Cooperation Plan: Alikea Provides Exclusive Operation Services for US Supplements’ Distributor in the Chinese Market

I. Executive Summary

This plan is tailor-made for Distributor‘s expansion into the Chinese market, with Alikea providing differentiated cooperative operation services. Leveraging Distributor‘s product sales rights and cooperative brand resources, combined with Alikea’s qualification resources, channel capabilities, and professional operation strength, we will build a dual-mode cooperation framework of “specialty store operation on behalf of others – authorized procurement and listing”, while simultaneously providing full-channel distribution support based on the MboomTech + Shipedge system. This will help Distributor quickly establish a sales position on major e-commerce platforms in China, open up online and offline distribution networks, expand product sales channels, and achieve dual growth in sales scale and profitability. The core principles of cooperation are “clear responsibilities and rights, shared risks, and shared interests” to ensure safe, efficient, and mutually beneficial cooperation.

II. Market Background and Opportunity Analysis

(I) Overview of China’s Health Product Market

China’s health product market has been steadily expanding, and e-commerce channels have become the core growth driver. The core market data is summarized in the following table for intuitive reference:

Indicator Category	Specific Dimension	Data Details
Overall Market Scale	2023 Scale	Over RMB 3.5 trillion
	2025 Projected Scale	Exceed RMB 4.3 trillion, with a year-on-year growth rate of over 10%
E-commerce Channel Performance	2023 E-commerce Sales Revenue	RMB 142.1 billion
	2023 E-commerce Channel Contribution Rate	Approximately 50%
	2023 Year-on-Year Growth of E-commerce Channel	32.3% (Health product sales on JD.com increased by approximately 30% year-on-year)
Cross-border Market Situation	2022-2025 Growth Expectation	Doubling growth
	2025 Projected Scale	Reach RMB 1.32 trillion
Channel Pattern	Mainstream and Emerging Channels	Tmall and JD.com are the leading channels; emerging channels such as Douyin Global Shopping are growing rapidly
Best-selling Categories	Top 3 Categories	Vitamins (annual sales of approximately RMB 2.4 billion), calcium supplements (annual sales of approximately RMB 2.2 billion), liver-nourishing/lung-clearing products (annual sales of approximately RMB 2.1 billion)

(II) Distributor‘s Market Opportunities in China

Distributor has abundant brand cooperation resources and product sales rights, which align with Chinese consumers’ demand for diversified health products. However, Distributor faces challenges such as insufficient local e-commerce operation experience, unfamiliarity with platform rules, and low efficiency in channel expansion. Alikea has launched a dual-cooperation model to flexibly adapt to Distributor‘s operational capabilities and development needs, effectively solving operational pain points and helping Distributor convert brand resources into actual sales performance.

(III) Profit Advantages in the Chinese Market: Cost Comparison with Amazon Platform and Case Reference

As a health product seller on Amazon, Distributor is well aware of the impact of platform fees on profitability. Major e-commerce platforms and distribution channels in China, with their characteristics of “low fees, high unit prices, and multi-channel revenue”, can bring higher profit margins for Distributor. The following is a cost and profit comparison based on a typical health product category (taking “Solgar Vitamin B Complex 100mg 100 Capsules” as an example), and a channel to obtain the real financial model of cooperative customers is provided:

1. Core Cost Comparison: Amazon US vs. Major E-commerce Platforms in China (Taking a Single Bottle of Solgar Vitamin B Complex 100mg 100 Capsules as an Example)

Cost Item	Amazon US (Reference Standard)	Tmall Global / JD Worldwide (Alikea Cooperative Channels)	Difference Analysis
Platform Commission	15%	4% for Tmall Global, 6% for JD Worldwide	Chinese platforms have a commission rate approximately 10 percentage points lower
Logistics and Warehousing Fees	Approximately USD 3.5 per order (FBA small items)	Approximately RMB 9.5 per order (average international transportation cost: about RMB 5 per bottle + bonded warehouse drop-shipping cost: RMB 4.5)	Based on an exchange rate of 1:7, the cost in China is 30%+ lower
Advertising and Promotion Cost Ratio	15%-20%	About 10% (no advertising investment in distribution channels)	Promotion costs in Chinese channels are 5-10 percentage points lower
Other Service Fees (e.g., Compliance)	Approximately USD 500-1,000 per year (compliance review, tool fees)	Included in Alikea’s operation service fee (no additional charges)	No additional compliance costs for cooperation in China

2. Profit Margin Calculation (Based on Real Data of a Single Bottle of Solgar Vitamin B Complex 100mg 100 Capsules)

Product Parameters: Procurement cost: USD 11.5 per bottle; Amazon selling price: USD 18.92 per bottle; Selling price of Market In the Box’s store on Tmall China: RMB 156.72 (approximately USD 22.04)

• Profit per bottle on Amazon US: Selling price USD 18.92 – Procurement cost USD 11.5 – Platform commission USD 2.83 (15%) – Logistics fee USD 3.5 – Advertising fee USD 0 (no advertising for follow-selling yet) = USD 1.09 (profit margin approximately 5.76%)

• Profit per bottle on Chinese platforms: Selling price RMB 156.72 – Procurement cost RMB 80.5 (USD 10.5 × 7) – Platform commission RMB 6.27 (4%) – Logistics fee RMB 9.5 – Advertising fee RMB 15.7 (10%) = RMB 44.75 (approximately USD 6.39, profit margin approximately 28.55%)

3. Real Profit Case of Cooperative Customers: Contact to Obtain Customized Financial Model

Similar health product customers served by Alikea (such as the product in the above case) have achieved higher profit levels in the Chinese market than on the Amazon platform after entering:

If Distributor needs to further understand: ① China market profit calculation matching its own products; ② Real sales data and financial statements of cooperative customers

For the investment return cycle under different cooperation modes, you can contact Alikea’s exclusive contact person: info@alikea.com to obtain a customized financial model (including desensitized profit data of cooperative customers) to support decision-making.

