it exited successfully and the profits that they made are no peanuts. They are real money and the fast and speedy execution is something that was never done before. Having this kind of backing in Lazada means that their success is not by accident but rather it was absolutely premeditated and carefully planned.