6WCC WCN BrianA.wong Presentation

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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

    http://1.bp.blogspot.com/_AgFAijpUxsw/SAKvMA6AfsI/AAAAAAAAADs/lXuuUTNjzJo/s1600-h/entrepreneur.gif
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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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    9$ Strictly Conidential /

    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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    9I Strictly Conidential

    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