III. Cooperation Modes (Dual Modes Presented Independently)

(I) Core Difference Comparison between the Two Modes

The two cooperation modes have essential differences in profit ownership, core cooperation focus, and procurement rules. The specific comparison is as follows to help Distributor accurately match its needs:

Comparison Dimension	Mode 1: Specialty Store Operation on Behalf of Others	Mode 2: Authorized Procurement and Listing (Self-operation)
Core of Profit Ownership	Distributor enjoys most of the profits. After deducting platform commissions, logistics fees, operation service fees and other costs, the remaining revenue belongs entirely to Distributor	Alikea enjoys most of the profits. Distributor only obtains fixed procurement profits and does not participate in subsequent sales dividends
Core Cooperation Relationship	Service cooperation. Alikea provides operation support for Distributor and does not touch the core ownership of goods and funds	Procurement cooperation. Alikea acts as the purchaser, bears the full-process costs and risks, and owns the ownership of goods and pricing power
Procurement Pricing Rules	Distributor conducts independent procurement. Alikea only provides procurement volume suggestions and no pricing intervention	Based on Distributor‘s basic procurement price, an additional 3%-5% will be added as the final procurement price. Alikea will select the best cooperation based on quotes from multiple suppliers
Risk-bearing Entity	Distributor bears core risks such as inventory and market fluctuations, while Alikea bears the risk of operational errors	Alikea bears the full-process risks such as procurement, inventory, operation, and market

(II) Mode 1: Distributor Qualification-based Specialty Store Operation on Behalf of Others

Core Positioning: With Distributor as the main entity, Alikea provides full-process operation-on-behalf services and supporting services. The ownership of the store, fund rights, and goods ownership all belong to Distributor. Alikea only provides professional services and charges corresponding fees.

1. Qualification and Store Setup Process

1. Qualification Preparation: Distributor provides basic documents (overseas enterprise entity certificate, brand authorization letter, product quality inspection report, imported health food filing certificate) with no fees incurred;

2. Platform Entry: Alikea submits entry applications to platforms such as Tmall Global/JD Worldwide/Douyin Global Shopping/Pinduoduo Global on behalf of Distributor, and is responsible for communicating with the platform regarding review matters. The entry process takes about 30 days to complete. Entry fees: Tmall Global deposit RMB 50,000 (refundable) + technical service fee RMB 30,000/year; JD Worldwide deposit USD 5,000 (refundable); Douyin Global Shopping deposit RMB 500 (refundable); Pinduoduo Global deposit USD 1,000 (can be offset by payment for goods, refundable). The above fees are officially charged by the platforms and paid directly by Distributor, with Alikea assisting in fee payment and invoice coordination.

3. Store Setup: Alikea designs the store homepage and product detail page templates based on Distributor‘s brand VI. After review and confirmation by Distributor, the store setup is completed, and a sub-account for the store backend (with only operation permissions) is opened simultaneously;

2. Details of the Full Supply Chain Process

1. Product Selection and Filing (Driven by Big Data AI): Relying on professional e-commerce data analysis tools, Alikea builds a full-dimensional market insight system through the big data AI function to provide scientific decision support for product selection and accurately identify product directions suitable for the Chinese market. It is mainly divided into three core sections, as follows:
▶ Section 1: Market Competition Insight – Identifying Differentiated Opportunities
Through the competition monitoring module of the e-commerce data analysis tool, we accurately identify the core competitors of Distributor‘s similar products and conduct in-depth analysis on key dimensions: ① Sales performance: Sales volume and transaction growth rate of competitors in the past 30-90 days; ② Pricing strategy: Distribution of mainstream price ranges, discount intensity, and price fluctuation rules; ③ Traffic structure: Core traffic sources (search/advertising/promotions) and conversion efficiency; ④ Promotion methods: Common promotion forms (full reduction/gift with purchase/combination packages) and promotion effects. Based on the analysis, we identify market gaps (such as insufficient supply in the niche category of “mid-to-high-end children’s fish oil”) and the differentiated advantages of Distributor‘s products.
▶ Section 2: Targeted Product Selection Guidance – Anchoring Potential Bestsellers
Based on the search heat monitoring function of the data analysis tool, we focus on three core actions: ① Keyword mining: Extract core demand keywords with high search volume and high conversion rate in the health product category, such as “high-absorption calcium”, “children’s vitamin D”, “women’s multivitamins”, etc.; ② Demand decoding: Analyze consumer attribute preferences behind the keywords, such as “additive-free”, “chewable tablets”, “small dosage”, “portable packaging”, etc.; ③ List output: Combine Distributor‘s product matrix to screen potential products that meet the demand, sort them by “market demand + product competitiveness”, and form a product selection list with clear priorities for Distributor‘s confirmation.
▶ Section 3: Intelligent Stock Preparation in Advance – Predicting Demand Fluctuations
By integrating the industry operation data module of the data analysis tool with the sales rules of similar stores, and superimposing AI algorithms, we realize: ① Cycle prediction: Identify the demand fluctuation characteristics of seasonal cycles (calcium supplement peak season in winter, increased demand for immunity products in spring) and major platform promotion nodes (618, Double 11); ② Volume calculation: Output initial stock preparation suggestions for each potential product and mark the safety stock threshold; ③ Node reminder: Set a replenishment trigger node (reminder starts when stock is below 50% of the safety stock). After both parties confirm the products, Alikea completes the filing of imported health products, commodity filing on e-commerce platforms, and cross-border commodity list filing with the General Administration of Customs on behalf of Distributor, and obtains the filing certificate (to ensure the filing information is consistent with the product information). After the filing is completed, the procurement process is initiated;   

2. Procurement and Stock Preparation: Distributor independently completes product procurement, and Alikea provides procurement volume suggestions based on market data.

