Richard Liu is the 44-year-old CEO of the ever popular and growing JD.com: an online retail giant which offers deliveries within China as quick as under 3 hours if one resides in Beijing. Globally, shipping can take up to 15 days at the maximum.
As of now, the goal of Richard Liu Quiangdong and JD.com is to grow in China first and then expand eventually into Europe and America, starting with SouthEast Asia. Richard Liu responds when asked about his business model for growth, that, “It’s hard to use one business model all over. In SouthEast Asia we look for local partners.”
JD.com grew 100% every year-over-year with the exception of this year, in which they have been focusing on quality concerns regarding users, supplies, shipping, and more for the world. Richard Liu Quiangdong was additionally quoted as saying that, “We want to see better profitability to our shareholders; I challenge myself every day to grow.”
Liu’s biggest competitor is Walmart. JD has one billion products to choose from, as compared to Walmart whose product list is in only the millions. It is unclear whether or not JD is looking to cut down on their inventory to match the Walmart model, or if they are looking to retain their current inventory size. After all, in the past ten years they’ve focused on cost and efficiency: they are admittedly comparable to Costco in terms of prices. Refer to This Article to learn more.
Their longest turnover time is only 35 days, and Richard Liu says that soon the turnover time will be less than 20 days. Growth seems to be occurring behind the scenes. When asked if Richard Liu thought that expansion into the United States was difficult or that the rules were fair, he responded by saying that “Protectionism is quite serious there; it will hurt the U.S. economy, too.”