DJ Alibaba May De-Emphasize Big Promotional Events After Probe -- Market Talk
0542 GMT - Alibaba might ease its emphasis on big promotional events on its e-commerce platform in the coming years, as the tech giant ends forced exclusivity for merchants following an antitrust probe by Chinese authorities, Citi says. Historical data suggests that most of the company's exclusivity restrictions, which prevented merchants from participating in promotions on platforms other than Alibaba's, took place during events such as Singles' Day to keep customer traffic within its ecosystem, Citi says. If exclusivity is no longer guaranteed, Citi reckons Alibaba could possibly de-emphasize big promotional periods to avoid extra costs on merchant-traffic support during such events. Shares are up 1.6% at HK$237.00. (yifan.wang@wsj.com)
(END) Dow Jones Newswires
April 14, 2021 01:42 ET (05:42 GMT)
Copyright (c) 2021 Dow Jones & Company, Inc.