3. International Transportation: Distributor arranges international logistics to ship the goods to Alikea’s designated bonded warehouses (such as Ningbo Bonded Warehouse, Guangzhou Bonded Warehouse, Chongqing Bonded Warehouse, Hong Kong GFC Warehouse, etc.), and synchronizes the logistics information to Alikea 3 working days before arrival; alternatively, it can entrust Alikea to arrange logistics to the cooperative bonded warehouse.

4. Customs and Commodity Inspection: Alikea prepares customs declaration materials (contract, packing list, invoice) in advance, submits customs declaration through the “Single Window” system, and assigns a dedicated person to communicate with the customs and commodity inspection departments to assist in completing inspection and tax payment (customs duty + value-added tax). The customs clearance time is 3-5 working days;

5.  Bonded Warehouse Operation: After customs clearance, the goods will be delivered to the bonded warehouse. Alikea supervises the warehouse to sort and put the goods on the shelves, and issues a sorting report to Distributor simultaneously; for subsequent order fulfillment, Alikea issues delivery instructions, and the bonded warehouse completes picking and packaging before connecting with domestic logistics for delivery;

6.  Bonded Warehouse Transfer: If bonded warehouse transfer is required (such as in-warehouse transfer or out-of-warehouse transfer), Alikea is responsible for all operation processes, including product filing, transfer order preparation, logistics delivery, supervision and sorting, etc. The transfer progress is synchronized within 24 hours, and the inventory data is updated after the transfer is completed.

3. Operation Service Process

1. Product Listing: Alikea optimizes the Chinese product information (incorporating compliant keywords such as “American imported” and “genuine original” in the title, and avoiding prohibited words such as “health care effects” in the detail page) to ensure compliance with platform rules;

2. Daily Operation: Update store promotions daily, provide 7×15-hour online customer service, conduct weekly inventory checks and submit reports, and optimize product information monthly;

3. Marketing Promotion: Plan promotion plans for major events such as Double 11 and 618 45 days in advance (including preferential and free gift strategies), and complete the application after confirmation; launch daily advertising such as Taobao Express and Douyin information flow, synchronize data daily, and adjust strategies weekly;

4. Data Feedback: Submit the previous week’s operation report (including sales volume, traffic, and conversion rate) every Monday, and submit the monthly analysis and the next month’s plan before the 5th of each month.

4. Payment and Collection Process

1. Payment Channels: The store is bound to a collection account under Distributor‘s name. Chinese consumers complete transactions through WeChat Pay and Alipay, and the funds directly enter the platform’s supervised account;

2. Collection Cycle: The collection cycle is subject to the official rules of the cooperative e-commerce platform, and there are differences in the settlement cycles of different platforms. Alikea will synchronize the specific settlement rules and cycle adjustment notifications of the cooperative platform in advance to ensure Distributor clearly grasps the collection nodes;

3. Collection Path: The settled funds are directly transferred by the platform to Distributor‘s designated U.S. bank account, supporting direct settlement in U.S. dollars; Alikea assists in providing transaction flow, customs declaration certificates and other materials required for settlement to ensure compliant fund outflow;

4. Collection Timeliness and Fees: The time for funds to be transferred from the platform to the U.S. bank account is 3-5 working days. The fees include platform commissions and foreign exchange settlement fees. Alikea provides a detailed list of fees;

5. Bill Management: Provide Distributor with the previous month’s fund settlement details (including sales volume, deducted fees, and actual collection amount) before the 10th of each month to ensure clear and traceable fund flow.

5. Fees and Settlement Methods

• Service Fees: Charged in modules according to the type of service, covering operation-on-behalf services (daily store operation, marketing promotion), distribution expansion services (distributor development and management), compliance registration services (product filing, “Blue Cap” application), and customs services (customs clearance operations, commodity inspection assistance, return handling), with tiered pricing based on service levels.

• Sales Commission/Distribution Commission: Accrued at a certain percentage of the monthly actual sales volume. The commission rate is determined through negotiation based on the product category and sales targets, realizing the linkage between service value and sales performance.

• Software Subscription Fee: The basic fee for using the MboomTech and Shipedge systems, including the right to use core functions such as inventory management, order fulfillment, and distribution link management, as well as daily maintenance. It is subscribed annually, with a fee of RMB 8,000-15,000/year, adjusted according to the number of modules used.

• Project Fee: Charged for customized needs, including API docking service fee (multi-system data connection), customized system development fee (adapting to special business scenarios), and value-added data analysis service fee (exclusive strategy report), with separate quotations based on project workload.

6. Responsibility Division

Responsible Entity	Core Responsibilities
Distributor	Provide qualification documents, bear procurement costs, own goods ownership and fund rights, review operation plans, and pay service fees
Alikea	Provide operation-on-behalf services, coordinate the supply chain (customs clearance/bonded warehouse/logistics), conduct compliance control, and provide data feedback

(III) Mode 2: Authorized Procurement and Listing Mode

Core Positioning: Distributor only acts as a supplier, providing products and authorization to Alikea. Alikea is responsible for the entire process of procurement, operation, and sales, bears all costs and risks, and the two parties only have a procurement cooperation relationship.

