Since we can buy online, it is much more convenient to compare products, give a button and wait for it to reach the door of your house. This custom is here to stay, because the largest e-commerce stores in the world generate millions with electronic sales. Which one will be better?

Now, who are the great exponents of e-commerce? Very easy, Alibaba and Amazon. Now, you love companies fight to provide better services or to generate more profits and obtain the iron throne in online sales. For now, Alibaba is winning this battle since in 2016 it earned 20 more than its competitor Amazon, according to the business school IMF.

The differences between them are very evident, starting with their origin, Amazon, from the United States and Alibaba, from China. Also its way of selling is very different, since Alibaba focuses on being a virtual showcase for virtual stores and Amazon gives priority to who develops the products it sells, even if it has several stores affiliated with its service.

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Next, we will look more thoroughly at the advantages and disadvantages of each of these e-commerce companies.

Alibaba Group

Alibaba is a wholesale online sales platform from China, but it has spread to more than 200 countries in the world and has more than 4 million suppliers. In this space, commerce companies connect with this platform to make purchases and sales at an international level. However, it has its retail sales platform called AliExpress.

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Advantage

-It has a search engine that compares prices and features of the products you need

-Shipping costs are lower than other electronic stores, including Amazon

-The store has a score that evaluates the management of the store with its customers, the better the seller’s attention, the better the score and the more visibility in the SEO.

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Disadvantages

-The delivery time can be very long, since the supplier can come from anywhere in the world, which means that they have to travel long distances.

-Lack of an automatic load of products from the catalog, that is, if a showcase product has already been sold, the supplier has to announce the non-existence of this manually, this can take a long time or generate more responsibilities among the business staff.

-It has a too demanding market, to be able to position itself in this platform the requests of the clients must be made in less than 24 h and the questions of the clients in less than one hour, this causes that many people work until the weekends to be able to position themselves on Alibaba.

Amazon

Amazon is the first electronic commerce company in the world, its headquarters are located in Seattle. His model has been replicated by several businesses that decided to join the e-commerce and make it compete. Since its creation it has expanded, generating independent websites for more than 10 countries in the world, adapting to its local currency and offering products from those countries.

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Advantage

-It is very easy to sell and buy products, it is very easy to create an account to start using the platform.

-It is a brand that transmits a lot of confidence, due to its popularity, that generates confidence to conduct business safely.

-It has a good implementation of recommendations to the consumer, that is, it analyzes the previous purchases to send the client new recommendations on products that you may like.

-Shipments are much faster, in addition, users can pay Amazon Prime which is a service that ensures fast shipping to your business.

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Disadvantages

-The shipping costs are very high, also the commissions that Amazon takes can represent a loss of at least 20% of the product to use platform.

-Competition can be an inconvenience, especially since Amazon is also a seller, so your products will always have priority in the platform.

-Amazon is not the best channel to generate visibility and loyalty to your brand, first because as stated above, Amazon gives priority to their products, second, if your brand is not very popular, it is very difficult for customers to remember your brand.

Conclusion

Although Amazon is the e-commerce with more time in the market, the high costs and the priority to its products do not play in its favor, this generates that several clients or businessmen decide to use Alibaba as a platform to sell their products. According to the Economist portal, the shipping time is not a problem for several suppliers because more preference is noted for this platform.

What is certain is that these companies have a large amount of profits, some of the largest in the world and also, his name is respected in the stock brokers, have a company like this is an admirable fact.

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