Jack Ma, founder of Alibaba, made his first public appearance in China after months of absence. Following this, Alibaba announced a major reorganization of its business. This move is seen as a signal that the Chinese government may be easing its stance on tech giants after a crackdown that began in late 2020.
Ma praised Alibaba’s reorganization and transformation over the past tumultuous year in his second major public statement to employees. The company underwent significant changes in management and structure to drive growth.
Alibaba faced challenges including regulatory scrutiny, competition, and management changes, resulting in a drop in its value. The company split into six business groups for agility and made strategic shifts in leadership, with Daniel Zhang stepping down as CEO.
Ma’s return comes at a crucial time for Alibaba employees, who may need morale boost. He acknowledged the transformation efforts of the new leadership and emphasized the importance of reimagining e-commerce in the era of artificial intelligence.
Jack Ma, the founder of Alibaba, has made a public appearance in China after months of absence. This comes as Alibaba announced a major reorganization of its business, which experts see as a signal that the Chinese government is softening its stance toward tech giants following a crackdown that began in late 2020.
In the past year, Alibaba has undergone significant changes and management reshuffling in an effort to return the company to growth. Ma praised the company’s reorganization in an internal memo to employees, highlighting the strength and courage of the team amidst external and internal pressures. The company’s U.S.-listed shares were up nearly 2% following Ma’s public statement.
Alibaba faced challenges in recent years due to tougher regulations from Beijing and increased competition from rivals. Last year, the company underwent its biggest overhaul, splitting into six business groups to improve agility. This restructuring was accompanied by management changes, including the departure of longtime CEO Daniel Zhang.
Ma’s reemergence is seen as a morale boost for Alibaba employees, with the founder praising current leadership for their transformative efforts. He also emphasized the need for Alibaba to adapt to the changing landscape of e-commerce, particularly with the impact of artificial intelligence in the industry.
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