1. Business model: JD.com is a value chain integration model, while Tmall is an open platform model.

The value chain integration model refers to the strategic core of product flow management. JD.com guarantees that the products on its platform are genuine and has a "zero tolerance" policy for counterfeit goods. At the same time, JD.com has obvious advantages in price guarantee, delivery speed, and after-sales service, especially in the field of 3C products with high prices. The open platform model is an online retail format that aims to provide online transaction opportunities and conditions to buyers and sellers and takes the scaled revenue management of online transaction platforms as the strategic core. Its characteristics can be summarized as building platforms, attracting investment, expanding scale and forming commercial barriers.

2. Profit model

From the perspective of the profit model, excluding advertising and service fees, JD.com's self-operated e-commerce directly purchases from manufacturers and suppliers, signs direct sales contracts, enters their warehouses, buys and sells by itself, earns the difference, and obtains large-scale sales at low prices or even at the expense of gross profit margins, thereby obtaining profits and more importantly, cash flow.

Tmall itself does not participate in the sales and services of goods. The sales, distribution and after-sales services of goods are all the responsibility of the sellers themselves, which greatly reduces the distribution and after-sales service costs of the mall. In addition, with Alipay, which is also part of the Alibaba system, as a payment settlement tool, Tmall's profitability and ability to control capital flow are obviously more outstanding.

3. Logistics system

The logistics system occupies a very important position in the e-commerce business system. From the perspective of logistics and distribution, JD.com and Tmall adopt completely different logistics and distribution models.

JD.com completely establishes its own warehousing and logistics distribution system, adopts distributed inventory management, and gathers the inventory of each supplier to each region in advance. After the order is generated, JD.com's own employees will quickly deliver it.

Tmall completely relies on third-party logistics and distribution, and adopts intensive inventory management. After the order is generated, the express delivery will complete the collection of merchants in various regions and then deliver it. The former model is heavy, the cost is high, but the user experience is good, while the latter model is light, the cost is low, but the user experience cannot be controlled. In view of their respective shortcomings, JD.com has adopted the method of opening up its own logistics to spread the cost, while Alibaba has realized the resource integration of third-party logistics through Cainiao Network. Sellers use Cainiao's warehouses distributed across the country to unify shipment, warehouse and distribution, saving logistics time and improving logistics efficiency.