Alibaba Group Holding Ltd (NYSE: BABA) is a giant in the e-commerce market in China, as the company is now making significant moves into the Europe E-commerce Market.
Jack Ma begins to make public appearances
The company was among the top E-commerce companies that sold consumer goods in eastern Europe in 2020. However, this revelation was a decline from the company’s position in 2019.
With the crackdown on multi-billion companies by the Chinese government, it was clear that Alibaba’s stock would plummet and that the company disappeared for a few months. People speculate that the government has a hand in the disappearance of the company’s founder, Jack Ma, after he gave a speech to China’s financial industry elite.
Fortunately, after a few months, Ma has made several appearances. These appearances include a rural elementary school in Hong Kong, a video conference, and Spain. Some believe that the appearances might have instilled fear in the company’s shareholders as investors ask if buying Alibaba stock is worthwhile.
At the end of the second quarter, Insider Monkey found that Alibaba was in 146 hedge fund portfolios. This figure was an 8% improvement from the last quarter. After they made evaluations, they discovered that 154 of the funds held shares or in BABA. These hedge funds include Polunin Capital, among others.
Alibaba’s Singles Day Festival
Alibaba plans on taking advantage of its Singles Day shopping festival, which will upgrade its positioning. The festival is held annually and conducted in China on November 11. It has become the most significant online shopping day in the world.
Alibaba has, in recent years, used AliExpress, an e-commerce website created to cater to consumers outside China, and thus promoted the Singles Day festival. Li Dawei, the head of the website’s Supply Chain, stated that Aliexpress was also looking forward to luring local merchants in Europe to the merchant’s platform through the website’s subsidies.
Consumers have viewed this move as brilliant as the company is targeting the growing e-commerce market in Europe. The market would offer a cushion for the company amidst its domestic economy that is weakening the ability to satisfy consumers.
