If you have been tracking Chinese e-commerce, then you will be aware that by now, most of China’s top-tier cities are saturated. Multiple e-commerce giants are already serving the urban market, and competition is intense. So, the focus has now shifted to second and third-tier cities. Rural China holds the key to the future growth prospects of the large e-commerce firms that have already become significant in terms of size and market share. Alibaba is the leading e-commerce company in China. It holds a 62% market share. Chinese consumers have witnessed tremendous industrialization in just a few decades. The current lifestyle is closely linked with technology, and there is almost a cost for not adopting a tech-driven lifestyle. Tech majors like Alibaba benefit from such trends and are among the best ecommerce stocks to buy.
Alibaba Cloud Computing
Alibaba has a cloud computing business by the name of Aliyun. The literal translation of Aliyun is Ali-Cloud. Alibaba Cloud offers a host of services within China as well as to international clients. Its international operations are based out of Singapore. Alibaba Cloud operates data centres in 24 regions and is the largest cloud computing company in China and the Asia Pacific. Alibaba Cloud was founded in 2009. The well-known singles day sale is supported by Alibaba Cloud for Alibaba’s other companies like Taobao. Alibaba Cloud offers its services in a pay-as-you-go format. That ensures the company earns recurring revenues when its clients renew their subscriptions. Alibaba Cloud is among the best cloud stocks to buy now, especially if you are bullish on the growth of cloud computing around the world.
Alibaba Cloud offers data storage, content delivery networks (CDN), big data processing, elastic compute, and regional databases. In June 2021, Alibaba established its first data centre in the Philippines. Alibaba Cloud has data centres in Indonesia, Malaysia, and India.