1. Authorization and Procurement Process

1. Authorization Handling: Distributor issues a brand authorization letter to Alikea (clearly defining the authorization scope as Chinese e-commerce platforms and the authorization period), and provides qualification documents such as product sales right certificates and quality inspection reports;

2. Procurement Negotiation: Alikea submits a procurement plan based on market demand, clarifying product models, quantities, and procurement prices (based on Distributor‘s basic procurement price, with an additional 3%-5% added). The two parties sign a procurement agreement; Alikea will simultaneously provide quotes from at least 2 similar suppliers for reference to ensure the fairness of the procurement price, and finally select the best partner.

3. Procurement Payment: Alikea will transfer the procurement payment to Distributor‘s designated U.S. bank account within 3 working days after the signing of the procurement agreement.

4. Goods Delivery: Distributor prepares the goods in accordance with the procurement agreement, and Alikea arranges for goods pickup, transportation and other matters.

2. Subsequent Operations (Independently Undertaken by Alikea)

1. Supply Chain Link: Alikea independently handles customs declaration, commodity inspection, bonded warehouse storage, and subsequent delivery, and bears all fees such as customs clearance fees, logistics fees, and bonded warehouse storage fees;

2. Store Operation: Alikea lists the products in its own e-commerce stores, independently formulates sales prices, conducts marketing promotions, and bears operation costs;

3. Inventory and Risks: Alikea independently manages inventory and bears risks such as inventory backlog and near-expiration loss. It only needs to synchronize the goods warehousing confirmation information to Distributor in accordance with the procurement agreement;

4. Payment and Collection: Alikea independently collects sales funds, and there is no capital transaction with Distributor. Distributor only obtains procurement profits.

3. Fees and Responsibilities

• Basic Fees: Distributor only collects product procurement payments and does not bear operation and supply chain fees such as service fees and software subscription fees; Alikea bears all post-procurement process fees, including service fees incurred by its own operations and MboomTech + Shipedge software subscription fees.

• Project Fees: If Alikea needs value-added services such as API docking and customized system services for the business under this mode, it will pay the project fee separately; in the distribution link, Alikea obtains commission income from reverse distribution and joint-brand cooperation.

• Responsibilities: Distributor is responsible for providing qualified products and authorization documents. Alikea bears all post-procurement risks and operation responsibilities. Distributor only has the right to supervise the product display content.

IV. Full-Channel Distribution Specialized Services (MboomTech S2B2C System)

To further expand the sales boundaries of Distributor in the Chinese market, Alikea can provide full-channel distribution specialized services relying on the MboomTech system, which is an important supplement to the aforementioned dual e-commerce cooperation modes. Alikea’s service advantage is not only limited to the operation of mainstream e-commerce platforms, but also can help Distributor enter the promising distribution market, realizing the dual-drive of “e-commerce + distribution”.

1. Core Service Positioning

Build a digital distribution system based on the MboomTech S2B2C system, connecting the entire chain of “brand owner – distributor – consumer”, covering multiple online and offline distribution scenarios. At the same time, integrate the characteristic model of “reverse distribution of Alikea’s own brands” to help Distributor quickly reach consumer groups beyond the traditional e-commerce platforms, and at the same time expand profit channels, realizing the multi-drive of “e-commerce + distribution + two-way income”.

2. Core Function Support of the S2B2C System

• Distributor Management: Supports the entry of multiple types of distributors such as individual store owners, community group leaders, and corporate procurement service providers. It completes qualification review, hierarchical management, and permission configuration through the system, realizing digital management of the entire life cycle of distributors;

• Order and Inventory Coordination: The system synchronizes bonded warehouse inventory data in real time, supports distributors’ orders to be automatically connected to the inventory, and realizes flexible delivery modes such as “drop-shipping for a single item” and “bulk procurement”, avoiding the risk of inventory backlog or stockout;

• Commission and Settlement Management: The commission ratio can be flexibly configured according to product categories, distributor levels, and sales performance. The system automatically calculates the commission amount and generates a settlement report monthly, ensuring transparent and efficient commission settlement;

• Data Visualization Analysis: Provides a panoramic data report on distribution, including core indicators such as distributor activity, sales contribution ratio of various channels, and product sales rate, helping Distributor clearly grasp the performance of the distribution business and optimize strategy adjustments.

3. Covered Core Distribution Channels

With its own channel resources and the enabling capabilities of the S2B2C system, Alikea can cover the following mainstream distribution scenarios:

• Online Distribution: Douyin influencer distribution, Xiaohongshu blogger product promotion, community group buying platforms, and vertical health-care small e-commerce;

• Offline Distribution: Health management centers, maternal and child stores (for children’s health products), and corporate employee welfare procurement channels;

• Special Distribution: Cross-border duty-free shops and high-end club supporting sales channels.

• Reverse Distribution Special Item: Relying on Distributor‘s distribution network and brand influence, Alikea’s own brands and OEM brands from Chinese factories are incorporated into its distribution system, realizing “two-way distribution” – Distributor not only promotes its own products, but also obtains additional commission income by distributing Alikea’s brands, enriching the profit model.

