Alibaba, the Chinese multinational conglomerate, is reportedly considering selling its subsidiary retail businesses, including supermarts like Freshippo and RT-Mart, as well as the department store InTime. This move comes as CEO Eddie Wu aims to refocus Alibaba on its core e-commerce business segments that are still profitable, while divesting from other non-profitable ancillary ventures.
According to reports, Alibaba is in the early stages of the divestment process, engaging with financial advisors to identify potential buyers for these businesses.
Analysts note that this decision follows Alibaba’s previous announcement of a new business strategy, after former CEO Daniel Zhang stepped down. The company is now placing greater emphasis on its core e-commerce business in China, along with increased investments in AI and cloud technology. Additionally, Alibaba aims to expand its e-commerce operations internationally. As a result, it is looking to sell off businesses that are outside of these focus areas.
TLDR: Alibaba is considering selling its retail subsidiary businesses, such as supermarts and department stores. The company seeks to prioritize its profitable e-commerce ventures and divest from non-profitable ventures. Alibaba’s new strategy involves focusing on its core e-commerce operations in China, investing in AI and cloud technology, and expanding its international e-commerce footprint.
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