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JD.com (JD) to Embrace Brick-and-Mortar

Executive Summary

  • In China, online shopping mall JD.com is embracing a brick-and-mortar strategy to expand beyond its roots as a pure play.
  • The company has opened brick-and-mortar service and distribution centers to tap into the home appliance market in rural China market.
  • JD.com is also opening a pharmacy in Qingdao as an experimental step in its online-to-offline (O2O) strategy for pharmaceutical products, and is cooperating with third-party pharmacies to sell pharmaceutical products on its online platform.

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