On the surface, it seems like Alibaba is handily winning the Chinese e-commerce game. Alibaba’s platforms generate more than 3x the GMV JD does (1T$ vs 300B$ USD), their gross margins are almost 30% higher (44% vs 15%) and the traditional network effects of online marketplaces point to Alibaba being the runaway winner in this game.
JD and Alibaba: David and Goliath Can Both Win
JD and Alibaba: David and Goliath Can Both…
JD and Alibaba: David and Goliath Can Both Win
On the surface, it seems like Alibaba is handily winning the Chinese e-commerce game. Alibaba’s platforms generate more than 3x the GMV JD does (1T$ vs 300B$ USD), their gross margins are almost 30% higher (44% vs 15%) and the traditional network effects of online marketplaces point to Alibaba being the runaway winner in this game.