4. Adaptation Methods with the Dual Cooperation Modes

• Adaptation to Mode 1 (Specialty Store Operation on Behalf of Others): The distribution business is accessed as a supplementary module. Alikea assists in formulating distribution policies and manages them through the S2B2C system; during the reverse distribution of Alikea’s own brands, Distributor obtains a 5%-8% commission, and the distribution income belongs to it. Alikea charges a special distribution service fee or accrues a commission based on sales volume. Distributor bears the basic subscription fee of the MboomTech system. For customized services such as API docking, a separate project fee is paid.

• Adaptation to Mode 2 (Authorized Procurement and Listing): Alikea independently carries out distribution business and integrates e-commerce and distribution inventory; in the reverse distribution link, Distributor does not need to bear software fees and operation costs. If customized data analysis services are required, Alikea pays the project fee separately. The distribution profit belongs to Alikea, and Distributor can view the desensitized distribution data.

V. Introduction to Alikea Cross-Border E-Commerce Full-Chain Management System

Alikea System is a cross-border e-commerce digital management platform focusing on the full-chain collaboration of “brand owner – distributor – consumer”. It integrates core capabilities such as supply chain management, multi-channel distribution, compliant customs clearance, and intelligent warehousing, supports independent bill accounting and cross-platform commodity circulation, and provides enterprises with an integrated solution from supply integration to terminal consumption. At the same time, the Alikea System is deeply integrated with the professional system capabilities of MboomTech and Shipedge, and realizes real-time linkage between the platform, fulfillment system, and customer data through API connection, building a complete technical support and revenue closed-loop system.

(I) Core Positioning of the System

Alikea is a full-chain collaboration platform specially built for cross-border e-commerce. Its core goal is to connect upstream and downstream data, simplify compliance processes, and reduce operation costs:

• Connect with global brand owners and suppliers upstream to integrate high-quality supply sources;

• Realize efficient cross-platform commodity circulation in the middle, supporting one-click distribution to multiple channels;

• Empower multi-level distributors downstream to connect with the Chinese e-commerce consumer market;

• Run through the entire process of “supply source – warehousing – customs clearance – distribution – fulfillment – after-sales”, realizing the synergy and unification of commodity flow, order flow, fund flow, and data flow.

(II) Core Function Modules

1. Multi-Platform Commodity Integration Hub: One-Click Store Shelving and Efficient Cross-Platform Circulation

The core advantage of the system lies in breaking the barriers of cross-border e-commerce platforms and realizing the rapid aggregation and distribution of multi-source commodities:

• One-Click Access to Global Platform Commodities: Seamlessly connect with major overseas platforms such as Amazon, Shopify independent stations, WordPress self-built stations, Walmart, and eBay. It supports merchants to collect existing store commodities into the Alikea commodity pool with one click, and automatically synchronizes commodity information such as titles, main images, details, and specifications without repeated uploading.

• Intelligent Compliance Processing of Commodities: Built-in cross-border commodity compliance verification tool, which automatically optimizes the collected overseas commodity information – supplements Chinese labels, matches customs codes, and improves qualification descriptions required for customs declaration to ensure compliance with China’s import supervision requirements.

• One-Click Distribution to Chinese Platforms: Commodities that have completed compliance processing can be directly shelved on Chinese e-commerce platforms such as Tmall Global, JD Worldwide, and Pinduoduo International with one click, and inventory and price information can be updated simultaneously, realizing efficient circulation from “overseas supply sources to Chinese market”.

• Unified Commodity Pool Management: Integrate full-channel commodity data, support classified management by category, sales volume, inventory and other dimensions, and provide batch operation functions such as commodity on-shelf/off-shelf, price adjustment, and inventory warning, reducing multi-platform operation costs.

2. Cloud Warehouse Platform ERP: Core of Supply Chain and Distribution

As the operation hub of the system, Alikea Cloud Warehouse Platform ERP is deeply integrated with the core functions of MboomTech, focusing on multi-subject collaboration and intelligent fulfillment, realizing full-dimensional management of inventory, orders, and channels:

• Multi-Subject and Channel Management: Supports the entry of multiple roles such as brand owners, suppliers, and distributors, provides functions such as qualification review, contract management, and settlement reconciliation, and each subject has an independent operation background; at the same time, it integrates the channel management capabilities of MboomTech to realize digital management and permission configuration of the full-channel distribution network.

• Inventory and Order Synchronization: Based on the MboomTech inventory management module, it synchronizes customer inventory data in real time. Combined with the intelligent order matching algorithm, it automatically matches the optimal delivery source based on big data analysis of consumer addresses, order timeliness requirements, and supplier inventory locations. It supports flexible fulfillment methods such as order splitting and merging to ensure accurate linkage between orders and inventory data.

• Supply Chain Platform Support: With the MboomTech supply chain platform as the core, it connects the full-process data chain of “procurement – warehousing – distribution – fulfillment”, provides distributors with exclusive promotion tools and commission settlement statistics, supports customized pricing strategies, and synchronizes sales data and revenue in real time.

• Customs Declaration Connection: Integrates the MboomTech customs declaration function module, which can directly connect to the customs system to complete the pre-processing of declaration data, providing accurate data support for the subsequent customs process.

3. B2B2C Full-Channel Retail System: Connecting Terminal Consumption

Build a full-scenario retail matrix of “private domain + public domain” to meet compliance and consumer experience needs. The public domain channels refer to major e-commerce platforms such as Tmall Global, JD Worldwide, and Pinduoduo International. The system can realize traffic interconnection and data synchronization between private and public domains:

• Private Domain Cross-Border Mall: Provides standardized mall templates for mini-programs/APPs, supports customized decoration and marketing activities, and automatically collects consumer identity information to complete the customs “three-order verification” in line with the No. 179 inspection requirements.

