Jack Ma’s Visit to US not meant for US Market Share
Chinese e-commerce giant Alibaba Group Holding Ltd is not looking forward to battle for US market share. It is rather looking to provide help to small US businesses to sell more goods in China, said Executive Chairman Jack Ma.
Ma is due for a visit to the United States this week to discuss Alibaba’s global strategy and to clarify many wrong beliefs about the company, spokesman Greg Jenkins said in an email.
Ma told the Economic Club of New York on Tuesday that their visit to the US is not at all intended to compete. Alibaba’s dominant domestic online marketplaces are the major source of Alibaba’s revenue. However, the company has showed increasing interest in investing money in a gamut of sectors abroad.
Jack Ma said he has been asked several times about plans to enter the US market to battle Amazon.com Inc and Ebay Inc. The company last year came up with a small direct-to-consumer U.S portal, 11Main.com, a collection of Internet storefronts for smaller businesses.
“The opportunity and the strategy for us is helping small business in America go to China, sell their products to China”, said Ma.
He said Alibaba is keen to build its e-commerce infrastructure outside China. Alibaba’s revenue from China commerce sought a rise of 39% to $2.2 in the first three months of the year.
A rise of 27% was also seen in international commerce to $264 million, but its contribution to revenue was only 9% compared with 11% in the same period a year earlier.