Marketing of Jindong

JD.com is Alibaba’s primary rival in the e-commerce field in China, as it is the biggest direct B2C online-selling retailer in regard to electronics and home-appliances. Although the business model of the two tycoons are distinct, compared with Alibaba’s service-based proposition, JD.com manages in the similar mode of Amazon.com, they become furious competitors in striving for the e-commerce market share and online-shoppers in China. Through its typical national logistics and warehouses, JD involves in retailing and shipping directly to customers. It has gone a step further by constructing a nationwide order-accomplishment network, including a last-mile delivery-service staffed by its own employees. Meanwhile, because of the direct supervise over its supply chain, it has established a good reputation with authentic merchandise, reliability and fast-shipping. However, Alibaba has long fought with counterfeit goods among national and international buyers and brand sellers due to its C2C business mode (Li, D. et L. 2008, p.60). Such contrary is worth noting because the two companies are competing to become the portal for international-brands searching to enter China’s retail

First, it was a new type of service in China at the time of its beginning. Since the infrastructure for developing commerce was not as developed as western countries, therefore, the succeed of Alibaba.com has proved e-commerce’s huge potential in China. It handles wholesale B2B trade which neither eBay or Amazon yet dominates online. It possesses a small business-to-small retail platform, 1688.com, which provides a competitive price and offers cloud computing similar to the Web Service as Amazon (WIRED, 2014). Second is considered a product innovation. The platform satisfies user needs in a most convenient way because it uses a SEO (search engine optimization), much like Google, to make sure that merchants can be easily find and categorize the products they are searching for. Furthermore, the information of supplier is given and it is even possible to negotiate between buyers and sellers. Thus, a powerful network effect can be generated.