this article comes from Forbes.com, the author is Eric · (Eric Jackson), translated by sina science and technology:
last week, Jingdong in the United States submitted the IPO (initial public offering) application. The listing application due to the following reasons and concern.
first, this is the United States Securities and Exchange Commission (SEC) recently issued a ban on the ban on the four major accounting firms to carry out business in China, the first large Chinese companies to apply for listing in the United states.
many people cite the ban as the reason for the rapid and sharp decline in China’s Internet stocks in recent weeks. In fact, these stocks continue to rise, investors are seeking to sell, and in the emerging market turmoil in the opportunity to find. Fall and SEC ban has never been related.
Jingdong listing application shows that Chinese companies are still pushing IPO. They think there will be a number of appeals before the SEC ban comes into force.
but more importantly, the listing application of Jingdong, enabling us to concern over the past few years, to be listed China Internet Corporation’s glimpse into the.
some Americans have called the Jingdong the next Amazon in china. But more serious seen IPO application materials, the Jingdong is more like China bestbuy or a Chinese dangdang.
below is a summary of some of the main points from the prospectus:
1, Jingdong’s revenue from sales of consumer electronics in 85%. That’s one of the reasons why their gross margin is so low. (less than 10% in 2013)
2, although Jingdong operating today love to describe the low profit platform in the future can be changed into broad prospects of platform like Amazon sold more types of goods, but in fact it still failed to do. You might think that they will try to sell more non consumer goods before IPO. In fact, they have not yet been able to diversify, indicating that they are in trouble. It is not as easy as the face of American investors to get a real "change".
3, there has been another listed Chinese companies to portray themselves as China’s Amazon: dangdang. Dangdang listed in the second half of 2010. Once upon a time, U.S. investors recognized the company will become a concept from China’s Amazon, its stock price pushed up to more than $30, the market value of more than $3 billion. Dangdang only sold books at IPO, but they said it was a strategy to sell more goods to consumers, like the Troy. It turns out that moving from selling books to selling more goods is harder than they think. While their stock has been unable to get up after a fall.
4, Amazon’s business based on proprietary business and platform business. The Jingdong said they would do the same