• Linked Operation of Public and Private Domains: Supports guiding consumers from public domain platforms (Tmall, JD.com, etc.) to the private domain mall, and improves repurchase rate through exclusive member benefits; at the same time, the best-selling data from the private domain can be synchronized to the public domain to assist in optimizing the operation strategy of public domain stores.

• Member Operation: Establishes a unified consumer membership system, connects public and private domain member data, and provides exclusive benefits based on consumer behavior classification to assist merchants in accumulating private domain traffic.

4. Customs and WMS System: Compliance and Fulfillment Guarantee

Covering the full-process compliance and warehousing management of cross-border business, Alikea Customs and WMS System is deeply integrated with Shipedge’s professional fulfillment capabilities to ensure efficient commodity circulation and closed-loop reverse logistics:

• Full-Process Customs Support: Seamlessly connects with the Customs Single Window and cross-border public service platforms in various regions, supporting the full-chain customs clearance from the first-line entry declaration of bonded imported goods, to the three-order verification/list declaration for customs clearance, and the second-line exit clearance. It forms data linkage with the MboomTech customs declaration module.

• WMS/OMS Integrated Management: Integrates Shipedge’s WMS (Warehouse Management System) and OMS (Order Management System), adapts to the daily operations of bonded warehouses, covers the entire process of warehousing, storage, picking, and packaging, supports batch management, expiration warning, and real-time inventory monitoring, realizing efficient collaboration between warehousing operations and order processing.

• Fulfillment and Transportation Management: Relying on Shipedge’s fulfillment management and transportation engine, it links with major cross-border logistics providers such as SF Express and 4PX, intelligently plans transportation routes, provides real-time tracking of logistics trajectories, and integrates its return/reverse logistics functions to establish a complete return and exchange processing process and improve consumer experience.

• BI Report Support: Embeds Shipedge’s BI report module, which automatically generates core indicator reports such as warehouse turnover rate, fulfillment timeliness, and logistics costs, providing data insights for operational decision-making.

5. Independent Billing and Data Module

Supports refined accounting for multiple subjects and data-driven operations:

• Independent Billing and Accounting: Generates exclusive bills for brand owners, distributors, and warehousing parties, automatically calculates data such as revenue, costs, and commissions, and supports connection with financial systems such as Kingdee and UFIDA.

• Data Insights: Provides core reports such as sales trends, commodity popularity, and channel conversion, assisting merchants in optimizing product selection and operation strategies.

(III) Core Advantages of the System

• Efficient Cross-Platform Integration: One-click connection between overseas supply platforms and Chinese sales channels, reducing the threshold for multi-platform operations;

• Full-Process Compliance Guarantee: Embeds customs supervision requirements, ensuring compliance throughout the process from commodity filing to customs declaration, reducing policy risks;

• Low Threshold and Easy Operation: Standardized templates and automated functions enable small and medium-sized merchants to launch quickly without a professional team;

• High Elasticity and Scalability: Supports adding channels and expanding supply sources as the business grows, adapting to high-concurrency scenarios during major promotions;

• System Collaboration Capability: Connects the MboomTech platform, Shipedge fulfillment system, and customer inventory/order data through API, realizing real-time synchronization of full-chain data, breaking information silos, and improving operation efficiency.

• Efficient Cross-Platform Integration: One-click connection between overseas supply platforms and Chinese sales channels, reducing the threshold for multi-platform operations;

• Full-Process Compliance Guarantee: Embeds customs supervision requirements, ensuring compliance throughout the process from commodity filing to customs declaration, reducing policy risks;

• Low Threshold and Easy Operation: Standardized templates and automated functions enable small and medium-sized merchants to launch quickly without a professional team;

• High Elasticity and Scalability: Supports adding channels and expanding supply sources as the business grows, adapting to high-concurrency scenarios during major promotions.

(IV) Summary of Charging Modes and Revenue Closed-Loop

1. Classification of Core Charging Modes

Based on its full-chain service capabilities, Alikea has built a diversified charging system of “basic services + value-added services + incentive commissions”, covering the entire cooperation process, as follows:

• Service Fees: Core basic charges, combined according to service content, including operation on behalf of others, distribution expansion, compliance registration, customs clearance and return, etc., flexibly adapting to different cooperation needs.

• Software Subscription Fees: Necessary fees for using the MboomTech and Shipedge systems, ensuring the efficient operation of inventory, orders, distribution and other links. It is subscribed annually and supports module selection on demand.

• Distribution Commissions/High Commissions: Core of interest binding, setting high commissions (6%-8%) for reverse distribution and joint-brand cooperation to drive joint promotion by both parties and realize revenue linkage.

• Project Fees: Customized value-added charges to solve personalized needs such as API docking, system customization, and exclusive data analysis, with accurate quotes based on the project.

2. Revenue Closed-Loop System

While achieving its own revenue through a diversified charging model, Alikea also helps clients enhance their profitability:

• Diversified Revenue Structure: Centered on “software subscription + service fee + distribution commission + project fee”, it covers both basic services and value-added needs, ensuring stable and sustainable revenue sources.

• Customer Value-Driven: Professional services help Distributor reduce operating costs and increase sales revenue. As customers’ profitability grows, they will take the initiative to stock up, forming a positive cycle of “customer benefit – active stock-up – our reduced inventory cost” and achieving a win-win situation for both parties.

