What Need Does It Serve?
Baidu owns China's largest search engine platform, the streaming site iQiyi, and links it all together with internet and cloud-based services. It makes money through online advertising and subscriptions.
Has 2 Operating Segments-
1. Baidu Core: This segment generates majority of its revenues through its pay for performance (P4P) platform (search-based advertising)that utilizes pay per click (PPC) technology. In addition, revenues are also derived from non-P4P services (display-based advertising), AI initiatives, autonomous driving platform (Apollo) and cloud business (Baidu Cloud).
2. iQIYI: Segment revenues are derived from membership services and online marketing services.
What Are The Alternatives?
Internet Companies and Online Marketing Platforms in China: Alibaba, Tencent, ByteDance, Sohu and Qihoo 360
Search Engines: Google China, Bing, Sogou, SO.com Youdou, Shenma, Easau in China, Google in U.S.
iQIYI: Tencent Video, Youku Tudou in China, and Netflix
What Is The Basis of Competition?
For Baidu Core, the company competes with the mentioned internet companies primarily for user traffic, user time, content, advertising budget and marketing resources.
For iQIYI, Baidu competes with the mentioned market players for both users and advertisers primarily on the basis of user base and demographics, quality and quantity of video content, brand name and user experience.