Amazon Or India Market In China For Ten Years

Last week, media reports began to emerge, with Amazon starting to sell a series of products on the website of a Chinese competitor, the Tmall mall of Alibaba group (New York Stock Exchange Stock Code: BABA).

This shows that Amazon can not get enough sales through its Chinese shopping website.

It also means that amazingly, Amazon has admitted one thing: after more than ten years of trying to launch a "surprise attack" and stealing "market share" from Alibaba's Taobao and Tmall mall, it now has to turn to its biggest competitor for help.

Can you imagine Amazon selling goods on eBay's US website? This is just out of the question.

Over the years, Amazon has sent several executives to China to try to get the business done.

Steve Frazier, a senior executive of the company, spent several years in China, and then returned home last autumn.

The Chinese business is currently run by another non local executive who is working in Doug Gurr in Amazon since 2011.

Amazon does not disclose the specific financial information of China's business, but according to estimates from several research firms, its share in China's B2C (business to consumer) electricity market is only 1% to 3%.

Trading with Tmall mall is unlikely to be a harbinger of Amazon's direct closure in China, because the company has 10 to 15 warehouses in the Chinese market and will not go away.

But the more reasonable guess is that Amazon may cut the scale of investment in China and pfer the saved capital to another huge, rapidly developing electricity supplier market, that is, India.

In fact, according to a person familiar with the situation, Bezos is considering this matter.

"They will concentrate more on their success in India rather than trying to revitalize China's business."

The source said.

The idea looks good.

According to the recent estimates made by Kunal Bahl, chief executive of Snapdeal, the India electricity supplier market is currently five to ten years behind China in terms of market maturity, but in the more than 2 of the world's population,

The market is growing at an extremely fast rate.

In addition, the popularity of mobile shopping is also exploding. This is because the number of mobile phones is increasing.

In the India market, Flipkart and Snapdeal are two.

Popularity is quite high, but they have not yet dominated the market as Alibaba group did in China.

It is probably because of this and other reasons that Amazon is planning to pour $2 billion into its online store in India on 2013.

This investment plan was announced by Bezos last year, that is, one day after Flipkart announced its $1 billion investment plan.

It is also worth noting that

The head of the operation in India is Amit Agarwal (Amit Agarwal), the senior executive of the company.

For people outside the Amazon Co, the name may not be of much significance; but inside the company, the meaning is completely different.

Agarwal is one of the handful of Amazon employees who once filled Bezos's "shadow". These "shadows" - or "technical advisers" -- fought with Bezos, and often played some important roles in Amazon after being "teacher" to Bezos.

Agarwal played such a role between 2007 and 2009.

Now known fact is that Agarwal is in charge of the operation of Amazon's India business.

As far as Amazon and Bezos themselves are concerned about this business, this is a self-evident thing.

A spokeswoman for Amazon declined to comment.