Based on its system integration capabilities, Alikea has built a sound revenue closed-loop to achieve mutual benefit between our company and customers:

• Diversified Revenue Structure: The core revenue model is “software subscription + fulfillment service fee + distribution commission + high-value-added profit”. Software subscription covers the basic usage rights of the system; fulfillment service fee corresponds to practical services such as warehousing and logistics; distribution commission is realized through the omni-channel distribution network; high-value-added profit comes from value-added services such as compliance consulting and customized solutions.

• Customer Value-Driven: Efficient system operation helps customers increase sales performance and reduce operating costs, realizing customer benefits. Driven by profit growth, customers take the initiative to stock up, forming a positive cycle of “customer stock-up – our reduced inventory cost”, which further optimizes the cooperation benefits for both parties.

VI. Implementation Plan (Marked by Cooperation Mode)

Time Period	Core Tasks (Mode 1)	Core Tasks (Mode 2)	Responsible Party
Week 1-2	Communicate and confirm details of entrusted operation, sign the entrusted operation agreement; Distributor provides qualification documents.	Negotiate procurement price and terms, sign the procurement agreement; Distributor issues authorization documents and product information.	Alikea + Distributor
Week 3	Notarize and authenticate qualification documents; handle customs filing and platform entry in the name of Distributor; design store visuals.	Alikea pays the full procurement amount to Distributor‘s U.S. bank account.	Alikea (leading); Distributor (coordinating)
Week 4-5	Complete platform entry; optimize and launch product information; assist in customs clearance of goods and warehousing in bonded warehouses; conduct customer service training.	Alikea arranges international logistics for goods pickup independently, transports goods to the designated bonded warehouse, and submits customs clearance materials simultaneously to initiate the declaration process.	Alikea + Distributor (Mode 1); Alikea (Mode 2)
Week 6	Launch initial marketing promotions; carry out daily operations; synchronize sales data daily; submit inventory reports weekly.	Complete customs clearance and warehousing in bonded warehouses; Alikea optimizes and launches product information on its own stores; formulate the first-month promotion plan.	Alikea (leading); Distributor (coordinating) (Mode 1); Alikea (Mode 2)
Week 7-10	Implement mid-term marketing strategies; complete the first cooperation evaluation; adjust operation plans; Distributor pays service fees.	Launch store sales promotions; track inventory and orders in real time; complete delivery and after-sales handling of the first batch of orders.	Alikea + Distributor
Week 11-24	Strive for the ranking of high-quality stores on the platform; expand emerging channels such as Douyin; optimize supply chain processes.	Expand promotion scale; analyze sales data to optimize product selection; complete inventory replenishment independently and conduct full-process risk control.	Alikea (leading); Distributor (supporting) (Mode 1); Alikea (Mode 2)

VII. Advantages of Alikea

(I) Dual-Mode Adaptability

With over 10 years of experience in health product entrusted operation and procurement, Alikea can not only flexibly switch e-commerce cooperation modes according to the needs of Distributor, but also provide omni-channel distribution services relying on the S2B2C system. Under the entrusted operation mode, it safeguards the rights and interests of the brand entity; under the procurement mode, it lowers the cooperation threshold; distribution services can be combined on demand, helping Distributor break through the limitations of a single e-commerce channel and reach a broader distribution market.

(II) Supply Chain Resource Integration

Relying on systems such as MboomTech and Shipedge, Alikea realizes multi-warehouse transfer and transparent inventory. Combined with bonded warehouses at multiple ports across the country and Class A customs clearance qualification, the customs clearance efficiency is increased by 30%. It also integrates logistics resources such as SF Express and JD Logistics to ensure efficient fulfillment within 48 hours, providing stable supply chain support for omni-channel business.

(III) Professional Operation Team

All team members have more than 5 years of experience in health product e-commerce operation and are familiar with platform rules and compliance requirements. At the same time, there is a dedicated distribution team with rich resources of distributors and experience in channel development, which can quickly build a distribution network. In addition, data analysts optimize e-commerce and distribution promotion strategies in real time, and the customer service team holds health manager certificates to ensure service professionalism.

(IV) Risk Control System

A dynamic regulatory ledger has been established, with special personnel tracking policy updates in the health product industry; the inventory early warning system can issue replenishment reminders 7 days in advance to avoid stockouts; a monthly compliance self-inspection mechanism is carried out, covering all links such as product promotion and capital flow, to avoid operational risks.

(V) Customer Service Guarantee

A dedicated project team (including operation manager, foreign trade specialist, and data specialist) is assigned to Distributor to respond to needs 24/7. Monthly online communication meetings are held, and real-time data synchronization is provided through the S2B2C system to ensure transparent information about e-commerce and distribution cooperation.

VIII. Risk Prevention and Control Measures

(I) Market Risks

Mode 1: Establish a weekly competitor monitoring mechanism (covering e-commerce and distribution channels) to track the price and promotion dynamics of similar products in real time and adjust marketing strategies flexibly. Mode 2: Alikea formulates procurement plans based on e-commerce + distribution sales data to reduce the risk of inventory overstock. Distribution Business: Analyze the sales rate of distribution channels through the S2B2C system, and optimize the distributor structure and product configuration in a timely manner.

(II) Supply Chain Risks

Mode 1: Reserve 15 days in advance for international transportation and customs clearance, and sign a priority warehousing agreement with bonded warehouses; synchronize e-commerce and distribution inventory through the S2B2C system to avoid inventory allocation conflicts; if customs policies are adjusted, a response plan will be submitted within 24 hours. Mode 2: Alikea assumes full responsibility for supply chain risks, and the inventory risks in the distribution link are also controlled by Alikea.

