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.”
JD.com, also known as Jingdong Mall is a leading e-commerce company based in China, has unveiled an environmental-friendly packaging program. The program will ensure customers get products that are packed in reusable or recyclable packaging in an effort to promote sustainable consumption.
The company is striving to make e-commerce eco-friendly and reduce costs. Jingdong has estimated that the program will make them save 32.5 million RMB per year. In the platform, customers will have the opportunity to choose whether to receive a product packed in reusable packaging or not. The packaging is returned after use.
Customers who will opt for the packaging will earn royalty points that they could use to buy products in the platform. The packaging is applicable to small-size and medium-size products except fresh food.
Jingdong plans to extend the program to Chengdu and five other cities in less than a month. The program has already been rolled out in Shanghai, Beijing, Guangzhou as well as Shenzhen. Moreover, It aims to extend the program to 20 cities by the end of this year. Click Here to visit their page.
According to the Head of Planning and Development at JD Logistics, Bing Fu, the company is always looking for ways to use green-logistics to reduce e-commerce waste. He added that the eco-friendly initiative will enable its customers enjoy the company’s products and services without worrying about carbon emissions.
JD.com has always embraced the green approach and it has endeavored to promote it to logistics across industries. In 2017, JD Logistics launched Green Stream Initiative. The initiative is the largest environment effort that is aimed at promoting use of eco-friendly packaging. JD aims to replace the currently used boxes with green boxes. It has also endeavored to make 80% of its packaging materials re-usable and to replace 50% of plastic packages with biodegradable materials. It also aims to make 100% of logistics packaging recyclable or re-usable.
In an effort to be environmental conscious, JD started using hydrogen-powered trucks for logistics. It introduced the vehicles early this year in Shanghai and went down the history lane as the first largest use of hydrogen-powered vehicles for logistics in the country. Jingdong is keen on not releasing more carbon to the environment. It also introduced 50 solar-powered vehicles in Beijing to help in delivery services.