1. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 B2B at alibaba.Com

2. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 The development of E-commerce Netizen Net friend Net friend Net merchant Net merchant

3. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Functions of B2B platform at alibaba Searching for market information Searching for market information Developing new clients Developing new clients Promoting the development of the small and medium-sized enterprises (SMEs) Promoting the development of the small and medium-sized enterprises (SMEs) Pushing the Chinese national economy forward Pushing the Chinese national economy forward

4. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Alibaba ’ s Websites www.alibaba.com www.alibaba.com.cn www.taobao.com (the second biggest C2C server provider, second to E-bay) www.taobao.com (the second biggest C2C server provider, second to E-bay) www.alipay.com www.yahoo.com.cn www.yahoo.com.cn

5. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Contributions to the Chinese national economy Data Data Applications of enterprises Applications of enterprises

6. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 some data time website members visitors turnover Nov 1998 www.alibaba.com.cn 7.5 million 32.79 million 2.5 billion/yearwww.alibaba.com.cn Nov 1998 www.alibaba.com 1.72 million 5.06 million 10 billion USD/yearwww.alibaba.com May 2003 www.taobao.com 10 million 90 million 4 billion/yearwww.taobao.com Jan 2005 www.alipay.com 4 million 0.4 billion/monthwww.alipay.com Chinese suppliers Sep 2001 3 billion USD/year Trust Pass Trust Pass Mar 2002 10 billion/year

7. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Alibaba ’ s services Chinese Suppliers/exporters:accounting for70% of its income, fee RMB ￥ 60,000-80,000 /year ) Chinese Suppliers/exporters:accounting for70% of its income, fee RMB ￥ 60,000-80,000 /year ) Trust Pass: accounting for30% of its income, domestic Trust Pass: accounting for30% of its income, domestic customers, membership fee RMB ￥ 2300RMB/year customers, membership fee RMB ￥ 2300RMB/year Alipay Alipay Yahoo search engine Yahoo search engine Bidding for ranking Bidding for ranking Instant communication tools Instant communication tools income 1million/day in 2003 income 1million/day in 2003 profit 1million/day in 2004 profit 1million/day in 2004 tax 0.7-0.8million/day in 2005 tax 0.7-0.8million/day in 2005 1million/day in 2006 1million/day in 2006

8. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Chinese suppliers Promotion of Chinese exporters ’ products to overseas importers at www.alibaba.com. Promotion of Chinese exporters ’ products to overseas importers at www.alibaba.com. Characteristics ： 1 Authentication of credit by authorities 2 Multimedia Exhibition on internet with pictures and sounds 3 e-commerce support 4 Exportation promotion at fairs and exhibitions at home and abroad 5 Full Promotion in the biggest business community all over the world

9. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有

10. Successful examples

11. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Hangzhou Kairui Accessories Co. Ltd. Became a member in Chinese Suppliers in May 2003 Became a member in Chinese Suppliers in May 2003 Got nothing in the first 8 months Got nothing in the first 8 months Hired professionals Hired professionals Earned 2.4 million USD in 2004 Earned 2.4 million USD in 2004 has over 30 long-standing clients now has over 30 long-standing clients now

12. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Trust Pass Providing promotion services to its members among Chinese buyers at www.alibaba.com.cn Providing promotion services to its members among Chinese buyers at www.alibaba.com.cn Advantages ： 1 Honesty first 2 Promoted from all aspects 3 Unique promotions channels 4 High efficient services

13. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有

14. Successful cases

15. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Guizhou Weimei Co. Ltd. 1999 began to make use of the Internet 1999 began to make use of the Internet 2000 left the company 2000 left the company 2001 back to the company 2001 back to the company 2002 became a member is Trust Pass 2002 became a member is Trust Pass 14 employees in its E-business Department now 14 employees in its E-business Department now Sells RMB ￥ 60 million a year Sells RMB ￥ 60 million a year

16. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Bidding for Priority in Ranking Keeping ahead of other competitors Keeping ahead of other competitors Taking the initiative Taking the initiative Dominating the market Dominating the market Increasing the possibility to conclude transactions Increasing the possibility to conclude transactions

17. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Successful case

18. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Wenzhou Hualian Co. Ltd. 2003 became a member at Trust Pass 2003 became a member at Trust Pass May 2005 participated in the first auction/bidding May 2005 participated in the first auction/bidding Oct. 2005 Bought 600 keywords Oct. 2005 Bought 600 keywords Established professional team, working day and night online Established professional team, working day and night online Turnover: RMB ￥ several million/year Turnover: RMB ￥ several million/year

19. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Super tools to trade online Powerful commerce search engine makes all the information easily available ； 1 ·· Information management system releases information promptly ； Staying in touch with customers all the time ； Enjoying the high efficiency of e-business ； 2 ·· 3 ·· 4 ··

20. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Successful case

21. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Hangzhou Kairui Accessories Com. Ltd.-buyer Found a supplier in 5 minutes at My Trade Activity Found a supplier in 5 minutes at My Trade Activity Searched for 1 min Searched for 1 min Confirmed whether it is on line Confirmed whether it is on line Instant communication Instant communication 3 members at Trust Pass have become its long- term suppliers 3 members at Trust Pass have become its long- term suppliers

22. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Shenzhen 99+1 — seller Through My Trade Activity Concluded transactions with over 1900 buyers Receiving 100-200 messages of inquiries a day Concluded transactions with over 1900 buyers Receiving 100-200 messages of inquiries a day Inquired by customer from New Zealand over credit system Inquired by customer from New Zealand over credit system Sold 5000 digital cameras to an American customer from his Beijing Office in one month from the date of his first enquiry. Sold 5000 digital cameras to an American customer from his Beijing Office in one month from the date of his first enquiry.

23. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Working Habits at Alibaba Being online more than 10 hours a day Being online more than 10 hours a day At My Trade Activity Publicizing and promoting products Publicizing and promoting products leaving message when at a meeting or being busy leaving message when at a meeting or being busy Making use of the auto-reply function Making use of the auto-reply function Sending price lists and pictures of the products directly through My Trade Activity Sending price lists and pictures of the products directly through My Trade Activity

24. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Introduction to Alipay Advanced online payment system, offering high quality and safe payment services for the Advanced online payment system, offering high quality and safe payment services for the e-businessmen e-businessmen Alipay is a safe payment system put forward by Alipay company to secure reliable payment trading online. Alipay is a safe payment system put forward by Alipay company to secure reliable payment trading online. A credit agency which keeps the pay for both sides until the buyer confirms that he has received the product and expressed satisfaction. A credit agency which keeps the pay for both sides until the buyer confirms that he has received the product and expressed satisfaction.

25. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Without the third party buyerseller Pay to seller ship to buyer

26. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Mode of Third Party Payment buyer Third party seller 2 、 pay to third party 5 、 check and tell the third party to pay 3 、 tell seller to ship 6 、 pay to seller 4.Make shipment 1 、 determine the required product

27. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Examples of Alipay Applications 1. More than one thousand websites have joined the Alipay 2. A number of banks support Alipay 3. 80% of the transactions at www.taobao.com effect payment at Alipay

28. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 B2B Definition Flow of information Flow of information Flow of goods Flow of goods Flow of Capital Flow of Capital Low cost Low cost

29. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Objectives of B2B Alibaba Helping the enterprises make profits Helping the enterprises make profits Helping the enterprises develop Helping the enterprises develop

30. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 Lacking in human resources in e-business with the following abilities Effective internet operational ability Effective internet operational ability Familiar with habits of e-traders Familiar with habits of e-traders Practical and having a down-to-earth manner Practical and having a down-to-earth manner No needs to know lots of technology No needs to know lots of technology

31. © 1999-2005 Alibaba All Rights Reserved. 阿里巴巴 版权所有 THANKS ！