In an effort to turn around a firm that has battled to find its footing ever since Beijing’s regulatory assault against the internet industry in 2021, Alibaba is bringing back two of Jack Ma’s longest-serving lieutenants.
This move was made in an effort to turn the company around. Despite this, investors continue to be unsure about what steps they can take to revive a symbol of private sector in China to its former grandeur.
The market was taken aback when Alibaba announced that Eddie Wu and Joseph Tsai will take over as CEO, replacing Daniel Zhang, who had held the position for eight years.
Jack Ma’s lieutenants lead the difficult Alibaba relaunch.
Both men are business heavyweights of their generation, and they are credited with steering the technology and strategy that underpinned China’s erstwhile most valuable corporation.
This was before Chinese leader Xi Jinping’s tech crackdown obliterated growth across large swaths of the industry and nixed once aggressive expansion plans.
Their mission now is to figure out how to carry out the ground-breaking six-way restructure and spinoff that Zhang unveiled a few short months ago.
The plan was to form a family of companies that would dominate their respective industries, such as cloud computing and logistics, as well as worldwide trade.
These companies would then be able to seek finance and list on their own, which would appease shareholders who were eager for value.