Alibaba group has plans of expanding its presence in India this year. It highlights the importance of the South Asian nation to the largest online retailer of China. India is a big open market, the company took its time, but eventually it came.
Government help for the company
President of Alibaba Group, Michael Evans and K Guru Gowrappan, the global managing director met Ravi Shankar Prasad, the Communications and IT minister on Friday and pointed out the interest of the company in India.
A government official stated that the firm is quite keen to come to India in a huge way and that too particularly in the e-commerce sector. As of now, they are exploring a way, whether they should set up shop with someone or go on their own.
How Alibaba plans to enter India
The company also has plans of entering the e-commerce business by the year 2016. Prasad stated that the E-commerce niche is growing and India is a big inspirational market. Alibaba would be given full cooperation.
The executives of Alibaba suggested focusing on India’s offline market along with online. They can adopt the same strategy in India as well said, Prasad. Significant investments have been made in the e-commerce sector of India. It holds a major stake in Paytm and a small one in Snapdeal. They launched the SMILE program last year to entice one crore Indians and SMEs to get good delivery services.
Growth – India & Alibaba
Often, the company has made a favorable comparison of India with the home market. It had stated that when Alibaba started 16 years ago, China had transformed from a no-internet country to a very advanced one. FDI is the only B2B niche in India at present; this might cause some disruptions for the company. Let’s see how it pans out.