Chairman Daniel Zhang expressed his hopes for these divisions to become major players in their respective industries, stating, “We would love nothing more than to see one of these little Alibabas…becoming another big Alibaba, as big as the group company is right now.”
Alibaba faces challenges from the rising competition in the ecommerce sector, with platforms like Pinduoduo and Douyin (known as TikTok outside of China) gaining market share. Additionally, the ongoing COVID-19 pandemic has impacted consumer spending and created a tough economic environment for businesses.
