JD.com took the opposite approach to Alibaba. Instead of building a marketplace and letting others handle fulfillment, JD built its own warehouses, delivery fleet, and even drone delivery infrastructure. That vertical integration is expensive, but it means JD controls the entire customer experience from click to doorstep.
The company operates over 1,600 warehouses across China totaling more than 32 million square meters of space. Their logistics network can deliver to 99% of China’s population, with same-day or next-day delivery in most cities. During peak shopping events like Singles’ Day, JD processes hundreds of millions of orders without the fulfillment chaos that plagues competitors.
Richard Liu founded JD in 1998 as a physical electronics store in Beijing’s tech district. He moved online during the 2003 SARS outbreak — a pivot that turned out to be brilliant timing. Today JD sells everything from fresh groceries to luxury goods, with annual revenue exceeding $150 billion.
JD’s been pushing into new territory. JD Health is one of China’s largest online pharmacies. JD Logistics went public and now serves external clients. The company’s also expanding internationally, with operations in Southeast Asia and Europe. What sets JD apart is its reputation for selling authentic products — in a market where counterfeits are a constant headache, that trust premium matters.
