Richard Liu Qiangdong is one of China’s billionaires who is reaping the fruits of his hardworking of building the most successful e-commerce retailing business in the country. He appeared on the 2019 Forbes list of billionaires at number 272. His company JD.com rose from a small store to a multibillion-dollar empire under his leadership as the Chairman and CEO. He studied sociology in college and also holds an Executive MBA.
Richard Liu was not born into a rich family and his parent’s small business while growing up was among the reasons he became interested in business. His journey to success is unique having even tried a restaurant business venture in college, it ended up collapsing due to debts. After college, he sought employment in a small company that dealt with health supplements. While other young men his age were flying abroad for higher learning, his interest was to be an entrepreneur.
It was in 1998 when Richard Liu opened the doors to the small store he named Jingdong in Beijing. It was a period when people were developing an interest in computers and therefore he focused his business on selling magneto-optical products. In the first few years, the business experienced rapid growth and by 2003 he had stores in Beijing, Shenyang, and Shanghai, 12 stores in total.
From 2013 to 2014, it was a period of transition for Richard Liu Qiangdong’s company from brick and motor to online business and from being called Jingdong to JD.com. It all started in 2003 when there was an outbreak of SARS. It was a difficult time for entrepreneurs as customers disappeared to their homes. There was no other way for the company to continue but by adopting a model that would allow it to reach clients in their homes, and that is how JD.com was born. The company’s strategy of concentrating on quality helped it to beat the other online competitors.
Richard Liu embarked on a journey of expanding the company’s products portfolio once it had gone online. He utilized a unique practice of partnering directly with the producers of various products, by ordering from them and reselling to customers. The company has continued to use this strategy over the years and it is among the reasons for its success.