Amazon vs Alibaba: The Fight to be the World's Largest Internet Retailer

  • ID: 1595526
  • Report
  • Region: Global
  • 50 pages
  • Euromonitor International
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In internet retailing, it is important to understand the top two internet retailers in the world. Thanks to visionary business models and complete commitment to customer needs, Amazon and Alibaba have come to dominate their domestic markets. Soon enough, their long-term global aspirations will pit them more directly against each other. This report compares the two in nine categories, such as technology and logistics, to determine how each company got here, and who will end up on top.

The Amazon vs Alibaba: The Fight to be the World’s Largest Internet Retailer global briefing offers an insight into the size and shape of the retailing industry, highlights emerging trends, their effects on retailing in markets around the world, on the development of channels and consumers’ shopping patterns. It identifies the leading companies and brands, offers strategic analysis of key factors influencing the market - be they the developments of new store types, the importance of non-store retailing, economic/lifestyle influences, private label or pricing issues. Forecasts illustrate how the market is set to change and criteria for success.

Product coverage: Non-Store Retailing, Store-based Retailing.

Data coverage: market sizes (historic and forecasts), company shares, brand shares and distribution data.

Why buy this report?
  • Get a detailed picture of the Retailing market;
  • Pinpoint growth sectors and identify factors driving change;
  • Understand the competitive environment, the market’s major players and leading brands;
  • Use five-year forecasts to assess how the market is predicted to develop.
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Amazon vs Alibaba: The Fight to be the World’s Largest Internet Retailer

March 2017
Introduction
Behind the Business Models that are Taking Over the Internet
Becoming a Transformational Retailer
Going Global
The Four Cs of Customer Centricity
Conclusion
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In internet retailing, it is important to understand the top two internet retailers in the world. Thanks to visionary business models and complete commitment to customer needs, Amazon and Alibaba have come to dominate their domestic markets. Soon enough, their long-term global aspirations will pit them more directly against each other. This report compares the two in nine categories, such as technology and logistics, to determine how each company got here, and who will end up on top.

Amazon edges it overall

A 5-year head start in internet technologies is massive, particularly when the head start occurs in one of the most developed nations in the world. Alibaba has had not only less time to work with, but has had a greater gap to close. Amazon’s speed and success since it began mean it is likely to hold onto its lead.

A big part of this lead is Amazon’s international presence, but Alibaba’s cross-border strategy is not without its strengths

Amazon makes the most of its 14 country-specific websites, using them to appeal to local shoppers and those in neighbouring countries. This web presence alongside strong logistical infrastructure has made it a truly global retailer. Alibaba may only appear to be focused on China but this belies Alibaba’s true global potential. If it can turn China into a global manufacturing and consumption hub for which it is the platform for the majority of digital imports and exports, it can hold significant global importance with much less investment.

Domestic markets remain a priority and inform expansion strategies

Determining the future of these companies requires deep knowledge of their home markets. Both develop new concepts primarily for their domestic customers. This informs how these ideas are introduced to the next country, and give Amazon strength in developed nations and Alibaba more strength in developing ones.

Amazon tends towards control, Alibaba tends towards partnerships

Amazon prefers to concentrate power in its own hands, trusting itself to manage its grand plan, a tactic that has worked well so far. Alibaba recognises the power of common alignment, choosing to partner with those in the retail ecosystem, a mode that cedes control for more amicable relationships and cost-savings.

Amazon tends towards risk, Alibaba towards safety

Along the same lines, Amazon also finds itself more willing to take risk, whether it be in expanding to new countries more often or by investing in expensive technology experiments. Alibaba is still willing to experiment, but generally prefers asset-light models and actually making a sizeable profit.
Note: Product cover images may vary from those shown
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