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~ Alibaba ~

                                                                                                                                                              TAX                      LAW


            Global branding move: International Olympic Com-  Trust Move: ‘Alibaba Big Data Anti-Counterfeiting
            mittee                                            Alliance’
            At the World Economic Forum in Davos, Switzerland, IOC   In January, Alibaba announced a new alliance to combat the                              MEN                       MEN
            President Thomas Bach, Alibaba Group Founder and Execu-  sale of counterfeit goods. Over 20 member companies, includ-
            tive Chairman, Jack Ma, and Alibaba CEO, Daniel Zhang,   ing Huawei, Swarovski, Louis Vuitton, Samsung and Mars, will
            announced in January 2017 a commitment of Alibaba to the   leverage big data and the latest anti-counterfeiting technology,
            Olympic Games until 2028. Alibaba became a member of TOP   in order to pursue their common goal. In spring 2016, Alibaba
            (The Olympic Partner) global sponsorship programme and   was suspended from the International Anti-Counterfeiting                             Ta x &                   L e ga L
            pledged to deliver cloud-computing services, an e-commerce   Coalition (IACC) only one month after joining. Regaining trust
            platform for licensed merchandise and a media channel for the   of international brands is a key goal for Alibaba: “The collabora-            for e-commerce
            Chinese audience. Thomas Bach called the agreement ‘ground-  tion among stakeholders will give brands the opportunity to
                                                                                                                                                     Taxmen is The global company
            breaking’, hoping to further evolve the ‘digital opportunities of   review and engage Alibaba about its platform governance rules,”
            the Olympic movement’. Daniel Zhang expressed his pride,   reads an official statement released on the company’s corporate
                                                                                                                                                            spe cialising in Ta x
            adding that the agreement brings Alibaba closer to its goal of   blog, Alizila.
            serving 2 billion global customers.
                                                              Brand loyalty move: Mattel & Mars                                                                and legal services
            Multichannel move: Bailian Group                  Did you know that Chinese parents think differently about                                 for The e-commerce secTor
            Bailian Group is a state-owned, leading retail company in China,   playing than American and European parents do? Well, US toy-
            whichoperates over 6000 physical outlets including department   giant Mattel obviously did not either, but seems eager to tailor
            stores, shopping malls, convenience stores and supermarkets. In   its product offers to their target group and make efforts to re-
            late February 2017, Alibaba and Bailian announced a strategic   educate parents in China. In February 2017, Alibaba and Mattel
            partnership in order to ‘explore new forms of retail systems   announced a partnership in order to leverage Mattel’s iconic
            across each other’s ecosystem’. Both companies agreed to lever-  brands and expertise combined with Alibaba’s data and insights,
            age big data in order to enhance customer experience across   into the Chinese consumer base. According to the press release,
            multiple channels. Daniel Zhang commented: “Our partnership   “the partnership aims to re-shape the way parents in China
            with Bailian is an important milestone in the evolution of Chi-  think about play.” Mattel’s CEO Margo Georgiadis said: “The
            nese retail, where the distinction between physical and virtual   multi-billion-dollar toy category in China is highly fragmented,
            commerce is becoming obsolete.”                   with tremendous potential for growth. Working with Alibaba,
                                                              we see a terrific opportunity to develop and lead the category.” A
            Loyalty across borders: Austrade                  similar alliance popped up in June 2016 with the food company,
            The Australian Trade and Investment Commission, Aus-  Mars, leveraging Alibaba’s ecosystem to allow Mars to estab-
            trade, and Alibaba signed an agreement in September 2016   lish an integrated online and offline business model to serve
            to strengthen trade opportunities by expanding the variety   its consumers more effectively in China. Mars sells its brands                                      cusToms
            of Australian products sold to some of Alibaba’s hundreds of   Dove, Snickers, M&M’s, Extra, Pedigree and Royal Canin via
                                                                                                                                                                            AdvicE
            millions of Chinese consumers through Alibaba’s e-commerce   Alibaba’s platforms Tmall.com and Rural Taobao. In addition,
            platforms. Expanding the existing alliance between both parties,   both companies agreed to collaborate on an e-commerce food
            the new agreement is, according to Australian Prime Minister   safety program in cooperation with Mars’ Global Food Safety
            Malcolm Turnbull, set to ‘enable the smallest businesses, the   Center (GFSC).
            mom-and-dad businesses, in the regional part of Australia to
            have access to the biggest part of the world. This is something   What’s next?
            that hitherto only a very large company with enormous resources   The above mentioned only being a selection of alliances and
            and representation would be able to do. It’s a liberating force for   partnerships recently pursued by the Chinese retail giant, Aliba-
                                                                                                                                                   packaging
            small business.’                                  ba’s aim to build a strong network around the globe seems clear.                                                vAT                    alcohol
                                                              Brands and organisations also seem eager to jump on the train:                       TAriffS                                           dUTiES
            Cross-Border logistics move: WCA                  Who wouldn’t want a gateway to a multi-billion-dollar market                                                  compliance
            In January 2017, Alibaba announced a strategic partnership with   of new customers? Alibaba is smartly using its technological
            the world’s largest network of independent freight forwarders   advancement, market reach and financial power to build trust
            WCA, embracing 6,351 member offices in 190 countries. WCA   on a global scale. Winston Churchill once said: ‘There is only
            will give its professional support in providing international logis-  one thing worse than fighting with allies, and that is fighting
            tics providers for logistics services for the customers of Alibaba.  without them’. A strong network of global brands, organisations,
            com. “Approved providers will have full access to compete for   platforms and logistic providers might just be the key to success
            logistics orders generated on the Alibaba.com platform,” reads   in this very dynamic, digital and international world that is retail                           WebsiTe
            the official statement. Having commenced in January 2017,   today. We are curious what the next move will be. ••
                                                                                                                                                                            LEgALS
            the collaboration will facilitate shipments from Alibaba.com’s
            merchants to the US, India and the UK.





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