The factors in favour of a rise in the Alibaba share price:
To start investing on a Chinese asset such as Alibaba, it is necessary to know good the advantages and the strengths of this stock market title and its possibilities to evolve positively in the years to come. Here is therefore a summary of the advantages of this group.
The first advantage of Alibaba is of course the scale of its operations as well as the market in which the group operates which is mainly the Chinese market which is one of the most sought after in the world. China is in fact the most populated country in the world but also a country in full economic development and is therefore an important economic leader. However, it is particularly difficult even for large international companies to enter into this very profitable market. But Alibaba has accomplished this very quickly!
Another advantage of Alibaba concerns this time the company’s shares on the market. Just as we mentioned above, Alibaba is a key player in the Chinese market, where it held nearly 58% of shares on the market in 2017. Its closest competitor only holds 22% of shares on the market. To accomplish this, Alibaba has taken advantage of the strong support from large-scale producers that enables it to supply its products in the Chinese market as well as to the rest of the world.
Alibaba is also a visionary leader. In fact, the group is directed since a long time by Jack Ma who has an evident knowledge and avant garde vision of the market. The same way that Steve Job was behind the success of Apple, Jack Ma is known for being at the origin of Alibaba’s success and growth. It is obvious that the company has big chances to benefit, in the future, from the advice and vision of this iconic leader and therefore benefit from optimal management.
Finally, one of the main advantages of Alibaba is the good relationships that the group has with its different partners. And those partners are numerous since the company offers such a good environment. Alibaba offers merchants and consumers as well as third party merchants, financial systems, scalable platforms and efficient storage and cloud solutions, which makes this company particularly attractive.