So Alibaba, China’s online shopping giant, and their answer to Amazon, is in the news again. And it’s for the wrong reasons again. This is Alibaba on US’s watch list. But what’s the real reason?
The government claims they’re doing this because Alibaba sales and trades too many pirate goods. Those are knock-off goods that look real, but are faker than fake. For example, imagine getting a Gucci handbag for $20, or a copy of Avengers: The End Game only a week after it’s theater debut. In fact, one agency calls them ‘notorious’ for dealing in counterfeit goods. Furthermore, they say Alibaba doesn’t have the will and/or procedures to stop this kind of trading.
But if Alibaba feels alone, they shouldn’t. Because much of China’s business world is under scrutiny for piracy. In fact, that nation alone counts for over half of pirated goods trying to get into the US. Sometimes they make it. Other times the gov’t intercepts them at borders and customs. They report these sorts of list every year. The agencies insists this list has nothing to do with the current trade war going on between China and the US. However, let’s dig a little deeper.
So China and the US are fighting for title of the world’s biggest economy. Also, allegations on both sides are everywhere, even in the IT service game. I’m talking about everything from stealing trade secrets to exploiting technology information. In computer repair, we cringe when we have to tell a client, “The part has to come from China.”. How do you think that makes us feel? And you know Amazon and Alibaba are fighting over consumers. So I wonder could Amazon have something to do with this. Could the current trade war have something to do with this? They say it doesn’t, but are you going to believe everything you hear? So this is Alibaba on US’s watch list. But what’s the real reason?