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The B2B eMarketplace:Empowering your SME Members
6thWorld Chambers Congress
Kuala Lumpur, MalaysiaJune 2009
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Big SME*market
In China : 2 million !M"s
In "urope: 2# million !M"s
In $!: 22 million !M"s
Critical to global economy and trade
In China: %&' o( )*+, 6&' o( import and eport -olume, .%' o( employment
In "urope: o-er %0' o( )*+, 60' o( employment, o-er /00 million obs
In $!: o-er %0' o( )*+, 6.' o( eport -olume, 6.' o( employment
* SME means all employer firms, self-employment nonincorporated and incorporated.
All About SMEs!
SMEs are the engines o growth around the world
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Contributing in many 1ays to the eonomy
"ngine (or ob reation3
+ositi-e role in po-erty alle-iation3
Co-er almost all 4produti-e5 setors3
re a main soure (or ne1 produts3
*i-ersi(y the eonomy and introdue (leibility
The mportance o SMEs in "e#eloping
Countries
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$
eCommerce
remains limited
in developing
countries.
Source: UNCTAD Information
Economy
Report
2007-2008
Enterprises in "e#eloping
Countries in Ecommerce
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%ow & online ' are European
SMEs(And while a ma)ority o European SMEs are connected*
and most e#en ha#e their own websites+ + +
7Buine ue of t!e Internet an" #e$ite% a a percenta&e of $uinee #it! '0 or more emp(oyee7Source: OECD Science, Technology and Industry Scoreboard 2!7http:""d#.doi.org"$.$!%!"$$%$&&'2!!!$
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European Enterprises in e,Commerce
+ + + most are still not ully utili-ing the power o the internet to
promote themsel#es and products
In the "$, on
a-erage, only /%' o(enterprises reei-e theorder online, and 2#'purhase online8
Source: UNCTAD InformationEconomy
Report
2007-2008
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Crisis or Opportunity?
75% of Americans surveyed believe newentreprenuers and SMEs will be the key toeconomic revival
4 out of 5 considered startin their ownbusiness
44% who considered startin their ownbusiness said not understandin where tofind the riht suppliers was the topreason for not movin forward
.ith the recent downturn an Alibaba sur#ey shows that this
recession will ser#e as a catalyst or economic re#i#al+ + +
+ + +and those who embrace disrupti#e technology* will sur#i#e
and thri#e while those who do not will die
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raditional !oures o( !upplier In(ormation
,/eerral 0colleagues* associates1
,Trade shows,ndustry maga-ines* trade )ournals
,ndustry associations
,Trade directories,Eisting suppliers
Search3
"isco#ery4egotiate TransactE#aluate
A#erage sourcing cycle: 5+5 6 $+2 months7 728 o time spent searching
or3identiying appropriate suppliers
7 98 o time spent on /;
Two Ma)or Components o Alibaba+com
9+ Marketplace 2+ Community
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95 Strictly Conidential
Alibaba+com B2B Marketplaces >
nternational Marketplace?ey eatures on product listing page:
2+ Supplier3roduct normation7 Company +roduts7 Company +ro(ile7 Company @ideo
2+ alue,Added Ser#ices 0AS17 Key1ord !earh7 +remium +laement7 @irtual !ho1room
$+ /eal,time Communication @
nuiry7 rade Manager7 "mail
9+ Search Engine
7 Key1ord !earh7 +rodut Category
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Flobal network at your ingertips
Alibaba e,marketplace
Alibaba e,marketplace
/etail shops
Manuacturers
Trading agents
Flobal Buyers
Manuacturers
Trading agents Flobal Suppliers
Eport
mport
A truly global network or importers and eporters o mechandise*
inished products* component parts and raw materials
Alib b B2B M k t l >
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Alibaba+com B2B Marketplaces >
nternational Marketplace
More than million users ha#e registered on Alibaba international B2B
marketplace+ GS* ndia* Europe 0ecluding G?1* China* G? and Canada arethe key countries that the users come romH
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Note:'* Company "ata a of Dec +'% 2008
CAF/
J7K8
MM
L===
o /egistered Gsers o Storeronts
o aying Members
A/ ">Commere 4Maretplae5 WebsiteA/ International Business rade Website4Import and "port in China5
CAF/
JI$8
Alibaba+com B2B Marketplaces >
?ey Dperating Metrics
L===
CAF/
J758
NN+K9$9+I
29K+95=7+7
$52
=
9==
2==
5==
$==
2==$ 2==7 2==I 2==N 2==
C l t t th Alib b ith TD
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Complementary strength o Alibaba with TDs
and trade associations3chambers
?ey Success ;actors o SME onlinepromotion
Associations3Chambers
Alibaba
Flobal /each
7 !iDe o( global buyers and suppliers
7 ra((i 4ritial mass on the B2B e>maretplae5
