Friday, July 27, 2012

Alibaba Group reorganizes business units


News this week: China’s leading e-commerce company Alibaba Group announced the organisational restructuring of the company into seven major business groups. The sub-business groups will comprise of: Taobao.com, eTao, Tmall.com, and Juhuasuan; Alibaba International Business Operations (formerly the international unit of Alibaba.com); Alibaba Small Business Operations (the domestic unit of Alibaba.com); and AliCloud. The presidents of the seven business groups will report directly to Alibaba Group chairman and CEO Jack Ma.

This is the first reorganisation since Alibaba.com was privatised a month ago. Alibaba’s online payment division, Alipay, will remain an affiliate of the Alibaba Group. The company’s management aims to establish “unified data, safety, risk management and technology foundation” through the restructuring, with more emphasis placed on implementing company-wide management and I.T. systems.

Mr Ma was quoted in an internal company e-mail, “We must accelerate the implementation of the ‘One Company’ strategy and effectively integrate the China Business Unit with Taobao marketplace so as to truly create a mechanism for openness, synergy and sharing.”

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