Alibaba attempts to acquire Kaola to fortify its cross-border business
Posted On August 15, 2019
The possible merge-and-acquisition indicates an e-commerce market consolidation of the two Chinese cross-border leaders. To fend off the aggressive development from the social e-commerce platform Pinduoduo which has become a major purchasing force from lower-tier cities, Alibaba’s acquisition move could enhance its presence among high-end consumers who are interested in buying from overseas. Currently, Alibaba-backed Tmall International made up 32.3% of China’s cross-border e-commerce market in the first quarter this year, followed by NetEase Kaola with 24.8%.