Alibaba
Definition
Alibaba Group Holding Limited is a Chinese multinational conglomerate specializing in e-commerce, retail, internet, and technology.
Analogy
If you think of a traditional marketplace where wholesalers display their goods for retailers to buy in bulk quantities - that's what Alibaba does but in an online setting. It's like Costco but instead of buying toilet paper in bulk, businesses are buying thousands of phone cases directly from manufacturers.
Related terms
Business-to-Business (B2B): A type of transaction that exists between businesses, such as one involving a manufacturer and wholesaler, or a wholesaler and retailer. This is primarily how Alibaba operates.
Alipay: A third-party mobile and online payment platform established by Alibaba group. It's similar to PayPal but mainly used within China.
Taobao: An online shopping website owned by Alibaba. It's similar to eBay with consumer-to-consumer shopping but is primarily used in China.
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