The market capitalization of Pinduoduo s U.S. stock market surpassed that of Alibaba for the first t

Mondo Technology Updated on 2024-01-29

On the evening of November 29, Pinduoduo surpassed Alibaba for the first time in intraday trading to become the largest Chinese concept stock in the United States. On the evening of the 29th, after the U.S. stock market opened, Pinduoduo's share price rose continuously. Subsequently, Pinduoduo once rose more than 4%, with an intraday market value of $192.4 billion (about 1.).37 trillion yuan), Alibaba 191.8 billion US dollars (about 136 trillion yuan). Forbes magazine quoted Shen Meng, managing director of an investment bank in Beijing, as saying that "with the change of China's consumption patterns, Pinduoduo is further encroaching on the territory of Alibaba** and Tmall Shopping**." In this year's "Double 11", how to provide consumers with lower-priced products has become the focus of competition on major e-commerce platforms.

Pinduoduo, an e-commerce platform founded in 2015, is now at the pinnacle of China's e-commerce marketRecently, Pinduoduo's U.S. value once surpassed that of the giant Alibaba, which shocked the entire e-commerce circle and the investment communitySo, what is the reason why Pinduoduo's market capitalization exceeds that of Alibaba?

The reason why Pinduoduo has been able to emerge in such a short period of time is that it has keenly grasped the huge potential of China's sinking market in the early days. The so-called sinking market refers to cities below the third tier and the vast rural areas. The economic level of these places is relatively low, and consumers are highly sensitive to **, so Pinduoduo's low-price strategy just caters to this market demand. In addition, in recent years, there has been a downward trend in consumption, and Pinduoduo is also well versed in social e-commerce. Through cooperation with major brands, we have launched various preferential activities and the "10 billion subsidy" model, so that consumers can enjoy the fun of shopping while also getting real discounts. This model quickly attracted a large number of users. In addition, Pinduoduo's overseas app "temu" is also expanding overseas markets. Its set of "combination punches" makes its market value close to Alibaba.

In the face of the rise of Pinduoduo, traditional e-commerce platforms such as Alibaba and JD.com have also launched their own sinking market strategies. However, they did not succeed in replicating Pinduoduo's model. The big manufacturers can't beat Pinduoduo by "cloning Pinduoduo" with low prices.

This year, both Ali and JD.com have launched their own 10 billion subsidy projects. Based on the different models, Tmall Supermarket and JD.com are mainly self-operated to highlight the low-price mentality, but their self-operated business is their foundation. Compared with the Pinduoduo platform model, self-management has natural weaknesses. The model is different, and simply copying 100 supplements may not be a good medicine. It remains to be seen whether the opening of third-party stores on Tmall and JD.com to participate in the bidding will further weaken self-operation or produce a catfish effect.

Of course, market capitalization is only an indicator, and it does not fully reflect the strength and value of a business. However, Pinduoduo's success has undoubtedly brought profound inspiration to other e-commerce platforms. If you want to stand out in a highly competitive market, you must have a core business model and accurate market positioning. At the same time, it is essential to understand and meet the needs of consumers and improve services.

For Alibaba, faced with the challenge of Pinduoduo, they need to rethink their strategic positioning and development direction. How to cater to the changes in the market and the needs of consumers while maintaining their own advantages is an important issue they face. For us consumers, the rise of Pinduoduo also means that we will have more shopping options and a better shopping experience. Whether it is a white-collar worker in the city or a resident in the countryside.

E-commerce rivers and lakes continue to "fight", and AI e-commerce is quietly coming.

AI assistant creation season

Related Pages