(III) Compliance Risks

Mode 1: All product promotion content and operational actions must be confirmed by Distributor, and Alikea provides a compliance audit report. Mode 2: Alikea ensures operational compliance independently and submits the results of compliance self-inspection to Distributor regularly. Distribution End: Monitor the promotion content of distributors through the S2B2C system to prevent illegal promotion and low-price cross-selling.

(IV) Capital Risks

Mode 1: The platform supervision account ensures capital security; Alikea assists in verifying settlement data and contacts the platform in a timely manner if abnormalities occur. Mode 2: Alikea pays the amount on time in accordance with the procurement agreement.

IX. Successful Cases of Alikea

Alikea has been deeply engaged in the operation and distribution of health products in China’s e-commerce market for many years, having served more than 50 overseas health product enterprises, covering individuals, agents, brand owners and other entities. It solves the problems of entering the Chinese market through customized solutions. The following three types of cooperation cases intuitively present its service advantages and results in the form of a table.

Information Category	U.S. Individual Company(Market in the Box)	U.S. Well-Known Health Product Agent(Dailyvita)	U.S. Professional Health Product Brand(Zahler)
Partner Information	Based in California, mainly engaged in natural dietary supplements such as probiotics and dietary fiber; has cooperated with Alikea for 12 years.	First-level agent for many well-known European and American brands such as SOLGAR, NOW, JARROW, and ENZYMEDICA; total SKUs exceed 4,000; has cooperated with Alikea for 7 years.	Family brand founded by Dr. Zahler in 2005; core product lines include Chapter One children’s soft candies and Mantra Labs light sports nutrition; new partner of Alikea.
Cooperation Background	High-quality products and independent procurement channels, but lack of operational capabilities in the Chinese market; in need of a professional team to build a system for entering China.	Rich product matrix, but lack of capabilities in entering, operating and channel development in the Chinese market; in need of a professional partner to avoid risks and open the market quickly.	High popularity and high-quality products in the local market, but encountered problems of difficult compliance filing and poor channel adaptation when entering China; failed in self-built team operation.
Cooperation Mode	Entrusted operation of multi-platform specialty stores, undertaking full-link services such as qualification filing and store construction; settled in Tmall Global, JD Worldwide, and Pinduoduo Cross-Border; implemented the strategy of “unified brand + differentiated operation”.	Combination of entrusted operation + authorized procurement + omni-channel distribution; provides full services for entry and operation, undertakes part of the inventory and puts it on its own stores; builds an online and offline omni-channel distribution network through the S2B2C system.	Integrated services of in-depth entrusted operation + omni-channel distribution + compliant supply chain; responsible for the operation of Tmall/JD Worldwide stores.
Core Achievements	1. Has 8 stores so far after 12 years of cooperation, covering major well-known e-commerce platforms in China; 2. . Annual sales volume stabilizes at 20 million RMB, exceeding 8 million RMB in the first year; JD Worldwide store achieved over 1.2 million RMB in sales during the Double 11 promotion.	1. Has 12 stores so far after 7 years of cooperation, with an annual sales volume of 25 million RMB; 2.  Sales volume exceeded 10 million RMB in the second year of cooperation.	Although it is a new cooperation, stores on three major platforms (JD, Tmall, and Pinduoduo) have been opened in a short period of time;

Case Summary: Alikea – The All-Round Partner for Overseas Health Product Enterprises Entering China

From the “rapid volume growth” of individual companies, to the “multi-brand activation” of agents, and the “breakthrough and rebirth” of established brand owners, Alikea, with its accurate insight into the needs of different types of partners, has become a core support for overseas health product enterprises to deeply cultivate the Chinese market through customized cooperation modes, full-link service capabilities and rich channel resources. Whether it is platform entry, entrusted operation, compliance filing, distribution expansion or supply chain optimization, Alikea can provide practical and effective solutions to help overseas enterprises reduce risks, improve efficiency, and achieve dual growth in performance and brand.

Cooperation Access Instructions: To ensure service quality and cooperation results, Alikea implements a quota management system for the number of cooperative overseas health product enterprises. Enterprises interested in cooperation need to submit relevant qualification documents (such as overseas enterprise entity certificates, brand authorization documents, product quality inspection reports, etc.) first. Alikea will conduct a comprehensive review based on enterprise strength, product competitiveness, market adaptability and other dimensions. After passing the review, the cooperation process will be officially launched.

X. Follow-Up Action Steps

1. Preliminary Connection: Both parties arrange a special meeting, where Peak10 clarifies the preliminary intended cooperation mode, and Alikea explains the mode details and related cases in a targeted manner.

2. Plan Refinement: Based on the intended mode, Alikea submits a personalized operation plan (Mode 1) or procurement plan (Mode 2) within 5 working days, clarifying the service content, fees and objectives.

3. Agreement Signing: Both parties negotiate and confirm the details of the plan, and sign the formal cooperation agreement and supporting documents (authorization letter, non-disclosure agreement, etc.).

4. Initiation of Preparation: Distributor provides the required qualification documents; Alikea establishes a dedicated project team, clarifies the responsible persons and time nodes, and initiates the preliminary preparation work.

With rich industry experience, flexible dual cooperation modes, professional operation capabilities and abundant resource reserves, Alikea is full of confidence in the cooperation with Distributor. We are willing to provide customized services according to the development needs of Distributor, and work together to explore the broad Chinese market. We look forward to your positive response to build a bright future together!

Alikea Company

January 28, 2026