7 Cost e((eti-e mareting hannel
Oocal?nowledge
7 Loal language and ulture
7 $nderstanding o( loal trade poliies
7 Loal database o( !M"s
Tradeknowledge
7 *eep domain epertise in intEl tradepraties, la1s and regulations
7 Broad o((line net1or
TechnologySkill
7 Internet tehnology 41ebsite, searh,!";, et85
Combining the core strengths o chambers3associations with the marketing
reach o an eMarketplace creates new opportunities or members
ti Sh i T d A i ti
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artner:Korea International rade ssoiation 4KI: 1118 KI8org5 F maor business assoiation in Korea 1ith o-er 6%,000 members
artnership Model:KI and libaba8om ointly pro-ide KI member !M"s 1ith a speial paage 1hih inludelibaba8om International rust+ass membership and KIEs tradeKorea e>portal8 "ah !M" 1ould beeligible to a subsidy1hih ould only be used against subsribing -alue>added ser-ies to (ailitatetheir listing, suh as Korean>to>"nglish translation ser-ies8 "duational ourses on e>ommere andonline mareting 1ould also be pro-ided to partiipating ompanies (or their better utiliDation o( the
Internet and libaba8om8
ractice Sharing 6 Trade Association
program in ?orea
ti Sh i TD i
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artner:ai1an "ternal rade *e-elopment Counil 4I=, 1118taitra8org8t15 F non>pro(it trade promotion organiDation in ai1an 1hih is ointly sponsored by the ai1an go-ernment,industry assoiations, and se-eral ommerial organiDations
artnership Model:libaba (ormed partnership 1ith ai1an rade ssoiation, and pro-ide (or ai1an !M"s a bundledpaage 1hih inludes membership o( both libaba8om )old !upplier and I=Es ai1an trade e>+ortal8 hose 1ho oined the bundled membership 1ould get a (T$, discounto(( the original totalprie o( the t1o memberships8 libaba and I= also ointly host road sho1s and seminars to help !M"s
breathrough in the do1nturn o( intEl trade situation8
ractice Sharing 6 TD program in
Taiwan
ti Sh i F t t
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artner:GH=CI )"LGG=M" "* M"=K"G 4I)"M"5I)"M" is the go-ernment run "port +romotion Center (or urey 4http:
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ractice Sharing 6 Fo#ernment subsidy
program in Chileartner:Country o( Chile
artnership Model:
he program 1ith the Chambers o( Commere o(!antiago in CHIL" is a #>1ay deal to be ompleteby mid>June8
he Chambers o( Commere 1ill 1or 1ith the
Nello1 +ages o( Chile to ompile and pro-idelibaba8om 1ith the database o( Chilean produts8he Chamber o( Commere pro-ides eellent dataontrol and legitimay in the !M" (ield, and alreadyhas the dataset o( ompanies in Chile 1ith produtre(erenes8 he Nello1 +ages Company 1ill pro-idesupport through their massi-e outreah program toenourage the integration o( additional produts tothe Chambers *atabase by !M"s8
;-erall about #0,000 ompanies and /20,000produts are epeted to be presented 1ithin theprogram8
ractice Sharing Fo ernment s bsid
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artner:!tate o( Washington, $nited !tates
artnership Model:
Indi-idual !tates in the $! ha-e reated eonomi de-elopment organiDations to promote diretin-estment as 1ell as ompanies 1ithin the !tate itsel(8 he logi is simple and pratial: the morere-enue made by ompanies 1ithin the state, the more ta re-enue these ompanies 1ill be able togenerate8
he !tate o( Washington is a1are o( their stateEs -alue as a brand, and the need to support as 1ell as
de-elop this -alue to promote ommerial ati-ities, 1hih is 1hat the State Pour roduct programhopes to aomplish8 libaba8om pro-ides the !tate o( Washington an opportunity to promote theirompanies -ia the rans(er "press produt integration proess to help them bolster the impat o(Washington !tate ompanies in the global maretplae8
ractice Sharing 6 Fo#ernment subsidy
program in .ashington* GS
ractice Sharing The .orld Chambers
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artner:s part o( the ICC, the WCO portal o((iially lins the -irtual online ommere spae to thedynami and only truly global physial business net1or o( o-er /,000 registeredChambers o( Commere and Industry 4CCI5 that in turn represent o-er 0 million memberbusinesses 1orld1ide8
artnership Model:
libaba and the WCO today announed an M;$ to ooperate on a number o( ati-ities andproets inluding but not limited to the promotion o( WCOEs members on a global basis onthe libaba maretplae, ehanging rele-ant trade in(ormation bet1een the t1o partiesand eplore the possibility o( inreasing the le-el o( trust 1ithin the ommunities byeploring ollaboration 1ith Chamber rust (or WCO and rustpass (or libaba8om
ractice Sharing 6 The .orld Chambers
4etwork
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Thank you!
brianQalibaba,inc+com
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