How Alibaba Could Disrupt Amazon In The U.S.

It has to woo overlooked small retailers in the same way a disruptive technology needs to cater to developers.

Chinese e-commerce giant Alibaba has gotten lots of attention thanks to its pending multi-billion-dollar U.S. IPO. It seems to have no immediate plans to expand in the U.S.—but that’s likely just a matter of time. And when it does, Amazon had better watch out, because Alibaba has a host of ready allies: the legions of mom-and-pop retailers that Amazon has left stranded in its wake.

Let’s start with some background from Alibaba’s perspective. The company controls 80% of the Chinese e-commerce market, which means it needs new markets in order to grow. Its current model—acting as an e-commerce middleman that connects buyers and sellers—might translate well to some big emerging markets, but Alibaba will need to take a more subtle approach in America for three reasons…

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About kennethcarnesi

Kenneth Carnesi holds a Juris Doctor degree from New York Law School and a Professional Certificate in International Banking from Harvard Law School. Kenneth Carnesi is the Director of Operations and Government Sales at Anaptyx LLC and sits on the Boards of The Lazarus Organization, Monkeetech LLC and MG Madison Phillips, Inc. Mr. Carnesi has also founded CICG - Carnesi International Consulting Group, a company specializing in strategy consulting to small to mid-size businesses.