Alibaba, the largest Chinese online retailer, confirmed its desire to squeeze Amazon’s online giant Amazon out of the American online market, announcing the creation of a new electronic platform called 11 Main in the United States. The new site, whose launch is scheduled for the near future, will do the same thing that eBay and Amazon are doing now - selling goods online.
According to an independent information resource Re / Code, which proved to be a reliable supplier of relevant information, the two companies within the Alibaba Group are expanding their online business in America. The launch of the new site signals the readiness of the Chinese Internet giant to stir up the US online retail market.
11 Main is the result of the joint work of two start-up companies Auctiva and Vendio, which Alibaba acquired in 2010. It is worth noting that last month the Chinese giant also invested $ 15 million in the American online store 1stdibs, specializing in the sale of luxury vintage items. And last year, Alibaba invested 200 million in Shoprunner, another US trading company.
One of the main secrets of Alibaba’s success is that it blocks access to its two megacopular sites in China, Taobao and Tmall, via the local search engine Baidu, which also does not display products from Amazon and Ebay in search results. What is the benefit of this approach? As a result, Chinese users have no choice but to begin the search for goods with Taobao and Tmall. Alibaba in turn earns on advertising inside them. Thus, the company's activities are more similar to the activities of Google, rather than the work of classic online retailers such as eBay or Amazon.
In addition, Alibaba does not charge buyers and sellers for using Taobao services, as Amazon does, for example. Therefore, it will be interesting to see how Amazon responds to the appearance in its homeland of a young rival with a good rear.
If the new site gains popularity, it will also mean success for the American search engine Yahoo !, which owns about 40 percent of the shares of Alibaba Group.
Now 11 Main looks like this:
The article is based on materials .
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