Chinese company Alibaba does huge business, and therefore is going to be worth a lot of money. Last year, Alibaba sold $248 billion in goods—everything from frozen fish fillets to Nike sneakers to used jetliners. In one day last year, it saw $5.8 billion in transactions. Alipay was used in payments worth $519 billion. Alibaba is the biggest e-commerce site in the world’s fastest-growing economy, one where many inhabitants aren’t even online yet. Because it functions largely as a marketplace, Alibaba’s operating costs are relatively low, and that, along with its very low taxes, means it enjoys profit margins of 45 percent.

Analyst estimates for the company’s post-IPO value range from $136 billion to $245 billion. If it’s anywhere but at the bottom of that range, that means the company will be more valuable than Facebook (FB).

http://www.businessweek.com/articles/2014-05-06/alibaba-files-for-an-ipo-why-you-should-care#r=read