Amazon and Alibaba are two world-renowned e-commerce platforms, but they differ significantly in terms of business model, target customers, and profit methods.

First, from the perspective of business model, Amazon is a direct-to-consumer e-commerce company that sells new and used goods, while Alibaba acts as a middleman between buyers and sellers and provides an online trading platform. In addition, both Amazon and Alibaba are customer-centric, choosing e-commerce business as the underlying flywheel and deriving similar growth flywheels.

Second, in terms of target customers, Amazon mainly targets the personalized mid-to-high-end market. Enterprises or manufacturers use the Amazon platform to directly connect with consumers, and at the same time register and apply for patents for their products, etc. Therefore, it is more popular with consumers in terms of trust and user experience. In contrast, Alibaba mainly serves the popular mid-to-low-end market, and the sellers on the Taobao market are diversified, including the coexistence of real and counterfeit products.

Finally, regarding the difference in profit models, Amazon mainly earns low profits by lowering supply chain and warehousing costs; while Alibaba mainly relies on advertising display, advertising search, value-added services, etc. to achieve profitability.

In general, although Amazon and Alibaba are both e-commerce giants, due to the differences in their business models, target customers and profit methods, the two have their own characteristics and advantages in the e-commerce field.