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Alibaba to launch in USA and rival Amazon

by HypnoHugh
9 replies
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Came across this interesting article.

Maybe bad competition for Amazon but a great opportunity for sellers and marketers:

This Is Amazon.com's D-Day And The Alibaba Troops Are Disembarking - Amazon.com, Inc. (NASDAQ:AMZN) | Seeking Alpha

What do you think?
#alibaba #amazon #launch #rival #usa
  • Profile picture of the author Mofoa
    Originally Posted by HypnoHugh View Post

    Came across this interesting article.

    Maybe bad competition for Amazon but a great opportunity for sellers and marketers:

    This Is Amazon.com's D-Day And The Alibaba Troops Are Disembarking - Amazon.com, Inc. (NASDAQ:AMZN) | Seeking Alpha

    What do you think?
    Competition is ALWAYS good. For both sellers and buyers. It tells the seller there is a market for this or for that. The buyer benefits as a result of this competition. As for those who make a 'living' from Amazon as a retailer...best to play both sides.
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  • Profile picture of the author Silas Hart
    It's pretty serious stuff. While the talk is about Alibaba vs Amazon, its' really going to be TaoBao (US) vs eBay - and I don't see eBay holding up well in the long term, because if Alibaba runs its' U.S. sales platform then they will likely follow the same business model as they do in China - which is no fees, more customization, and a better more direct c2c and b2c experience.
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  • Profile picture of the author TLondon
    Bezos likes to be in control, and as history tells us, he would always buy out the bigger competition (Zappos, Diapers). He hasn't had anything too big in a while, but this is about to change. In this case, Alibaba Group can possibly buy out Amazon, which would be hilarious, but of course Jeff will fight until the very last drop of blood. Alibaba is also profitable *now* whereas Amazon still isn't, and the investors - usually stoked to give Amazon all the money they need - might start looking a little to the side, towards Alibaba's stock.

    This is why he's building a new payment system right now to rival PayPal, it's one of the ways to lure all the customers in before it's too late and the Chinese disembark on his shores.

    This is big. This is going to change things in eCommerce. Maybe not instantly, but it will keep Bezos on his toes.
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  • Profile picture of the author malia
    Alibaba won't be able to edge out Amazon until they take buyer protection seriously. Amazon has massive amounts of consumer trust and while bargain shoppers can be swayed by price, the more affluent shoppers are more concerned with the overall customer experience.
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    • Profile picture of the author TLondon
      Originally Posted by malia View Post

      Alibaba won't be able to edge out Amazon until they take buyer protection seriously. Amazon has massive amounts of consumer trust and while bargain shoppers can be swayed by price, the more affluent shoppers are more concerned with the overall customer experience.
      Alibaba already sells more than Amazon and eBay combined. With the shops in the US, the income will just rise. I think Alibaba Group already went public and started offerings; there's plenty of investors who will sink in big money into that thing. It's going to grow, man. This is a change, and a massive headache for Jeff.
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  • Profile picture of the author Dukulal
    Any stuff I have ordered from alibaba or aliexpress have sucked. There is no quality. Half the things I have ordered are DOA. It's a hassle to return goods to china, since it cost a lot on postage.
    Pictures and item description never matches.
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    • Profile picture of the author GforceSage
      Originally Posted by Dukulal View Post

      Any stuff I have ordered from alibaba or aliexpress have sucked. There is no quality. Half the things I have ordered are DOA. It's a hassle to return goods to china, since it cost a lot on postage.
      Pictures and item description never matches.

      You bring up good points and this why a base in America could be a positive for those who use them.
      If Alibaba chooses to set up in America, they now have to be held accountable under U.S. laws for commerce and fraud protection for business generated in the U.S.

      As of now, I hear people complaining about getting taken by a Chinese scammer or lax follow-through with an order. The parent company will have to be more of a problem solver if they set up here. Every situation is unique of course, but there will be times that problems are better addressed. For example, if there is an order problem and they are based in California, they are now under scrutiny from the Secretary of State and Commerce and regardless of TOS, they have more responsibility to make sure orders are fulfilled if they want to maintain their business license being in good standing. Nobody wants a call from the Attorney Generals office for being accused of fraud. In California, you can't hide behind a foreign entity if you choose to set up here. I have threatened to involve the Attorney General for consultation on matters before when I had a feeling of indifference coming from a deal and suddenly things got done. Of course, I speak in general terms as each transaction has it's own dynamics and nothing is a cure-all for import-export issues. You also hope that the policies for the U.S. are not "Over the top" and make doing business a hassle.
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  • Profile picture of the author TAZ87
    WOW!!! another field where the Chinese are taking over. Alot of market research from Alibaba is needed to do this right and appeal to the US market and the west as others already mentioned. Buyers protection is critical if they are to succeed. But if they do get it right...it will be like google (alibaba) exterminating yahoo. clash of the titans.
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    • Profile picture of the author m2coolgo
      This is big and can change the ecommerce world. this competition does mean better (and cheaper maybe) platform for sellers. These players would compete for sellers and sellers will benefit from the competition. It is hard to say what will be the outcome but surely something to keep an eye on.
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