Alibaba business model is a complex one as they are a mammoth company that keeps growing. This article provides a breakdown of all the core components that makes up the Alibaba business model.
Alibaba has 4 main business segments: core commerce, cloud computing, digital media & entertainment and lastly innovative initiatives.
1. Alibaba Core Commerce (China)
1.1 China Retail
86% of Alibaba’s revenue comes from core commerce. Within core commerce, you can look at it from 2 angles. China vs International, and Retail vs Wholesale.
In China, the two most well-known brands are Taobao and Tmall. Taobao is the largest e-commerce website for people to go online shopping. Tmall is also an online shopping platform, except its sellers are official brands and retailers. Broadly speaking, the key difference between Taobao and Tmall is the former is C2C while the latter is B2C.
Freshippo (known as “Hema” in Chinese) is a grocery retail chain...