PDD Holdings, the parent company of Pinduoduo, a social commerce platform in China, and Temu, an e-commerce fashion marketplace in America, now has a higher market capitalization than Alibaba.
With a current business valuation of $186 billion, PDD surpasses Alibaba’s $185 billion. However, in terms of market share within China, Alibaba still holds a significant advantage over Pinduoduo.
Alibaba’s stock price has recently been affected by several issues, including the IPO suspension of Alibaba Cloud due to the impact of export restrictions on AI chips in China. Meanwhile, Pinduoduo’s focus on offering affordable products has proven successful during these challenging economic times, leading to an expansion in its market.
TLDR: PDD Holdings, the owner of Pinduoduo and Temu, now has a higher market valuation than Alibaba. Despite this, Alibaba still holds a stronger market share in China. Alibaba’s stock price has faced challenges recently, while Pinduoduo has benefited from its emphasis on affordability, leading to market expansion.
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